Sourcing with AI: HR tech companies in the space

And now, the convergence of my two areas of interest: recruiting and AI. The companies in this space, many of which are startups, are finding novel ways to apply AI to the recruiting process. I’ll break these out into a few categories, reflecting the stages of recruiting: sourcing, assessment and candidate experience. Today I’m highlighting sourcing.

Sourcing is a natural fit for AI because it’s an expensive activity for recruiting organizations and there is so much data available on potential candidates.

In traditional talent sourcing, a recruiter (or sourcer) looks far and wide across a population to find relevant talent for an available job. Once a qualified person has been identified, the recruiter then attempts to engage this person to see if they will consider the job. There are a few obstacles here: first, the pool of potential talent may be very large and difficult to comb through; second, it may be difficult to identify best-fit candidates, and third, it may be difficult to engage or find people willing to engage.

AI is a great fit for AI because it’s a data-rich activity. Across the web, there’s social media profiles, participation on forums, articles and white papers. Content that could flag someone as a relevant fit for a job is nearly limitless. And within companies, there is plentiful data as well. Data on existing employees can suggest what skills work well for roles, and efficient mining of previous job candidates can lead to a future hire for a different job.

Here are a few companies applying AI to sourcing activities:

  • LinkedIn: A leader in recruiting technology. LinkedIn Recruiter is a popular tool for recruiting organizations and AI is at the heart of the recommendations to recruiters when they are searching for new talent pools
  • Entelo: A startup that applies predictive analytics to identify those most receptive to a job opportunity
  • Restless Bandit: Analyzes resumes within a company applicant tracking system to match top candidates to open roles

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Impact of AI on jobs today

Last week I shared a 2013 article from Mother Jones about the fears of job automation. This week I want to share an article from LinkedIn about how this is now our reality.

This September 2018 post leans on LinkedIn data and the World Economic Forum Future of Jobs report to show some trends of the entrance of AI across industries.

An interesting highlight from the article is a comparison of the occupations with the highest and lowest growth over the past five years.

Image via LinkedIn

Among the highest growing jobs are Human Resources Specialist and Recruiter, which this article suggests are inherently difficult to automate and therefore less likely to see the impacts of AI.

These roles require an understanding of human behaviors and preferences—a skill set which fundamentally can’t be automated.

Igor Perisic, “How artificial intelligence is already impacting today’s jobs,” LinkedIn

I would agree that the top jobs on this list do require an understanding of human behavior that may insulate them in some ways. However, the growth of these jobs also increases the pressure to ensure they are as efficient as possible, and that is the benefit of applying AI in these fields.

Welcome to AI February!

Having touched companies’ recruiting processes in some capacity the entirety of my career, I’ve been fascinated with the ways recruiting has evolved in that time. As a snapshot of this change, ten years ago as a new recruiter, I sometimes called an advertising agency to help post retail openings in the local newspaper. Today in recruiting operations, we use Google Analytics and tracking pixels to see performance of online postings, and programmatic advertising can automate some placement decisions.

One of the most exciting advancements in the field is artificial intelligence. Already there are HR tech startups touting their use of AI to enhance and improve the recruiting experience. The tagline is generally something about removing human bias and increasing efficiency – great arguments to move towards technology!

As a data analyst and a former recruiter, I am both excited and skeptical. Can these tools do what they promise? Do they truly apply AI or is this advanced statistics dressed up? And finally – aren’t people a critical component of the hiring practice?

To dive into some of these questions and familiarize myself with the state of AI, I’ve decided to commit my February to learning more about it. Every day throughout February, I will learn something about artificial intelligence and share it here. I’m focused on the following areas:

  • Defining artificial intelligence. What counts as artificial intelligence? What is the difference between AI and machine learning or are they interchangeable?
  • What’s the state of artificial intelligence in recruiting? Who is already doing this and how successful is it?
  • What are the promises and pitfalls of AI?

I realize that these three areas are rich enough that I could probably devote a month (or more!) to each. My intention here is to more broadly explore, though, so I’ll touch on all of these in one short month.

I’m looking forward to this month of learning and hope you follow along! Feel free to share any interesting tidbits, resources or your own interest with me here or via email or Twitter. Here’s to learning!