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Artificial intelligence as a factor of increasing the efficiency of investments in human capital

Author

Listed:
  • Roman Kuziv

    (Ukrainian Catholic University)

  • Olha Garafonova

    (Kyiv National Economic University named after Vadym Hetman)

Abstract

The article explores the role of artificial intelligence as a tool for optimizing investments in human capital, using the example of learning and development (L&D) processes within a large IT company. The main focus is on assessing the economic efficiency of implementing generative AI across key L&D subprocesses — from creating individual development plans to automating mentoring, generating learning content, and enabling adaptive training. The study employs a combination of quantitative, qualitative, and experimental analytical methods to build a model that evaluates the financial and operational impact of AI-driven innovations. According to the modeling results, the potential reduction in operational costs could reach up to 31.5%, indicating significant opportunities for increasing L&D process efficiency without compromising quality. The findings can be used by organizations to make well-informed, strategically grounded decisions regarding investments in AI as an effective instrument for transforming approaches to human capital development. In the context of dynamic labor market changes and rapid technological advancement, the strategic integration of AI into learning and development functions may become a critical factor in ensuring business resilience and achieving organizational goals.

Suggested Citation

  • Roman Kuziv & Olha Garafonova, 2025. "Artificial intelligence as a factor of increasing the efficiency of investments in human capital," Economic Synergy, Higher Educational Institution Academician Yuriy Bugay International Scientific & Technical University, issue 2, pages 28-40.
    • Handle: RePEc:bja:isteus:y:2025:i:2:p:28-40
    DOI: 10.53920/ES-2025-2-3
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    File URL: https://es.istu.edu.ua/EconomicSynergy/article/view/283/202
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    More about this item

    Keywords

    artificial intelligence; investments in human capital; L&D; generative AI; digital transformation; personalized learning; corporate training; personnel development strategy; learning economics;
    All these keywords.

    JEL classification:

    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • M53 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Personnel Economics - - - Training
    • I21 - Health, Education, and Welfare - - Education - - - Analysis of Education

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