Table of Contents

Introduction: AI in HR – The Singapore Perspective 4

Foreword 6

Key Findings 9

Impact of AI in HR within the Singapore Landscape 11

Strategies for Implementation of AI in HR 14

Integration of AI Solutions into HR Processes 20

Future Trends 25

Respondent Profile 27

About SHRM & IHRP 29

H R PR I O R ITI E S W ITH A I I N TH E WO R K PL AC E

Introduction
AI in HR
The Singapore
Perspective

4
This report presents insights from 143 unique organizations in Singapore as part of our broader study, "HR Priorities
with AI in the Workplace." It explores how AI is transforming HR functions, shedding light on priorities, challenges, and
opportunities for businesses in Singapore.

As a regional hub for digital transformation, Singapore is at the forefront of AI adoption in HR. With strong government
support, a skilled workforce, and a focus on innovation, organizations are actively integrating AI to enhance efficiency,
talent acquisition, and workforce planning. However, challenges such as integration with legacy systems, reskilling
initiatives and data privacy concerns remain key considerations, which largely resonates with our APAC research
findings.

As AI reshapes HR practices, this report provides a localized perspective on how Singapore-based organizations are
leveraging AI to drive productivity while addressing ethical and strategic concerns. It highlights emerging trends, key
benefits such as improved employee experience and decision-making, and potential risks, helping HR leaders
navigate this evolving landscape for sustainable business growth.

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H R PR I O R ITI E S W ITH A I I N TH E WO R K PL AC E

As HR professionals, we have a significant opportunity—and

responsibility—to ensure our employees remain competitive
in today's rapidly changing work environment. We should
offer specialized training, support reskilling and upskilling
initiatives by subsidizing continued education, and facilitate
access to generative AI, encouraging our employees to
explore and experiment with it.

We need to take the lead in normalizing the use of this

technology, demonstrating to employees that AI is simply
another tool at their disposal—one that can simplify their lives
by handling monotonous and low-effort tasks.

I want to leave you with a point I've made repeatedly: AI

(Artificial Intelligence) combined with HI (Human Intelligence)
equals ROI (Return On Investment). This has never been
about replacing humans; it's about enhancing their efficiency
and effectiveness as we work towards creating better
workplaces for a better world. With the support of AI and
some upskilling, we'll be able to accomplish things our
predecessors could only dream of.

Johnny C. Taylor, Jr., SHRM-SCP

President & CEO
SHRM

6
 The integration of Generative AI (Gen AI) into HR functions
marks a transformative shift in how we manage talent and
drive organizational success. At Institute for Human Resource
Professionals (IHRP), we are committed to empowering HR
professionals with the insights, tools, and resources
necessary to navigate this evolving landscape.

Our partnership with SHRM with their extensive expertise and

global perspectives have given us invaluable insights on AI’s
impact on HR practices in Singapore, alongside with findings
from the APAC region to provide a broader context. This
report is a well-rounded showcase of how organizations
across Asia are embracing AI to drive productivity and
business outcomes.

However, the integration of AI into HR processes is not

without its challenges, where organisations grapple with the
significant hurdles of skills gaps, system integration and data
privacy concerns. Forging ahead, organizations that succeed
will be those that invest in continuous learning and foster a
culture of innovation, where technology complements human
effort.

I encourage HR practitioners and business leaders to

deep-dive into this report, using it as both a resource and a
catalyst for action. By embracing collaboration, agility, and a
people-first mindset, we can collectively build inclusive,
resilient, and future-ready workplaces that reflect Singapore’s
aspirations for a strong and innovative workforce.

Aslam Sardar
Chief Executive Officer
Institute for Human Resource Professionals

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H R PR I O R ITI E S W ITH A I I N TH E WO R K PL AC E

As we step into an AI-driven future, HR functions in Singapore

are transforming from traditional roles into pivotal forces for
organizational success. AI is revolutionizing HR across
recruitment, training & development, and workforce planning,
signaling a profound shift in the landscape. HR leaders in
Singapore are not merely managing talent; they are at the
forefront of digital transformation, skillfully navigating the
myriad opportunities and challenges that come with it.

