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6. HR & Adopting new technologies - Challenges!

 


Apart from the benefits of Artificial Intelligence based digital tools, getting used to them and adopting to the technologies, in HR makes challenges, specially when it comes to the people, workflows, ethics and organizational process. These challenges can define as below,

  1. Skill & Technical Gaps
    Due to lack of confidence with digital tools, many of the professionals in HR nearly 68% feel not capable of using them. Without proper exposure and learning, tools in AI remains not effectively used.

  2. Legacy rearchitecting
    While AI is a new technology and there are several existing tools and technologies in the HR industry, it is not easy to connect these technologies together. It is complex, taking time and also expensive. Need collaborations between HR & IT, but it is challenging to do so. 

    (Aiautomationdept.com. 2025)

  3. Data Privacy & transparency
    Process of sensitive data (Employee's personal data) leads to compliance challenges and risks for AI with data privacy laws CCPA (California Consumer Privacy Act) & GDPR (General Data Protection Regulation).  Nearly 68% of workers think that their data might be used in a wrong manner. Apart from that, more than 50% of top level HR professionals distrust the AI in the same way.

    (Linkedin.com. 2025)




    Figure 6.1 : CCPA vs. GDPR Summary
    (Source: https://www.datagrail.io/blog/privacy-trends/ccpa-vs-gdpr/)

  4. Ethical & bias risks
    If an AI system trained with incorrect historical data, the results may maintain biases. Therefore, the data used to train also should be correct and filtered with clean data set while ensuring a better distribution & fairness. And the systems should be managed and audited ethically. In the amazon, they are using an AI tool to shortlist and find best-fits for their organization, but lately they found that the system is bias for male, due to the data-set they used to train the AI system. And that data-set was resumes submitted to organization in past 10-year.

    (Dastin, J. 2018)


    You tube Video
    Amazon scraps AI recruiting tool showing bias against women

  5. Emotional block and resistance
    Workers fear to the AI as a threat and resist to work on it. Due to that some of the workers won't share the data, and some may try to to manipulate the results. This leads to inaccurate results and less effectiveness and trust issues. Therefore, need to address the emotional situations since it is major in adoption of AI.

  6. Leadership and Strategy
    Without a long-vision leadership, it is not easy to adopt with new technologies, including AI. And also meaningful AI implementation is essential in any industry. Many organizations that use the AI, are not well structured to use it. Only 39% (approx.) HR departments use this in a meaningful manner. 

    (HRM Asia. 2025)

  7. Governance shortage
    Governance frameworks are also important in AI usage. Organizations use AI, and as a percentage it is 93%. But 7% to 8% only use AI with governance frameworks. In that, several include audit trials, oversight in a cross-functional manner for AI life-cycle. Rest is no governance or in a limited scope. 

    (Woollacott, E. 2025)

References:

1. Aiautomationdept.com. (2025). 7 barriers to AI adoption in HR departments (and how to overcome them). [online] Available at: https://aiautomationdept.com/post/7-barriers-to-ai-adoption-in-hr-departments.

2. Linkedin.com. (2025). LinkedIn. [online] Available at: https://www.linkedin.com/pulse/ai-human-resources-trends-challenges-solutions-anuj-kathuria-acmvf/.

3. Dastin, J. (2018). Amazon scraps secret AI recruiting tool that showed bias against women. [online] Reuters. Available at: https://www.reuters.com/article/world/insight-amazon-scraps-secret-ai-recruiting-tool-that-showed-bias-against-women-idUSKCN1MK0AG/.

4. HRM Asia. (2025). The AI in HR dilemma: Why tech adoption is stuck in neutral - HRM Asia. [online] Available at: https://hrmasia.com/the-ai-in-hr-dilemma-why-tech-adoption-is-stuck-in-neutral/ 

5. Woollacott, E. (2025). Organizations face ticking timebomb over AI governance. [online] IT Pro. Available at: https://www.itpro.com/technology/artificial-intelligence/organizations-face-ticking-timebomb-over-ai-governance.

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Comments

  1. Dilanka SadeeshwaranathJuly 30, 2025 at 6:42 PM

    How can organizations create change management strategies that not only guarantee the seamless adoption of AI in HR but also foster employee trust and long-term confidence in these technologies, given these obstacles, which range from technical skill gaps and emotional resistance to ethical risks and a lack of governance (Dastin, 2018; Woollacott, 2025)?

    ReplyDelete
    Replies
    1. Himasha AmarathungaAugust 2, 2025 at 11:16 PM

      Thanks Dilanka for valuable words.
      Great question! Successful AI adoption in HR requires a comprehensive change management strategy that combines targeted upskilling, transparent communication about AI’s role, strong ethical guidelines, and ongoing governance frameworks. Involving employees early adn quickly, addressing concerns openly, and demonstrating AI’s value while maintaining human oversight can build trust and ensure lasting confidence.

      Delete
  2. K.LoranceJuly 31, 2025 at 8:47 AM

    This insightful analysis captures the multifaceted challenges HR faces in integrating AI technologies from skill deficiencies and legacy system complexities to critical ethical concerns such as bias and data privacy. Particularly commendable is the emphasis on the human element addressing emotional resistance and the necessity of empathetic leadership. The call for robust governance frameworks highlights a vital, often overlooked dimension for sustainable and ethical AI adoption. This balanced perspective underscores that technological advancement must be matched with strategic vision and responsible stewardship to truly transform HR practices.

    ReplyDelete
    Replies
    1. Himasha AmarathungaAugust 2, 2025 at 11:17 PM

      Thank you for this comprehensive reflection! Strong governance and strategic vision are indeed essential to ensure AI adoption in HR is both effective and responsible.

      Delete
  3. Navoj SelvarajJuly 31, 2025 at 3:05 PM

    The article effectively highlights risks such as bias, resistance, and a lack of governance, but it would be beneficial to include specific examples or case studies to illustrate these pointers, I'm curious how you feel about success stories like Unilever's AI-led hiring, which reportedly saved about 50,000 hours, processed over 250,000 hires, and reduced the hiring time from four months to four weeks. AI appears to have the potential to truly facilitate HR transformation when combined with strategic onboarding and unambiguous ethical standards.

    ReplyDelete
    Replies
    1. Himasha AmarathungaAugust 2, 2025 at 11:18 PM

      I’m glad the message resonated explained to you. It’s through conversations like these that we can shape a more ethical and human based and centered future for AI in HR.

      Delete
  4. Thushani N Sudusinghe - Empowering Working MothersAugust 2, 2025 at 8:39 PM

    This article clearly explains the real challenges HR faces when adopting AI. Appreciate the way it highlights both technical and emotional aspects. A great reminder that successful tech adoption needs not just tools, but also trust, ethics, and leadership.

    ReplyDelete
    Replies
    1. Himasha AmarathungaAugust 2, 2025 at 11:19 PM

      Thank you! Building trust and ethical leadership truly makes all the difference in successful transformation. Appreciate your kind words!

      Delete

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