AI Transforms Human Resource Development Amid Rapid Technological Change
Translated from Indonesian and summarized by DistantNews. Read the original for the full story.
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- Artificial intelligence and digital technology are rapidly changing how companies develop human resources, demanding faster employee skill upgrades.
- Companies face pressure from global geopolitics, rising energy costs, and swift technological shifts, making innovation driven by skilled human capital crucial for survival.
- While AI offers efficiency gains, ethical considerations and human decision-making remain paramount in human capital development.
The rapid advancement of artificial intelligence and digital technology is fundamentally altering how companies approach human resource development. The pace of technological disruption across industries now necessitates a much quicker cycle for enhancing employee competencies.
Hary Budiarto, Chairman of the Jury for the Best Human Capital Awards 2026, highlighted the immense pressure companies face due to global geopolitics, escalating energy costs, and the accelerating pace of technological change. He emphasized that businesses failing to innovate will struggle to survive in the competitive landscape. "Companies must innovate to remain relevant. And the key to innovation lies in human resources with the capacity and ability to understand technological developments," Budiarto stated at the awards ceremony in Jakarta.
Companies must innovate to remain relevant. And the key to innovation lies in human resources with the capacity and ability to understand technological developments.
Budiarto explained that human capital development is no longer solely about enhancing employee skills but also about organizational efficiency through technologies like AI, IoT, and automation. While many companies recognize the importance of digital HR transformation, standardized implementation remains a challenge, necessitating greater knowledge sharing among industry players. He noted that AI's rapid evolution is transforming work patterns, significantly shortening the timeframe for skill development compared to the past.
Despite the transformative power of AI, Budiarto stressed that it remains a tool, with strategic decisions ultimately resting with humans. Therefore, ethical considerations and human values must remain central to human capital development in the digital era. "AI is a tool. Humans remain the primary decision-makers. Therefore, AI ethics and governance are also very important," he asserted. Juanda Jafar, CEO of Business Asia Indonesia and the event's organizer, added that HR transformation is vital for business continuity amidst economic and technological shifts, viewing effective human capital development as a long-term investment that boosts productivity and sustainability.
AI is a tool. Humans remain the primary decision-makers. Therefore, AI ethics and governance are also very important.
About this summary
Originally published by Republika in Indonesian. Translated, summarized, and contextualized automatically by DistantNews, with a note on how the source frames the story. Not individually reviewed before publishing. How this works.
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