Latest / ELECTE's Podcast: AI Frontiers / AI in HR isn't just for Unilever. It's for SMEs too

Transcript

AI in HR isn't just for Unilever. It's for SMEs too · ELECTE's Podcast: AI Frontiers

• 0:00
  SPEAKER_00: Every week when talking to companies in Europe, I hear the same phrase.
• 0:04
  SPEAKER_00: AI and HR is for big companies.
• 0:07
  SPEAKER_00: We're not Unilever.
• 0:09
  SPEAKER_00: This is an expensive myth.
• 0:11
  SPEAKER_00: The reality is that the same patterns that save enterprises millions today can be replicated by an SME for a hundred to five hundred dollars a month using freemium tools, a little automation, and the data it already has.
• 0:25
  SPEAKER_00: Enterprise versus SME.
• 0:28
  SPEAKER_00: The gap is much smaller than it seems.
• 0:30
  SPEAKER_00: Unilever process 25,000 applications year with AI and saves 1 million.
• 0:36
  SPEAKER_00: A 50-person startup implements an automated mini workflow in-house and saves 10-15 hours a week by investing$100-200 month.
• 0:45
  SPEAKER_00: You don't need enterprise technology, you need logic.
• 0:49
  SPEAKER_00: Automate, standardize, predict.
• 0:52
  SPEAKER_00: These are the costs of software licenses for DIY implementation.
• 0:56
  SPEAKER_00: Setup requires 20, 100 hours of one-off internal work, depending on complexity.
• 1:02
  SPEAKER_00: The data confirms that MasterCard generated 15 million with its AI talent marketplace, but even an SME can achieve a 75% reduction in screening time with Zapier automations from 20 month.
• 1:15
  SPEAKER_00: Open source models, random forest, XG Boost, achieve 85-95% accuracy in predicting turnover using only HRIS data.
• 1:25
  SPEAKER_00: Entry cost, plummeted AI in HR today starts at 0-0.
• 1:29
  SPEAKER_00: CV parsing free predictive models open source automations, Zapier make from 20 month ATS freemium.
• 1:36
  SPEAKER_00: With 20-40 hours of internal setup, an SME can build a system that eliminates 15-20 hours week of manual work, identifies at-risk employees before they leave, accelerates time to hire by 40-60%.
• 1:50
  SPEAKER_00: Real case manufacturing SME in Lombardy, 120 employees.
• 1:56
  SPEAKER_00: A DIY predictive model identified three high-risk employees who were not on HR's radar.
• 2:02
  SPEAKER_00: By taking action on two of them, the company avoided 90K in turnover costs.
• 2:06
  SPEAKER_00: Total investment in year one, 5,000.
• 2:10
  SPEAKER_00: ROI, 1700%.
• 2:12
  SPEAKER_00: Concrete setup, three weeks.
• 2:15
  SPEAKER_00: HRIS historical export, three years.
• 2:18
  SPEAKER_00: Overtime, salary, last promotion, satisfaction survey, exit data, random force model training on 180 past exits.
• 2:26
  SPEAKER_00: 300 active employees.
• 2:28
  SPEAKER_00: Most predictive variables that emerged.
• 2:30
  SPEAKER_00: Overtime 12 hours week.
• 2:32
  SPEAKER_00: Promotion stagnation three years.
• 2:34
  SPEAKER_00: Satisfaction score 60x 10 result.
• 2:37
  SPEAKER_00: The model flagged three employees with an 85% plus probability of exit within six months.
• 2:42
  SPEAKER_00: Two of them had not shown any obvious signs of risk.
• 2:45
  SPEAKER_00: Stable for eight plus years, no signs of discontent.
• 2:49
  SPEAKER_00: Manual post flag analysis.
• 2:51
  SPEAKER_00: Employee A.
• 2:53
  SPEAKER_00: Constant overtime, 15 hours week, plus no promotion for four years external offer received.
• 2:59
  SPEAKER_00: Employee B, salary 18% below market rate, plus satisfaction 510, actively exploring LinkedIn.
• 3:07
  SPEAKER_00: Employee C had already decided to change jobs to pursue a new career path decision confirmed and exit interview intervention.
• 3:15
  SPEAKER_00: 12% pay rise A and B plus written career plan plus reduction in overtime.
• 3:21
  SPEAKER_00: A and B were retained.
• 3:23
  SPEAKER_00: C could not be retained.
• 3:25
  SPEAKER_00: The question isn't, can we afford it?
• 3:28
  SPEAKER_00: The question is, do you have 20, 40 hours to implement it?
• 3:32
  SPEAKER_00: If so, the return is virtually guaranteed at any scale.
• 3:36
  SPEAKER_00: How SMEs can replicate enterprise AI without an enterprise budget?
• 3:42
  SPEAKER_00: The Unilever workflow broken down.
