Role of Artificial Intelligence in HR Practices: A Study of Telecom Sector of Pakistan

Abstract

This study is designed in an attempt to review and analyze the transformative role of AI in HR practices in Pakistan's telecom sector, namely recruiting, selection, performance management, and compensation. AI-powered machines using machine learning and other techniques, such as deep learning, natural language processing, and predictive analytics, surface as vital tools with key contributions to efficiency improvement and decision-making in a fair way in HR processes and functions. The quantitative approach of the investigation is based on responses from human resources professionals and employees working in telecom companies operating within Islamabad, Rawalpindi, and Lahore, impact the effect of AI-lead practices. The findings show that AI has enormously enhanced recruitment by automating resume screening, candidate profiling, and interview scheduling so that hiring decisions are made more quickly and without biased judgment. For Selection process, AI does the job fit, optimizes skill matching, is predictive in analytics, gamified assessments that reduce unnecessary turnover and enhance long-term organizational alignment. Similarly, performance management driven by AI tools and software provides real-time feedback, bias free assessment and personalized development planning thus leading to enhanced employee productivity and engagement. Moreover, AI powered compensation systems guarantee fair and equitable pay structures, automate the payroll processes, and reduce disparities that builds employee trust and satisfaction. This study outlines the opportunities presented by AI in keeping telecom companies competitive within a rapidly changing market. The findings of the study add to the literature on AI adoption in human resource studies and provide actionable insights into how telecom and other sectors in Pakistan can take advantage from this.