India, 25th June 2024: 100% of businesses expressed a strong inclination towards including AI-driven tools into their recruitment processes, a recruitment survey from Talent500 revealed. A proprietary talent platform of ANSR, India’s leading GCC-enabler, Talent500 conducted this survey across top partnering GCCs to shed light on current state of AI adoption and its impact on efficiency, accuracy, and talent acquisition

The biggest use case of AI in HRTech is sourcing of candidates, with a staggering 87.9% of participants confirming the same. However, the survey also highlights a growing need for more innovative solutions. The need for innovation is driven by challenges such as limited candidate pools (72.7%) and fierce competition for top talent (69.7%).

With the increased reliability on AI, businesses have felt the need to bridge AI Skills Gap. Although 54.5% of recruiters feel prepared for AI adoption, 56.3% cited a lack of knowledge or training as a critical barrier. This underscores the need for educational initiatives to bridge the skills gap and facilitate smoother AI integration.

Recruiters already using AI report significant improvements, including faster candidate screening (75%), enhanced candidate-job matching (59%), and reduced hiring bias (40%). These findings demonstrate the tangible benefits that AI can bring to the recruitment process.

There is a strong confidence in AI’s effectiveness for initial candidate evaluations. 69.7% of respondents believe AI is effective in both resume screening and skills assessment.

A resounding 100% of respondents expressed optimism about integrating AI, with 75% indicating a very high likelihood of adoption. This unwavering positivity highlights a strong belief that AI technology can significantly improve hiring outcomes.

Beyond Recruitment: AI Enhances Candidate Experience

The survey also revealed an emerging trend of companies leveraging AI tools to enhance the candidate experience and brand engagement. This includes features aimed at improving predictability of candidate acceptance, reducing manual effort, taking the right actions at the right time, streamlining processes with feedback integration, increasing transparency and belongingness for candidates, and improving brand resonance with timely communication.

Mr. Vikram Ahuja, Co-Founder ANSR, CEO Talent500 commented, “Traditional recruiting has relied on manual processes and human-led interventions to build the best teams. For e.g. even today, recruiters spend 45%- 55% of their time on manually screening profiles. AI is rapidly redefining the recruitment landscape, transforming the role of a recruiter from a gatekeeper to a strategic talent scout.

It’s enhancing channel selection, reducing costs-of-sourcing by 30%-35% by improving candidate shortlisting accuracy by 80%. New technologies are being used for real-time assistance with screening questions and grading answers, boosting recruiter productivity by 2x. The intelligence also assists in predictive analytics on candidate engagement and identifying at-risk candidates. This has led to over 45% reduction in candidate “ghosting” or drop-offs”