At SHRM APAC, we are dedicated to empowering HR

professionals with the insights, tools, and resources they need
to thrive in this evolving landscape. This report delves into the
transformative impact of AI across HR functions in Singapore,
drawing on insights from diverse industries to showcase how
it boosts efficiency, productivity, and business outcomes—all
while aligning with the government's Smart Nation initiative.

HR professionals should view this report both as a knowledge

source and a call to action. By embracing collaboration, agility,
and a people-first approach, HR leaders can guide their
organizations through this transformation.

SHRM APAC is your partner in this journey. Together, we can

harness AI to build agile, inclusive, and future-ready
workplaces that meet challenges and seize emerging
opportunities.

Achal Khanna
CEO
SHRM India, APAC & MENA

8
Key
Findings

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H R PR I O R ITI E S W ITH A I I N TH E WO R K PL AC E

IMPACT

Top 2 HR Functions Impacted by Gen AI in Singapore

1. Recruitment (29%).
2. Training & Development (24%).

INTEGRATION

Integration Challenges & Ethical Considerations

• Integration Challenges (27%): Key barriers include outdated

infrastructure, lack of expertise, identifying use cases, and data
privacy risks.

• Ethical Concerns (61%): Focus areas—Data governance,

compliance, cybersecurity, AI policies, and IP protection.

IMPLEMENTATION

AI Adoption Trends & Opportunities in Singapore

• Adoption (24%): Services industry (<500 employees) leads AI

implementation in HR.

• Opportunities: IT/ITeS, Healthcare, Pharmaceuticals, and

Manufacturing can accelerate adoption.

• Employee Engagement and Performance Management &

Continuous Feedback hold significant transformative potential
through AI integration.

• Impact: AI enhances efficiency, employee experience, and

strategic decision-making.

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Impact of
AI in HR
Gen AI set to revolutionize Recruitment, Training &
Development and Workforce Planning functions in Singapore.

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Singapore, a global leader in AI readiness, ranks among the highest-rated Advanced Economies (AE) with a score
of 0.80 in the IMF’s AI Preparedness Index (AIPI)**, which assesses 174 countries based on digital infrastructure,
human capital, labor policies, innovation, and regulatory frameworks. This strong positioning reflects Singapore’s
commitment to digital transformation, supported by seamless connectivity and strategic investments in AI adoption.

When compared to the broader APAC region, Singapore showcases key HR subfunctions where AI solutions are
driving the most significant impact, reshaping workforce management and business efficiency

Singapore

APAC Top HR Functions with Maximum Al Impact SINGAPORE

1. Recruitment 1. Recruitment
2. Training & Development 2. Training & Development
3. Performance Management 3. Workforce Planning
4. Workforce Planning 4. Performance Management
5. Compensation Management 5. Compensation Management
6. Succession Planning 6. Succession Planning

While Recruitment and Training & Development remain top priorities in both Singapore and APAC, Workforce
Planning is gaining higher importance in Singapore, surpassing Performance Management. This shift reflects a
growing focus on strategic workforce needs in Singapore’s evolving business landscape.

Recruitment: Recruitment is a top priority and the most effectively implemented area within several organizations,
with 29% of the respondents having implemented the same. Attracting and recruiting talent is a major concern for
companies competing in the global market. However, with thousands of applications for each job opening, HR
managers face challenges in sorting through applications to identify the right candidates. By automating the
screening stage and other repetitive tasks, the hiring process can become more efficient and effective.

Training & Development: In the fast-changing field of training and development, professionals are always looking
for new ways to improve learning outcomes and address learners' evolving needs. Artificial intelligence (AI) is playing
a key role in transforming how training programs are created, delivered, and refined. 24% of respondents
implementing AI in Training & Development, highlights the significant influence of AI in this field. GenAI supports
several avenues such as:

• Creating Personalized Learning Paths

• AI-driven Adaptive Learning Platforms
• Intelligent Content Curation
• Gamification and Immersive Experiences
• Predictive Analytics for Skill Gaps
• Chatbots for Instant Support.

