Established vs. Emerging Technology – What’s Right for Your HR Department?
As AI technology continues to evolve, businesses are faced with the critical decision of choosing the right technology vendors for their operations. This decision is often a balancing act between opting for well-established brands and exploring newer brands with cutting-edge AI capabilities. The choice can significantly impact how businesses operate and innovate, making it essential to weigh the pros and cons carefully.
In a recent LinkedIn poll, our community was asked whether they preferred established products or newer brands with AI capabilities. The results were quite telling, with 61% of respondents indicating a preference for established products, while 39% leaned towards newer brands with AI capabilities. This split highlights the ongoing debate and the diverse considerations that businesses must take into account.
We then took it a step further and talked about this topic with HR Leaders during our HR Leaders Tell All LinkedIn Live: Navigating HR in the Age of AI. Below you’ll find insights from three seasoned HR leaders with how they’re currently looking at the issue.
Personal Perspectives from HR Leaders
Lauren Newton, Vice President of People at Sanity, shared her approach, emphasizing the importance of tool functionality and user feedback. “I often tap into my network to get perspective on who’s used the tool before, what they love about it, etc. Somebody… left a comment about acting like a scientist and experimenting… I lean toward tools that will allow us to experiment with them a little bit to really see and understand how they work.”
This experimental mindset is critical in today’s rapidly changing tech landscape. Experimentation allows businesses to adapt and evolve with new technologies, ensuring they stay ahead of the curve. Lauren added, “The benefit of working with a more well-established brand is there are probably more people that have used it that can give you real feedback of having been in the tool. But the benefit of using a newer tool is also that oftentimes those types of companies are more able to really take and hear your feedback that will then maybe help influence their roadmap.”
Amanda Halle, Fractional Director of People at HappyFunCorp, pointed out the benefits of leveraging AI capabilities within well-established products. “The lowest hanging fruit for so many of us is using the AI capabilities that are within the well-established products that we have and are using on a regular basis… But when you look at some of the emerging tools and the startups, there’s a lot of weight to these use case specific tools…”
This dual approach ensures that businesses can benefit from the reliability and support of established tools while also exploring innovative solutions tailored to specific needs. Amanda elaborated on the importance of understanding the use cases for these tools, stating, “They are more honed in on specific use cases that are using equitable practices and are trained on data that is more specific to the problem set that we’re trying to solve for. So I think there’s validity and importance in both, for sure.”
Vendor Transparency and AI Integration
Transparency from vendors about their AI training data, use cases, and roadmap is crucial. As Amanda noted, “This is where you want to get into asking as many questions as you can of the vendors to understand what LLMs (Large Language Model) are they tapped into, how are they training the data… get as curious as possible with the vendor and really get in there and ask the questions.”
Transparency not only builds trust but also ensures that businesses are aware of how AI is being utilized and can make informed decisions about its implementation and data usage. Understanding whether a solution is AI-native or has AI incorporated into an older platform can significantly impact its effectiveness and reliability.
AI-native solutions are designed from the ground up to leverage AI, often resulting in more seamless and effective integration. Conversely, AI incorporated into older platforms might face limitations due to legacy architecture and design constraints. This distinction is vital for businesses aiming to maximize the benefits of AI.
The HR Perspective—Keeping Your Employee Data Secure
In the realm of HR, the integration of AI must balance traditional compliance requirements with progressive community engagement initiatives. “For traditional and compliance, I’m going to want those vendors that have been around for a long time and they’ve got all the security practices in place… But I also feel like on the more progressive people side, we’ve not done a really good job of solving some of these things when it comes to community.,” TrustRadius’ VP of People Jamy Conrad said.
“I do not want breach of my employee data. I don’t want social security numbers and dates of birth just floating out there because we didn’t see and understand everything that AI may be bringing into the technology that we’re talking about using,” Jamy continued. “I’d (also) love to be part of the journey with some of these emerging AI technologies about how we solve for that and what does that look like and how can we lean into our core values? How can we represent our core values through the tech stack that we’re choosing?”
AI can revolutionize HR practices by automating routine tasks, improving decision-making processes, and enhancing employee engagement. However, it’s essential to ensure that these technologies are secure and compliant with data protection regulations. Amanda highlighted the importance of building technologies with end-users in mind: “How did they get more involved in having conversations with the community? I think a lot of these tools and technologies have been built, maybe not with us as the main user, and so that probably creates some of the hesitancy and resistance around HR leaders and technology.”
Selecting the right tech vendors requires a nuanced approach that considers both the stability of established brands and the innovation of emerging ones. By asking critical questions and prioritizing alignment with business objectives and values, businesses can make informed decisions that leverage the best of both worlds.
As we look to the future, there’s no doubt that Gen AI will continue to evolve. It’s somewhat of a Wild Wild West at the moment, and as more people adopt and more issues arise, I imagine there will be more restrictions and guidelines in place, as well as exciting innovations.
Lauren summed it up well: “I think of all things as an experiment, and so I lean toward tools that will allow us to experiment with them a little bit to really see and understand how they work, how they can power our teams, and ultimately what will work best for us in the long run.” This mindset of curiosity and experimentation is key to navigating the HR software landscape. Embracing both established and emerging technologies allows businesses to stay competitive, innovative, and adaptable in an ever-changing environment.
Resources
Amanda’s “Unraveling AI” newsletter is a valuable resource for fostering HR dialogue on AI innovation and ethics, providing insights from leaders across various sectors. This is essential for addressing the ethical implications of AI and ensuring that its development aligns with societal values. To subscribe to her newsletter, click here.
When trying to choose your next HR software, make sure you’re getting real, helpful insights from your peers in similar companies as you. Start making your shortlist on TrustRadius and feel confident in the software purchase decision you make.