What is the meaning of the term Artificial Intelligence (AI)?

AI is the term used to define the technology required to do a task that needs some amount of intelligence to accomplish. What is the difference between AI and ordinary software? The difference is basically under 3 components – high-speed computation, a huge amount of quality data and advanced algorithm. Core AI technologies provide better accuracy and stability to day to day processes that require an algorithm that connects quality data to fast computation services.

AI technologies offer improved opportunities to HR functions like self-service transactions, recruitment, talent acquisition, payroll, etc. In the modern era, AI capabilities have seen new heights as well as a major impact on how the businesses are being operated. The faith shown by HR executives on merging AI into the administrative function will help at benefitting and improving the overall employee experience. This will help at providing more capacity, time budget and information for decisive people management.

The ever-increasing amount of HR data in the cloud produced from humans and AI working together along with the use of AI analyses offers better insight into how to execute and operate. The success of an organization depends on how effectively it combines people, process and technology to deliver transformational data at an optimized cost. Thus, AI will help to efficiently automate man back-office functions concerning HR transactions and service delivery.

What are the challenges faced while adopting AI technologies?

Many barriers can result in the slow adaptation of AI in this field. Financial barriers can be considered a reason for this lack of wider tool implementation. Other key barriers include:

  • The gap in Talent: It is difficult as well as costly to find equally skilled and educated employees
  • Privacy Concerns: Secured access and availability of confidential HR data should be only for an authorized person.
  • Ongoing AI maintenance: AI maintenance requires deep knowledge as well as regular review and updates.
  • Integration Capabilities: The availability of data is limited due to the inclination of HR’s towards SAAS (Software as a Service).
  • Limited proven applications: the feasibility of many products and services are based on proof of concept alone.

Although, the cost of using AI can be justified by following human resource functions:

  • To reduce the time spent by an HR professional on various administrative tasks.
  • To reduce the burden on shared service centers and help desks by doing HR transactions and providing routine query answers
  • Recruitment and retention
  • Calculating investment returns
  • To reduce the biases in HR decision-making

Which HR functions utilize the AI more effectively?

      Historically, HR team members, employees, and managers have to handle these tasks:

  • To view and update employee information
  • Conversational AI helps employees and managers to track their training progress.
  • Cognitive solutions help at a better organization as well as reveal new insights for better candidate thus improving the hiring and recruiting process.
  • Conversational AI can help at analyzing and presenting analytical and key performance indicator information
  • AI helps at presenting an opportunity or HR to automate repetitive, low-value tasks and thus increasing focus for strategic work.

How to mitigate security risk and data privacy with the use of AI?

There are several challenges faced by AI development in regards to HR data privacy. Organizations are needed to get proper consent to avoid additional issues due to AI complexities and training data involved. Sometimes individuals may have no prior knowledge that their data is getting collected and this lack of transparency means that the business will miss out on gaining the trust of the employees.

  • Providing Privacy Notice: this should be done so that employees know that their data are being needed by the AI to better facilitate desired results. IT departments should have policies letting their employees know which data is permissible for collection for the AI solutions and which aren’t
  • The Chatbot solutions shouldn’t have the access to store any kind of personally identifiable information (PII) or confidential information when an employee request is under process. PLL and confidential information should be communicated via a secure internet or intranet protocol.
  • Training data should always be secured for machine-learning and shouldn’t have any HR PII and confidential information.
  • Machine – learning solutions need to have masking capabilities as there is potential for a lot of PII information into getting collected as well as having other observers the possibility to learn specifics of other users.
  • HR systems should release authorized information to their employees only during conversational AI transactions. There is a need for companies to make sure that they have appropriate controls surrounding places related to HR data. If it’s not, then the delivered output from the algorithm will be flawed and thus lead down a path of wrong decisions.

What are the common pitfalls which a business should consider?

With the advancements in the field of technologies, there is an increased chance for organizations to take the wrong steps. Therefore exercising proper caution while enabling AI services in being advised. Proper insight is needed while managing AI systems effectively and efficiently.

  • To find sufficient reliable learning data sets
  • Using the right set of implementation approach.
  • Seeking clarity to avoid mistakes which can happen due to lack of it while generating insights. Therefore, businesses should make sure that the machines perform efficiently, securely and as planned.
  • To eliminate biases as an AI solution if used correctly can act as a catalyst for positive changes.
  • A good AI designer will always be able to suggest a strategy when it comes to avoiding unintended consequences by inserting many possible scenarios, pre-learning, and machine self-learning mechanisms.

Do’s –

  • Expectations should be moderate along with a scalable solution
  • Determine the impact and calculate success
  • Use the right tools, intelligent assistants and application program interface (API)
  • Establish an appropriate process for regular content management and ensure that there is an establishment of stability and consistency of AI solution with the technology shift.

Don’ts –

  • AI does what you want to do so do not believe that AI will make business decisions.
  • Do not underestimate the importance of using quality data.
  • Do not consider a traditional system-implementation approach.
  • Do not assume that the implemented AI solution will always provide the correct response and therefore revisit regularly to keep in check that the algorithms and logic continue to be accurate to get the best results.


Pinch AI is a game-changer when it comes to AI for recruitment.  Pinch’s AI-based HR applications have a very strong potential to increase employee productivity as well as help HR professionals to be knowledgeable consultants that can help boost employee performances.  Our AI-powered HR applications can analyze, predict, diagnose as well as become more powerful and capable resources.

Always determine what you want to see and how you can fit it within your corporate culture before adopting a solution. Employees are bound to be affected by the AI function in multiple ways, therefore it is important to focus on employee needs and possible outcomes obtainable.