**Source: International Monetary Fund - AI Preparedness Index (AIPI)

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Workforce Planning: Artificial intelligence (AI) is significantly enhancing workforce planning in Singapore, enabling
organizations to optimize talent management and address the nation's limited manpower resources. By leveraging
AI, companies can analyze vast amounts of data to forecast workforce needs, identify skill gaps, and implement
targeted training programs, thereby increasing efficiency and productivity. The Singapore Government has set
ambitious goals to expand the AI talent pool, aiming to more than triple the AI workforce to 15,000 within the next
three to five years**. GenAI is not just another technological upgrade—it signifies a fundamental shift in how work is
structured and value is created within organizations. Beyond automating tasks or driving innovation, it redefines the
relationship between human talent and technology. Given today’s rapidly evolving market conditions, workforce
planning must also be dynamic. AI-powered Strategic Workforce Planning enables companies to proactively
manage change by tracking early indicators, identifying future skill requirements, and ensuring employees are
equipped to meet emerging business demands. 15% of the respondents have implemented GenAI in their Workforce
Planning processes. Some key applications of GenAI include:

• Strategic Workforce Forecasting: AI analyzes industry trends and internal data to predict future talent needs.
• Personalized Upskilling and Reskilling: AI-powered platforms, like the Future Skills Accelerator, help employees
develop role-specific skills.
• Improved Talent Mobility and Internal Career Paths: AI identifies internal candidates for open roles, facilitating
career progression and reducing hiring costs.

Future Potential

Implementing AI in the following HR subfunctions, while not yet widely adopted, have the potential to be
transformative within the HR landscape in Singapore:

Potential to be Key Benefits of Gen AI Tools Integration

Transformative

• AI-powered HR chatbots and virtual assistants provide instant responses

and self-service support.
Employee • Empowers employees to find solutions independently, reducing
Engagement dependency on HR teams.
• Streamlines processes, enhancing overall workplace efficiency and
experience.

• AI-driven analytics provide real-time insights into employee performance

trends.
• Personalized feedback mechanisms enhance employee development and
Performance engagement.
Management & • AI-powered sentiment analysis helps managers address concerns
Continuous proactively.
Feedback • Automates performance review processes, reducing biases and improving
objectivity.
• AI coaches provide personalized coaching sessions tailored to individual goals
and current performance, fostering continuous development.

**Source: Channel News Asia (CNA) Article: Tripling Singapore's AI workforce to 15,000 not just about numbers, but 'talents and ideas': Experts

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H R PR I O R ITI E S W ITH A I I N TH E WO R K PL AC E

AI in HR
Opportunities
From Fear to Opportunity: Embracing AI for HR Transformation

AI drives efficiency, enhances experiences, and shifts focus to strategic roles.

Resistance, fueled by job security concerns and AI misunderstandings, is the
key barrier.

Building AI awareness is the differentiating enabler!

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AI Implementation Mindset among the Singapore Respondents

As AI transitions from task automation to task augmentation, organizations are harnessing its capabilities to enhance
HR functions, delivering real-time insights and recommendations for employees and job seekers. This evolution is
especially crucial amid ongoing workforce transformations.

At this stage, cultivating the right mindset is key to ensuring successful AI adoption. Understanding both individual
and organizational perspectives can accelerate implementation, encourage openness to change, and support
sustainable AI-driven work models. Maximizing AI’s value requires more than just technical expertise—it calls for a
fundamental shift in attitudes and approaches.

HOW WILL GENERATIVE AI IMPACT THE AMOUNT OF WORK?

