Inside LSE and MHR’s Blueprint for an AI-Ready HR Ecosystem
- 5 Min Read
The London School of Economics (LSE) has taken a decisive step toward building an AI-enabled future of work. Its transformation was delivered in partnership with MHR, one of the UK’s longest-established HR, payroll and finance technology providers. Founded in 1984 and still independently owned, MHR supports more than 1,500 organisations with its iTrent platform and was […]
- Author: HRD Connect
- Date published: Nov 19, 2025
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The London School of Economics (LSE) has taken a decisive step toward building an AI-enabled future of work. Its transformation was delivered in partnership with MHR, one of the UK’s longest-established HR, payroll and finance technology providers. Founded in 1984 and still independently owned, MHR supports more than 1,500 organisations with its iTrent platform and was recently granted a Royal Warrant from His Majesty King Charles III for the supply of payroll and HR systems. The company has built a reputation for deep expertise in workflow automation, people analytics and integrated HR operations – capabilities that are now becoming essential foundations for AI adoption.
Together, LSE and MHR have modernised the university’s entire people ecosystem, shifting from fragmented legacy systems to a unified digital platform designed to streamline workflows, strengthen analytics and prepare the institution for the next wave of AI-driven HR practices. For HR leaders, the transformation demonstrates a clear principle: AI maturity does not start with algorithms. It starts with the systems, data and cultural foundations that allow HR teams to adopt and scale AI responsibly.
Why LSE’s move matters for HR teams
Across the UK and Europe, HR functions are facing the same challenge that LSE confronted. Digital expectations are rising, but legacy processes often hold organisations back. Without integrated systems, clean data and modern workflows, HR teams struggle to make confident decisions or deploy emerging AI tools effectively.
Working with MHR since 2023, LSE has replaced multiple disconnected systems with a single platform that supports the full employee lifecycle. The new platform went live earlier this year and has already produced significant gains:
- Automated workflows have reduced handling time across HR and payroll
- Dashboards and analytics now give managers clearer visibility of workforce needs and employee development
- Self-service adoption has exceeded 95 percent
- Ninety percent of users rate the system as very user-friendly
For HR leaders considering AI, this foundation is critical. Without operational clarity, consistent workflows and trusted data, AI initiatives struggle to take hold.
Building AI-readiness through workflow redesign
LSE’s HR Director, Indi Seehra, is clear that the institution is laying the groundwork now for more advanced AI capabilities.
“AI is a critical part of our future HR strategy, and we are putting the right foundations in place with MHR to stay innovative. Early results are already delivering faster processing and deeper insights,” he explains.
What is striking is the deliberate sequencing: LSE is not rushing to deploy AI. It is building the prerequisites first – integrated systems, transparent data flows and redesigned processes. This is the same roadmap being adopted by high-performing HR functions globally.
The human side of digital transformation
The transformation was not driven solely by technology. LSE and MHR co-designed the programme with a strong emphasis on culture, change management and user adoption. The university involved staff widely through:
- Focus groups
- HR away days
- Evolve roadshows attended by around 250 employees
- Cross-department engagement
- A network of 60 software champions across 22 departments
- Input from over 30 universities to validate and benchmark the solution
The result is a system that colleagues trust, understand and recommend. One hundred percent of users say they would recommend the platform to a colleague.
For HR leaders, this reinforces a key truth: technology succeeds only when people do.
Freeing HR teams to focus on strategic work
According to Neelam Talewar, LSE’s Director of HR Operations, the transformation has freed HR staff from repetitive administrative tasks and enabled them to focus on development and strategic priorities.
“Working with MHR, it feels like we are closer than one team. Together, we built a HR and payroll service that empowers colleagues to control their data and frees HR teams from repetitive admin. These efficiencies are creating time for professional development and allow academics to devote more energy to delivering an excellent student experience,” she says.
This mirrors a broader trend in HR transformation: operational automation is becoming the gateway to strategic HR capability.
Why HR professionals should pay attention
LSE’s transformation reflects three trends that define HR strategy in 2025:
1. Automation is now the starting point for AI readiness
HR teams cannot scale AI responsibly without integrated systems and consistent workflows.
2. Digital adoption depends on culture, not software
LSE’s 95 percent adoption rate was achieved through engagement, communication and co-design.
3. Insight-led HR is replacing process-led HR
With stronger analytics, LSE’s managers and HR teams now make faster, more confident decisions.
Partnership as a model for the sector
MHR’s CEO, Anton Roe, calls the project “a powerful example of what is possible when partnership goes beyond technology.” His point mirrors a broader shift in the HR tech sector. Vendors are no longer simply providers of software. They are strategic collaborators that help HR teams rethink operating models, redesign workflows and prepare for AI at scale.
The takeaway for HR leaders
LSE’s collaboration with MHR provides a blueprint for any HR team beginning their AI journey. Before exploring advanced tools or algorithmic automation, organisations must ask:
- Do we have reliable, clean data?
- Are our workflows automated and consistent?
- Do employees trust and use our core systems?
- Have we created the cultural conditions for adoption?
- Are managers equipped to make data-driven decisions?
When these foundations are in place, AI becomes not a risk, but an accelerator. LSE’s example shows how thoughtful digital transformation can strengthen the employee experience, empower HR teams and build the infrastructure required for more advanced AI-led innovation.
