Strada Report Highlights AI Surge in HR Operations

A recent report from Strada and ISG reveals a substantial increase in the adoption of AI and machine learning within HR operations, driven by Human Capital Management (HCM) transformation. According to the report, organizations that have implemented HCM platforms have experienced a 500% increase in AI and machine learning usage and a 44% rise in data-driven decision-making announced in a press release.

The study, which surveyed 190 global companies, primarily those using Workday HCM, indicates that 91% of these organizations report successful outcomes from their HCM transformations. Key improvements include a 66% rise in system integration, a 55% increase in process automation, and a 49% reduction in the complexity of HR processes.

Despite these advancements, the report notes that AI usage remains inconsistent, with 68% of companies using AI and machine learning only 'rarely' or 'sometimes'. This inconsistency is attributed to challenges such as data security concerns and the need for deeper internal expertise. Encouragingly, 90% of organizations have already taken steps to enhance digital skills, particularly in AI and machine learning.