Artificial intelligence in talent acquisition: exploring organisational and operational dimensions

Purpose With the recent proliferation of AI, organisations are transforming not only their organisational design but also the input and output operational processes of the hiring process. The purpose of this paper is to explore the organisational and operational dimensions resulting from the deployment of AI during talent acquisition process. Design/methodology/approach The authors conducted semi-structured interviews and meetings with human resources (HRs) professionals, recruiters and AI hiring platform providers in Sweden. Using an inductive data analysis rooted in the principles of grounded theory, the study uncovered four aggregate dimensions critical to understanding the role of AI in talent acquisition. Findings With insights from algorithmic management and ambidexterity theory, the study presents a comprehensive theoretical framework that highlights four aggregate dimensions describing AI’s transformative role in talent recruitment. The results provide a cautionary perspective, advising against an excessive emphasis on operational performance driven solely by algorithmic management. Research limitations/implications The study is limited in scope and subject to several constraints. Firstly, the sample size and diversity are restricted, as the findings are based on a limited number of semi-structured interviews and meetings with HRs professionals, recruiters, and AI hiring platform providers. Secondly, the rapid evolution of AI technologies means that the study’s findings may quickly become outdated as new advancements and applications emerge. Practical implications The results provide managers with actionable information that can lead to more precise and strategic management practices, ultimately contributing to improved organizational performance and outcomes. Plus, enhancing their ability to make informed decisions, optimize processes and address challenges effectively. Social implications The results signal both positive and negative impacts on employment opportunities. On the positive side, AI can streamline recruitment processes, making it easier for qualified candidates to be identified and hired quickly. However, AI systems can also perpetuate existing biases present in the data they are trained on, leading to unfair hiring practices where certain groups are systematically disadvantaged. Originality/value By examining the balance between transactional efficiency and relational engagement, the research addresses a crucial trade-off that organizations face when implementing AI in recruitment. The originality lies in its critique of the prevailing emphasis on e-recruiting.