IBM embraces artificial intelligence-driven HR transformation

Automating workflows saved about 12,000 hours over the past 18 months

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Image: Yan Krukov/Pexels

IBM recently implemented a strategic restructuring within its human resources department, phasing out hundreds of functions previously performed by human employees. This shift is driven by the company’s commitment to automation and the belief that AI systems can effectively manage many HR functions.

Although this transition involves a reduction in the workforce, it is not a cost-cutting measure, but rather a deliberate move toward an AI-driven operational model. IBM is simultaneously expanding its workforce in key areas such as software engineering, data science and enterprise sales. These hires are critical to advancing the company’s artificial intelligence portfolio and strengthening its market position.

IBM CEO Arvind Krishna has consistently highlighted the transformative potential of generative AI, particularly in streamlining back-office processes such as employee evaluations, promotions and approving workflows. He estimates that AI can now automate 90% of these repetitive administrative tasks, freeing up human resources for more strategic initiatives, such as customer engagement, innovation and strategy development.

Internal data supports this approach and shows that automation saves significant time. Over the past 18 months, IBM’s HR team has saved approximately 12,000 hours by automating more than 280 workflows, including onboarding, payroll, internal assessments and talent evaluations.

Despite these changes, IBM is not abolishing human resources altogether. Instead, it is transforming the function into a leaner, more data-driven entity aligned with the needs of an AI-first organisation. The remaining HR professionals will focus on strategic workforce planning, promoting corporate culture and ensuring ethical implementation of AI in teams.

This transformation reflects a broader trend in the tech industry where automation tools are enabling companies to redeploy staff from operational roles to growth-oriented areas. IBM’s transparent approach to this transition is a valuable example of how traditional roles can evolve in an era defined by intelligent business systems.

With the current trajectory, IBM positions itself not only as a provider of AI solutions, but also as a model for how companies can successfully integrate AI into their operations while redefining the role of human employees within the organisation.

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