The global generative artificial intelligence (AI) market in human resources is on a trajectory of exceptional growth. By 2028, the market is projected to hit $1.23 billion, expanding at a compound annual growth rate (CAGR) of 18%.
Key Growth Drivers
Several factors fuel this rapid growth:
- Automation Demand: Businesses increasingly rely on AI to streamline recruitment, onboarding, and performance reviews.
- Advanced Analytics: Predictive AI tools revolutionize decision-making in workforce management.
- Personalized Employee Experiences: Generative AI personalizes strategies for employee engagement and development.
The rise of hybrid and remote work models, alongside the need for real-time feedback mechanisms, further accelerates the adoption of AI in HR.
Industry Leaders Driving Innovation
Big names like IBM, Oracle, SAP, and Workday are spearheading the generative AI revolution. Companies like Beamery have already launched transformative tools like TalentGPT, setting new benchmarks in personalized HR solutions.
Emerging players such as Phenom People and Eightfold AI are engraving niches with advanced AI applications.
Regional and Technological Insights
North America leads the market, holding the largest share in 2023. However, Asia-Pacific is rapidly catching up, promising the fastest growth rates in the coming years. The market segments span advanced technologies like machine learning, NLP, and RPA, deployed across cloud and on-premise infrastructures.
Generative AI is reshaping how HR operates and how organizations envision employee management. With trends like AI-powered recruitment and diversity-focused algorithms, the HR industry is to achieve unprecedented efficiency and inclusivity.
Let us know your thoughts! How do you see generative AI shaping the future of HR? Connect with us or explore more insights at YourTechHR.
