Articles and Overviews

HR Automation: trend or necessity?


8 September 2020

HR Automation: trend or necessity?

Processes automation facilitates the work of HR team, frees up time for talent hunting, increasing employee loyalty and HR brand developing. Let’s take a look at what to automate first, what to delegate to the chatbot, and what digital skills are worth developing for this.

HR! There’s not time to explain – digitalize!

Technology is making excel spreadsheets, mandatory offline communications and paperwork a thing of the past. To remain competitive and improve performance, it is important for companies to automate business tasks, including those of HR departments.

Every third company has digitized payroll and employee data management

First of all, a business automates processes that affect profits: financial management, production, sales, purchases. Every third company has digitized payroll and personnel records. During the quarantine period, corporate knowledge bases started being introduced to train and track the progress of employees. Companies have partially optimized the time of HR teams. But it is too early to talk about full automation of the personnel management sphere in Ukraine. Despite the fact that HR processes – such as recruiting, adaptation, performance assessment, training and building individual development plans for employees – significantly affect the business, the HR sector remains the least automated one.

Where to start? First HR processes to be automated

Out with the routine!

Entering candidate data, sending invitations to interviews and preparing job offers are routine tasks that should be delegated to the system in order to free up the time of HR specialists to solve the company’s strategic tasks.

Remember how long it takes a T&D manager (Training & Development) to moderate offline training: sending invitations, printing materials, finding a lecture hall, arranging travel for trainers, collecting feedback and other issues? But their tasks also include building development plans for employees, agreeing on a training schedule, monitoring knowledge and escalating results for making management decisions. These are increased labor costs.

Digital technology is driving productivity exponentially. But the effective combination is “innovation + human” who controls, moderates and optimizes technologies for specific company needs. HR specialists are needed to make strategic decisions, form KPIs and search for talent, and an HR process automation system is needed to digitalize routine tasks and mechanical work.

Mature HR. 4 phases of digital HR maturity

The concept of Digital Maturity today applies to both life and business. The adaptation to remote work is over, and the next challenge is to maintain and improve the efficiency of work in the new conditions. According to Dave Ulrich, the world’s most influential HR expert, the digital HR journey of a company includes four phases of maturity:

  1. The effectiveness of staff management. Companies invest in technology platforms that drive HR processes.
  2. HR performance. Technologies are used to modernize specific HR processes: recruiting, adaptation, training, performance management, communication.
  3. Information. Internal and external data are combined and become available for analysis. Analysis results are used to draw business conclusions and make decisions.
  4. Communication and experience. Digital HR is used to create a sense of connection and belonging between people.

Technologies enable optimizing any business process

To get results from digitalizing human capital management, consider 4 steps:

  1. define and decide which business processes need to be automated,
  2. describe the selected business processes,
  3. list the operations that are performed in each of them,
  4. prioritize the most time-consuming and ineffective processes.

Digital HR assistant. What to delegate to a chatbot?

Recruiting that works on its own

Technology itself is not a goal. It helps fulfill the tasks of the HR team and optimize the time of employees. IT solutions for HR enable automating several business processes at once, which has a complex effect on the “HR > candidate > employee > company” relationship.

A good example of using technology is a chatbot.

This is an interactive and more informative way of working with the candidate than the page on the company’s website with frequently asked questions (FAQ). The chatbot introduces a job seeker to the list of vacancies and helps to respond to the selected one in one click.

By improving internal communications, the chatbot makes it easier to consolidate absence requests, registration for events and filling out feedback forms. The HR team does not process applications manually, the risk of losing information or making a mechanical mistake is reduced.

It is imperative to understand the ultimate goal of using technology, that is to create a digital HR strategy. Once you understand the business goal, the achievement tool is a secondary concern.

HR Digital Skills

Digital transformation is an ongoing process, and the speed of technology development is ahead of human adoption. Digital transformation is possible if technology is intuitive to users and has value to the employee and the company.

40% of jobs require digital skills upgrading and 5% of workers require complete retraining to be able to move to new workplaces in the next 10 years.

— A Dutch study,
Labor In Transition – How Man And Technology Can Work Together

Programs and technologies are updated daily, they need constant technical support. To ensure this, it is important for professionals to develop digital skills.

