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3.10.2 Cost Involvement

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As per the comments from the several HR professionals, HR is still considered as the traditional department and the backbone of any organization; hence, it is necessary to update the work methodology of the HR with the new technology. But in order to gain the initiative, cost is implied and so in the case of AI. As per the report of TATA [12], implementing AI in HR involves two types of cost: fixed cost and variable cost. Fixed cost deals with the machinery purchase, software automation, and the software implementation, while variable cost deals with training of the employees in reference to AI in terms of adoptability and functioning. It may be a huge investment for an organization in comparison to the traditional method of HR. So, most of the organization may retain itself from it.

Impact of Artificial Intelligence on Organizational Transformation

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