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What a Major Acquisition Signals for the Future of HRMS

9/16/2025

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AI Meets HR
What a Major Acquisition Signals for the Future of HRMS

In the rapidly evolving HR tech space, the recent move by a major HRMS/HCM solution provider to acquire an AI-startup is another strong signal: the future of work is being redefined by how learning, knowledge, and work itself get augmented by intelligent systems.

From my experience implementing HRIS/HRMS platforms across organizations, several observations strike me about what this kind of acquisition means and what practitioners should be thinking about...

​What this signal for HRMS/HCM implementations

  1. AI-native capabilities are becoming core, not optional
    It is not enough anymore to bolt on analytics or machine learning after the fact. Organizations increasingly expect HR platforms to anticipate needs- deliver insights, suggest actions, and personalize employee experiences with minimal manual configuration. When acquisition is part of a vendor’s business strategy, it is because the valuation of such capabilities, especially around learning & knowledge management, is rising sharply.
  2. Learning & knowledge tools are strategic differentiators
    As work becomes more dynamic, the ability for people to find answers, upskill continuously, and leverage existing institutional knowledge becomes mission critical. For implementers, this means choosing vendors that can integrate strong L&D/knowledge frameworks… ideally ones that grow more intelligent over time. A system’s capacity to capture, curate, and make learning contextually relevant can have big downstream impact.
  3. Integration matters more than ever
    Acquiring AI tools is one thing; making them work seamlessly inside an existing HRMS/HCM stack is another. Success depends on how well the acquired tech can use existing data, workflows, and UX paradigms without disrupting the client’s existing process frameworks! Implementation teams will need to focus not just on functional requirements, but also data models, change management, training, and alignment of AI features with the organization's culture and compliance needs.
  4. The buyer’s roadmap will have more pressure- from customers & market
    Once a vendor signals intent via a high-profile acquisition, clients and prospective buyers will expect fast rollout, good performance, and clear ROI. As an implementation leader, I’d be asking- how mature are these new capabilities? What are the benchmarks? What kind of support model is in place? If the vendor can’t show that their new AI elements are reliable, safe, transparent, etc., then there is risk…. and what is even more concerning is that it is a classic scenario of “you don’t know what you don’t know”.
  5. Governance, ethics, trust cannot be afterthoughts anymore
    With AI tools touching learning content, recommendation engines, knowledge search, etc., there are many potential pitfalls- bias, data privacy, security, transparency. In implementations, paying attention to how AI components are governed- how decisions are made, how content is curated, how mistakes / inaccurate suggestions are handled will all be just as important as functionalities and features.

Final Thoughts

Overall, this kind of move is exciting for HR Technology. It underscores that the next frontier is about combining human processes and AI to reduce friction, increase learning velocity, and support smarter, more adaptive and engaging employee experiences.
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For those of us doing HRMS implementations, the bar is rising- it is not just about reliability and basic workflows anymore- it is about intelligence, context, and continuous improvement.
#HRTechnology #HRMS #HRIS #AIinHR #FutureOfWork #SandhyaBhat
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CEOs need to be deeply aware of AI

7/10/2025

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I was reading Yahoo Finance today and came across an interview with Cisco’s President, who made a striking point- most CEOs aren’t ready for AI. That statement really stuck with me because it is very true. And... it is more urgent than ever that business leaders see AI for what it really is- not just a buzzword or a shiny new tool, but a fundamental shift that is already redefining entire industries.

It is easy for CEOs to think of AI as the ChatGPTs, Groks, or DeepSeeks of the world... interesting, headline-grabbing innovations that someone in IT can play around with while the real business continues as usual. But that is no longer enough. If you are a CEO today, you have to understand AI beyond the chatbots and language models. You need to know how it is weaving itself into the core of your business operations, your customer interactions, your supply chain, your security... everything.

Take IT as a service, for example. This used to be a clear-cut department, often seen as a support function that kept the servers running, handled helpdesk tickets, or managed the organization's networking needs. But with AI, the entire paradigm of IT is shifting from reactive support to proactive value creation. AI can detect anomalies in real-time, automate repetitive tasks, optimize cloud resources, and even forecast IT incidents before they happen. Managed service providers (MSPs) and internal IT teams that don’t embed AI into their operations will fall behind, because the competitive edge will come mainly from speed, automation, and predictive capabilities... good old manual processes will just not suffice anymore!