29%
Increase it
30%

12%
Have no effect on it
15%

58%
Decrease it
55%

APAC Singapore

Rather than replacing jobs, AI is expected to enhance roles by streamlining tasks and shifting focus to strategic
implementation. In Singapore, 55% of respondents believe that adopting GenAI will reduce workload, while a
slightly higher 58% in the APAC region share this view, emphasizing AI’s role in optimizing efficiency and
enabling more strategic contributions.

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AI in HR: Challenges
A significant share of survey respondents from Singapore who have integrated GenAI across multiple HR
subfunctions come primarily from the Services sector, with IT/ITeS following closely. Most of these adopters are
smaller companies with fewer than 500 employees, aligning with the broader APAC trend, where smaller businesses
are leading AI adoption.

However, organizations with fewer than 500 employees also face greater challenges in AI implementation compared
to larger enterprises.

SEVERAL KEY CHALLENGES AND OPPORTUNITIES ACROSS COMPANY SIZE.

BELOW IS A COMPARISON BETWEEN THE APAC & SINGAPORE REGIONS

Lack of technical Resistance to Data privacy Integration with

Company Size High costs expertise change concerns existing systems
Regions APAC Singapore APAC Singapore APAC Singapore APAC Singapore APAC Singapore

More than 10,001 4.5% 1.4% 8.7% 3.0% 3.8% 1.1% 7.8% 3.0% 10.2% 4.4%

5001-10000 2.9% 0.8% 5.9% 2.8% 2.9% 0.8% 5.1% 2.2% 4.5% 2.2%

1001-5000 5.9% 1.4% 10.8% 4.1% 7.9% 2.2% 7.8% 2.5% 9.8% 3.6%

501-1000 6.3% 1.9% 9.3% 3.0% 4.8% 1.6% 7.5% 2.2% 8.9% 3.0%

Less than 500 17.3% 8.2% 32.3% 12.9% 18.8% 7.9% 26.1% 9.9% 31.7% 13.7%

For organizations in Singapore that have already implemented or are in the process of integrating AI into their HR
functions, integration with existing systems, lack of technical expertise and data privacy concerns emerged as
the top 3 challenges.

AI IMPLEMENTATION CHALLENGES – COMPARISON OF APAC & SINGAPORE

Resistance to change 14.4%

13.7%

High costs 14.2%

13.7%

Data privacy concerns 20.7%

19.7%

Lack of technical expertise 25.6%

25.8%

Integration with existing systems 25%

26.9%

APAC Singapore

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Integration with Existing Systems: Integrating AI into existing systems presents significant challenges for organizations in
Singapore and the broader APAC region, particularly among smaller enterprises. These challenges primarily revolve around
compatibility, scalability, and complexity.

• Compatibility: Many Singapore-based companies operate on well-established but aging legacy systems, making AI
integration complex without significant upgrades. In contrast, organizations across APAC often grapple with outdated
infrastructure, requiring fundamental digital transformation before AI adoption can begin.

• Scalability: Singapore’s highly digitalized economy allows for smoother AI scaling, but companies still need robust
cloud-based solutions to manage increasing workloads.

• Complexity: Both Singapore and APAC struggle with a shortage of AI-skilled professionals. However, Singapore’s strong AI
governance and training initiatives position it better to close this gap compared to other APAC nations, where talent
shortages remain a more persistent issue.

Data Privacy Concerns: Data privacy remains a significant challenge for organizations in Singapore and across the APAC region,
especially within HR functions that handle sensitive employee information. The integration of AI tools in areas like recruitment
and performance management has led to an increase in the collection and storage of personal data, thereby elevating the risk
of data breaches. Industries with stringent regulatory requirements consistently identify data privacy and security as major
obstacles. HR teams must ensure that AI applications adhere to legal and ethical data management standards, adding
complexity to AI adoption.

