Workday Transforms How Companies Hire and Manage Talent with New AI-Powered HR Solutions

Rhea-AI Summary

Workday (NASDAQ: WDAY) has announced significant AI enhancements to transform talent management. HiredScore AI for Recruiting and Talent Mobility are now available through Workday, offering AI-powered talent orchestration to improve productivity and hiring processes. Customers like AdventHealth and Southwest Airlines have reported substantial benefits, including faster hiring and increased internal applications.

Additionally, Workday introduced new AI capabilities in Workday Job Architecture, featuring an Intelligent Job Architecture Hub, market-trending skills suggestions, and generative AI for job profile creation. These innovations aim to help organizations build future-ready workforces, streamline job management, and accelerate skills-based talent strategies.

The new solutions are available to Workday Recruiting and Talent Optimization customers, with Job Architecture updates rolling out to Workday HCM customers this year.

Positive

• HiredScore AI for Recruiting and Talent Mobility now available through Workday, potentially boosting recruiter productivity and improving hiring processes
• AdventHealth reported hiring over 1,000 clinical candidates from existing database within first year of implementation
• Southwest Airlines experienced a 40% decrease in hiring manager decision time
• New AI capabilities in Workday Job Architecture introduced to help organizations build future-ready workforces
• Potential for increased internal application rates (40%) and employee likelihood to apply for internal jobs (2.3x)

Negative

• None.

HR Technology Analyst

Workday's integration of HiredScore AI solutions and enhancements to Job Architecture represent a significant leap in AI-powered HR technology. These innovations address critical pain points in talent acquisition and management, potentially reshaping how companies approach hiring and internal mobility.

The HiredScore AI for Recruiting solution promises to streamline the hiring process, with reported outcomes including a 25% boost in recruiter capacity and 34% faster hiring manager reviews. This could lead to substantial cost savings and improved talent acquisition efficiency for Workday's clients.

Similarly, HiredScore AI for Talent Mobility aims to revolutionize internal career development, with claims of a 40% increase in internal application rates. This focus on internal mobility could help companies retain top talent and reduce recruitment costs.

The AI enhancements to Workday Job Architecture are particularly intriguing. By leveraging AI to generate job profiles and suggest market-trending skills, Workday is positioning itself at the forefront of skills-based talent strategies. This could be a game-changer for companies struggling to keep pace with rapidly evolving skill requirements in their industries.

However, it's important to consider potential challenges. The effectiveness of these AI solutions will depend heavily on the quality and diversity of data they're trained on. There's also the question of how these tools will impact human decision-making in HR processes and whether they might inadvertently perpetuate existing biases.

Overall, while these innovations show promise, their true impact will only be revealed as more companies adopt and integrate them into their HR processes.

Financial Analyst

From a financial perspective, Workday's latest AI-powered HR solutions could significantly impact the company's market position and financial performance. The integration of HiredScore AI and enhancements to Job Architecture demonstrate Workday's commitment to innovation in the competitive HR technology space.

These new offerings have the potential to drive revenue growth for Workday in several ways:

• Increased product differentiation, potentially leading to higher market share
• Upselling opportunities to existing customers
• Attraction of new customers, including non-Workday users who can now access HiredScore AI solutions

The reported efficiency gains from these AI solutions (25% boost in recruiter capacity, 34% faster hiring manager reviews) could translate into tangible cost savings for Workday's clients. This value proposition might justify premium pricing or help in customer retention, potentially improving Workday's profit margins.

Moreover, by addressing both external recruiting and internal mobility, Workday is positioning itself to capture a larger share of the HR technology budget within organizations. This could lead to increased average revenue per customer.

However, investors should also consider potential risks:

• High R&D costs associated with AI development and integration
• Potential regulatory scrutiny around AI use in hiring processes
• Competition from other HR tech giants and AI-focused startups

While the financial impact of these innovations may not be immediately reflected in Workday's financials, they position the company well for long-term growth in the evolving HR technology market.

