Considerations for HR heads facing digital transformation

If people are the lifeblood of business, HR should be at the heart of digital transformation.
10 May 2019 | 38 Shares

HR is becoming a tech-driven department. Source: Shutterstock

No business department should be exempt from digital transformation, and human resources (HR) is certainly no exception to that statement.

It’s easy to assume that the sales and marketing functions are those most likely to benefit from digital adoption, but embracing tech in HR can put companies at a strong competitive advantage.

The fact is, a company is only as strong as its people, so it makes sense that the HR team should be one of the first in line when it comes to digital transformation strategies.

The role of HR professionals is important in coordinating the moving parts of a company. On the surface level, HR tasks include workforce planning and payroll management.

Then, on a deeper level, the human capital department covers career development and picking the right person that can support the company’s business goals.

So, with digital tools automating the bulk of repetitive paperwork tasks, HR professionals can focus on truly engaging people for better performance.

There are a few questions that CHROs must ask before investing in HR tech solutions.

# 1 | Is it compatible with the business?

Like tech solutions for any other part of the business, it must be compatible with the existing structure.

For example, if a team requires both individual and group performance evaluations, the HR system will need to be able to cater to both.

This will come in handy for sales-oriented teams.

On the other hand, there are roles that require consistent training to keep the team top-notch.

Zooming in on performance evaluation, learning analytics feature can also help employees regularly self-evaluate and upskill at their own pacing.

Sophisticated HR tech solutions will allow companies to tailor the whole UX to the needs of the teams.

# 2 | Can it grow with the business?

All business owners stay awake a little while longer every night to think about how to grow the company faster and stronger.

As mentioned, a company is only as strong as its people and hence, digital solutions for HR will also have to keep growing.

Maybe the HR system can manage the payroll of the existing business size, but what about five years later when the staffing list grows tenfold?

Also, smaller HR teams may be able to manage their workload offline, however, each member of the team will be more scattered and will need to put on more hats as the business grows.

Then, the HR system will require it not only to be cloud-based but intelligent enough to allocate an efficient amount of tasks. This will keep burnout at bay.

# 3 | Can it handle employees’ data?

The answer to this is important.

The HR room is full of private data and information about all the employees in a company. This means to say that an HR tech solution must also have strong security.

This goes way beyond an ISO certification as the benchmark for high-security standards.

The HR tech solution needs to have a regular security assessment to continually sustain the championing of data privacy.

After all, if one cannot keep their own data safe, how can they earn customers’ trust in protecting others’ data?

The human capital side of a business is always dynamic with the people element. With technology, HR will become even more vibrant.

It will not only better-match talent to roles but also help better manage business growth as people become the thriving currency.

This article originally appeared on Tech Wire Asia