HR Insight

AI in recruiting, how and how effective is it?

Written by Leo | Apr 26, 2024 4:56:20 AM

 

 

This content is based on the content shared during the "HAF: HR AI Forum" held on June 30, 2022, at GS Tower in Yeoksam-dong, Seoul, on the topic of "AI to HR, the beginning of change.

 

Given how fast AI is expanding into various fields, it's now hard to find a field where AI hasn't yet been applied. ViewinterHR is one such AI for HR, and the COVID-19 pandemic and other social phenomena have sparked the technology's development with various HR implications, including work-from-home, exit trends, new regulations and legislation, employee mental health, recruiting top talent, etc. 

 

 

 

 

 

AI is spreading into HR.

Since its introduction by John McCarthy in 1956, AI has evolved and is now being utilized in various fields. In HR, AI technology solutions are increasingly in demand to address issues such as working from home due to the coronavirus pandemic, changing retirement trends, new regulations and laws, employee mental health management, and recruiting top talent.

 

 

 

 

 

AI use cases in HR

There were sessions on best practices in HR utilizing AI in the private and public sectors. LG U+ introduced an AI video interview process to enhance job competency assessment, and the military used AI to improve the recruitment process for top officers and NCOs. These examples illustrate how AI can be used in HR.

 

 

 

 

 

Issues surrounding recruitment

The recruitment process is rapidly changing, and societal demands for fairness and validity are increasing. As new recruitment methods are being adopted, such as the proliferation of contactless screening and the accelerated shift to contingent hiring, AI technology can significantly contribute to increasing the efficiency and fairness of the recruitment process.

 

 

 

 

 

Private sector: LG U+ recruitment 

In the case of LG U+, the recruitment process was previously conducted in the order of recruitment/promotion → personality test →, first interview → internship and final interview. The company introduced the 'AI video interview process' to this process. The AI video interview consisted of 'soft skill evaluation through AI', a process where AI algorithms analyze an applicant's non-verbal behaviour and responses to assess their soft skills, and 'job readiness evaluation by the recruiting department', a process where the recruiting department evaluates the applicant's readiness for the job based on their answers. This combination of AI and human evaluation ensures a comprehensive and fair assessment of the applicants.

 

By asking questions in the form of BEI (Behavior Event Interview) and analyzing them with AI to assess job skills, the company could select more capable candidates and make the first round of face-to-face interviews, which were previously time-consuming, more efficient.

 

When comparing the soft skills scores and interview pass rates of employees hired after the introduction of AI in the second half of 2019, the correlation coefficient was 0.5. The correlation coefficient between BEI score bands and the proportion of candidates by screening stage was 0.6, indicating that the new AI screening plays a significant role in the interview process.

 

 

 

 

 

Public sector: Recruitment of military officers/non-commissioned officers

Previously, the military conducted a three-stage structured interview evaluation to identify the best candidates for military officer/non-commissioned officer recruitment. To identify candidates' characteristics in a limited time of 30 minutes or less per interview stage, a scientific measurement method was needed to support the interviewer's judgment.

 

However, in cases with a large number of applicants, such as selecting applicants for long-term service, the recruitment process is primarily delegated to subordinate units, and even with interview-related training, the level of interviewers varies by unit. There are limitations to developing professional interviewers with only short-term training, so HR departments have complained about the burden of preparing and conducting the annual interview evaluation. 

 

In response, the military introduced AI recruitment in 2019. By using AI to analyze the characteristics of excellent workers by class and speciality, the military established the type of talent required by the army and selected the best candidates for the military.

 

In addition, we reduced the existing three-stage interview to one stage. Still, we used AI interview results organized in a way that interviewers can recognize at a glance to check the characteristics of applicants and make the final decision, overcoming the ethical issue of "machines evaluating people. 

 

In addition, in 2021, we are advancing AI recruitment by modelling military talents and competencies (analyzing big data related to military excellence, conducting one-on-one interviews), collecting and evaluating data (designing AI BEI competency assessment, collecting and analyzing interview video data of military excellence), developing a customized AI engine (using data evaluation and BEI competency assessment techniques), and selecting AI interviews for the military (using AI video interviews to select cadets, district cadets, and deputy cadets in 2022). By developing military competency modelling, behavioural indicators, and customized interview questions and applying them to the AI interview process, we can select talented people more suitable for the military. This AI interview process ensures a fair and comprehensive assessment of the candidates' skills and suitability for the military. 

 

 

 

 

 

Social considerations

The development and utilization of AI in HR necessitates a solid adherence to ethical guidelines. This is crucial to ensure that AI is trained fairly, can be explained, and, most importantly, respects the rights and dignity of individuals. Analyzing a candidate's nonverbal behaviour and responses in an AI-assisted interview process is essential to understanding how they were scored and against what criteria, thereby ensuring transparency and fairness.

 

AI's use in HR will only grow, and we can look forward to a future where it can provide advanced analytics to predict turnover, retain loyalty, and recommend job changes based on performance predictions. These are just a few examples of how AI can revolutionize HR practices. As we pursue these changes, it's important to remember the importance of adhering to ethical guidelines and ensuring fairness.

 

 

 

 

Source Original Contents Monthly HR insight

Review & Edit Leo (Marketing, Genesis Labs)