Generative AI (Gen AI) is transforming the Human Resources (HR) landscape in the Middle East, shifting its role from a routine support function to a dynamic strategic business partner and a value creator.
HR is no longer just about managing processes; it now leads the charge in crafting a future-ready workplace and workforce. This transformation elevates HR from a compliance enforcer to a powerful, data-driven, tech-enabled function.
A clear sign of this shift is evident in recent changes at Moderna, the American pharmaceutical and biotechnology company that gained attention with the timely launch of its COVID-19 vaccine. They have redefined HR by integrating its IT and HR units under a single Chief People and Digital Technology Officer. This move brought AI from the periphery into the core of HR operations. The company now uses over 3,000 custom GPT agents to assist employees with benefits, equity compensation, job levelling, and HR queries. This approach challenges traditional organisational design and signals a new direction for HR.
Another example to cite is that of Fabio Sattolo, who holds the position of Chief People and Technology Officer at Covisian, an international group with over 27,000 people that offers advanced customer management services and cutting-edge technologies to over 250 customers worldwide.
The Transformative Power of Tech-Centric and Data-Driven HR
Moderna and Covisian might be exceptions today, but they highlight a broader trend: HR can no longer function without technology. AI now plays a crucial role in helping HR make talent decisions that lead to better business results. AI is no longer merely a tool for efficiency; it has become essential for credible decision-making. Companies using AI in HR see notable gains in recruitment speed, employee retention, and workforce alignment.
As businesses increasingly rely on AI to gain agility and insights, HR must assume a more strategic decision-making role. This includes leveraging AI for multiple HR service delivery aspects, including for workforce planning, talent acquisition, employee engagement, performance management, learning & development, among other HR Service delivery aspects.
How GenAI Is Reshaping HR
Across the candidate and employee lifecycle, Generative AI is transforming how HR operates, bringing new speed, personalization, and intelligence to every stage:
- Strategic Workforce Planning: AI can simulate business demand and workforce supply across different scenarios, helping HR teams in scenario planning to build future-ready talent pipelines. It enables leaders to identify which roles may decline, which are expected to grow, and which skills need to be developed to prevent future business and tech disruptions.
- Talent Acquisition: AI tools are being used to analyse resumes and even interview candidates at scale, enabling recruiters to hire candidates more objectively and efficiently. These tools have been able to reduce bias and improve the quality of hiring decisions significantly, as algorithms match and rank applicants based on both past and predicted performance. In terms of efficiency, too, there is a manifold jump¾while a human recruiter can engage with about 30 to 40 candidates in a day, an AI recruiter can effectively communicate with thousands of candidates in just a minute in a language of the candidate’s choice, adapting to even their dialects and drastically reducing the time to hire.
- Learning and Development: The learning teams are utilising GenAI to create learning journeys and content that are customised for specific job roles for every industry segment. The learning materials can be automatically generated and personalised to the learner’s preferences and can be updated in real time to meet the ever-changing business requirements.
- Performance Management: AI equips managers with the insights needed to engage effectively with their team members and nudge them to provide qualitative feedback on employee performance. On the other hand, it helps employees identify skill gaps and offers personalized guidance, ensuring they have the support necessary to meet their goals. This tailored approach fosters a culture of continuous improvement and collaboration within the workplace.
- Compensation & Benefits: AI models are being used to recommend and personalise total rewards structures that balance internal pay equity and external market trends. These tools help ensure transparency in salary decisions while reducing the time HR teams spend on benchmarking, benefits design and delivery too.
- Administrative & Compliance: Routine HR operations, such as answering policy questions and managing compliance documentation, are being streamlined with AI-powered chatbots and systems. These solutions support faster response times while maintaining accuracy and adherence to process nuances.
Amid global hiring freezes and HR budget constraints, AI is providing HR teams with a crucial boost at a time when they need to achieve “more with less”.
A Call to Action
By freeing up bandwidth by taking away operational and repetitive manual tasks, AI is allowing HR professionals to concentrate on higher-value strategic priorities.
A key focus for HR is the urgent need to accelerate jobs redesign, since roles developed for the past no longer meet today’s technology-driven and fast-changing demands. HR must reconsider jobs based on evolving skills and employee goals to ensure that the organisation is prepared for the future.
Organisations that neglect to invest in agile HR practices may find themselves at a significant disadvantage in today’s fast-paced business environment. Ultimately, embracing data-driven and tech-centric thinking in HR is essential not only for enhancing operational efficiency but also for future-proofing the organisation.
The future of HR isn’t on the horizon. It has already begun
About Sriram Iyer
Based in Dubai, Sriram Iyer serves as the Managing Director & Business Head of TeamLease Digital Global. By uniquely combining his deep understanding of HR with a profound knowledge of Business, Information Technology and AI, he collaborates with enterprises across Asia and the Middle East to seamlessly embed Artificial Intelligence (AI) into their processes. Sriram assists HR teams in enabling the workforce to cultivate a digital mindset, acquire relevant skills, and redesign processes, empowering organisations to harness AI effectively.
Sriram is also an Adjunct Faculty at National University of Singapore (Singapore), Korn Ferry Academy (Singapore), XLRI (India) and SP Jain School of Global Management (Dubai),
In recognition of his passionate advocacy for a tech-centric and data-driven HR, Sriram Iyer has been featured in The Economic Times’ ETHRWorld Southeast Asia’s “The HR Influencers List” for two consecutive years (2023 and 2024).
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