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The worries are loud and clear Let’s change the conversation
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I’m worried about data security.
All technology has risks. Let’s scrutinise our options to make sure they meet cybersecurity standards.
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I don’t feel like I know how to use AI effectively.
With a little more training, I’ll be a lot more efficient.
Can AI ever be ethical?
AI is a tool. It’s how you use it that matters.
AI isn’t going to take my job, but someone with AI skills might.
AI will replace me.
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54% of businesses report that their company does not have an official AI strategy
35% of people worry that they don’t have the technical skills to use AI
AI is expected to improve employee productivity by 40%
9 out of 10 organisations support AI for gaining a competitive edge over rivals
One in three employees feel unprepared to adopt AI into their workplace in the next three years
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Source: www.hrmagazine.co.uk/content/news/third-of-employees-feel-unprepared-to-use-ai-at-work
Sources hrmagazine.co.uk/content/news/third-of-employees-feel-unprepared-to-use-ai-at-work nu.edu/blog/ai-statistics-trends sloanreview.mit.edu/projects/winning-with-ai
What do the stats say
Source: www.nu.edu/blog/ai-statistics-trends
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What is AI, really? Automation on its own is just that, automation. A factory production line supplemented with robots is impressive, but it’s not AI. In the broadest possible sense, an AI is a system that can react to unexpected events and stimuli in a way that previously only humans were able to.
They’re powered by algorithms that help them process large amounts of data They learn from experience They can operate with some level of autonomy
Understanding AI
AI might just be one of the most misunderstood technologies out there right now. The technology has developed so rapidly that it can feel like definitions are always shifting and changing.
While more people are using AI systems than ever before, true AI is a theoretical term. It refers to a system that could perform any task at the same intellectual level as a human. No such system exists in the world yet.
Only a third of consumers think they are using AI platforms, while actual usage is 77%
Source nu.edu/blog/ai-statistics-trends
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It’s not just ChatGPT While large language models (LLMs) like Copilot and ChatGPT are taking a lot of attention right now, this is just one area of AI development. There are many forms an AI can take, and just because one system doesn’t suit your needs at the moment doesn’t mean there isn’t another that will.
Self-driving cars Facial recognition systems Chatbots Virtual assistants (like Siri, Alexa or Google Assistant)
How our AI makes work flow
Here are a few AI systems you’ve probably used or at least heard of already.
While the human touch is still absolutely essential, proper use of AI can give you the gift of time. That time can be spent on big picture thinking, strategising, and coming up with ways to evolve the organisation further.
What does this mean for payroll and HR teams? In short? There are a huge range of options to add AI to your workflow that you may never have considered before. AI has the capacity to make huge changes to how we look at recruitment, onboarding, retention and even performance management. Likewise, in payroll, error detection, compliance and payroll calculations can be a huge game changer in terms of prioritisation.
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To overcome this, it’s important to involve employees in conversations about AI implementation. Figure out what problems you actually want to solve for them. Is AI the best tool for the job? If so, how do you see them actually using it? Will it be secure? You don’t need to be able to answer this all straight away, but you need to bring it up to the people who will actually be using the system.
Likewise, upskilling your employees to improve their understanding of how AI works will help them take more ownership, getting the most out of these tools quickly and effectively.
of organisations feel they’re approaching or past the change saturation point.
Challenges
75
of workers felt burnt out by frequent organisational AI changes.
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Source nttdata.com/global/en/insights/focus/2024/between-70-85p-of-genai-deployment-efforts-are-failing
In payroll
In HR
In HR, AIs can be just as prone to bias as a human being and lack the vital human touch needed to engage people. If HR professionals feel they’re expected to sacrifice this aspect of their roles, they’ll resist any technology in this space even if it can help them.
In payroll, because of the sensitivity of data they handle, payroll professionals are especially anxious about adopting AI. If they don’t trust it, they won’t use it. It’s vital to make sure good data governance is applied and that payroll data is never used to train an AI model.
Key challenges of implementing AI One of the most important factors to consider in any digital transformation project is employee buy-in. Without this, they’ll not use the system. AI is no exception to this, and anxieties about AI replacing human workers, there’s extra resistance to overcome.
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AI works at its best when it’s tasked to solve a specific problem. Rather than looking at AI as a workaround for your manual processes, a more productive approach is to see how it can improve your work to be more efficient. Instead of trying to fit a new tool into your old processes, see how those processes can evolve or change. Leave room for experimentation and learning opportunities. Don’t try to replicate a faster version of the old world of work.
