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A feasibility study on integrating Generative AI and video conferencing into Indonesian recruitment processes
Muhammad Ramaditya1, Mohammad Ikhsan2, Muhammad Firdaus Syawaludin Lubis2
1Departement of Business Administration, Faculty of Administrative Science, Universitas Indonesia, Depok, Indonesia.
None:
The recruitment landscape in Indonesia faces a critical efficiency gap, with a global average time-to-hire of 44 days and a significant mismatch between labor supply and demand. This study evaluates "The Platform," an innovative recruitment tool integrating Generative Artificial Intelligence (Gen-AI) and video conferencing to modernize interviews. To assess the project's viability, we used a strategic management approach, including Political, Economic, Social, Technological, Environmental, and Legal (PESTEL) analysis to evaluate macro-environmental risks and opportunities; Porter's Five Forces to analyze the competitive landscape and industrial profitability; and Strength, Weakness, Opportunity, and Threat (SWOT) analysis to identify internal strengths and weaknesses in the context of external factors. Furthermore, data from Focus Group Discussions (FGDs) with 58 Human Resources Managers were analyzed using a thematic approach to identify, assess, and map emerging Artificial Intelligence (AI) assumptions and user requirements. Findings reveal a green light for adoption, supported by high digital literacy in Indonesia, where a Serviceable Obtainable Market (SOM) is estimated at US$1.75 billion. Key success factors identified include the platform's ability to conduct interviews in the local language and its alignment with national digital transformation goals. The study identifies culture lag and linguistic nuances as primary barriers to efficiency. Consequently, the study concludes that by addressing these identified efficiency gaps through robust data security and localized AI models, the platform is highly feasible and poised to revolutionize the Indonesian HR ecosystem.