Chemist Warehouse Uses AI to Streamline HR Email Responses
Chemist Warehouse has implemented an AI system called AIHRA (AI HR Advisory) to manage a shared HR email inbox that handles queries from its 30,000 employees and store owners. Since its deployment early in 2025, AIHRA assists by identifying common questions and drafting responses that HR advisors can review and send.
The AI system was developed over a 10-week period and has been improved in two-week cycles. The HR team affectionately refers to it as “she,” noting that AIHRA has grown from a basic assistant to a more capable support tool throughout the year.
How AIHRA Supports HR Operations
AIHRA integrates external data sources such as Fair Work Australia to stay updated on relevant awards and enterprise agreements. It also accesses Chemist Warehouse’s internal policies, enabling it to handle a range of low-to-moderate risk topics including:
- Leave management
- Probation period oversight
- Informal performance discussions
- Management of inactive casual employees
When an email arrives in the national inbox, AIHRA drafts a response within 30 seconds. The draft is then reviewed by an HR advisor who can make adjustments before sending it out. Relevant policies and forms are automatically attached, streamlining the process.
Efficiency Gains and Team Impact
The HR advisory team, which consists of six members, handles up to 300 email queries weekly. These include investigations, grievances, and policy clarifications. By automating initial responses, Chemist Warehouse estimates saving around 1,950 hours annually for the team.
While it took time to train AIHRA and learn how to extract the best results, the company is now sharing these developments publicly, indicating tangible benefits and confidence in the approach.
Technology and Governance
AIHRA was built in partnership with Insurgence AI, leveraging Microsoft Azure AI Foundry and the Power Platform. The company is adopting a balanced AI strategy that combines long-term governance with the ability to deliver immediate business value.
This involves creating a scalable AI governance framework that grows with organisational maturity, while focusing on high-impact use cases. As a result, Chemist Warehouse is achieving quick wins that align with its broader strategic objectives.
For HR professionals interested in AI adoption and training, exploring available resources and courses can provide useful insights and skills. Visit Complete AI Training’s latest AI courses to learn more.
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