Shifting the AI narrative through HR: From cost-cutting to revenue growth
Shifting the AI narrative through HR: From cost-cutting to revenue growth
At the HR Tech 2025 conference, the message was clear: Organizations and their C-suites must rethink not only how they are deploying AI but also why.
Speakers at the industry’s leading HR technology conference emphasized a shift away from viewing AI as a simple cost-cutting tool, instead focusing on it as a driver for revenue growth and business transformation. Think faster revenue cycle time, higher cross-sell attach rates, and lower cost to serve through self-service and smarter routing.
At the heart of this shift is HR, whose unique vantage point allows it to strategically align AI adoption with workforce planning and tangible business goals, Paylocity, an HR and payroll software provider, reports.
Why AI Projects Fail and HR’s Role in Success
Effectively leveraging AI demands more than adding a new layer of technology. A recent report from MIT, which revealed that 95% of AI projects are failing, was referenced frequently throughout the conference.
But it isn’t the technology that’s failing — AI projects falter when objectives aren't clear, integration is lacking, or workforce planning is disconnected from business outcomes, according to several conference speakers.
In his keynote, leading industry analyst Josh Bersin described the rise of the “superworker,” as the promise of AI to enhance individual productivity becomes more real. Superworkers are augmented, not replaced. AI handles retrieval, summarization, and draft creation. People handle judgment, context, and relationships.
By automating repetitive tasks and providing intelligent assistance, AI enables employees to focus on higher-value work. This transformation is not about replacing jobs but about scaling and empowering the workforce. For example, recruiters can narrow 600 resumes to 25 qualified profiles in minutes, then spend time on outreach and structured interviews.
“If there’s anything that’s going to hold you back in AI transformation, it’s not going to be the technology,” Bersin said. “It’s going to be how quickly and how adeptly you are able to move your organization itself into these new roles and define them.”
The Human Lever: Collaboration Unlocks AI’s Value
AI has the greatest impact when it enables people to focus on innovation and complex problem-solving, rather than just automating tasks. Achieving this “multiplier effect” relies on close collaboration among
leadership and support functions, who together empower employees and ensure AI advances business strategy. This cross-functional approach turns AI into a driving force for growth.
HR leads efforts to prepare the workforce for the future by redesigning roles and reskilling employees to adapt to AI and automation. Frameworks like Salesforce's “4R Framework” (Redesign, Reskill, Redeploy, Rebalance) and initiatives like workforce innovation teams help employees transition into impactful roles, fostering collaboration between evolving technology and human expertise.
By aligning AI initiatives with organizational goals and building cross-functional partnerships, HR creates an environment where technology enhances human potential exponentially.
Strategic Governance: Aligning AI with Business Outcomes
In a recent webinar, SHRM and payroll software provider Paylocity explored how AI and human intelligence are reshaping the modern workforce.
HR has the potential to influence broader business outcomes, as success is powered by people. Realizing the full benefits of AI demands a clear and strategic vision, with precisely defined outcomes needed for impactful results.
HR has a pivotal responsibility here. By establishing a governance framework, promoting ethical AI practices, and ensuring alignment with both culture and talent strategy, HR transforms AI adoption from a failed promise into a profit driver.
As businesses look to the future, it’s clear that HR’s role in shaping the strategic, human-centric deployment of AI will determine whether these initiatives deliver real value — or become another statistic.
This story was produced by Paylocity and reviewed and distributed by Stacker.
