It's amazing how the recruiting world is still operating in legacy mode while the rest of the world is in full swing using A.I, voice and blockchains to create better services.
In recruiting we are basically still using a very old format to convey trust in skills that was conceived in 1482 by Leonardo da Vinci: the CV.
Hiring managers are often using gut feeling and subjective criteria to make hiring decisions. This often leads to bad outcomes, especially when the CEO decides to rush hiring decisions for the short-term gain of scaling quickly and meeting today's customer demand.
"I have mis-hired 50% of my 200 new hires from last year" CEO of a German Mittelstand firm
But nowadays we are seeing signs that the recruiting world is rapidly changing and using technology embedded in the hiring process. There are the 3 underlying trends that enable that and foster using A.I in recruiting:
- Rising gig economy
Already 34% of the US workforce is on temporary contracts and freelancing. This equates to about 100M professionals in Europe and the US alone who are looking for short-term projects that can be located anywhere in the world. This means many more people are looking for shorter projects and companies looking for short-term solutions for projects, hence increasing not only volume but also the required speed to hire such freelancers.
2. Growth of online signals on skills
We also see a growing rise of professionals signals on the web for each one of us. Each digital footprint is growing every year with people's online ratings, blogs, certificates and other signals about their skills and projects that can be found on the web. Already 52% of recruiters check manually the digital footprints of candidates, but that takes too long and isn't standardized and comparable (yet).
3. Trusted systems
We have come a long way since 1995 about trusting transactions with total strangers over the Internet. This has led to increased trust not only in online-transactions with people but it has spilled over in trust in systems themselves. We let Google tell us the right answer to our searches, we (will) allow cars to drive us without a steering wheel, you converse with Siri on your commute to work and allow Netflix to tell us what movies to watch.
In a few years, we will allow A.I. to analyse our own skills (and gaps) and recommend what MOOC courses to take and which jobs will help our career path best. A.I will match us correctly to the right project and gigs and also takes into account the culture of the companies that is hiring. Creating the perfect match in a micro-second.
Allowing machines to analyze your skills is not scary, its actually empowering the skill workers who aren't relying on social connections to get a job.