• 3:45
  SPEAKER_00: What really happens at each step Unilever's AI recruiting process for the future leaders program is the industry gold standard.
• 3:53
  SPEAKER_00: Launched in 2016, it has reduced time to hire from four to six months to four weeks, processing one eight million applications annually for 3,000 positions.
• 4:05
  SPEAKER_00: Step one, application via LinkedIn 10 to 15 minutes.
• 4:09
  SPEAKER_00: Candidates link directly to their LinkedIn profile without a traditional CV.
• 4:14
  SPEAKER_00: This choice has expanded the talent pool from 840 to 2600 universities represented.
• 4:20
  SPEAKER_00: Step two, Pymetrics Games, 20 to 30 minutes.
• 4:24
  SPEAKER_00: Twelve neuroscientific games measure 91 cognitive and emotional traits, attention, decision making, risk tolerance, emotion recognition, resilience.
• 4:34
  SPEAKER_00: The system compares the profile with the benchmark of top performers.
• 4:39
  SPEAKER_00: 98% of candidates complete this phase versus 50% traditionally.
• 4:45
  SPEAKER_00: Step 3, higher view video interview, 30 minutes, asynchronous video.
• 4:51
  SPEAKER_00: From 2021, facial analysis will be eliminated, low predictive power, zero, 25%, 4%, and bias.
• 4:59
  SPEAKER_00: AI analyses, only semantic content and speech patterns, filters up to 80%.
• 5:04
  SPEAKER_00: Step 4, Discovery Center Day 3500 finalists out of 25,000 applications, 800 annual hires.
• 5:12
  SPEAKER_00: Documented results, 75% recruiter time, 1M saved hops year, plus 16% workforce diversity, gender parity achieved, offer acceptance from 64% to 82% too.
• 5:25
  SPEAKER_00: The technology behind internal talent marketplaces, the internal talent marketplace is the most advanced form of AI for internal mobility.
• 5:33
  SPEAKER_00: Gloat collects skills from self-reports, job history, and market signals with dynamic ontology.
• 5:39
  SPEAKER_00: MasterCard unlocked, case study results,$21 million in savings, 9,000 hours unlocked, 62% adoption, plus 180% satisfaction, plus 130% retention.
• 5:51
  SPEAKER_00: Schneider Electric Open Talent Market Case Study 60% adoption in two months, 36,000 hours unlocked, 15 million plus savings, NPS 60.
• 6:03
  SPEAKER_00: 3.
• 6:04
  SPEAKER_00: The variables that truly predict turnover.
• 6:06
  SPEAKER_00: The IBM Watson model uses 35 variables.
• 6:10
  SPEAKER_00: The most predictive overtime job satisfaction years since last promotion, monthly income job involvement, typical accuracy, random forest, 84 to 87%, XG boost, cat boost, 85 to 95% logistic regression, 75 to 80%.
• 6:28
  SPEAKER_00: This code works in Google Colab for free.
• 6:30
  SPEAKER_00: Typical output, monthly income, overtime, age, total working years, years at company as top predictors.
• 6:36
  SPEAKER_00: The economics of tools from 00 to$500 month, DIY.
• 6:41
  SPEAKER_00: The AI tool landscape in HR has become democratized.
• 6:45
  SPEAKER_00: The entry level investment has plummeted from$5000 plus to 0 to$500 month for those implementing internally.
• 6:52
  SPEAKER_00: These are the costs of software tools to be configured, not turnkey services, freemium stack, zero zero month, self-setup, ATS, breezy HR, free tier one active position, video interview, my interview, free basic, assessment, test gorilla, extended free trial, CV parsing, pyre sparser, open source, predictive model, Python Plus, Psychic Learn, open source, analytics, Google Sheets, plus template stack for SMEs with 10 to 50 employees,$100 to$300 month, internal implementation, a LinkedIn recruiter, Lite, 170 month, Zapier Make 20 month, requires workflow configuration, Pyre Sparser, Free Python model free requires basic Python skills, Stack SME 50 to 200 employees, 500 to 1500 a month, internal team, full ATS, 200 to 400 month configuration plus maintenance, assessment platform$150 to$300 month analytics dashboard, 100 to 200 month advanced automations, 50 to 100 month critical clarification.
• 8:00
  SPEAKER_00: These budgets are software license costs and do not include implementation time.
• 8:04
  SPEAKER_00: Basic skills are required, configuring Zapier, running Python scripts, reading API documentation.
• 8:10
  SPEAKER_00: For companies with 10 to 50 employees, 20 to 40 hours of work for initial setup.
• 8:15
  SPEAKER_00: For 50 to 200 employees, 60 to 100 hours spread over four to eight weeks.
• 8:21
  SPEAKER_00: The advantage, once implemented, maintenance is minimal, two to five hours a month, and the ROI is permanent.
• 8:28
  SPEAKER_00: Quick win one.