HiredScore AI for Recruiting and Talent Mobility Solutions Are Now Available Through Workday to Boost Recruiter Productivity and Empower Hiring Managers and Employees

Company Unveils AI Enhancements to Workday Job Architecture to Accelerate Skills-Based Talent Strategies

PLEASANTON, Calif., Aug. 1, 2024 /PRNewswire/ -- Workday, Inc. (NASDAQ: WDAY), a leading provider of solutions to help organizations manage their people and money, today announced that HiredScore AI for Recruiting and HiredScore AI for Talent Mobility are now available through Workday. The company also introduced new AI capabilities in Workday Job Architecture. These significant AI enhancements will help organizations achieve measurable outcomes in productivity, operational efficiency, and organizational agility.

Recruiting, hiring, and retaining workers today can be complex and time-consuming for organizations and job seekers. At the same time, finding the right talent with the skills needed to fulfill certain job requirements is critical to the success of an organization.

"Inefficient processes can delay hiring and put undue burden on recruiters and managers and can result in both internal and external candidates being overlooked," said Aashna Kircher, group general manager for the office of the CHRO, Workday. "Workday is delivering AI to rapidly transform how organizations manage talent – to help them find the right person for the right job at the right time."

HiredScore AI for Recruiting and Talent Mobility Now Available Through Workday

Starting today, organizations can purchase HiredScore AI for Recruiting and HiredScore AI for Talent Mobility from Workday. With these solutions, Workday provides organizations with access to AI-powered talent orchestration that drives transformative shifts and measurable outcomes in productivity, time-to-hire, candidate experience, manager experience, and employee growth.

"The healthcare industry faces significant labor shortages marked by retirements, burnout, and industry challenges over the last several years," said Tom Nesteruk, senior vice president of HR and associate chief people officer, AdventHealth. "HiredScore AI is transforming the way we engage and support our talent pool and existing workforce – it has helped us hire more than 1,000 clinical candidates from our existing database within the first year of implementation, and we've seen a 40% decrease in our hiring manager decision time."

"With HiredScore, we have found a partner that not only delivers exceptional value to the core areas of recruiting and internal mobility but also helps us innovate and transform the way we support all our employees," said Greg Muccio, head of talent acquisition, Southwest Airlines. "The HiredScore solutions are a game-changer, enabling us to leapfrog traditional methods and set new standards in talent management."

With HiredScore AI for Recruiting, customers can:

• Use AI to quickly and transparently identify candidates whose skills and experience most closely match an open requisition, accelerating speed-to-hire using data-driven insights and a consistent experience for all candidates.
• Enable recruiters and hiring managers to rediscover talent from past applicants and passive talent pipelines, helping organizations deliver on their promise to stay in touch with highly qualified candidates for future jobs.
• Assist candidates in discovering other job openings they qualify for or in being invited to apply for future openings, connecting organizations with passionate workers.
• Experience unprecedented efficiency with measurable outcomes like a 25% boost in recruiter capacity and 34% faster hiring manager reviews.

With HiredScore AI for Talent Mobility, customers can:

• Fulfill their vision of accelerated employee growth and expanded skill sets by delivering career development opportunities directly to employees in their flow of work.
• Empower already overburdened managers to seamlessly guide their teams through career growth with tailored job recommendations for their employees.
• Experience measurable outcomes like a 40% increase in internal application rates and a 2.3x increase in employees' likelihood to apply to an internal job when provided tailored recommendations.

Workday Delivers AI Innovation in Workday Job Architecture

Setting the right framework to define and organize jobs within an organization is critical to ensuring roles and responsibilities are well-defined and aligned with strategic goals, and to support pay equity.