To address these concerns, Singapore's Personal Data Protection Commission (PDPC) issued the Advisory Guidelines** on the
Use of Personal Data in AI Recommendation and Decision Systems on March 1, 2024. These guidelines provide specific
directions on applying the Personal Data Protection Act 2012 (PDPA) across various stages of AI system implementation,
including development, deployment, and procurement. They emphasize the necessity for organizations to obtain meaningful
consent, uphold accountability, and implement robust data protection measures throughout the AI system lifecycle. By adhering
to these guidelines, organizations can better navigate the complexities of data privacy in AI adoption and mitigate associated
risks.
**Source: Personal Data Protection Commission (PDPC): Advisory Guidelines on use of Personal Data in AI Recommendation and Decision Systems

Lack of Technical Expertise: AI adoption hinges on the availability of skilled professionals who can develop, implement, and
sustain AI-driven strategies. However, a critical talent gap persists, making it one of the biggest barriers to widespread adoption
in both Singapore and the broader APAC region.

In Singapore, while AI adoption is growing rapidly, businesses struggle to find professionals with expertise in AI development,
machine learning, and data science. A high demand for AI talent, coupled with a limited local talent pool, has driven up hiring
costs and increased competition among employers. Many reports highlight that companies are now looking at alternative
solutions, such as upskilling existing employees and hiring from overseas talent pools to bridge this gap.

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High Costs: While AI delivers significant returns, our findings indicate that high implementation costs remain a key
challenge for 13% of businesses. In AI-mature markets like Singapore, overcoming financial barriers and upgrading
legacy systems are critical to ensuring seamless AI integration and maximizing its potential.

According to McKinsey**, the economic impact of AI is expected to unfold gradually, becoming more pronounced
over time. Their simulation suggests that AI adoption will follow an S-curve pattern—starting slowly due to the
investment required for learning and deployment, then accelerating as competition and complementary capabilities
improve. By 2030, AI’s contribution to growth could be three or more times higher than in the next five years.
However, high initial investments, continuous refinement of applications, and transition costs may pose
challenges, particularly for smaller firms, limiting their adoption pace.

AI in HR: Opportunities

Despite these AI-related challenges, companies are still showing interest and putting significant effort into
incorporating AI in HR functions because the benefits of using AI in HR overshadow the observed challenges.

AI IMPLEMENTATION OPPORTUNITIES – COMPARISON OF APAC & SINGAPORE

15%
Cost savings 12.6%

Better decision making 20.7%

20.9%

Enhanced employee experience 20.2%

19%

Improved candidate matching 15.7%

15.8%

Increased efficiency 28.3%

31.6%

APAC Singapore

Increased Efficiency: AI streamlines routine tasks, allowing employees to shift their focus to high-value activities
such as strategic planning, creative problem-solving, and innovation. By reducing the burden of repetitive work, AI
enhances job satisfaction and fosters a more engaging work environment.

**Source: McKinsey & Company Report - Notes From The AI Frontier Modeling The Impact Of AI On The World Economy

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AI-Driven Decision-Making: Enhancing Accuracy and Reducing Bias
Leveraging Data for Smarter Decisions
AI’s capability to process vast datasets and extract meaningful insights has transformed decision-making. In
Singapore, 41.4% of respondents recognize AI’s role in enabling data-driven choices, while 32.4% report improved
accuracy, and 26.1% highlight a reduction in bias.
Addressing Decision-Making Challenges
With business leaders facing increasing pressure, research from Oracle and Seth Stephens-Davidowitz** reveals that
85% experience decision-making stress, and three-quarters have seen their daily decision volume increase tenfold
in just three years. AI has addressed this by automating routine decision-making tasks and reducing the cognitive
load on leaders, allowing them to focus on strategic, high-impact decisions.
As the complexity and frequency of decisions rise, AI’s ability to enhance efficiency, accuracy, and fairness is
becoming indispensable for organizations looking to navigate an increasingly data-driven business landscape.

