The digitalization of the HR industry started with the first robust systems for payroll and recruitment. Today, however, most HR processes are digital, simplified, and streamlined.
This transformation provides HR departments with more time to focus on other projects that can make the working process easier and enjoyable.
The digital transformation of the HR industry can be summarized through the following objectives:
- Automation of HR processes
- Time-effective approaches towards tasks
- Improved overview of the workforce
- Enhanced employee experience
- Room (and time) for strategizing
HR teams can identify problems and quickly solve most challenges with automation and software. And by implementing these HR technologies, the teams can shift focus to increasing productivity and creating effective working processes.
What are the Benefits of HR Digitalization?
Choosing the right HR tech can reinforce and improve the workflow of the entire organization. Since the HR team is responsible for talent acquisition, people operations, and smooth and safe working conditions, helping them is like helping everyone.
In fact, the benefits of HR digitalization can be felt across the entire organization.
Here is an example of what Hilton’s HR team did with HR tech:
They altered the interviewing process to identify the most committed candidate by building an algorithm based on their best high-performing employees. The team used the obtained data in the interviewing process to filter out unsuitable candidates. This left them with the right talent pool.
Using the company’s internal data or implementing a sophisticated ATS system, in-house recruiters can find the best talent quickly — saving the company’s time and money in the process.
Another popular technology is the gamification of the work processes.
Gamification provides different kinds of rewards that can improve the team’s KPIs. Companies do it by setting up a competition between teammates using real-time leaderboards. Or just reward the employees for their efforts and contribution.
There is also the technology that Royal Dutch Shell incorporated in the HR process, a strategy from the book “Game Change” by David Kaye.
This method helps HR teams find extraordinary people for their teams by making them play pre-selected special video games. These games help them find employees with the best ideas and a critical mindset.
6 Stages of Implementing a new HR Technology
Six elements drive the whole digitization process.
- Establish a clear goal
- Get everyone on board
- Keep things simple
- Prioritize ideas
- Assess performance
- Create the right culture
Implementing new technologies in everyday work processes will change the future of HR operations. Moreover, it will enhance creativity, make work tasks more enjoyable, and give companies an engaged and productive workforce.
Note: Choosing the right technologies is essential, but just as important is ensuring that your employees are bought into why they should use these tools, and then giving them the proper onboarding and training to make the most of them. Without a successful implementation, even the most valuable software will go to waste.
HR in the Future
Globalization of the workforce is inevitable. So, it is not strange to expect an increase in contingent workers and global talent pools. These changes increase the complexity of HR. Therefore, new technologies emerge to improve strategic planning and management.
With global talent pools the workforce changes, so HR must seek new ways to achieve business goals with greater simplicity. Moreover, they had to do it in a less complicated yet appealing way for all the workforce groups (millennials, baby boomers, contract workers, executives — literally everyone).
Because changes today happen faster than ever before, employees face a lack of predictability and new variables. Therefore, observing behaviour changes is a critical aspect when it comes to implementing new technology. Most of the employees need to get on board with the software for proper utilization.
The essence of HR’s digital transformation is learning how to use automated solutions and how to utilize them to enhance human capabilities.
On a final note, in this new era of technology-driven organizations, many traditional HR methods are quickly becoming outdated. Companies need to make prudent decisions by implementing HR technologies that can enhance the HR experience and overall employee satisfaction.
The digital transformation of the HR industry is, in fact, the digital transformation of the company.