HR Leaders in APAC Are Adopting AI for Efficiency Gains

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AI Adoption in HR: A Growing Trend in Asia-Pacific

HR teams across the Asia-Pacific region are increasingly deploying AI and machine learning technologies to create more efficiencies in managing their workforces.

A recent survey of 1,515 business and HR leaders in the region, conducted by HR and finance platform Workday, found that 69% of organisations are using AI or machine learning for one or more HR functions. Additionally, 42% of respondents reported increasing their reliance on digital tools to streamline HR tasks.

The survey also found that:

• The top three use cases for leveraging AI and ML in HR were data analytics and reporting (49%), workforce management (45%), and performance management (44%).
• Most professionals (91%) believe deploying AI and ML has positively impacted HR functions.
• Businesses are also deploying AI and/or ML for employee records management (43%) and to manage HR support or service desks (42%).

HR teams in ASEAN nations are the most proactive in rolling out AI, with 88% of surveyed individuals in that region saying they were already using the technology in their organisations.

Other countries or regions where AI and ML were most popular, according to the Workday findings, were:

• South Korea (80%).
• North Asia (72%).
• Australia and New Zealand (70%).

HR Teams Found to be Managing More Data than Ever Before

Business and HR professionals said they increasingly relied on data for informed decision-making.

According to the Workday survey, 70% of senior managers and HR professionals are performing more data management than before the COVID-19 pandemic.

The survey noted HR teams were using data for various use cases, including:

• Creating a view of workforce costs and trends to support better productivity and profitability.
• Delivering data-driven insights to engage hiring candidates throughout the hiring process.
• Understanding engagement across different age groups using employee sentiment data.

Ai Seen as Way to Keep Up with Change and Overcome Challenges

HR teams are dealing with “the greatest work transformation in a century,” according to the report. Workday also noted the significant shift toward hybrid and decentralized work and some changes in employee expectations that have occurred since 2020. Such an environment is creating difficult challenges for HR in APAC, the biggest of which are:

• Talent acquisition (36%).
• Employee upskilling (35%).
• Staff retention (31%).

Ai Could Help HR Become More Strategic

HR leaders are playing increasingly strategic roles within organisations in Asia-Pacific and Japan. The Workday survey found 23% of respondents attended board meetings “significantly more” since 2020, while 35% said they were attending these meetings “somewhat more” than previously.

Ai and digital tools could allow HR leaders to deliver value at a high level. However, HR leaders must be aware of the risks of AI deployment. Tools that shortlist candidates based on existing employee data were one of the first examples of where AI could go wrong due to bias.

Conclusion

In conclusion, the adoption of AI and machine learning in HR is a growing trend in Asia-Pacific, with many organisations deploying these technologies to create more efficiencies in managing their workforces. HR teams in ASEAN nations are the most proactive in rolling out AI, and the technology is also popular in South Korea, North Asia, and Australia and New Zealand.

FAQs

Q: What is the current state of AI adoption in HR in the Asia-Pacific region?
A: According to a recent survey, 69% of organisations in the region are using AI or machine learning for one or more HR functions.

Q: What are the top use cases for leveraging AI and ML in HR?
A: The top three use cases are data analytics and reporting (49%), workforce management (45%), and performance management (44%).

Q: What are the biggest challenges facing HR teams in APAC?
A: The biggest challenges are talent acquisition (36%), employee upskilling (35%), and staff retention (31%).

Q: How can AI help HR become more strategic?
A: AI and digital tools could allow HR leaders to deliver value at a high level, but HR leaders must be aware of the risks of AI deployment and ensure that their AI models are ethically sound.