To remain in demand, it is important for HR professionals to develop digital thinking and skills, be able to use HR systems and get results from interacting with functional modules. These skills include knowledge of the basics of cybersecurity, understanding of digital trends, knowledge of instant messengers, the ability to use task trackers, and the ability to manage projects. But the list is supplemented and transformed every day.

7 Benefits of HR Process Automation

It is necessary to implement automation in stages, since there is a risk that the chaotic process will not simplify the work of HR, but will exacerbate the situation. At the same time, competent digitalization of personnel management saves not only time and money, but also other resources.

7 benefits of HR automation are the following:

  1. Organized bulk recruiting thanks to the response management system: saving and processing requests, replenishing the candidate database, accelerating the search and attracting applicants.
  2. Optimized onboarding process for newbies with online checklist and reminders.
  3. Reduction of labor costs for operational activities: processing of incoming documents, preparation of outgoing certificates. The result is a positive HR team reputation.
  4. Training employees in a convenient place, at a convenient time and using a convenient mobile interface.
  5. Improving the quality of internal communications. Thanks to the personnel accounting system and the database, employees can quickly receive the necessary information.
  6. Minimization of errors in HR-reports: the system independently generates reports according to the specified filters and makes it possible to keep track of working hours, wages, tax deductions.
  7. Following the company’s strategy, without being distracted by routine processes. Vision of HR strategy in perspective and consistent implementation of KPIs.

Automation of processes facilitates the work of HR managers, frees up time for talent search, work on boosting employee loyalty and developing the HR brand. In addition, there is no longer any need to work in 2-3 programs: all information is stored in a single system, and the data does not need to be duplicated.

Digital transformation doesn’t always go smoothly. But resistance to everything new is natural. Change your approach to work and your HR mindset, understand the scale of long-term benefits and the evolution of solutions that include cloud computing, mobile apps, corporate social media, analytics, staff recruitment, onboarding and training platforms!

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8 September 2020

HR Automation: trend or necessity?

Processes automation facilitates the work of HR team, frees up time for talent hunting, increasing employee loyalty and HR brand developing.

Share:
Автор:
Mariia Matsulevych

HR Automation: trend or necessity?

Processes automation facilitates the work of HR team, frees up time for talent hunting, increasing employee loyalty and HR brand developing. Let’s take a look at what to automate first, what to delegate to the chatbot, and what digital skills are worth developing for this.

HR! There’s not time to explain – digitalize!

Technology is making excel spreadsheets, mandatory offline communications and paperwork a thing of the past. To remain competitive and improve performance, it is important for companies to automate business tasks, including those of HR departments.

Every third company has digitized payroll and employee data management

First of all, a business automates processes that affect profits: financial management, production, sales, purchases. Every third company has digitized payroll and personnel records. During the quarantine period, corporate knowledge bases started being introduced to train and track the progress of employees. Companies have partially optimized the time of HR teams. But it is too early to talk about full automation of the personnel management sphere in Ukraine. Despite the fact that HR processes – such as recruiting, adaptation, performance assessment, training and building individual development plans for employees – significantly affect the business, the HR sector remains the least automated one.

Where to start? First HR processes to be automated

Out with the routine!

Entering candidate data, sending invitations to interviews and preparing job offers are routine tasks that should be delegated to the system in order to free up the time of HR specialists to solve the company’s strategic tasks.

Remember how long it takes a T&D manager (Training & Development) to moderate offline training: sending invitations, printing materials, finding a lecture hall, arranging travel for trainers, collecting feedback and other issues? But their tasks also include building development plans for employees, agreeing on a training schedule, monitoring knowledge and escalating results for making management decisions. These are increased labor costs.

Digital technology is driving productivity exponentially. But the effective combination is “innovation + human” who controls, moderates and optimizes technologies for specific company needs. HR specialists are needed to make strategic decisions, form KPIs and search for talent, and an HR process automation system is needed to digitalize routine tasks and mechanical work.

