AI Tools - Due Diligence Guide

AI is reshaping recruitment. CV screening, candidate matching, predictive attrition, interview scheduling — vendors are pitching solutions that promise to cut costs and accelerate time-to-fill.

But for every tool that delivers, many do not. And in recruitment, the cost of getting it wrong extends beyond wasted budget to regulatory exposure, reputational damage, and real harm to the candidates you are supposed to serve. However, there are some phenomenal tools out there that will help drive growth & efficiency, but selecting the right partner to invest in demands a complex procurement and decision-making process.

The purpose of this guide is to arm you with the questions that will help support you through that process, with emphasis on protecting your business.

The legal and regulatory risk in AI procurement sits primarily with you as the buyer, not the vendor and contracts will not protect you if the underlying tool creates discriminatory outcomes under anti-discrimination legislation or breaches data legislation as outlined in Australia’s Privacy Act or GDPR for example.

This isn’t set and forget. New regulations and guidelines regarding the ethical use of AI are
constantly emerging, so applying this level of rigour to your procurement process will enable you to monitor ongoing compliance of your tools and technologies with emerging law and standards.