This is a guest article from Sat Sindhar, MD at peoplehr.com.
Computer based technologies, being the greatest and most vital invention in the 21st century, have profoundly impacted humanity in all spheres of life. Most prominently, the business realm has known a momentous impact on account of the technological advancement. According to the Society of Human Resources Management, in a study concerning the use of e-HR in organization, “the management of Human Resources is evolving into a more technology-based profession.” Mary A. Gowan, Chair of the SHRM foundation, asserted that organizations adopting sophisticated HR technology tools outperform those which do not. This article will explore why HR is evolving into a more technology-based profession, will shed light on different uses of Computer-based technology in the HR field, and will conceptualize the benefits of incorporating technology in the different HR functions.
HR and Technology
The perception of HR in the minds of individuals has switched to be more of a portal than a person. Almost all firms nowadays make use of HR services through technology and web based applications. In a study conducted by Deloitte, one of the pioneers of the professional service network across the globe, 75% of the hiring and talent managers use either applicant tracking or recruiting software. (Deloitte, 2014) The incorporation of technology in the HR field is dramatically changing and influencing the overall HR functions and managerial practices. The incorporation of technology has assisted the HR managers into cutting of costs and the enhancement of the HR services. Furthermore, most of the organizations nowadays acquire automated basic HR software; such a simple process can no longer be a competitive advantage for the organization.
Henceforth, organizations must incorporate more complex and richer technology to renovate and evolve their Human resources practices. The implementation of advanced HR technologies such as web-based platforms and software enhance the administrative processes as it streamlines HR processes and reduces administrative burdens, minimize the administration and compliance costs, helps to better manage and retain talents, provides real-time analytics and metrics to support the decision making process, and enables the HR to play a more strategic role in the business.
For instance, the PeopleHR tool is an effective HR software and management system which not only manages your administrative burdens, but also helps you to grow your business through a set of diverse and effective features and options to support all of your HR functions.
Uses of Technology in HR
When a firm decides to implement an advanced technology into its human resources management, there are various options available to support the overall HR strategy. According to a report elaborated by the SHRM, the most prominent solution for the HR technology is the integration of a holistic and integrated solution. In other words, the firm may choose to work with a single vendor to purchase a platform which encompasses multiple HR functions to be part of the enterprise-wide information system architecture.
The most prominent and significant transformation the incorporation of an HR technology would bring to the firm is the access to HR data. The HR technology gauges the tremendous amount of HR data which is always subjected to rapid expansion, will facilitate the democratization of Data to be accessed by all the concerned stakeholders within the firm, will provide assistance and support for the HR managers to make sound decisions.
For instance, HR information system can aid in strategic decision-making through providing real-time analytics concerning the employees. The HR technology can assist the managers into exploring the training investment factors, the cost-per-hire, and the turnover ratio. Furthermore, it can assist executives in drawing Data for HR forecasts and succession planning.
The use of Technology in HR has the ability of fostering the recruiting process through improving the recruiting efficiency, increasing the quality and quantity of applicants, establishing a robust communication process, eliminates the biases of the recruiting process, and increases the applicant convenience and the fit of talents. Furthermore, the incorporation of HR technology will assist into tracking several organizational facets and attributes and employee information such as the gender, the salary average, and the total levers.
Benefits of HR technology
The incorporation of human resources technology within the managerial practices of a particular firm brings about various benefits and improvements. The use of an integrated solution enhances several organizational attributes. The holistic interface and function enhances both the potential and current employee experience through making learning and transitions for users easier and richer. The use of integrated data and technological infrastructure of the software assists the organization into reducing the need to manage and maintain several multiple technological architectures. It provides a greater ease of integrating data from various multiple HR functions. Also, the integration of an HR technology reduces the complexity of strategic management by providing a clearer insight-based real time data analysis. The incorporation of an HR technology assists the hiring manager with a real-time talent assessment.
The HR technology provides the opportunity to review the progress and set future objectives and assignments for the potential candidate. It also assists in coordinating the overall organizational functions through a more robust employee experience. The HR technology allows the HR to deliver simpler, faster, and smarter solutions which are effectively shared across different organizational departments. The HR technology allows gauging and analyzing productivity and engagement at the heart of the process. It also appears to increase employee loyalty by enhancing the user experience and democratizing the access to the HR data.
The management of Human Resources is evolving into a more technology-based profession. The incorporation of technology in the Human resources management has been of a great necessity to maintain and gain the competitive advantage in nowadays turbulent business world. The present article has shed light on the HR technology as necessary tools for nowadays business operations, it has explored the uses of HR technology over several organizational facets and functions, and it has put a momentous emphasis into the benefits of incorporating an HR technology in the HR practices of the organization.
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About the Author
Sat Sindhar has worked as the Managing Director of People HR since 2013. His work helps companies integrate HR into a strategic part of the business and make smarter HR decisions.
