The global talent relocation industry is experiencing a significant transformation, thanks to the integration of artificial intelligence (AI). AI is revolutionizing the way companies manage employee relocations, offering innovative solutions to streamline processes, enhance efficiency, and provide a personalized experience for relocating employees.
We spoke with two industry experts, Jason Beaudreau, chief technology officer, and Susan Myers, senior vice president of global financial services, both from relocation management company Altair Global, to gain insights into the potential applications, challenges, and ethical considerations surrounding the use of AI in talent relocation.
AI as an Assistant
Beaudreau emphasizes the role of AI as an assistant in the talent relocation industry. He envisions AI-based tools that help relocating employees optimize their relocation experience by ensuring they leverage their relocation benefits fully and simplify the complex steps involved in the relocation process. This approach aims to enhance the employee’s journey by providing real-time guidance and support.
Streamlining the Relocation Process
Myers highlights the potential of AI in streamlining the entire employee relocation process.
“We hear about the need to drive a seamless people experience as a high-touch service that replicates the culture of the client as they transfer or onboard new talent, while still being efficient with the relocating employee’s time," she says.
AI can provide accurate and personalized information to relocating employees, allowing them to navigate their move efficiently. For instance, AI-powered chat technology can offer benefits overviews for self-service-minded employees, while those seeking human interaction can access relocation professionals. This blend of AI and human interaction ensures a customized and enhanced customer experience.
“Altair has been using AI and machine learning in global financial services for quite some time as we efficiently process supplier invoices and expense reimbursements," Myers says. “We have not eliminated the human aspect of expense auditing, but rather allowed the technology to handle the administrative work while focusing our team on the intricacies of coding for taxability, core/flex, Federal Acquisition Regulation (FAR), client-specific contract requirements, and more."
Addressing Key Challenges
The talent relocation industry faces challenges related to information availability, ROI measurement, and business process automation. AI can address these challenges by providing timely and accurate information to relocating employees, offering insights from integrated data sources for better decision-making and automating repetitive tasks to improve efficiency.
“Generative AI is going to give us significant power in leveraging data as we bring a variety of HR, operational, and mobility data together to understand trends and provide expanded analytics to power decision-making across many stakeholders," Myers says.
Concerns About Implementing AI
Beaudreau emphasizes that while AI can boost performance, it should not replace fundamental aspects of the industry, such as data integrity, change management processes, financial management, and human interaction.
“I see AI as any other technical advancement," he says. “The fundamentals that make companies successful will still be required."
Myers adds that a measured approach to implementing AI is crucial to ensure that it enhances jobs rather than displacing workers.
“I’m very excited about the opportunity to integrate AI into the framework of solutions we bring to the global mobility space," she says, “but I do hesitate to jump into a new technology simply because it’s garnering so much attention. Where the custody and care of people, their family, and their life’s belongings are our main responsibility, taking a measured approach is essential. My hope is that AI is used to enhance jobs versus simply displacing workers as part of a drive for cost savings. Most jobs in mobility are made up of many tasks. The challenge is to expand roles and make jobs more rewarding while allowing AI to drive productivity."
She also raises concerns about AI potentially increasing bias in information and highlights the importance of balancing automation with personalization.
“Inherent in our industry is a vast awareness of the diversity of a global workforce. Cultural, economic, and social differences within our customer base raise the likelihood that the application of AI will increase bias in the information generated through these tools," she says. “Building models that account for our differences while still providing value will be a challenge that AI companies must tackle."
Data Privacy and Security
Both experts stress the importance of data privacy and security when handling sensitive employee information during the relocation process. They suggest that AI solutions should not require personal identifiable information (PII) to operate effectively. Human oversight remains essential to ensure the responsible use of AI and to avoid privacy breaches.
“PII is needed to perform relocation; however, it is not needed to communicate processes a relocating employee should follow or to understand policies and benefits at a deeper level," Beaudreau says.
Examples of AI Success
While AI adoption in the talent relocation industry is in its early stages, there are examples of AI-driven tools being used for expense management, virtual assistants, and destination content delivery.
“We’ve watched as several technology companies tout their solutions that use a variety of automation tools in expense management and virtual assistants," Myers says. “There are also a few examples where we have seen destination service providers begin to leverage AI for destination content delivery. We’ve also seen AI integrated into reporting analytics focused on the projection of costs through various estimating tools."
Myers ultimately believes generative AI holds the potential to disrupt how relocation management is approached in the future. “It will take some time to understand what is truly possible given the risk of AI-powered decision-making, but I expect we’ll see a mobility solution ready to disrupt how we approach relocation management in the near future," she says.
Cost-Effectiveness
AI is expected to drive cost-effectiveness by increasing productivity in day-to-day tasks. However, the customization and flexibility required in the industry may limit the extent of cost savings, as some tasks necessitate human involvement.
“My hope is we see AI as a tool that enhances our ability to provide value," Myers says. “There is always a concern that AI use is relied upon where humans should be engaged. There will most certainly be cost wins if mobility teams are willing to build streamlined solutions. These programs will benefit the most from AI. At Altair, we embrace that every client and relocating employee has unique requirements. That customization and flexibility required in our industry will likely put pressure on just how much cost savings can be driven out of the delivery framework."
Ethical Considerations
Ethical considerations in AI implementation include data accuracy, bias prevention, transparency, informed consent, and oversight. Building a governance oversight committee and establishing an ethics-based charter are essential steps in proactively managing ethical risks associated with AI.
“Providing transparency and informed consent is needed to ensure individuals understand how their personal data will be used within the AI solution," Myers says.
Beaudreau emphasizes that his company “will not use AI to make decisions that impact people. Such decisions will always be made by humans at Altair."
Myers adds: “The entire area of ethics governance will likely become a robust industry as AI becomes more deeply integrated into our service structure."
Legal and Regulatory Challenges
The global nature of the talent relocation industry presents unique legal and regulatory challenges. Countries in the EU are already proposing AI regulations, and compliance on a global basis will be a significant challenge for relocation management companies (RMCs).
“With so many opportunities to provide virtual training, location-specific information, expanded virtual tours, and more, much like with privacy regulations, the RMC will need a clear path and framework that ensures compliance on a global basis—quite the challenge," Myers says.
The Evolution Continues
AI has the potential to shift the talent relocation industry, offering numerous benefits in terms of efficiency, personalization, and cost-effectiveness. However, industry leaders must navigate challenges related to ethics, data privacy, and compliance with evolving AI regulations. As AI continues to evolve, its successful integration into the talent relocation industry will depend on a balanced approach that combines technology with the human touch to meet the diverse needs of relocating employees worldwide.