When we talk about AI and machine learning, it is important to consider all the positives

along with the negatives of implementation. Now that you know about all AI and how data is
used in hiring decisions, but also recognize the limitations, we are now going to think about
what that would mean for your business.

In this peer review exercise, you will get the chance to apply these principles in a Business
Memo to your organization’s top executive. You have been asked by a top executive
(CEO, CHRO, etc.) in your organization about whether or not the organization should make a
big investment in AI in order to streamline the organization’s people management processes.
Create a Business Memo addressed to your top executive which states your decision about
the investment in AI in this segment, and justifications for making that decision.

In the memo, you should:

i) Clearly state your decision (yes or no) about investing in AI to manage people.

ii) Use concepts and ideas from the course to provide at least two benefits and two drawbacks
to using AI in people management that directly tie to your organization.

iii) Drawing from the benefits and drawbacks you are provided in part two, you should
clearly identify two reasons as to why your organization should or should not invest in AI for
people management.

Your Business Memo will be reviewed and graded by your peers in this course based on a
grading rubric that aligns with these instructions. To receive a high score, your analysis must
include at least three (3) paragraphs with the following content:

Paragraph 1 (1-3 sentences) – Write a short background describing your organization and
explain how and why AI may be used. For example, if you are using an example from your
current job, you could explain the type of organization, what your organization does well in
managing people, and the challenges your organization currently faces in people
management.

Paragraph 2 (5-7 sentences) - Using the information and concepts provided in the course
lectures,

Identify two benefits and two drawbacks of using AI in your specific organization. You
should aim to demonstrate that you understand the key components of at least one of the
major concepts explored in the course and that you can clearly explain how AI may or may
not benefit your organization.

Paragraph 3 (5-7 sentences) – Provide two distinct reasons as to why your organization
should or should not invest in AI for people management. You should focus your justification
on the core reasons that your proposed solution makes sense, is the best decision for your
organization, and how it will better serve the employee experience. Feel free to also include a
short concluding paragraph summarizing your analysis, but this is not mandatory.
Para1:

While we have excelled in certain aspects of people management, such as fostering a collaborative
work environment and prioritizing employee growth, we face challenges in efficiently handling the
growing volume of HR tasks, ensuring unbiased decision-making, and enhancing the overall
employee experience. Our organization, TCS, takes part in several mass recruitment events across
India. Since we have a huge volume of applicants each year, using AI and machine learning to
streamline the hiring process would lessen the burden on our HR department and would also make
sure to get an unbiased evaluation of the applicants. AI could also be used to predict employee churn
and help us identify employees who have high probability of leaving the organisation. This data
would in turn help us to address the issues at its core and decrease attrition.

Para2:

Benefits of Using AI:

Enhanced Decision-making: AI can analyse vast amounts of data to provide data-driven insights for
better decision-making. This would enable us to make informed choices about talent acquisition,
performance evaluations, and employee development.

Efficiency and Productivity: Large volume of applicants can be assessed quickly and efficiently. HR
need not take the burden of going through the resumes of so many applicants.

Drawbacks:

Data Privacy Concerns: Utilizing AI requires access to employee data, raising concerns about data
privacy and security. We must make sure to tread the line carefully and not use data which would be
deemed inappropriate by our employees.

Bias and Fairness: AI algorithms can inadvertently perpetuate biases present in historical data,
resulting in unfair treatment of certain employee groups. To avoid this, we must make sure that the
training data we are using is as unbiased as possible and to validate the model before using it to
solve issues like hiring and predicting employee churn.

Para3:

Considering the benefits and drawbacks outlined above, I recommend that our organization invest in
AI for people management. The enhanced decision-making capabilities and increased efficiency
offered by AI align well with our goals of promoting employee engagement and driving organizational
growth. We would also be able to lessen our attrition rate and conducting mass recruitment could be
quickly saving us precious resources that could have been used elsewhere. However, to ensure the
success of this investment, we must partner with reputable AI vendors that prioritize data security
and fairness. Additionally, ongoing monitoring and training of the AI systems will be essential to
address any emerging challenges and ensure that our investment continues to yield positive
outcomes.