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How Federal Bank is using artificial intelligence to hire

Federal Bank wants to shed the image of a traditional bank by using tech-savvy tools

February 17, 2020 / 07:57 PM IST
 
 
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Private-sector lender Federal Bank is now using artificial intelligence as a tool to hire officers during campus recruitments. Using an AI-application called FedRecruit, the bank wants to shed the image of a traditional bank and be more millennial-friendly.

In an interaction with Moneycontrol, Ajith Kumar K K, EVP and Chief Human Resources Officer of Federal Bank said that the bank is trying to creating a ‘wow’ factor for potential candidates.

“Youngsters are technologically advanced in their level of knowledge. Our new application ensures that there is no paper involved in recruiting. Students just need to download the app and all the processes happens through that,” he added.

Once the application is downloaded, the student is guided through a set of processes that help streamline the hiring process. The bank is looking to hire about 650 students (as officers) by March 2020 through this application. These students will join the bank between May and July 2020.

Kumar said that the AI tool not only makes the recruitment process more efficient, it also helps gauge the individual characteristics of the candidate. After the candidates are sifted through this process, the final stage is the face-to-face interviews.

“We are not replacing human-led interviews. We are only making the process more robust by adding AI and robotics,” added Kumar.

Through the application, candidates undergo a robotic interview where their behavioural characteristics including confidence level and ability to answer questions is gauged. Later, they go through a gamified process of solving problems.

Kumar explained that since the candidates selected will first be posted across their 1,300 branches in the country, it is necessary to check how they would behave in a real-life situation.

“Gamification creates simulations depending on role-specific scenarios. What we see is how they will handle a specific scenario in a bank and this is artificially created to see how the candidate reacts,” added Kumar.

This is the first such HR initiative by the bank. Competencies of a potential recruit for a specific job are evaluated through a series of data points gathered at multiple stages of the recruitment cycle. These include robotic interviews, psychometric assessments and gamification as an assessment tool.

Going forward, the bank is looking to use the data collected also during the time of exit interviews to review why a particular employee is leaving the organisation. Federal Bank's attrition is around 2 percent and is among the lowest in the industry.

M Saraswathy
M Saraswathy
Tags: #Business #HR
first published: Feb 17, 2020 07:57 pm

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