CEOs need to champion that mindset shift because it impacts cost, security, and growth all at once.

Look at oil and gas, another industry not always seen as a front-runner in digital transformation. Today, AI is helping optimize drilling operations, predict equipment failures, and even reduce environmental impact by analyzing seismic data and production levels more accurately. Imagine the cost savings when you can detect a pipeline fault before it causes a shutdown, or when predictive maintenance avoids an expensive equipment failure in the middle of the ocean. For an oil and gas CEO, knowing how AI tools can squeeze out inefficiencies, improve safety, and help meet ESG goals isn’t a nice-to-have, it is imperative.

But here is the real catch: AI’s impact isn’t generic. It is not a one-size-fits-all solution you can plug into your company overnight. It looks different for retail, for healthcare, for finance, and for manufacturing. That’s why CEOs need to move beyond AI as a tech trend and ask the hard questions: How is AI specifically transforming my industry? Where will we lose out if we don’t adapt? What skills do we need to build? What risks do we need to manage? And how do we ensure our people, not just our tech, are ready for this new reality?

Finally we need to keep in mind that AI is more than a toolkit. It is a catalyst that demands CEOs rethink how their entire business creates and captures value. Staying on the sidelines or delegating all AI thinking to the IT department isn’t just a missed opportunity... it is a major risk that can quickly escalate into an existential threat.

So yes, many CEOs aren’t ready for AI... yet. But those who commit to understanding its true potential in their industry, who invest in the right talent and build a culture that embraces AI responsibly, will be the ones who lead, not follow, in the years ahead.

#AILeadership #DigitalTransformation #FutureOfWork
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A human-centric take on IBM's AI-driven HR overhaul

5/28/2025

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​IBM's recent decision to lay off approximately 8,000 employees, primarily from its Human Resources (HR) department, in favor of AI automation has sparked significant discussion in the business world. The company's AI platform, AskHR, now handles about 94% of routine HR tasks, such as payroll queries and leave approvals, leading to a reported $3.5 billion boost in productivity across more than 70 job roles globally.

While these efficiency gains are noteworthy, they prompt a deeper examination of the human-centric aspects of organizational excellence. The remaining 6% of HR tasks- those requiring empathy, nuanced judgment, and human interaction- could not be effectively managed by AI, leading IBM to quietly rehire personnel (as has been reported) to fill these gaps.

This scenario highlights a critical lesson… while AI can streamline operations, it cannot replace the intrinsic human elements that foster a thriving organizational culture. The human-centric approach to organizational excellence emphasizes the importance of emotional intelligence, ethical considerations, and personal engagement, all qualities that AI currently cannot replicate.

Traditional HR has too often been reduced to compliance, recruitment, and transactional management. It's no surprise then that in some organizations, HR is viewed as expendable. But true organizational excellence is not achieved by eliminating people- it is nurtured through deep awareness of human needs, emotions, motivations, and interconnectedness within systems.

IBM's experience illustrates the need for a balanced integration of AI, where technology augments human capabilities without eroding the human essence of organizational operations. By reinvesting savings from automation into roles that require human creativity and strategic thinking, IBM acknowledges the irreplaceable value of human contributions in areas like software development, sales, and marketing. These are invisible dynamics- yet they determine whether an organization truly thrives.

Managing the People-Process-Technology dynamics is still needed, possibly even more so, in today's fast evolving and AI included workforce.
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The pursuit of organizational excellence should not solely focus on efficiency metrics but also prioritize human awareness and a people-first culture. As AI continues to evolve, organizations must ensure that technological advancements enhance rather than diminish the human experience within the workplace. This is the reason- a human-centric approach to Organizational Excellence becomes indispensable.
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    Sandhya Bhat

    Sandhya Bhat MSc, CSSMBB, CSSE has developed several new and enhanced existing strategic methodologies to improve technology and human capital utilization, produce greater ROI on investments and streamline service delivery.​

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