DECISION-MAKING BENEFITS WITH THE IMPLEMENTATION OF AI:

COMPARISON OF APAC & SINGAPORE

28.5%
Reduced bias in decisions
26.1%

32.9%
Improved accuracy of decisions
32.4%

Enhanced data-driven decisions 38.4%

41.4%

APAC Singapore

Enhanced Employee Experience: Research highlights AI’s role in improving workplace experiences, from smoother
onboarding processes to enhanced internal support systems. These improvements contribute to a more
collaborative and efficient work culture, ultimately driving higher employee engagement and retention.

In summary, research shows that organizations across Singapore and the APAC region are leveraging similar
AI-driven opportunities.

**Source: PR Newswire: Global Study: 70% of Business Leaders Would Prefer a Robot to Make Their Decisions

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H R PR I O R ITI E S W ITH A I I N TH E WO R K PL AC E

Integration of
AI Solutions into
HR Processes
AI Integration Struggles: >25% cite system compatibility as major barrier amidst
growing ethical concerns.

Navigating the AI Landscape: 60% grapple with ethical dilemmas and urgent
need for robust governance frameworks.

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Industry Analysis

In Singapore, 23.8% of organizations have adopted artificial intelligence (AI) in their HR functions, with significant
representation from the Services and IT/ITeS sectors. This trend is particularly prominent among smaller enterprises
with fewer than 500 employees, reflecting a broader pattern across the APAC region, where 27.5% of companies
have implemented AI in HR, with a notable emphasis on the IT sector.

This data underscores a substantial opportunity for larger industries, such as, Manufacturing and Healthcare &
Pharmaceuticals, to expedite their AI adoption efforts. By embracing AI, these sectors can enhance operational
efficiency, streamline HR processes, and maintain competitiveness in an increasingly digital landscape.

AI ADOPTION TRENDS ACROSS INDUSTRIES IN SINGAPORE

Services
Retail
More than 10000
Manufacturing
5001-10000
IT/ITeS
Hospitality & Leisure 1001-5000

Healthcare & Pharmaceuticals 501-1000

Finance & Banking Less than 500
Consulting
Construction & Engineering
Automotive

Integrating AI into existing systems remains a significant challenge for organizations in Singapore, with 27% of
respondents identifying it as a major hurdle. Four primary factors contribute to these difficulties:

1. Lack of In-House Expertise: Many organizations struggle to find skilled professionals to manage AI systems
effectively.

2. Identifying the Right Use Cases: Deciding where and how to implement AI without negatively impacting the
customer experience is a challenge.

3. Outdated Infrastructure: Legacy systems often lack the processing power required for AI applications.

4. Data Privacy and Security Risks: Handling large datasets increases the risk of breaches and compliance issues.

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H R PR I O R ITI E S W ITH A I I N TH E WO R K PL AC E

AI integration into existing systems can be complex, but organizations can take a structured approach to address
these hurdles effectively:

Upgrading Infrastructure for AI Readiness

• Cloud-Based Solutions: Leverage AI-ready cloud platforms to handle large datasets efficiently.
• Incremental Modernization: Upgrade legacy systems gradually to avoid operational disruptions.
• AI Vendor Partnerships: Work with AI providers who offer scalable and secure solutions.

Identifying AI’s Strategic Role

• Customer-Centric Approach: Use AI to enhance, not replace, customer & stakeholder interactions.
• Operational Efficiency: Focus on automating repetitive tasks while keeping human oversight.
• Competitor Analysis: Study AI adoption trends within the industry for informed decision-making.

Building AI Expertise

73.4% of respondents in Singapore believe that as AI adoption accelerates, HR teams will remain intact but evolve
with new skill sets. This sentiment aligns with findings from the broader APAC survey, highlighting a regional
consensus on the transformation of HR roles rather than their displacement.

AS THE ADOPTION OF AI-BASED APPLICATIONS CONTINUES TO GROW, HR TEAMS WILL

72.7%
Stay the same but with new skills
73.4%

24%
Reduce in size
23.7%

3.3%
Increase in size
2.8%

APAC Singapore

Upskilling Employees: Provide AI training programs to build internal capabilities.

Strategic Hiring: Recruit AI specialists or collaborate with external AI consultants for guidance.

