Discovering Innovative Start-ups Claiming Artificial Intelligence to Revolutionize Hiring Processes
Artificial Intelligence (AI) in recruitment: A double-edged sword for diversity and inclusivity, eh? It's a topic that's been generating buzz, and for good reason.
Recent studies show that AI has already made its way into 48% of recruitment agencies in the UK, handling tasks like candidate sourcing and screening. While this advancement brings excitement, it also sparks concern about AI perpetuating human biases at scale. Christopher Beveridge, head of privacy and data protection at BDO, recently blogged about this very issue.
But what if we tilt the playing field in favor of AI? By smartly deploying the tech, we could broaden the labor market, identifying and promoting candidates who have been overlooked by traditional methods. Take Emma de Sousa, managing director of Access Recruitment, for example. She argues that AI can be particularly beneficial for neurodiverse employees, providing tools that promote inclusivity and create a more diverse workforce.
Start-ups are also jumping on board, launching AI solutions aimed at human resources (HR) professionals. Companies like HireVue, Maki, and Test Gorilla are gaining ground in the US and Europe, helping HR managers assess candidates based on the specific skills and qualities their businesses need.
Let's take a look at Skillvue, an Italian business that recently secured $6.3 million in seed funding. Their platform enables HR managers to assess large numbers of candidates based on the qualities and competencies their businesses are looking for—often soft skills like adaptability and resilience, instead of technical knowledge.
Nicolò Mazzocchi, CEO and co-founder of Skillvue, predicted AI adoption in recruitment would accelerate rapidly back in 2023, and it seems he's been proven right. According to Mazzocchi, large enterprises particularly struggle with recruitment and retention. AI can help these businesses streamline the recruitment and talent development process, making it easier for them to identify, hire, and grow the right talent.
To support employee development, Skillvue's tools enable employees to assess their own skills and abilities, providing analysis to guide training and learning opportunities and identify internal candidates for roles.
Skillvue's funding round was led by 360 Capital, with participation from existing investors Italian Founders Fund (IFF) and 14Peaks Capital, alongside co-investment from Orbita Verticale. Since its launch in 2021, the company has raised $9.5 million.
Lorenzo Franzi, a partner at IFF, and Edoardo Ermotti, founder and general partner at 14Peaks Capital, believe the use of AI in recruitment and broader AI is only going to increase, citing the intersection of two key trends: the application of AI to HR processes and the transition to skills-based organizational models.
It's not just Skillvue that sees the potential in AI for recruitment. Fintech giant Revolut has been using an in-house AI tool for several years to support people management for its 10,000 employees. Last month, they announced plans to sell the solution to external customers.
However, Andrei Oprisor, head of people product at Revolut, cautions against over-relying on AI, emphasizing the importance of maintaining the human touch in the hiring process, particularly when it comes to talent development and building positive company culture.
Ultimately, leveraging AI in recruitment can help drive diversity and inclusivity—but it's crucial to be mindful of potential biases, ethical concerns, and maintaining a human touch to ensure the best outcomes.
- The deployment of AI in recruitment could potentially standardize the screening process, minimizing human biases and broadening the labor market.
- Start-ups like HireVue, Maki, and Test Gorilla are using AI solutions to help HR managers assess candidates, focusing on specific skills and qualities needed for businesses.
- Skillvue, an Italian business, is implementing AI to assess large numbers of candidates, focusing on soft skills like adaptability and resilience, which can be particularly beneficial for businesses struggling with recruitment and retention.
- While AI can play a significant role in recruitment, it's important to remain cautious, not over-reliant on it, and to maintain a humantouch in the hiring process, particularly when it comes to talent development and building positive company culture.