Think of a specific problem that you want AI to fix, instead of applying AI to a problem because you think you should
According to MIT, 70-80% of AI implementation projects fail. That’s less of a problem with AI as a technology, and more how the pace of change is causing people to forget sound digital transformation techniques.
What does a successful AI project look like?
Top five ways to make your AI project a success
2. Integrate your AI strategy with the wider business strategy
3. Prioritise growth over cost-cutting
4. Invest in your people just as much as your new system; they’ll need new skills and digital literacy to unlock AI’s potential
5. Clean your data and make sure it can be used effectively
How People First’s AI tools are changing the game for HR and payroll teams.
AI is all around you
Click below to find out more
Combining absence data, sentiment analysis, and other key insights means AIs can provide a full picture of your workforce. But more data isn’t always the answer. Data overload can cripple decision-making, with many leaders spending more time trying to interpret dashboards rather than acting on them. Our Natural Language Summary (NLS) feature translates complex data metrics into plain English summaries, highlighting key insights and suggesting actionable steps - empowering leaders to make informed decisions swiftly.
5. Turn insights into action
Check-ins are an incredible tool in your toolbox, enabling conversations between managers and employees that make for a more productive relationship. But knowing how to kick things off can be tricky, especially if either party isn’t used to open communication. AI-enabled talking points can generate questions based on key areas of concern. By handling a lot of the busywork of someone’s daily tasks, AI can actually make for a stronger employee experience, as employees can focus on the parts of the job they find engaging.
4. Be competitive, retain talent
AIs are amazing at crunching through lots of data and presenting their findings in an accessible way. For example, job listings can often end up flooded with unqualified or unsuitable candidates. A CV parser will analyse each candidate and present you with the best options, ready to be moved further down the pipeline quickly. Likewise, in payroll, manual processing of receipts and invoices is time-consuming and prone to errors, often leading to delays in reimbursements and financial discrepancies. With OCR-powered expense scanning, employees can simply snap a picture of their receipts, allowing the system to extract, verify, and categorise details instantly.
3. Save time, refocus on what matters
Payroll mistakes and expense fraud cost UK businesses significantly each year. For instance, payroll fraud alone accounts for losses of £12 billion annually. ‘Anomaly Detection’ AI can continuously monitor expenses and overtime patterns, flagging outliers and policy breaches before they impact the bottom line-safeguarding your finances and ensuring compliance. On the HR side of things, our AI recommender tool can sift through a range of learning materials to ensure that key compliance training is flagged up for each employee in good time.
2. Stay compliant, stay secure
Chatbots provide a source of information for new hires, without taking time from their future colleagues’ busy schedules. Using natural language, candidates can ask questions and soothe any stresses they may have. This creates a smooth experience that’ll have them raring to go. These same chatbots can be a great help to your payroll team. Create a single source of truth for your entire team, making it a lot easier to engage with work without adding more to the plate of your HR and payroll team.
Connect everything with zero friction
of HR leaders say they don’t have the resources to recruit top talent
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Source forbes.com/advisor/business/hr-statistics-trends
AI in People First
Empathetic innovation: safe, responsible AI adoption that puts people first at all times We’re not going to label something AI and leave you to figure it out. There’s a tech revolution happening, and we’re here to help you find a path that works for you.
Offering unparalleled clarity Our expert team is on hand to guide you through any concerns you have, helping you find your way through the digital revolution without losing sight of your people or critical data protection concerns. Putting people first at all times Our design ethos is human-centred. We make processes more efficient and data-driven, but the focus is on ensuring user-friendliness and enabling people to focus on strategic results, not replacing humans outright. Powering a new world of work Our simple approach helps boost human capability by being clear about how AI is used, giving everyone the chance to develop new skills and focus on more strategic tasks. We also help you identify areas where AI will make a real difference in your organisation and align that with your broader strategy.
In short? We’re shaping the future. Check out our latest demo on AI in People First to see how AI could change your world of work.
We believe that AI should: Accelerate routine tasks Amplify existing knowledge and skills Augment complex tasks
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MHR supports businesses and organisations shaping their futures through these challenging times – increasing workforce adaptability through delivering integrated people management and learning solutions. We help reduce complexity and build business resilience – key to survival and growth. Find out how we can help you position your organisation for the road ahead.
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