Till a few years ago, human resources used to be least active in technology innovation and automation. But over time, digital transformation has empowered HR to improve the human resource processes. In today’s economy, traditional ways of employee engagement, performance management and recruitment are old school and do not effectively manage millennials (a smartphone-dependent generation). HR needs to transform too, by streamlining its processes and becoming a strategic partner in the business.
The digital revolution compels companies to transform their traditional vision of everything to do with human capital management into a long-term vision, allowing them to manage and control the talent of the future, which is necessary for completing the digital transition of their business.
Changes taking place in three areas:
- Digital workforce: How can organizations drive new management practices (which we call “digital DNA” ), a culture of innovation and sharing, and a set of talent practices that facilitate a new network-based organization.
- Digital workplace: How can organizations design a working environment that enables productivity; uses modern communication tools (such as Slack, Workplace by Facebook, Microsoft Teams, and many others); and promotes engagement, wellness, and a sense of purpose,
- Digital HR: How can organizations change the HR function itself to operate in a digital way, use digital tools and apps to deliver solutions, and continuously experiment and innovate
Evolution of Digital HR
People spend more than 2.5 hours on mobile devices every day, as stated by Nielsen report. They enjoy digital experiences when connecting with their family and friends, and that’s the way they expect things at their workplace. Automated, quick and manageable!
For HR, digital transformation is an opportunity where analysing employee data, managing mobile workforce, making well informed decisions and executing HR processes is simplified. Digital HR integrates SMAC (Social, Mobility, Analytics & Cloud) technologies to redefine employee experience, make employees more productive and improve work life balance.
Digital HR frees up HR managers’ time, enabling them to play a strategic business role. Thanks to new and advancing technology, HR can now explore innovative ways to recruit high potential talent, improve employee performance, give best development opportunities, engage and retain top talent.
Wherecompanies can start:
- Challenge HR to start with a digital-first HR strategy. The digital enterprise and digital HR are a revolutionary leap forward, not an incremental step. The combination of mobile and cloud solutions and the pervasive access to smartphones as powerful as laptops and desktop computers of just a couple of years ago, are redefining how HR processes are designed, delivered, accessed, and operated. The shift to a mobile and platform way of thinking is at the forefront of this challenge.
- Embrace design thinking. Social, mobile, analytics, and cloud tools are only useful if employees adopt them. HR must begin with employee needs and the user experience. Incorporating design thinking throughout the process will help companies maximize the impact of new digital technologies.
- Leverage an agile approach integrating HR, technology, employees, and business leaders in the process. HR has the opportunity to use agile development—rapid development by integrated teams delivering prototypes and solutions in successive releases and waves—as a new way of operating in HR and supporting similar programs across the company. Unlike the traditional waterfall development process, agile development requires HR specialists, system and app developers, designers, employees, and business leaders to work together as a team.
- Share digital strategies and experiences across the company: HR has the opportunity to learn from early digital adopters in the company, generally customer marketing and operations. A community of practice can share digital experiences and implementation learning across the company. HR can learn from the digital savvy across the company and, in turn, help develop the enterprise’s digital mind-set and capabilities.
- Imagine HR and the employee experience in real time: One of the biggest changes in moving to a digital HR strategy is the focus on real-time access, decision-making, and results. This involves a significant step beyond many recent HR efforts, which have focused on shared services and HR service centers and SLAs (service level agreements). Digital HR is also a call to automate many areas of HR. With every employee having a smartphone, HR teams can automate, streamline, and adopt more real-time and digital-first operations rather than process forms and transactions.
- Integrate analytics and reporting as part of the digital platform, not an add-on: Most HR teams today have dedicated teams that collect information from process and transaction systems for basic HR reports and analysis. Instead, HR management information should be an automated part of the HR digital platform. It should provide managers with real-time information and leaders with real-time analysis, decreasing the time spent on reports and increasing the time HR and business leaders spend on analyzing data and solving problems. Analytics and reports can be configured and integrated into a business intelligence layer of the HR platform, linking apps directly to leadership reports and analysis.