Artificial intelligence in personnel consulting as a strategic partner with potential

Symbolic image of AI-supported personnel consulting

Etter & Partner has appreciated the role of AI in modern human resources management for several years. © phuttaphat tipsana, GettyImages

Digital transformation has triggered a profound change not only in the technology industry, but also in human resources. The introduction of artificial intelligence (AI) in recruiting and employee selection represents significant progress that opens up new opportunities, especially for human resources managers.

HR consultant in executive search Jochen Etter von Etter & Partnersan experienced expert in this field, has appreciated the use of artificial intelligence in his work for many years and is thus defining a new standard in human resources management.

Role of AI in modern human resources management

When it comes to recruiting and selecting employees, the sole use of classic instruments proves to be insufficient to capture all the impressions that an applicant leaves behind. Whether HR consultant or internal recruiter: In a direct conversation with a potential candidate, it is difficult to focus equally on facial expressions, gestures and the spoken word. However, it is precisely the interaction between verbal and non-verbal communication a meaningful overall picture of the applicant. The implementation of AI paves the way for recording a large number of details that go unnoticed in the interview and gaining a holistic impression that would be impossible in its complexity using conventional methods.

HR consultants have realized that AI tools help them to filter the amount of applicant profiles and can also be a valuable decision-making aid.

Efficient applicant selection through AI – Etter & Partner reports

When looking for personnel, the use of AI is a highly valued element, also with regard to the candidate's suitability for the company. “Because that is exactly the building block for successfully filling a vacancy today. The fit with a company is determined by more than just professional suitability,” says Jochen Etter.

In order to best fill a vacant position, especially in management, the candidate's way of thinking must match the company's philosophy. This prevents excessive employee turnover. This is exactly what increases when the sum of external factors beyond the position is unsuitable.

Experienced HR consultants are aware of these circumstances and see every day that basic qualifications and contractual conditions in line with market conditions alone are hardly convincing.

Companies have individual values, norms and manners, which, among other things, determine the emotional level between the candidate and the company. Because if this basis is right, it creates a solid bond.

AI as an innovative tool helps to make personnel decisions even more precisely with extensive analyzes and the comparison of the holistic framework conditions for the candidate profile. Characteristics such as openness and compatibility go far beyond immediately obvious suitability profiles.

Benefits for companies and candidates

Once the right candidate has been selected for a vacancy, it can be seen that the decision-making support provided by AI means that the position stays filled longer on average. From a business perspective, this is a striking advantage that supports economic stability.

Satisfied managers or specialists, in turn, act more motivated and contribute to consistent company progress. As a rule, they are much more open to exploring new paths, contributing their own ideas and thus supporting the entrepreneurial goal in the long term. By building such a bond, the employer's attractiveness is strengthened at the same time. An important component, especially in times of skilled labor shortages.

Managers from outside the industry? The new opportunity through artificial intelligence

AI goes even one step further. By “hiding” certain information, more and more candidates from outside the industry enter the potential applicant pool.

Many HR managers lack this focus on people from other industries. Because most training or qualifications are based on identical fundamentals and skills.

For example, a trained business economist who has worked exclusively in the food industry. From the perspective of an entrepreneur in the clothing sector, this would be an exclusion criterion because the candidate does not have any specialist knowledge.

But it is precisely this candidate that represents an opportunity for AI. It recognizes the training as equivalent and automatically creates further links based on the candidate's specifications, which can prove to be an advantage for the company.

Non-specialists are usually familiar with other requirements and structures and therefore represent an unexpected enrichment for the new company. In addition, when changing, specialists are given the opportunity to independently familiarize themselves with a new subject area and thus promote their own transformation. This means that unexpected synergies can be created for both sides. And all of this through the assessment of the AI.

AI as a strategic partner for every company

For external consultants who represent a company externally, AI with its numerous functions represents a successful gain. The ability to use historical data and performance indicators in parallel ensures a more precise prediction of a candidate's suitability for a vacant vacancy.

In addition, AI-supported tools allow companies to better understand their future employees and create individual plans for the further development of their strengths, which ultimately leads to higher employee satisfaction.

In summary, the introduction of AI into recruiting and employee selection has permanently changed the way HR consultants, but also other HR managers, work.

The clear benefits that come from implementing AI are unmistakable. In the future, companies that take advantage of the opportunities offered by artificial intelligence will not only be able to find qualified talent more quickly, but also build a diverse and committed workforce.

“Because it is precisely this expertise made up of technical expertise and AI that makes the subtle difference between short-term and sustainable long-term employment!”

September 20, 2023

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