Human Resources departments are going to radically change their recruitment strategies in the coming years. An emphasis on skills and a trust in data-driven AI tools will define this new era of talent acquisition. These are the major takeaways from Avature’s recent State of the HR Landscape study.

As it stands, just 32% of HR leaders believe their organizations’ recruitment strategies are effective in attracting qualified candidates, according to the study. Most believe emphasizing worker skills, as opposed to previous job titles, will yield better results. Of the HR workers surveyed, 76% reported having adopted or planning to adopt a skills-based approach.

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As HR departments adopt more sophisticated hiring methods, their organizational roles could become more important. Seventy-one percent of surveyed HR teams reported actively working on or leading the process of planning their businesses’ the work forces. Being responsible for figuring who to hire, when, and how, is a key part of shaping business strategy that goes beyond the day-to-day tasks traditionally associated with human resources branches.

The challenge now for many HR departments is trying to figure out what kind of skills their businesses will need moving forward. Fifty-three percent of respondents said the main goal of workforce planning was to make sure the employees’ skills matched the organization’s business plans. However, 52% said the biggest challenge is accurately predicting the type and number of employees needed to carry out the business plans.

What will guide HR decision makers in their evolved roles? Many (63%) believe that leaning more strongly on data will be the main factor cementing the future success of HR efforts. A similar portion of respondents (61%) listed “Streamlining HR processes and workflows with automation and AI” as a top priority over the next few 1-2 years. Likewise, 68% listed “Streamlining HR processes and workflows with automation and AI” as a top challenge over the same time period.

Dimitri Boylan, CEO of Avature, believes AI’s role in HR is both inevitable and pivotal. “AI adoption in HR isn’t a question of if—it’s a question of how and how fast. While 95% of leaders anticipate growth in AI-driven HR solutions, the real challenge is implementing them strategically.” He said. “The companies that succeed will be those that move thoughtfully, balancing innovation with responsible execution.”

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