With new AI capabilities in Workday Job Architecture, customers will be able to:

• Access the Intelligent Job Architecture Hub, an AI-powered workspace bringing together insights and actions to manage job architecture from a single place.
• Build a future-ready workforce by surfacing market-trending skills suggestions from the Workday customer base contributing data, to help identify emerging skill sets and remain competitive.
• Leverage generative AI to accelerate recruiting processes by generating timely job profiles, saving time and resources.
• Utilize AI to add skills suggestions to job profiles and simplify maintenance with redundancy detection so job profiles remain organized and consistent.

"The new AI capabilities in Workday Job Architecture will help set a solid foundation for Thomson Reuters to efficiently and intuitively manage our job catalog, make smarter decisions about our talent strategies, and reduce manual maintenance," said Cherry MacKenzie, senior director, HR digital innovation, Thomson Reuters. "As we look to cultivate a more effective and future-proof workforce, Workday is helping us accelerate our skills-based talent strategy and adapt to evolving business needs."

Availability
HiredScore AI for Recruiting is available to Workday Recruiting customers. HiredScore AI for Talent Mobility is available to enterprise Workday Talent Optimization customers. Both HiredScore AI for Recruiting and HiredScore AI for Talent Mobility are also available to companies who are not current Workday customers.

The Workday Job Architecture updates will begin rolling out globally to Workday Human Capital Management (HCM) customers this year.

For more information:

• See a demo of HiredScore AI for Recruiting here.
• Learn more about how AdventHealth uses AI to improve hiring on the Workday Blog.

About Workday
Workday is a leading enterprise platform that helps organizations manage their most important assets – their people and money. The Workday platform is built with AI at the core to help customers elevate people, supercharge work, and move their business forever forward. Workday is used by more than 10,500 organizations around the world and across industries – from medium-sized businesses to more than 60% of the Fortune 500. For more information about Workday, visit workday.com.

Forward-Looking Statements

This press release contains forward-looking statements including, among other things, statements regarding Workday's plans, beliefs, and expectations. These forward-looking statements are based only on currently available information and our current beliefs, expectations, and assumptions. Because forward-looking statements relate to the future, they are subject to inherent risks, uncertainties, assumptions, and changes in circumstances that are difficult to predict and many of which are outside of our control. If the risks materialize, assumptions prove incorrect, or we experience unexpected changes in circumstances, actual results could differ materially from the results implied by these forward-looking statements, and therefore you should not rely on any forward-looking statements. Risks include, but are not limited to, risks described in our filings with the Securities and Exchange Commission ("SEC"), including our most recent report on Form 10-Q or Form 10-K and other reports that we have filed and will file with the SEC from time to time, which could cause actual results to vary from expectations. Workday assumes no obligation to, and does not currently intend to, update any such forward-looking statements after the date of this release, except as required by law.

Any unreleased services, features, or functions referenced in this document, our website, or other press releases or public statements that are not currently available are subject to change at Workday's discretion and may not be delivered as planned or at all. Customers who purchase Workday services should make their purchase decisions based upon services, features, and functions that are currently available.

 

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SOURCE Workday Inc.

FAQ

What new AI solutions has Workday (WDAY) introduced for talent management?

Workday (WDAY) has introduced HiredScore AI for Recruiting, HiredScore AI for Talent Mobility, and new AI capabilities in Workday Job Architecture to transform how organizations manage talent.

How has AdventHealth benefited from Workday's (WDAY) HiredScore AI solution?

AdventHealth has hired over 1,000 clinical candidates from their existing database within the first year of implementing HiredScore AI, and experienced a 40% decrease in hiring manager decision time.

What improvements can companies expect from Workday's (WDAY) new AI-powered HR solutions?

Companies can expect improvements in recruiter productivity, faster hiring processes, increased internal application rates (up to 40%), and a 2.3x increase in employees' likelihood to apply for internal jobs.

When will the new Workday (WDAY) Job Architecture AI updates be available?

The Workday Job Architecture updates will begin rolling out globally to Workday Human Capital Management (HCM) customers in 2024.