How AI Is Changing The Game For Recruiting

Artificial intelligence is everywhere. This is proven by more than self-driving cars or AI surgical robots.

Recruiting is also being transformed thanks to AI technology: from creating job ads to selecting applicants and improving the candidate journey.

How to use AI in hiring process? We’ll reveal in this blog post.

Artificial Intelligence in Recruiting

How is AI changing the game for recruiting? In 2024, McKinsey reports that 60% of organizations use AI for talent management.

How is AI used in recruiting? It is mainly suitable for identifying candidates, evaluating applicants, and coordinating appointments.

Detailed AI Use Cases

Writing And Optimizing Job Ads

How to use AI in recruitment process? With ChatGPT, Google Bard, or Claude, you can quickly formulate job advertisements or optimize texts so that they appeal to the target reader.

Example: A tech recruiter has a task to prepare a job ad for a Senior Software Engineer. This ad requires indicating specific job details, such as "5+ years of work with Python, machine learning background," and "leadership skills."

The ad is optimized to appear in searches by using relevant keywords like "machine learning" and "Python," and has more chances to reach qualified candidates. The AI also helps by suggesting appealing headlines and by adjusting the tone to match the company’s culture (formal or casual).

AI Job Description Generator also supports recruiters in creating job advertisements. In less than a minute, the tool creates a job advertisement with just a little information and a wide range of inspirations to choose from.

Applicant Search

AI in hiring process can search, analyze, and rank resumes and profiles in social networks by keywords, education, experience, and other parameters. It uses machine learning to quickly sort through a lot of data and find candidates who best match the job requirements. Tools like Fetcher, Eightfold AI, and SmartHire help IT recruiters speed up screening and spend less time on the first review of CVs.

Example: An HR manager uses AI to find candidates for a Senior Data Scientist job. The tool checks platforms like LinkedIn, GitHub, and personal websites for skills like “data analysis,” “big data,” and “Python.” It creates a top 10 list of the best matches based on experience and projects. This saves the manager from reviewing hundreds of resumes and helps them focus on the best options. The AI also suggests candidates with similar skills who could still be a good fit, widening the search.

Pre-Selecting Applicants

AI tools may analyze CVs according to pre-entered qualifications, scan online professional profiles and search application letters for relevant or plagiarized content. AI in HR recruitment can check word choice and language to see if a candidate fits the company’s culture. It helps sort out unsuitable candidates and saves useful details from strong applications in a database.

Example: A financial services company uses AI to hire a financial analyst. The AI looks for keywords like "quantitative analysis," "investment strategies," and "Excel skills" in resumes. It flags resumes that might be copied from online sources and checks cover letters to see if candidates use the right financial terms and have a professional tone. Candidates who pass these filters are added to the shortlist for further review.

Optimize Candidate Journey And Communication

Smart chatbots for initial interviews, answering questions, sorting applications and onboarding are a real godsend for an HR manager.

Chatbots like Claude or ChatGPT can now do much more than just deliver pre-programmed content based on keywords - with dialog-oriented AI, job seekers can have human-like conversations about skills and suitable job profiles, and in the application process, the chat AI also answers complex questions about the position, the company, etc. With chatbots, it is easier for the applicant to get the necessary information and understand the specifics of employment. And for companies, the plus of chatbots is to improve the reputation of the employer (another HR trend).

Example: A marketing firm uses a Claude chatbot to handle the first step of hiring. When a candidate applies for a marketing manager job, the chatbot greets them, asks basic questions about their skills, and explains the role. It also asks about their experience with digital campaigns and SEO. The chatbot answers questions about benefits and work culture, ranks the candidates, and schedules interviews for those who qualify, saving the HR team time.

Conducting and Automating Job Interviews

Video interviews are now common and can be partly automated with artificial intelligence in recruiting. Tools like HireVue, Pymetrics, and Cammio can analyze recorded interviews, looking at what candidates say, their tone, gestures, and facial expressions.

Example: A multinational company uses an AI interview platform for initial video interviews for a customer service manager role. The candidate answers questions about teamwork and conflict resolution, and the AI reviews both their answers and how they deliver them. It looks at their tone for confidence, facial expressions for engagement, and body language for professionalism. Afterward, the AI gives the HR team a detailed report on the candidate’s communication and emotional skills, helping them decide better.

What Are the Benefits?

Artificial intelligence for hiring shortens and speeds up the time-consuming process of recruiting. This is because robots search through enormous amounts of data in a very short time and thus find hidden talent around the world - especially in times of a shortage of skilled workers, the support of AI in recruiting is therefore extremely valuable. AI makes hiring easy. Moreover, HR managers invest the freed-up resources, for example, in the really exciting applicant profiles and activities such as employee retention or development.

Also, robots behave neutrally when evaluating applications and thus ensure more diversity in companies. This is because AI doesn’t make decisions based on name, religion, skin color, gender or sexual orientation, but solely on the basis of objective data.

What Are the Risks?

Using AI for recruitment AI can sometimes hurt the candidate experience. For example, sending the wrong automated email or using an unhelpful chatbot can make the process feel less personal. A well-known case was Amazon’s AI recruiting tool, which had to be shut down because it unfairly favored male candidates.

Check out our Axterior Hiring Talks for more insights on recruiting in the future.

Tips For Dealing With AI In Recruiting

In August 2024, the EU AI Act came into effect, setting clear rules for the legal, ethical, and responsible use of AI in work and leisure. When using AI for hiring, it’s important to support your team, address any concerns, and provide ongoing training.

We’ve prepared some tips to make your HR department and company ready for AI in recruitment:

1. Clearly explain in your company’s mission and strategy how AI is used and its impact. Set rules to ensure transparency.
2. Highlight in your employer branding that AI helps attract new talent.
3. Set up AI support teams or officers who can answer questions and gather feedback.
4. Start AI pilot projects in specific departments to raise awareness on the impact of AI on recruitment.
5. Invest in AI training that covers both technical skills and ethical considerations.
6. Arrange sessions with your legal team to discuss data privacy and AI-related legal issues.
7. Remember, AI tools can support the interview process, but human judgment is still key in making final decisions.

Last but not least, humans are still the heart of the interview process – AI tools are not a substitute for the human perspective and can complement, but not replace, real-world conversations and experiences.

Conclusion

So how is artificial intelligence changing the recruiting process? AI in recruiting offers companies a promising opportunity to optimize the application process and make the entire HR area, including personnel development, more efficient.

To ensure the success of using AI in recruitment, a clear strategy, data protection, and ethical action are crucial. Monitor continuous improvement and flexibility in the implementation of AI to make the best possible use of the advantages of the technology in the competition for talent!