The challenge for HR executives will be to maintain a balance between technology
India’s corporate citizens are growing younger by the year. Given that the current median age is 28, HR practices too have to keep pace with the Gen Y employees. It is a daunting challenge for most businesses to manage this young workforce and this is where modern technology comes into play.
Technology has been a great enabler for the HR function to keep pace with this young workforce. With virtually effortless solutions that cater to employees throughout the hire to retire life cycle, technology today is truly helping organizations deliver better workforce utilization and also at the same time reduces HR administrative costs.
A number of reasons can be attributed to why the HR technology adoption curve has been so steep in the last few years. Besides lowering the cost of HR administration and streamlining the processes, it helps in talent scouting capabilities, offers intelligent insights on workforce utilization and provides for a more transparent system for employees as well as the organization.
The most important advantage of using modern technology is to make the mundane tasks more efficient, thus freeing up valuable time which is spent to align the organization’s human capital to its business strategy. In the immediate future, HR technology will continue to evolve and will increasingly have a bigger impact on the business. Some key trends in HR technology are:-
Leveraging social media – Organizations are exploring means to leverage the information about their workforce on social networking sites. This enables social recruitment and also increases employee engagement, facilitate collaboration and increases knowledge sharing amongst employees.
HR on cloud – With an increasing number of firms offering HR services on the cloud, HR leaders are now in a dilemma to choose between an on-premise or a cloud model. While early adopters, especially many large organizations may continue with an on premise model, the cloud model opens up a plethora of opportunities for the small and medium size enterprises with minimal investments and greater flexibility.
Workforce analytics – Workforce analytics has always been invaluable to organizations in enabling their HR leaders to deliver greater value by increasing workforce competitiveness and controlling labor costs. The same is becoming increasingly dynamic and has rich features that can create tailor made retention, succession and performance plans using predictive modeling.
Transparent organization – Technology makes information on HR policies and procedures easily accessible to employees, thus increasing the level of transparency between the organization and its employees. While data privacy may still be a concern, the pros of a transparent organization still outweigh the cons by a huge margin.
The challenge for HR will be to maintain a balance between technology and human resources to ensure that the “human element” is not taken out of HR. However, organizations that combine HR and technology seamlessly will make the most of their workforce.