The majority of the time, HR professionals and managers who oversee employees inevitably struggle to stay on top of new ways to implement processes and policies to find new talent, keep existing employees happy, improve company culture and moral, or at the very least, keep their company compliant just to get by. All of that is put into place in hopes of finding and hiring high performing employees and increasing employee retention rates which ultimately affect the bottom line of each company.
Tech companies have come to the rescue and consequently innovation in HR technology is at its peak, much of it in human resource management system (HRMS) platforms. According to Josh Bersin, a global research analyst and Founder at Bersin by Deloitte, “Investors, seeking the next big thing in breakthrough technology, plunged more than $2 billion into HR tech systems and platforms in 2016.” Investments and development is continuing well into 2018, with this growth driven by a shift to mobile HR applications as well as more robust analytics. Bersin also adds “Everything is changing, and quickly—including the types of technology HR professionals use, the experiences those systems deliver and the underlying software designs—making many of the traditional HR systems purchased only a decade ago seem out of date.” In order to stay current, management teams and HR professionals need to stay on top of where the world of HR technology is heading.
The Rise of Applicant Tracking Systems
Today’s recruitment and talent acquisition market is enormous—an estimated $240 billion in the United States alone based on research by Bersin by Deloitte. This massive market focuses on tools to help companies:
- Streamline the recruiting process to hire qualified talent
- Use job description templates to post to multiple job boards
- Organize and rate candidates to quickly move them through the funnel
- Facilitate video interviewing, background checks, and drug screenings
- Administer test and assessments required for each position
- Market and brand the company
When an unforeseen circumstance occurs where a position needs to be filled immediately, management teams and HR professionals know how critical it can be to find and hire the right talent in a short amount of time. Cyclical and seasonal companies also recognize the importance of having an effective process when the time comes to ramp up the hiring process.
Company Trends in Onboarding
As HR professionals know, the process of hiring and onboarding a new employee can be time consuming, especially if your company has high turnover or is rapidly growing. Advancements in HR technology have now given companies the ability to implement a completely paperless onboarding process. With an upward trend in companies adopting new technology, especially as millennials continue to dominate the workforce, advancements in onboarding technology allow HR professionals to do the following:
- Customize multiple onboarding templates for different employee groups
- Have new hires go through a self-paced onboarding wizard when HR triggers the process
- Allow new hires to fill out and upload supporting tax documentation (W-4, I-9, Direct Deposit information) and electronically sign documents
- Auto-generated email notifications to keep HR and hiring managers abreast of the new hire’s progress and whenever approvals are required.
Transformation of Performance Management
Josh Bersin provides the following insight about performance management: “For almost five years, companies have been throwing away ratings, adding check-ins, developing agile goal systems, and making performance management much more data-driven and team-oriented. But there have been almost no tools in the market to automate this—until now.” Software advancements allow for the following:
- Customize performance review templates with built in wizard tools to guide the creation of questions to help assess performance.
- Set up alerts to all parties involved when reviews are coming up and actions required by each person to complete the process
- Set up follow -up action plans which employees can view in their self-service portals to facilitate transparency and accountability
Although it can take additional staff and budget to implement HR software technology to transition your organization into a more effective and efficient one, doing so can mean the difference between staying competitive in the marketplace or slowly being swallowed by competitors who do so.