| Adverse impact | A substantially different rate of selection that works to the disadvantage of a group. Also called disparate impact. |
| Agent | An AI system that takes actions through tools, often over several steps. |
| Applicant tracking system (ATS) | Software for managing job openings and candidates. |
| Augment | A mode of use in which AI drafts or analyses and a person reviews and decides. |
| Automated decision system / tool | Legal terms (with varying definitions) for software that makes or substantially assists decisions about people. |
| Automation bias | The tendency to over-trust automated output. |
| Baseline | The value of a measure before a change, used for comparison. |
| Bias audit | A test of whether a tool’s outcomes differ across demographic groups. |
| Chatbot | Software that converses with users, by script or by language model. |
| Containment rate | Share of assistant conversations resolved without handoff to a person. |
| Context window | The amount of text a model can consider at once. |
| Data protection impact assessment (DPIA) | A documented assessment of privacy risks, required under GDPR-style laws for high-risk processing. |
| Deployer | Under the EU AI Act, an organisation that uses an AI system (as distinct from the provider that develops it). |
| eNPS | Employee Net Promoter Score: % promoters minus % detractors. |
| Few-shot prompting | Including examples in a prompt for the model to imitate. |
| Four-fifths rule | A rule of thumb: an impact ratio below 0.80 indicates possible adverse impact. |
| Generative AI | AI that produces new content such as text or images. |
| Grounding | Supplying source material and instructing the model to answer only from it. |
| Hallucination | Fluent output that is false or unsupported. |
| Hiring manager | The manager to whom a new hire will report. |
| HRBP | HR business partner: an HR adviser assigned to a business unit. |
| HRIS | Human resources information system: the system of record for employee data. |
| Human in the loop | A person reviews, approves or can stop an automated process. |
| Impact ratio | One group’s selection rate divided by the highest group’s selection rate. |
| Instructions (system prompt) | Standing directions an assistant follows in every conversation. |