Mature HR. 4 phases of digital HR maturity

The concept of Digital Maturity today applies to both life and business. The adaptation to remote work is over, and the next challenge is to maintain and improve the efficiency of work in the new conditions. According to Dave Ulrich, the world’s most influential HR expert, the digital HR journey of a company includes four phases of maturity:

  1. The effectiveness of staff management. Companies invest in technology platforms that drive HR processes.
  2. HR performance. Technologies are used to modernize specific HR processes: recruiting, adaptation, training, performance management, communication.
  3. Information. Internal and external data are combined and become available for analysis. Analysis results are used to draw business conclusions and make decisions.
  4. Communication and experience. Digital HR is used to create a sense of connection and belonging between people.

Technologies enable optimizing any business process

To get results from digitalizing human capital management, consider 4 steps:

  1. define and decide which business processes need to be automated,
  2. describe the selected business processes,
  3. list the operations that are performed in each of them,
  4. prioritize the most time-consuming and ineffective processes.

Digital HR assistant. What to delegate to a chatbot?

Recruiting that works on its own

Technology itself is not a goal. It helps fulfill the tasks of the HR team and optimize the time of employees. IT solutions for HR enable automating several business processes at once, which has a complex effect on the “HR > candidate > employee > company” relationship.

A good example of using technology is a chatbot.

This is an interactive and more informative way of working with the candidate than the page on the company’s website with frequently asked questions (FAQ). The chatbot introduces a job seeker to the list of vacancies and helps to respond to the selected one in one click.

By improving internal communications, the chatbot makes it easier to consolidate absence requests, registration for events and filling out feedback forms. The HR team does not process applications manually, the risk of losing information or making a mechanical mistake is reduced.

It is imperative to understand the ultimate goal of using technology, that is to create a digital HR strategy. Once you understand the business goal, the achievement tool is a secondary concern.

HR Digital Skills

Digital transformation is an ongoing process, and the speed of technology development is ahead of human adoption. Digital transformation is possible if technology is intuitive to users and has value to the employee and the company.

40% of jobs require digital skills upgrading and 5% of workers require complete retraining to be able to move to new workplaces in the next 10 years.

— A Dutch study,
Labor In Transition – How Man And Technology Can Work Together

Programs and technologies are updated daily, they need constant technical support. To ensure this, it is important for professionals to develop digital skills.

To remain in demand, it is important for HR professionals to develop digital thinking and skills, be able to use HR systems and get results from interacting with functional modules. These skills include knowledge of the basics of cybersecurity, understanding of digital trends, knowledge of instant messengers, the ability to use task trackers, and the ability to manage projects. But the list is supplemented and transformed every day.

7 Benefits of HR Process Automation

It is necessary to implement automation in stages, since there is a risk that the chaotic process will not simplify the work of HR, but will exacerbate the situation. At the same time, competent digitalization of personnel management saves not only time and money, but also other resources.

7 benefits of HR automation are the following:

  1. Organized bulk recruiting thanks to the response management system: saving and processing requests, replenishing the candidate database, accelerating the search and attracting applicants.
  2. Optimized onboarding process for newbies with online checklist and reminders.
  3. Reduction of labor costs for operational activities: processing of incoming documents, preparation of outgoing certificates. The result is a positive HR team reputation.
  4. Training employees in a convenient place, at a convenient time and using a convenient mobile interface.
  5. Improving the quality of internal communications. Thanks to the personnel accounting system and the database, employees can quickly receive the necessary information.
  6. Minimization of errors in HR-reports: the system independently generates reports according to the specified filters and makes it possible to keep track of working hours, wages, tax deductions.
  7. Following the company’s strategy, without being distracted by routine processes. Vision of HR strategy in perspective and consistent implementation of KPIs.

Automation of processes facilitates the work of HR managers, frees up time for talent search, work on boosting employee loyalty and developing the HR brand. In addition, there is no longer any need to work in 2-3 programs: all information is stored in a single system, and the data does not need to be duplicated.

Digital transformation doesn’t always go smoothly. But resistance to everything new is natural. Change your approach to work and your HR mindset, understand the scale of long-term benefits and the evolution of solutions that include cloud computing, mobile apps, corporate social media, analytics, staff recruitment, onboarding and training platforms!

Share: