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Impact of Artificial Intelligence on Organizational Transformation


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of Amazon in 2015. It found the favorable sum for the male by their new recruitment engine, at the time of new recruitment of the software developer for the AI team. It showed biases against women. As per the professionals, the AI may found difficulties in understanding the cultural barriers as the terminologies differ between cultures to culture. So, training the employees in right direction becomes the most primary care of using AI in recruitment as how to provide the training to the men who trains machines in order to avoid biases.

      3.10.4 Job Losses

      3.10.5 Emotional Turmoil

      The AI like other disruptive change agents on the workplace can create an emotional turmoil, resulting in intensified level of anxiety and fear. As per the Mewald C [13], people tend to fear or do not accept the ill-defined factors or unknown impact creating a negative impact of their jobs. The feeling of being judge by the machines creates a pressure and results in emotional ups and downs in mood based on the uncertainty of the results. As most of the leaders still doubt on the AI as these machines do not have feelings (except automated to display them) and they possess “no moral code” [14].

      Another problem is the risk of machine learning repeating the prejudices; another is that AI may fail to imitate human instinct since machines do not understand how human consciousness works [15].

      3.10.6 Fake Identity

      It is believed that uses of AI can also be done in making the fake identity to impress the organization. Like Nvidia, a computer chip maker, is reportedly invested in high involving AI, creating very realistic fake celebrity photos. Researcher has recently reported that machine can help in creating a new real-time photos based on recognized common patterns. This fake photo may hamper the results of the company while selecting and recruiting process and so on.

      According to McKinsey [16], comments that most of the most of the HR divisions or vertical departments of today’s era have changed into process-driven “machines” that manage people like assets, instead of treating them as exclusive human beings that encompass personalized attention. HR departments run top-down process systems to employees’ large number of resources, manage payroll, prepare annual appraisals, send instantaneous batches of employees to training, etc. It leaves no room for personalization, flexibility, and creativity.

      3.10.7 Having an Audit Trail

      3.10.8 Question on Decisions

      No one can be judged by type of machines that could not understand the emotions rather work on the intelligence, so HR decisions may always be challenged with the base, criteria, or the frontiers on which the decision of recruitment, selection, promotion, and bonus are taken.

      As John Hawksworth [18], PwC’s chief economist, made it specific that “legal and regulatory hurdles, in regard to organizational apathy and legal systems might cause a delay in moving toward AI and Robotics” [18]. According to Minon [4] it might be there that HR leaders may feel the need of the more digital tools to outpace the existing one with lot of more correction [19].

      Indeed, the lust of HR leaders for being on the digital front and to acquire the mastery on the new tools may outperforms their ability of getting the tools [19]. Again, one more hurdle lies in the shortage of the AI-skilled employees and again the shortage of trainers to provide training in this regard.

      AI-enhanced HR is also going to challenge the white collar job like lawyers, teachers, traders, sale and marketing, and doctors.

      The successful implementation becomes more crucial then the adoption. At end of the day, AI is not the answer of the every question neither it is a “Jin of Aladdin”, with “HUKUM mere AKKA”. The HR must find out the best way to use this “magical Lamp”. It is the tool and nothing more, the tool which works based on the data, and to be effective, the data must be effectively handled. Likewise, there is always two side of the coin, and it depends upon the user to use it wistfully so lies with AI in HR. A thoughtful use of the machines in combining the people can result in a solution for the managerial conflict which going on in totally believing a machine for “devolving” people management tasks as an HR function or to took up a strategic challenge by totally believing upon it.

      1. McCarthy, J., What is AI, Personal website (formal.stanford.edu/jmc/index.html) last updated Nov.12, 2007.

      2. Deloitte Human Capital Trends, AI, Robotics, and Cognitive Computing Are Changing Business Faster Than You Thought, 2017.

      3. IBM, Build AI chatbots employees want to talk to, 2019.

      4. Minon, J.-A., HR Tech Talk, Artificial intelligence, On boarding, HR software, HR Technology “Ten ways HR tech leaders can make the most of artificial intelligence, 2017.

      5. Davenport, T. and Ronanki, R., Artificial intelligence for the real world, Harvard Business Review, January-February, 2018.

      6. Buranyi, S., ‘“Dehumanising, impenetrable, frustrating”: the grim reality of job hunting in the age of AI’, The Guardian [Online], 2018.

      7. Reilly, P. and Williams, T., Strategic HR: Building The capability to deliver, Routledge, 2006.

      8. Sony, T.S., The next generation organizations, Beyond Thinking [Online], 2018, Available at: https://medium.com/beyond-thinking/the-next-generation-organizations-60688e8b34e2.

      9. Williams, R., How dying offers us a chance to live the fullest life, New Statesman [Online], 2018.

      10. Wood, J., The death of HR is just part of its resurrection, The Globe and Mail [Online], 2017.