We are keen deep in a digital era surrounded by terminologies like Big Data, Cloud Computing and Internet of Things (IoT). It is the world which will radically change the way we manage. Every industry is leveraging the transformational technologies of today to achieve the competitive advantage. Above all, Human Capital or Human Resource Industry is the one that experienced a definite upsurge in a tremendous number of innovative tools, systems and technologies of HR.
The Result – The way we organise, manage and lead ourselves in the modern work world is undergoing a deep-seated change.
According to the CB Insight Research, in the year 2015, HR Technology industry received more than 2 billion dollars in investment capital, powering a growing ecosystem of neoteric tools for sourcing, recruitment, learning, performance management, employee engagement and feedback.
1. Replacement of outmoded HR Technology is time sensitive
A remarkable shift will accelerate from conventional licensed HR tools and technologies towards cloud-based systems. The arrival of investment capital in the space, organizations can now purchase easy to use cloud-based platforms for core HRMS, talent and performance management, employee communication and online learning as well as employee engagement.
Why should you invest in cloud-based systems?
These cloud-based platforms, which have presently been on the market for more than five years, are now trusted, enterprise and mature class. More significantly, they are bringing some remarkable new functionality and technology in the market.
2. The Partner Ecosystem is rising
The ubiquity of cloud-based HR tools and applications empowers you to do everything faster, better and at scale. It is crafting a demand for a unified technology solution. Today, HR software companies are inclined more towards fit-for-purpose processes and start braiding their products together to shape an “ecosystem”. As a result, we will witness all-in-one extensions of core HR data all over other business functions.
A smooth and intelligent integration will ensure data remains accurate and clean as well as eliminate double handling.
3. Digital HR is a new battleground
The evolution of digital work and life is pushing us to volte-face HR from top to bottom, answering following concerns:
– What are tools we use?
– How we design programs?
– How we roll out the ideas?
– How we communicate solutions?
It is a right time to think about the HR applications not as the “programs or systems” but as “platforms”. We must quantify the success by the rate of adoption. For instance, if new HR technology does not become famous among your recruitment team or hard to use, you better go back to your drawing board.
4. Reinvention of Talent Management
There is no deny that concept of Talent Management is now about a decade old, organizations are now entirely reconsidering the way we manage people. The world of recruitments, training and performance management are now employee driven. Also, succession planning is actively opting the young people for the leadership role.
Just as in the year 2000, the talent management software market exploded. Once again the new innovative vendors of HR technology are now disrupting the market.
However, if you see the big picture, you know these tech companies are focussed on assisting organizations to improve the employee/candidate experience in the digital work world.
5. More value from Big Data
The growth of big data just arrives, it has not yet reached to its half-life. Big Data represents many prospects to organizations to improve the operational intelligence and make a strategic decision faster by eliminating the data “islands”, playing with the numbers and relating apparently disparate data to achieve new insights.
Both living and working in this digitalized work world is both exciting and ‘hard’ – overwhelming streams of data create stress. To combat the digitalisation of HR, it is imperative to have more focus on simplicity, more design thinking and lot of efforts to become opportunist and tap the right talent at the right time with right sets of tools.