Pilot Projects: Start with small-scale AI applications before full-scale deployment.

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Strengthening Data Security and Compliance & Intellectual Property

While the majority of respondents maintain a positive outlook on AI implementation, concerns about its ethical
implications in HR remain significant. In Singapore, 60.84% of respondents expressed a level of concern, with
12.6% being very concerned and 48.2% somewhat concerned.

CONCERNS ABOUT THE ETHICAL IMPLICATIONS OF AI IN HR

Very concerned 16.5%

12.6%

Somewhat concerned 45.5%

48.2%

Not very concerned 14.4%

9.1%

Not concerned at all 0.6%

0%

Neutral 23%
30.1%

APAC 0.00%
Singapore 10.00% 20.00% 30.00% 40.00% 50.00% 60.00%

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H R PR I O R ITI E S W ITH A I I N TH E WO R K PL AC E

Therefore, an important step in integrating AI would involve the below

• Data Governance Frameworks: Establish policies for data collection, storage, and sharing.
• Regulatory Compliance: Stay updated on AI-related data protection laws.
• Robust Cybersecurity Measures: Implement encryption, access controls, and AI auditing processes.
• Bias Mitigation: Design AI systems to be fair, transparent, and unbiased. Regularly audit models to ensure ethical
use.
• Clear AI Usage Policies: Define ownership rights for AI-generated content in order to effectively address any
Intellectual Property concerns.
• Legal Consultation: Work with IP lawyers to ensure compliance with emerging AI regulations.

Many of the challenges tied to AI adoption can be mitigated through well-defined policies and comprehensive
awareness training. However, the survey revealed that 89.5% of organizations in Singapore using AI either lack a
formal AI policy or have only a partially defined one. This absence of a structured framework poses significant risks,
including inconsistent implementation, data security vulnerabilities, and ethical concerns.

GENERATIVE AI POLICY ADOPTION: GAPS IN GOVERNANCE ACROSS SINGAPORE AND APAC

25%
Yes
10.5%

47.3%
Partially
32.2%

27.2%
No
57.3%

АРАС Singapore

Without clear governance, organizations may struggle to align AI initiatives with business objectives, ensure
compliance with evolving regulations, and build trust among employees and stakeholders. Establishing robust AI
policies, coupled with ongoing training programs, will be critical in maximizing AI’s potential while minimizing
associated risks. Singapore’s leadership in AI readiness, as highlighted by the IMF’s AI Preparedness Index, presents
an opportunity for businesses to set stronger governance standards and lead responsible AI adoption across the
APAC region.

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Future
Trends

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H R PR I O R ITI E S W ITH A I I N TH E WO R K PL AC E

Future Trend 1

Recruitment, Training & Development and Workforce Planning to emerge as the key areas to transform due to AI
in Singapore.

The study highlights the HR functions anticipated to be most impacted by Generative AI (GenAI) in Singapore.
Respondents ranked Recruitment as the most likely area to experience a transformation (28.7%), followed by
Training and Development (24.3%), and Workforce Planning (15.13%). Performance Management (14.10%),
Compensation Management (11.5%), and Succession Planning (6.1%) were also identified as areas with potential for
impact, albeit to a lesser extent.

AI-powered recruitment tools streamline hiring by analyzing resumes and predicting candidate suitability, reducing
time-to-hire.
Automated onboarding enhances new hire experience and accelerates integration into the workforce.
AI-driven learning and development platforms offer personalized growth opportunities, keeping employees
engaged.

