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88% of organizations globally have utilized AI in some way for HR, with 83% of U.S. employers relying on technical assistance to smoothen the recruiting process, showcased a study by SHRM. AI is a revolutionary installation in the workplace that reshapes and modifies the functionality of a process structurally. The same study of AI in recruitment has shown,

  • Based on publicly available data, 44% of HR identifies the best candidates for the company.
  • 43% have reported using AI to provide recommendations for learning and training employees.
  • 40% have opined that they screen and assess the candidates during recruitment with AI. 

AI is used extensively in HR recruitment functions, such as sourcing, screening, shortlisting, interviewing, and onboarding new candidates. Here are 8 ways AI makes the hiring process faster and more effective.

How AI in recruitment is changing the hiring process

AI or Artificial Intelligence is being utilized at all hiring process steps, from the calling of application to the placement of candidates within the organization and onboarding formality completion.

41% of the organizations that have implemented AI for HR tasks have reported the indication of close collaboration between IT and HR, revealed a Gartner study.

In addition, the study showed that 35% pointed to having sufficient data so that AI can access it, while 32% cited they were presented with a well-articulated strategy. Therefore, below are 8 ways of how AI is changing the landscape of hiring process:

1. Efficient candidate sourcing

Sourcing is the first step in the hiring process. Most companies participate in sourcing activities only when they have a need which results in the backfilling of vacancies and manpower.

With AI at your disposal, you can employ the right tools to look for candidates online and from databases proactively, which cuts down not only the time and effort of having a good candidate pool but also helps in quicker job vacancy fulfillment for urgent needs.

Proactive hiring and a backup talent pool are essential parts of the hiring process, which AI facilitates.

2. Improved screening and shortlisting

One of the best characteristics of AI is the machine learning ability. Using machine learning techniques, the AI can scan all the resumes and CVs that currently make up the workforce at the company and use these to pick up the most apt resumes from a large pool of resource or applicant data.

Not only does this help in cutting down on the time that is spent on reading and evaluating resumes, but it also helps in picking out the right resumes from a large pool which is a tedious task and often falls prey to manual error or overlooking good resumes. Moreover, AI-powered recruitment agency database software further streamlines this process by ensuring that only the most relevant and qualified candidates are shortlisted.In addition to improving efficiency, AI in recruitment offers a fairer, more unbiased selection process. By relying on data-driven insights, it minimizes the risk of human biases that can sometimes affect hiring decisions. This technology not only enhances the recruitment process but also contributes to building a more diverse and inclusive workforce.

3. Enhanced candidate experience

Candidates who apply for jobs at corporates expect to have a smooth experience from the very start. The hiring process from the very first instance of picking up a resume to being shortlisted to being called for an interview to being placed in the organization, matters greatly.

AI tools such as emails thanking for applying, along with videos of the company or chatbots that stay consistently in touch with candidates throughout the hiring process are some examples.

An effective communication channel with employees is a green flag for prospective employees and builds trust with the organization.

4. Data-driven decision making

Using data to drive decision making is one of the primary functions of AI worldwide.

AI in the hiring process can help managers and HRs to determine the past history of screening and shortlisting candidates, employee turnover and employee portfolio present in the company to make better decisions when screening and interviewing prospective candidates.

Using past data can help in determining whether the candidate is apt for the role or not. The right decisions can cut down costs on training the wrong employees who may leave too soon or missing out on the right candidates in the screening process.

5. AI-powered video interviews

Video interviews are the latest trends that help in keeping up with the new era of digital hiring.

AI powered video interviews help large enterprises that are spread out globally by cutting down on costs of interviewing candidates and helping to hire candidates from a larger pool without the hassle of accommodating varied interview schedules and timings.

Infact, even for smaller companies, it is much easier to interview candidates online as it is twice as fast and efficient.

Another benefit of AI powered video interviews are that these files can be saved so that other managers can revisit these interviews or other HRs/ managers who were not able to join can watch the interview to weigh in on the candidate as per their convenience.

6. Automated scheduling

AI also helps in scheduling events that are related to the hiring process - for example, once the initial screening of resumes is done, the shortlisted resumes can be automatically added to a database for prospective candidates.

From here, the candidates can receive an email or text message congratulating them for being shortlisted and can be kept in the loop for upcoming stages of interview.

If they are selected for interviews, reminders or events can be sent to them alerting them of their upcoming interviews. Candidates can be moved from active to passive for future talent pools, if they are considered for positions in the future, and so on.

7. Predictive hiring analytics

Predictive hiring analytics is one of the best and the most interesting functions of AI in the hiring process.

It uses historical data from a large database of prerecorded information relating to the various workforce and their recruitment procedure to come up with data for future hiring practice. This means that the system can use past data to help managers hire more effectively and proactively in the future.

Based on attributes such as resume details such as cover letter, skills, qualifications, education, previous experience, reason for quitting last job, duration of employment etc to make future decisions when hiring prospective candidates.

8. Employee retention strategies

In continuation to the point above, AI analytics functions can also help in understanding the issues with manpower management and to help with issues such as employee attrition and turnover.

Having a low attrition rate is important for hiring prospective candidates, especially in high management positions.

Using the various AI tools, managers and the HR team can understand issues faced by employees that lead to high turnover or short durations of employment with the respective company.

Using this data, the organization can work on these issues to maintain higher employee satisfaction and hit lower attrition rates.


Now that you are well informed of the many benefits of using AI and how this new technology helps in the hiring process from start to end, you can make use of this innovative solution effectively in your organization.

As managers or an HR member of a company, one of the key responsibilities is to cut down on attrition and to reduce the turnover of employees. Employee selection and placement plays an important role in achieving this and therefore, having a robust and fail proof hiring process is the need of the hour.

With AI at your disposal, managers can easily cut down on repetitive labor that goes into screening and selecting candidates from a large resource pool and picking out the right talent for the right jobs in a proactive manner.

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