Why Should Small Businesses Use AI for Recruiting?

Artificial intelligence, shortly AI, is no longer a science fiction thing. It has entered business operations and put algorithms to work. Many big companies are now using AI for talent acquisition. AI can help with the resource-intensive parts of the recruiting process, which are often very time-consuming.

Huge companies like L’Oréal/Starbucks, Audible, and Hilton make use of AI recruitment tools in their hiring processes to evaluate an applicant’s suitability for any role. Such tools powered by AI use algorithms to acknowledge data points from responses. This can make the hiring process cost-efficient, faster, and also easier to deal with.

Many people see AI as a costly tech investment. Many people believe this technology is out of reach for small businesses. However, that doesn’t mean that such futuristic technological advancements are impossible to use for a small business.

Businesses of all sizes can benefit from artificial intelligence in their hiring process. Let’s see how AI can help small businesses in the recruiting process.

How Can AI Help?

AI can make it easy to provide personalized and timely service to make complicated processes easy and simple. With AI in recruiting, sourcing and hiring talent should no longer be a complicated task for any business.

With AI, you can easily evaluate any number of candidates through a pre-employment skill test. Applicants can be required to submit written answers or presentation videos. AI hiring tools can quickly assess a mock sales pitch, customer service calls, or any presentations.

Pre-employment assessment of applicants is perhaps the biggest burden on recruiter resources. AI can make talent acquisition very efficient. Many companies are already using AI to automate everyday tasks that are time-consuming and costly. These include collecting resumes, updating applicants, and scheduling interviews.

In 2019, LinkedIn found that more than 60% of recruiters are already using some technology or form of AI to save time in recruitment. As we move forward in our discussion, you will see that talent acquisition AI is here to shape the future.

AI in Talent Acquisition for Small Businesses

Small businesses have also started to make use of artificial intelligence in their business operations. However, most small businesses are using AI to improve other business operations like customer support service. There are still so many ways that AI can be used by small businesses to make recruitment and hiring easier.

Small businesses can use AI in talent acquisition and recruiting in the following ways:

  • Storing data from the hiring process to make better hires in the future.
  • Selecting candidates who are looking for work.
  • Post open positions with well-written job descriptions where people can see them.
  • Gaining insights and informing HR decision-makers.

Small businesses already have smaller business operations. AI can help small businesses access deeper insights. The benefits of AI no longer need to be limited to huge companies only. For instance, a small business can use an AI tool to source applicants, ensuring that a recruiter is available to handle in-person interviews and contract negotiations. 

A small business can use an AI tool to find the right candidate for the job. With the right talent acquisition AI tool, you won’t need to waste time and resources on hiring the wrong person.

AI tools can help protect against human errors and any bias in recruitment. It will no longer be difficult to identify the characteristics that separate the right candidate from the wrong ones. Artificial intelligence can do many different jobs for a small business in recruitment. Finding and connecting with the right applicants, scheduling interviews timely, and moving forward with the process become much easier and simpler.

Finding and Connecting With Talent

Most small business owners know exactly what they’re looking for. Yet many find it hard to find the right candidate. Do you collect resumes to find out who suits the position best?

Many businesses have access to a database with many candidates to choose from. Small businesses can do the same when they are looking to hire a new employee. You might look for the right candidate yourself. Even then, you might choose someone who isn’t right for the job. This could prove to be a waste of resources and can also be very time-consuming.

AI can help scan a massive database to find the right candidate for any position. AI tools will also be able to use your previous hiring decisions. With AI, sourcing the right person for the job can be easy, quick, cost-effective, and simple.

Shortlisting and Identifying the Best Candidates Quickly

Assessing applicants and determining with whom to move forward is another time-consuming part of the hiring process. Most small businesses come up with a list of candidates that are suitable for the position. Then they hold phone interviews to assess and evaluate candidates. This can be ineffective and an awkward interaction for both the recruiter and the candidate.

Many companies now use AI for chatbots or a pre-employment test to assess applicants. This can prove to be a much better way to predict the performance of candidates for open positions. A skill test can show the knowledge and ability of any applicant. As more applicants complete the skill test, AI can rank them based on their performance.

Schedule Interviews and Save Time

Many recruiters struggle to find the right time to schedule an interview. Moreover, the formal interview can be something dreadful for the candidate and the recruiter alike.

However, AI tools can make this part of the recruitment process more efficient. AI recruitment tools make setting up an in-person or remote interview easy. Some allow the recruiter and candidates to self-schedule or reschedule through the acquisition platform.

AI recruitment platforms can automatically schedule interviews. Reminder notifications can also be delivered to recruiters and candidates automatically.


It has become clear that AI can provide small businesses with many solutions. Solutions to different problems in ways that were previously seen as impossible. Artificial intelligence in recruitment can reduce time and increase efficiency. That will make the experience better for all the parties involved.

The most impressive thing about this technology is that it makes talent acquisition much faster, simpler, and smarter. It can help small businesses to compete with huge companies in ways they could never have imagined.