How Digitalization Is Changing HR FunctionsIf your office continues to run on manual or analog, you might wonder what digitalization looks like for your HR department and what you might do differently. Think of HR digitalization as taking the best of modern technology and tried-and-true practices and combining them for a streamlined operation. As mentioned above, SMAC is a vital component of the digital paradigm. However, you also need to draw on and align with traditional methods — including structure, corporate culture, talent and well-designed HR processes — in order to balance and complement the innovation and efficiency that digitalization brings to the table. Put together, the traditional and the modern concepts work in tandem to bring true innovation to your HR department.
How Is Digitalization Changing HR Functions in Tangible Ways?The HR digital transformation occurs in four key phases:
- HR efficiency: The HR efficiency phase requires businesses to invest in new technologies while also building platforms that efficiently manage various HR processes through existing technology providers.
- HR effectiveness: When committing to the HR effectiveness phase, use technology to upgrade people managing practices, such as onboarding, performance management and communication.
- Information: During this phase, you will provide information to impact business operations, make data accessible, combine internal and external data, and leverage people and culture analytics to create and later evaluate business-relevant insights.
- Connection and experience: This final phase is when you leverage digital technology to create and foster a true connection among your people. Leveraging social networks, individual experiences and the available technology enables you to develop a stronger feeling of belonging for everyone.