ChatGPT, Chatbots, and More – How Is Artificial Intelligence Being Used in Corporate HR Departments? (3rd Quarter 2023)

In addition to the use of artificial intelligence in general, the survey inquired as to which AI tools are being used. The question about current use and planning shows that such tools are still little used in the companies surveyed. A total of 44% of the participants gave no indication and 39% stated that they do not use any AI tools. For another 1%, this is still unclear. Of the tools mentioned, ChatGPT was by far the most common at 8%.

Other mentions (around 1% each) included tools for recruiting and for automation. Automation tools can be used to let an AI take over repetitive tasks in order to save time, increase productivity in the workplace, and minimize susceptibility to errors. Chatbots were mentioned, as were translation AIs, business intelligence tools, and image editing tools. Business intelligence tools use data to analyze actionable information that helps executives, managers, and other end users make informed business decisions. Some participants also said they were developing their own AI tools.

A Quarter of Companies Are Taking Action Related to the Use of AI

The use of AI also presents companies with new situations and challenges. Taking certain steps, for example with regard to legal aspects, may therefore be necessary. A quarter of companies said they were currently taking action related to the use of AI. In manufacturing, this proportion was slightly lower: 31% of participants are taking action relating to AI, while in the service sector, the figure is 24%, and in trade, 17%. Again, the larger the company, the more active companies are with regard to AI and the more frequently action is being taken. In companies that are taking action, this most often takes the form of working and expert groups (53%), followed by training courses (43%). Guidelines and instructions exist in 27% of cases, with another 13% taking other kinds of action.

Large Majority Has Concerns about the Use of AI

When asked if they had concerns regarding the use of AI, 86% of participants answered in the affirmative. This was almost the same across the different business sectors and company sizes. Participants’ greatest worries were regarding a lack of expertise, with 62% of companies reporting this as a concern. Legal aspects are also a major issue in relation to AI, with 48% expressing concerns about this. Other concerns relate to a lack of trust in AI (34%), the large amount of time and effort involved in implementation (19%), and high costs (18%). A lack of acceptance is a problem for a quarter of the participants, and 22% see no added value from AI.  

Potential Offered by AI for HR

While companies have concerns about the use of AI in some areas, they also see potential for it in others. The greatest potential is seen in the area of automation. This refers to the automation of HR processes, for example with regard to contracts, salaries, and benefits. About 19% of the participants indicated high potential and 31% medium potential here. However, more than a quarter said there was no potential in this area. In manufacturing, 24% rate the potential as high, as do 18% in trade, and 17% among service providers. Potential is also expected in recruitment and applicant management, with 14% rating it as high and another 37% as medium. Here, again, around a quarter of the companies see no potential. Service sector respondents in particular are critical of AI (29%). In performance management, on the other hand, which includes the evaluation of employees and forecasts, the majority see low (31%) or no potential (28%). By contrast, 12% see high potential here and a further 29% see medium potential. Most participants in the trade sector see high potential (16%), while the fewest do so in manufacturing (10%). On the other hand, manufacturing companies lead the category of medium potential. 

In human resources development, the majority of respondents see low (30%) or no potential (30%). However, around one-third assess the potential as medium-high. Here, manufacturing companies are the least skeptical. The majority of respondents are also ambivalent about the use of AI in the area of employee retention: 32% assess the potential of AI here as high, another 32% as low, and 27% see no potential. Just under one-tenth of the companies, however, see high potential. Service providers are more critical here than manufacturing and trade companies. A look at the company sizes shows the pattern observed earlier: the larger the company, the more potential it sees.
 

Little Influence of AI on Personnel Development

The companies surveyed tend to attach little importance to the influence of AI on personnel development. The vast majority (84%) assume that corporate HR planning will not change over the next five years as a result of the use of AI. Just 13% of companies believe that they will hire fewer staff as a result of the use of AI. This is particularly an issue in the trade sector, where 17% say they plan to employ fewer staff as a result of AI, compared to 15% in manufacturing and a lower 9% in the service sector. As far as company size is concerned, no pattern can be discerned: among businesses in the middle two size categories (i.e., with 50–249 or 250–499 employees), 4% and 5%, respectively, expect more staff, while and 15% and 16%, respectively, expect fewer staff. Small companies with up to 49 employees and large companies with 500 or more employees expect fewer changes due to AI (roughly the same proportion: 88% and 86%, respectively).