‘Will AI replace recruiters?’ is a regular question we’re asked which we’ve covered before but another query is ‘How can AI add value in recruitment?’. This question isn’t as easy to answer as the first (it’s no, by the way) but it’s still one we can answer.  

But before we consider ‘How?’, first we answer the question ‘Does AI add value in recruitment already?’ – once we have answered this we can get a clearer picture of how AI’s use in recruitment will evolve in the future.  

From the early days of digitalisation, where online job portals and electronic applicant tracking systems began to replace traditional hiring methods, to the current era where AI-driven algorithms and data analytics dominate, AI’s use in recruitment has been growing.  

Its introduction into recruitment processes in the FMCG industry initially focused on automating mundane tasks like resume screening and candidate sorting. From there AI’s role quickly expanded to more sophisticated functions such as predictive analytics for talent acquisition and automated video interviews. 

In this article, we’ll explore a range of use cases illustrating AI’s impact in FMCG recruitment, from boosting candidate experience to promoting diversity and reducing biases before looking ahead to what the future holds for AI in recruitment.   

THE VALUE OF AI IN RECRUITMENT 

Efficiency and Precision: 
AI significantly enhances the efficiency and accuracy of the recruitment process. For example, Unilever’s adoption of HireVue, an AI-powered video interview platform, has drastically cut down the time needed for initial candidate screening​​. Similarly, Hermes leveraged AI-driven job board software to handle high recruitment volumes, achieving a remarkable 52% reduction in cost per action and a 45% increase in hires​​.  

Enhancing Candidate Experience: 
AI also plays a pivotal role in improving the candidate experience. AI-powered chatbots can provide real-time updates and feedback to applicants, ensuring a more engaging and informed application process. This feature is particularly beneficial for first-time job seekers, helping them navigate the complexities of the job market with greater ease​​. 

Promoting Diversity and Reducing Bias: 
One of the most significant advantages of AI in recruitment is its potential to promote diversity and reduce unconscious biases. Unilever’s implementation of the Pymetrics tool is a case in point. By focusing on candidates’ potential rather than their background, Unilever has seen a notable increase in the diversity of its applicant pool​​. AI’s ability to ignore irrelevant factors like a candidate’s name, educational background, or previous work experience is instrumental in fostering a more inclusive recruitment process. 

CHALLENGES AND PITFALLS OF AI IN RECRUITMENT 

Potential for Bias and Discrimination: 
Despite its advantages, AI in recruitment is not without challenges. One major concern is the potential for AI tools to inherit biases present in their training data. This issue was evident in an AI recruitment tool used by Amazon, which displayed a bias against female applicants​​. Additionally, some candidates perceive AI-based assessments as less transparent and fair compared to human evaluators, which can impact their confidence in the recruitment process​​. 

Risk of Impersonality and Misinterpretation: 
The automation of the recruitment process can result in the lack of personal a touch. While AI is efficient, fully automated processes can feel impersonal to candidates, potentially leading to a less favourable impression of the employer​​. 

Misuse and Cheating: 
Another issue is the misuse of AI in recruitment. For instance, AI tools like Hirevue have detected cheating during interviews, such as candidates using hidden earpieces to receive information​​. There have also been cases where candidates used AI tools to complete tasks in the recruitment process, highlighting the potential for misuse from both sides. 

WILL AI EVER REPLACE RECRUITERS? 

The short answer is, no. While AI has significantly advanced and automated large portions of the recruitment cycle, it is still a long way from being able to completely take over the intricate and nuanced process of recruitment​​. 

Understanding AI’s Role in Recruitment: 

AI’s role in streamlining the candidate delivery process through conversational AI tools, like chatbots, which keep candidates engaged and simplify time-consuming tasks, will be more popular in years to come​​. Resume screening software, another AI tool, has vastly reduced the time spent on sifting through resumes and also mitigates human biases in the screening process​​. Moreover, AI-driven job ad placement increases reach and candidate quality and automated interviews have become more efficient, especially for large-scale recruitments​​. 

These are fantastic time-saving roles AI is playing but you can see the trend. AI is going to make administrative tasks simpler, more efficient but the human touch is still critical, and will remain so even as AI develops. Skills like empathy, relationship building and understanding nuanced human behaviours are areas where AI cannot match people.  

Complementing Rather than Replacing: 

By automating the more repetitive and administrative aspects of recruitment, AI frees up time for recruiters to focus on building relationships with candidates, developing strategies and handling negotiations​​. In roles that require a high level of specialisation or leadership qualities, the human connection and insight provided in personal interviews are irreplaceable and crucial for successful recruitment. 

The Future of AI and Recruitment: 

Recent statistics reveal that 56% of companies are using AI for talent acquisition and management, with this number expected to increase as AI technology becomes more sophisticated and accessible​​. Specifically, within the FMCG sector, the adoption of AI in recruitment processes is gaining momentum as companies recognise its potential to enhance efficiency, improve candidate experience and promote diversity. 

As we look to the future, the role of AI in recruitment is likely to continue growing and evolving in synergy with recruiters. The balance between technological efficiency and human intuition will continue to define the recruitment landscape. 

HOW CAN AI ADD VALUE IN RECRUITMENT? 

AI in recruitment offers significant benefits, including enhanced efficiency, improved candidate experience and the promotion of diversity.  

The key to maximising AI’s value in recruitment lies in a balanced approach where AI complements human judgement. As technology continues to evolve, this synergy between human insight and AI’s capabilities will be crucial in shaping the future of recruitment. 

Signature is at the forefront of this transformation, helping businesses in the FMCG sector harness the power of their recruitment by streamlining recruitment processes while finding the right candidate for your needs and culture.  

This approach helps businesses not only find candidates who are the best fit in terms of skills and experience but also in terms of cultural alignment and emotional intelligence. If you would like to learn more about how we can help with your recruitment strategies, contact a member of the team today.  

Blogs & Vlogs