Technology in human resources has evolved with time. Earlier all the processes in HR involved enormous paper work and manual intervention which was then migrated to a basic database such as Microsoft Excel or Access and later with the advent of relational database, the functionalities were centralized. Now the trend is to have an engaging tool with an easy user interface both for web and mobile along with social integration coupled with cloud and analytics, which is inbuilt in the platform. To sum up, using technology in HR was previously more of a corporate need rather than with an objective of developing an engaging workforce. HR technology has revolutionized the way the entire function works, making lives easier and at a macro level assisting with strategic human resources decisions and forecasting.
Enterprises are increasingly adopting the use of technology in HR. Currently, all the functions in HR is carried out with complete automation or at least minimal technological intervention. The HR lifecycle along with the employee life cycle sees usage of technology in some or the other way at each of the stages. From HR planning to core functions such as payroll, learning and development and performance appraisal, all are today automated. When we look at the employee lifecycle, the platforms help optimize and maximize the ROI each of the processes and functions.
Below mentioned are some of the tools and software used at each stage and/or function:
- Requisition submission and candidate screening
- Applicant Tracking System
- Job boards
- Skill Assessments
- Behavioral and Psychometric Assessment
- Culture fit assessments
- Simulation Exercises
- Onboarding software
- Competency mapping
- Performance Management
- Performance Management System which is linked with the appraisal system. Here, all the skills are fed into the system, goals and developments are tracked, self and manager feedback are detailed and career growth pattern is established.
- Learning and Growth
- L&D and Training Management Software gives more opportunities to all the level of employees to help develop them personally and to acquire additional skills and expertise with respect to the work, projects or production. It also gives the employees an opportunity to engage in other learning and development programs which is more cross functional in nature, rather than their respective fields.
- Employee Engagement Surveys software
- Exit interview and survey software
The key is the integration of software at the HR lifecycle and the candidate-employee lifecycle. The integrated approach provides a holistic solution to the leadership team, HR group and the employee at large. Some of the HR based functionalities such as leave management, employee social dashboards, holiday and general announcements is made available to employees both online and on the mobile. Both of these dimensions is what is trending in the industry. Also, with the assimilation of cloud and analytics, meaningful insights are delivered for making quick and effective HR based as well as business decisions.
HR technology is in the forefront at all enterprise levels and primarily the benefit can be looked into from two perspectives – Organisation, Human Resource team and Employee.
Below are some of the detailed benefits that can be achieved by using technology in HR in the categories stated above.
- Forecasting: Predicting the number of new hires, replacements, estimating the attrition, and assessing risks related to hiring can be easily calculated and mapped.
- Resource allocation: With varied projects in the company and now when the company is so diverse in geography, functions and verticals; resource allocation is a difficult task altogether. In a scenario when there is a need for a specific skillset, it becomes comparatively easier for the HR, project management and the leadership team to allocate a resource to the project when we know that such a skillset is already lying in the organization and need not be outsourced externally.
- Quality of employees: With the use of assessment software, it is ensured that the quality that is to be a part of the organization is one of the right fit. Culture fit assessment is another great way to ensure that the talent which is going to be a part of enterprise is probable to stay in the organization for a longer period of time. Such employees are predicted to be more engaged, thereby being more productive and adhering to the culture of the company.
- Engaged employees and culture fit: Assessment and other software such asperformance management, learning management, social collaboration and employee engagement surveys help employees to be connected to their peers, leadership team and the brand as a whole. They tend to feel as part of a family and are more productive in contributing to a larger vision.
- Lower attrition: With all the tools and technologies in place, there prevails communication, transparency, a proper structure and strategic plan culture enforcement and enhancement which in an overall sense, reduces the attrition.
- Brand building: HR technologies assist in overall brand building. Prospective employees/employees are a critical part of the organization who help develop the brand and cultivate the overall culture. With the usage of HR technology the ratio of engagement increases thereby increasing the overall contribution of the employees in building the brand.
- Security and backup: Security perspective is one of the most important perspective of HR. With automation, employees and HR data can be backed up to a server to prevent the loss of information. This also helps in efficient preservation of data for tax assessment and to perform other analysis.
Human Resource perspective:
- Productivity of the HR team: As every function is integrated with technology, it wipes out the manual work and reduces the turn-around time thereby leading to efficiency and productivity. This is turn also helps the human resources team in aligning with the company’s vision and goals and living up to the expectations of the employees.
- Better workforce planning and hiring decisions: Reports can be used for predictive analysis and for forecasting the hiring needs of the organization. Time to hire reduces and the quality of hiring increases.
- Increased employee engagement and lower attrition: With increased transparency and with the help of technology as the employees are better connected with the brand and share the same vision as the leadership team does. This results in greater engagement and lower attrition rates making the company as the best place to work.
- Skill base of talent: Learning management solutions help considerably in improving the quality of talent. Periodic assessments are also essential to upgrade the skill level of the talent. When the company wants to foray into a new division or technology, there is a huge requirement of up-scaling the talent which with the help of the HR technologies mentioned above, suffices the need for the same.
- Succession planning: As the company grows, there is a need for employees to grow as well. This will not only motivate and engage them but will give the organization; managers and leaders who are culturally fit and have a detailed understanding about the processes. With this said, succession planning assists in preparing the employees to move up one level where as creating space for the new entrants.
- Improved communication and transparency: Mobile based solutions and social platforms enable improved transparency and enables employees to have a greater bonding with their peers, leaders, and a greater association with the culture.
- Imbibing organization culture: All of these new age tools help imbibe the organization culture in a strategic, process-oriented and in a smoother manner. Each day when the employee sees the culture enforcement in some or the other manner, it becomes easy for the employee to get it into his everyday life while he is at the organization.
- Social connect: With HR automation, employees and management is no longer apart from each other. Employees have direct access to the respective HR officials when taking assistance in a problem or sending queries or request making a social bond. HR in turn provides a faster resolution which would have been difficult with manual systems.
- Information access: Ease of information search or carrying out HR operations on the go provides flexibility to the employees. Employees can access all the information remotely without being physically present to carry out an operations or tasks.
- Increased productivity: It gets easier as well as efficient for an employee to track all of their HR issues rather than to follow with paper based environment. This saves huge amount of time for an employee which they can allocate for the production.
- Improved Transparency: HR automation makes it easier to track the progress of a query submission. Software and portal based queries depicts transparency by showing the current status of a query submitted by the employee.
Engaged employees are the key to organization’s success and growth. Majority of the concerns of an organization lies in acquiring and retaining the talent but all the more retaining an engaged talent is critical. To acquire and retain the engaged talent, requires a lot of effort from the HR as well leadership team and HR technology makes it a cake walk by easing all of the units and spheres. All the more, the overall productivity of the entire organization scales up, the leadership team has then the time and resources available to focus more on acquiring and retaining customers, improving business growth and innovating product and operational processes. Hence, HR technology has changed the way the world of work operated, encompassing a broader vision and perspective.