Algorithmic hiring is the process of using AI, machine learning and other data-driven algorithms to automate and improve recruiting and hiring process. This is the most frequently used method by most of the organizations which includes resume parsing, screening candidates and even conducting initial interviews using AI tools and other data-driven techniques.
Being a fully automated process, it quickens the recruiting process hence enhancing the efficiency to filter the best candidates whose skills and qualifications matches with the job requirement. Besides, it surges the accuracy of proficient candidates while shortlisting resumes by eliminating candidates with weaker CVs.
It improvises coding tests, personality assessments, and cognitive ability tests etc to evaluate responses and determine the best candidate for the job role. The AI-powered interview tools analyze tone, body language, and verbal responses. Also, some platforms use chatbots for initial screening questions. It does not limit to this as it edges the background check of individuals using algorithms verify education, work history, and even scan public profiles for insights.
The word has its origin by the combination of two words, that is algorithm and hiring. The word “Algorithm” derived from the name of the Persian mathematician Al-Khwarizmi (c. 9th century), whose work laid the foundation for modern algorithms. An algorithm is a step-by-step process or set of rules to solve a problem. And “Hiring” refers to the process of recruiting right people at the right job role to facilitate smooth functioning of the business.
The benefits of algorithmic hiring include, saving time, quickening the recruitment process, enhancing the efficiency of the process by reducing biases, identifying the best-fit applicants based on past hiring success, and surging diversity and inclusion by implementing fair practice of recruitment for all the candidates irrespective of their cultural, economic, gender and religion differences.
In the recent past, many of the top business conglomerates in the markets have relied on algorithmic hiring for their recruitment process and it is anticipated to take up soon by majority of the businesses in the coming future.
