Organizations Remain Focused on AI; Most Innovations Not Yet Living Up to Expectations

“This year’s Hype Cycle reflects limited ‘new’ innovations as the hype around GenAI has meant that organizations aren’t making major investments in other areas,” said Jeff Freyermuth, Director Analyst in the Gartner HR practice. “Most of these innovations haven’t lived up to their overinflated hype. However, they also require behavioral and cultural changes that take time, meaning HR leaders should take a targeted, agile approach when implementing new technology.”

With so much attention on AI, AI in HR is at the Peak of Inflated Expectations. Therefore, HR leaders need to make sure they focus AI investments on automating tasks, transforming experience or providing insights for employees, managers, executives and HR.

“More dynamic skills data transforms how organizations manage their workforce,” said Helen Poitevin, Distinguished Vice President Analyst in the Gartner HR practice. “In times of uncertainty, HR functions that can effectively leverage AI-enabled skills management technology can adapt more quickly and be more competitive in how they acquire and deploy talent.”

Internal Talent Marketplaces (ITMs) are intelligent platforms that match workers to work and to development opportunities without human resources involvement. They are at the Peak of Inflated Expectations. One of the obstacles is the lack of cultural readiness for more dynamic and adaptive organizational models and project- or gig-based work.

“ITMs provide valuable insight into skills present in the organization and provide workers with equitable insight into available growth opportunities. They are key to enabling adaptability, resilience and experiential learning,” said Emi Chiba, Senior Principal Analyst in the Gartner HR practice. “HR leaders should look to pilot ITMs within business units that use adaptive or agile organization models, or work with progressive talent management leaders ready to deliver agile skills development.”

HRVAs can significantly reduce the time it takes to get support, information and complete HR tasks; enhancing HR process efficiency not only increases the value of HR interactions, it also creates a better employee experience. HRVAs currently lag behind the overall market in supporting advanced use cases. The benchmark set by consumer applications or publicly available chatbots is difficult to match in the near term. In order to drive greater employee adoption rates of multiple HRVAs, HR leaders should consider creating a unified user interface.