• 8:31
  SPEAKER_00: Automatic CV screening in one day.
• 8:34
  SPEAKER_00: Automatic CV parsing can be implemented in six to eight hours by combining no code tools, Zapier, with a minimal Python script.
• 8:42
  SPEAKER_00: Option A, Zapier only, no coding two to three hours.
• 8:47
  SPEAKER_00: Complete pipeline without writing code, swag, trigger, new email with attachment received at HRLECT.
• 8:54
  SPEAKER_00: Net2 Action.
• 9:02
  SPEAKER_00: Action creates a row in Google Sheet with extracted data for Action Slack notification to recruiter.
• 9:09
  SPEAKER_00: New CV received, name for skills, five.
• 9:12
  SPEAKER_00: Action.
• 9:13
  SPEAKER_00: Add candidate to email sequence.
• 9:15
  SPEAKER_00: E.
• 9:16
  SPEAKER_00: G.
• 9:17
  SPEAKER_00: Thank you.
• 9:18
  SPEAKER_00: We will contact you.
• 9:19
  SPEAKER_00: Cost Zapier Professional.
• 9:21
  SPEAKER_00: Twenty month setup time.
• 9:23
  SPEAKER_00: Two to three hours clicking configure skills required.
• 9:26
  SPEAKER_00: Zero coding.
• 9:27
  SPEAKER_00: Just familiarity with web interfaces option.
• 9:30
  SPEAKER_00: B Zapier Plus Code by Zapier Python JS inline four to five hours.
• 9:34
  SPEAKER_00: If Zapier parser is not enough, add custom logic directly in Zapier.
• 9:39
  SPEAKER_00: Trigger New Email with attachment to action.
• 9:43
  SPEAKER_00: Code by Zapier Python.
• 9:45
  SPEAKER_00: Advanced inline parsing.
• 9:47
  SPEAKER_00: Action.
• 9:48
  SPEAKER_00: Create Google Sheet Row 4.
• 9:50
  SPEAKER_00: Action.
• 9:51
  SPEAKER_00: Slack notification 5.
• 9:53
  SPEAKER_00: Action.
• 9:54
  SPEAKER_00: Email sequence cost.
• 9:55
  SPEAKER_00: Zapier Professional 20 month includes code.
• 9:59
  SPEAKER_00: Setup time 4 to 5 hours.
• 10:01
  SPEAKER_00: Development plus custom logic testing.
• 10:04
  SPEAKER_00: Skills required.
• 10:12
  SPEAKER_00: For very complex CVs or high volumes, 500 plus CVs, GS month.json, and proceeds with sheet slack email.
• 10:25
  SPEAKER_00: Cost Zapier 20 month plus digital ocean.
• 10:35
  SPEAKER_00: Skills required, Python plus deployment, or external developer typical savings, 15 plus hours week for those processing 200 plus CVs.
• 10:43
  SPEAKER_00: The 10-week playbook, DIY prerequisite, access to internal technical resources, developers data analysts, or a budget of 2000 to 3,000 for freelancers to support setup.
• 10:55
  SPEAKER_00: Week one, automatic CV parsing with PyreSparser Plot Zapier Pipeline.
• 11:00
  SPEAKER_00: First measurable saving, 10 to 15 hours.
• 11:04
  SPEAKER_00: Week two, HR data audit, export to sheets air table, setup of key metrics dashboard, time to hire, cost per hire, headcount.
• 11:13
  SPEAKER_00: Week three, turnover prediction model, based on historical data set, training with available variables, validation with HR manager.
• 11:22
  SPEAKER_00: Week four, Zapier automations for repetitive workflows, interview scheduling, onboarding checklist, leave requests, final ROI calculation, weeks five to ten, iteration and scaling, add complexity only where ROI is verified.
• 11:40
  SPEAKER_00: The Google Sheet templates, Python scripts, and Zapier automations described here are already operational.
• 11:46
  SPEAKER_00: Adapt them to your situation.
• 11:48
  SPEAKER_00: Conclusion The common misconception is that you need enterprise budgets or expensive consultants.
• 11:54
  SPEAKER_00: The logic, automating screening, standardizing assessments, predicting risks can be replicated with accessible open source and SAS tools.
• 12:04
  SPEAKER_00: The value lies not in expensive tools but in the method.
• 12:07
  SPEAKER_00: The ROI easily exceeds 600% in the first year.
• 12:11
  SPEAKER_00: Fabio Lauria, Chief Executive Officer and Founder, Elect SRLPS.
• 12:16
  SPEAKER_00: The Python code and Zapier examples in this article are already functional.
• 12:21
  SPEAKER_00: Copy, adapt to your situation, and implement.
• 12:24
  SPEAKER_00: No additional templates are required.
• 12:27
  SPEAKER_00: You already have everything you need to get started.
• 12:29
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