A brief overview of the automation and technologies that have transformed HR functions

The advent of technologies in the HR space has facilitated operations to benefit from the automation of administrative tasks, reduction in compliance costs and analysis on performance management data, among others- all of which enables HR professionals to manage personnel more efficiently and spot emerging trends and gaps with equal scrutiny. Reports suggest that the HR Tech field will be a $34 billion marketplace by 2021 and close to $3.6 billion of that is forecasted to emerge from Asia. As web-based technologies and software that are a part of the Human Resources Information System (HRIS) are slowly transforming the entire HR value chain, a few HR functions have a head start in India.    

Recruitment, Onboarding, Performance Management and Compensation and Benefits are some of the wings that have utilized this pro-technology impetus. Online recruiting services that funnel prospective applicants to offer a more diverse and efficient pool are particularly popular. Many HR Tech start-ups are developing staffing solutions with unique hiring networks and are tackling volume hiring and contractual staffing more efficiently. It becomes important to note, that while the net for the best candidate is efficiently enabled by the internet, the challenge to rifle through the pool of candidates during the selection process remains. This also evidences how the aspiring candidates now need to look primarily at the internet to secure employment.    

The onboarding process, particularly L&D find themselves facing the need to be completely phased online. The pandemic helped hastened this process to what now seems like a definite digital-only future. Shifting learning and training modules online fosters an environment of benefits for both the employer and the employee- a convenience learning approach that lets the employees tackle modules anytime, anywhere and helps employers cut training costs. Two popular options in the e-learning space include- The Learning Management System (LMS) and the Learning Content System (LCS). They focus on creating a virtual dashboard for registering and attending courses and help organize content and deliver the same. AI and virtual training are newer alternatives that present some interesting options for upskilling and training.    

Multiple data points have always posed a challenge for analysis. And HR technology might just solve this problem for good. Data warehouses to store information and Business Intelligence applications as a part of HRIS that analyze large amounts of data and help decision-making processes is an emerging reality. Automating the basic collection of information and assisting in the processing of analyzing them leaves HR professional with more time to focus on adding more value to performance management like mentoring and coaching employees.      

Compensation and Benefits is a function that saw the dawn of digitization perhaps even earlier than the aforementioned functions. Digitizing Payroll was the early variation of HR tech. E-compensation facilities help design and execute compensation policies. HRIS offers ways to track employee compensation history, allocate incentives and bonuses and propose changes if need be. It can even be integrated with performance management data and offer better insights for each employee in companies with a huge volume of employees- a task hitherto challenging to accomplish.     

Looking onward, HR professionals will have to learn to leverage information from social media, utilize HRIS for meeting compliance and reporting requirements that e-operations will only complicate, update themselves on cybersecurity and prioritize data protection and transform themselves into internal consultants who can juggle external software vendors, master change management and legal requirements as they witness the evolution of HR to e-HR.