ASPECTS OF HR WORK THAT WILL BE MOST IMPACTED BY GENERATIVE AI

Succession Planning 9.1%

6.1%

Compensation Management 11.8%

11.5%

Performance Management 15.2%

14.1%

Workforce Planning 14.8%

15.1%

Training & Development 23%

24.3%

Recruitment 26.1%
28.7%

APAC Singapore

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Future Trend 2

AI and IoT Integration Across Industries

AI and IoT are not just transforming industries like manufacturing and retail—they are also reshaping HR functions by
enhancing efficiency, decision-making, and employee experiences:
Workplace Monitoring & Safety: IoT-enabled wearables and sensors can track employee well-being, monitor
workplace conditions, and prevent health risks, ensuring safer and more productive environments.
Smart Attendance & Workforce Management: AI-powered facial recognition and IoT-based biometric attendance
systems streamline time tracking, reducing manual errors and ensuring compliance with labor laws.
Predictive HR Analytics for Workforce Planning: AI and IoT can analyze employee behavior, predict turnover risks,
and optimize workforce allocation based on real-time data. Predictive analytics optimizes staffing levels and
resource allocation, minimizing overtime costs.
Enhanced Employee Experience: Smart office systems using AI and IoT personalize workspaces by adjusting
lighting, temperature, and scheduling preferences based on employee habits.

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H R PR I O R ITI E S W ITH A I I N TH E WO R K PL AC E

Respondent Profile
The survey responses are from 143 organizations across the Singapore region collected through an online survey
comprising primarily of multiple-choice and Likert Scale ranking. The respondents represent a diverse set of
organizations across IT/ITeS, Consulting, Manufacturing, Healthcare & Pharmaceuticals, Services and Others. The
figures, tables and graphs presented in this report reflect the percentage of respondents opting for the particular
response choice, unless categorically stated otherwise.

The collected data was meticulously analysed both in a linear item wise method and through crosstabulation to gain
insights into HR priorities, execution challenges and observed benefits, AI focus & adoption and impact of AI usage
on business ecosystem for 2025.

INDUSTRY SPLIT

Telecommunications & Utilities 1.4%

Services 15.4%
Retail 2.1%
Public Sector & Non-Profit 7.7%
Professional Services 0.7%
Other (please specify) 2.1%
Oil & Natural Gas 0.7%
Maritime 2.8%
Manufacturing 13.3%
IT/lTeS 11.9%
Insurance 1.4%
Hospitality & Leisure 4.2%
Healthcare & Pharmaceuticals 12.6%
FMCG 0.7%
Finance & Banking 6.9%
Education 4.2%
Consulting 4.9%
Construction & Engineering 3.5%
Chemicals 0.7%
Automotive 2.1%
Advertising 0.7%

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 REVENUE (ANNUAL, USD, FY 2023-24)

Unknown 4.9%

Non-Profit Organization 4.9%

> $5 Million < $10 Million 11.9%

> $20 Million 41.9%

> $10 Million < $20 Million 9.8%

< $5 Million 26.6%

EMPLOYEE HEADCOUNT

More than 10000 13.3%

Less than 500 52.4%

500-1000 12.6%

5000-10000 8.4%

1000-5000 13.3%

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SHRM is a member-driven catalyst for creating better workplaces where people and businesses thrive together. As
the trusted authority on all things work, SHRM is the foremost expert, researcher, advocate, and thought leader on
issues and innovations impacting today’s evolving workplaces. With nearly 340,000 members in 180 countries, SHRM
touches the lives of more than 362 million workers and their families globally. Discover more at SHRM.org.

The Institute for Human Resource Professionals (IHRP) is set up by the tripartite partners: the Ministry of Manpower
(MOM), the National Trades Union Congress (NTUC) and Singapore National Employers Federation (SNEF) to
professionalise and strengthen the HR practice in Singapore. IHRP sets the benchmark standards of excellence for
HR and human capital development in organisations. Through a range of national human capital programmes such
as the IHRP Certification, Human Capital Diagnostic Tool (HCDT) and IHRP Corporate Partner Programme and
appointed as the Job Redesign Centre of Excellence (JRCoE), IHRP aims to develop HR as a strategic enabler of
business and workforce transformation and foster a vibrant HR services eco-system to drive innovation and change.
For more information, please visit ihrp.sg

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 Scan QR code for more details.

H R PR I O R ITI E S & A I I N TH E WO R K PL AC E