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How NLP is transforming the Future of HRMS

December, 2022

The emerging technologies and businesses across the sectors are going hand in hand.

Well, that holds true for HRMS, where a Human Resource Management System is a suite of software that organizations use to manage internal HR functions and deliver growth, excellence, and productivity.

Like other industries, HRMS, too, is leveraging the benefits of emerging technologies. NLP is one such technology transforming how HRMS works and holds infinite potential in the future.

Natural Language Processing, abbreviated as NLP, refers to a computer’s ability to understand language in its spoken and written form more effectively.

It is a component of artificial intelligence that listens or reads when a computer interacts with a human, thereby delivering real-time insights for data-driven decision-making.

NLP has been contributing massively to the HRMS industry, showing the significant benefits it has made to the HRMS.

According to recent research, the global digital HRMS earns USD 47.4 Billion in revenue annually, benefitting organizations derive automated benefits from HRMS.

Factors such as a rise in internet penetration, a surge in the role of automated HRMS practices, and digitized business practices are fuelling the growth of global digital HRMS.

NLP has been exceptional in streamlining the HRMS business process and promoting an all-new culture of digital HRMS across the corporates.

HR is an integral department of any business as it is about managing people. Businesses are run by working people as it is the people who, with their efforts and bring about a change in the business processes that ultimately leads to business growth.

Some notable advantages and benefits NLP brings to organizations include reducing CV screening time, where HR professionals invested more time earlier, will now become easier by using NLP.

Another massive improvement NLP has added to the HRMS practices includes interviewing suitable candidates as per organizations’ needs. Each organization’s requirements vary, and that becomes more significant when companies need multiple hirings for multiple positions.

Recent research on interviewees suggests that 78% of respondents claim that the way they are interviewed and their overall interview experience with an organization tells a lot about the company culture and how they value their employees.

NLP tools improve a candidate’s fit in the company by analyzing their speech patterns and facial expressions that would have otherwise been missed, thereby onboarding the right fit for the correct positions.

For instance, HoneIt, an organization that provides services such as Automate scheduling, note-taking, and candidate write-ups, allows recruiters to go beyond basic interview questions and scribbled interview notes with real-time candidate data and audio insights to accelerate the interview process, make collaborative decisions and enable higher quality hires.

The above-mentioned benefits, and features are just a few instances where NLP is revolutionizing the HRMS and space.

Still, it does not limit here and holds massive life-changing improvements in the field of HRMS, which will only improve in the coming days.


HRMS is an integral part of an organization. In the new normal, digitization and digital business practices have become routine. Emerging technologies have taken the driver’s seat to run businesses.

NLP, one of the emerging technologies, has found its potential benefits in digitizing the HRMS processes. It is not only revolutionizing the HRMS in the present scenario but also holds massive potential for the future.

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