How is the AI race impacting Human Capital?

The race, between AI players to build the next big large language model is on with Nvidia hitting $2 Trillion market valuation last Friday due to the growing demand for enterprise Gen AI applications.

Nvidia chips are key to provide computing power and used by almost every single player in the AI ecosystem from Open AI, Anthropic, Amazon to Meta, Google etc.

  Why is this important for Human Capital?

▶Enterprise and HR big technology players are powered by Gen AI chips (train, run and customize models) to deliver content generation, engagement, analytics and content summarization and analysis (i.e. Open uses Nvidia GPUs, ServiceNow and Microsoft have partnerships with Nvidia)

▶As a result, the HR and workplace technology ecosystem will keep evolving, creating new market opportunities for vendors to reinvent their offerings and bringing more innovation across the talent value chain (i.e. Fora launched AI for the C-Suite, ADP launched an AI-enabled marketplace, HiBob acquired Pento etc.)

▶Copilots are the tip of the iceberg. We are entering an era where employees and copilots are working together; copilots to analyze vast amount of data, predict with high accuracy and generate content and/or tailor recommendations and employees to use it to develop skills, explore careers, unlock employee insights, assess results and provide feedback for Copilots to improve.

▶Companies will need to keep assessing technology capabilities, reimagine their HR tech (complement, enhance and integrate) and develop new human capital practices to accelerate hiring, learning, careers and mobility.

What Lies Ahead?

1️⃣Democratization of Gen AI will require a culture and change strategy to prepare the organization for enterprise invention.

2️⃣Develop a People-First approach in terms of enabling new experiences, preparing, upskilling and mobilizing the workforce.

3️⃣Establish employee trust and adoption to unlock the full-potential of Gen AI Copilots.

4️⃣HR to establish a governance and process to evaluate Gen-AI use cases and business case.

5️⃣Adopt responsible AI standards and practices.

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Note: All views expressed in this article do not represent the opinions of any entity whatsoever with which I have been, am now, or will be affiliated. My opinions are my own.