Future of HR Management

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The future of HR faces a multitude of challenges. Part of this future lies in the continued diversification of the workforce and services offered by the company to meet the needs of the population or its components. At the same time, this will go hand in hand with the administration’s responsibility to provide new management strategies. In recent years, this has become an essential part of diversity management. It is the practice of taking into account the multiple lifestyles and personal characteristics within defined groups. Diversity management can be applied to all types of organizations. Diversity in the workplace is a central topic in modern organizational management.

Human Resource Management is an essential part of every company. Whether it is about hiring new employees, training or complying with local labor laws, personnel processes are an integral part of every company. But HR is generally seen as a very manual departmental process. They are used to roll up your sleeves and do the work yourself. But all this is changing. Automation is penetrating into a simple HR system, and very soon everything that can be automated will be automated. Existing HR employees must adapt to future changes or be left behind. What does this mean for HR today and in the future? Will employees become obsolete? Will they find that their professional role is different from what is expected of them? Let’s take a closer look.

Many studies provided evidence of the benefits for companies that can effectively manage diversity, including improved business performance. Diversity management is closely linked to employee group performance and overall job satisfaction. Also, the impact of diversity management on employees can be further explained by observing the company’s inclusive nature and culture. The impact is influenced by transformative leaders and administrators who actually implement diversity management skills.

Another major HR challenge for companies is how executives manage collaboration and contracting with other companies. Networks can add value to businesses. But it’s not an easy process. Instead, managers need to be aware of the skills required for successful collaboration. Strategic thinking and strategic management are two skills that help directors work together ethically and effectively. In collaboration, intergovernmental relationships can create and expand organizational dynamics that go beyond the immediate circle of an organization. However, cooperation requires administrators to be able to cope outside their isolated island. This capacity should take into account the objectives, roles, and values of other organizations with which we work.

In addition, the inclusion of technology as a communication, liaison and evaluation tool can be a challenge for staff. While technology has the potential to help companies improve and more effectively communicate, it also has an increased need for regulation and oversight. Technology can be a random factor within companies. This contingency relates to the organizational design of formalisms, centralism, complexity, configuration, coordination, control and incentives. The technology could be used as a transparency tool. However, it should be controlled and regulated by the directors.

Effects on future personnel offices

If an office can make proactive long-term internal and external efforts to manage diversity, cultural competence can be improved. This, in turn, can lead to higher results within the organization. When it comes to collaboration, this component, when well managed, can produce positive results for a company. According to a 2004 study by Page, effective networks can lead to innovation, learning, and greater accountability. In addition, technological advances allow new internal and external communication channels. HR offices must be aware that technology can be used as a tool to improve the business. However, technology has both monetary and learning costs. For example, if an officer decides to introduce a new payment processing system, the company will have to pay more than the new technology. It must also pay for the time it takes for employees to learn how to use the technology properly. If they do not learn to use the technology correctly, the results may be worse.

What is HR automation?

HR automation is about increasing HR efficiency by freeing people from time-consuming manual tasks and allowing them to focus on complex tasks such as decision-making and strategy development. By automating standard and repetitive HR activities, organizations can reduce the cost and time of manual workforce planning and processing.

Strategic personnel management through automation

Strategic Human Resource Management identifies the best long-term opportunities for HR talent that arise from HR data. Traditional HR management has primarily implemented policies at the highest level. Through strategic automation, HR teams can reduce paper redesign and focus on more strategic HR roles such as talent forecasting, succession planning and more.

Benefits of HR Process Automation

With workforce automation, organizations can quickly and cost-effectively design, streamline, integrate, and deliver the services they need. When properly implemented, automation can bring significant benefits to human resource management.

Here are eight key benefits of HR automation:
  • Improved productivity through rapid data processing and sharing
  • Reduction of employee fluctuation through greater employee commitment
  • Reduction of storage and printing costs in connection with paper-based processing
  • Keep away from the risks of non-compliance or policy violations
  • Increase business growth through efficient hiring and optimal operating costs
  • Reduce capture errors and lost/misplaced documents
  • Make intelligent business decisions with meaningful reports
  • Collaborate with other stakeholders to hire, train and retain skilled workers
  • More time to analyze HR data to make smart business decisions

The reason why HR processes are not automated can be a problem

If you do not automate your HR process, the problem can get worse as your business grows. Here are some reasons for this;

1. Loss of efficiency

If you do not automate repetitive and tedious tasks, you lose efficiency. Your HR staff will spend their time on monotonous and unproductive tasks.

2. Error-prone

Tasks such as timesheet verification, payroll calculation, and annual leave verification can be easily performed by a single machine. But if it is done by people, it could open the way to mistakes. Once implemented, automation does it perfectly and without error, unlike its human counterpart.

3. New candidates may have a bad experience

Candidates have discouraging experience if the HR department does not work regularly with them. That’s easier said than done. HR employees are overwhelmed by a plethora of other tasks, making them forget or miss their return to candidates without knowing it. It is a bad hiring experience, and even if they are finally hired, it is inevitably a bad taste in their mouths.

When we think of science fiction, we often think of pictures of flying cars, butler robots and flying boots. It’s easy to forget that science fiction also exists in the business world. And like in our favorite movies, some fantastic ideas become part of everyday life.

They may not be as conspicuous as a time travel through DeLorean, but for technology hungry companies they offer the opportunity to develop their employee engagement in a way that was hard to imagine ten or twenty years ago. This is particularly true in the area of human resource management, which has been transformed by the emergence of social media and virtual sharing.

In 2019 and in the near future, HR management software will go beyond its core functionalities of performance management, recruitment, time tracking, training, and other standard functions.

These functions are still an integral part of the technology, but more advanced tools are emerging. Automation is a central theme of HR innovation, as many functions are fully digitalized and no human intervention is required.

Here are few of the advanced tools;

1. Artificial intelligence/machine learning

The transition to artificial intelligence (AI) is an important trend in the entire software industry and the future of HR software is no exception. A 2018 LinkedIn survey showed how AI is willing to influence recruitment. Seventy-six percent of recruitment managers and recruiters believe that the impact will be at least “slightly significant”.

The survey revealed that the search for candidates (58%) and the screening of candidates (56%) are the two most important areas where AI will be most useful. The survey of candidates ranked last shows that AI is not a panacea. People are always superior when it comes to dealing with complex and nuanced situations.

The biggest advantage of AI is the simplification of the reading of application documents. Instead of relying on an HR professional to complete hundreds of resumes and cover letters, companies can use an AI system to get the job done quickly.

An additional advantage in the field of HR software is the analytical assessment of candidates, free of bias or human error. Ideally, this leads to a more qualification-based selection of employees. AI provides human resources departments with a tool for accurate employee analysis, from application to ongoing performance evaluation.

2. Robotics and autonomous agents

Chatbots are another major human resources trend in the field of artificial intelligence. Many suppliers already integrate chatbots into their HR systems to respond to employee inquiries. Jeremy Nunn cites “issues related to pay, leave, social benefits and their general rights” as common issues. With a chatbot answering the questions, HR departments can avoid these questions which “can be both repetitive and tedious”. Nunn continues: “These robots can act as self-service platforms that allow HR staff to focus on more complex and urgent issues that deserve their attention.

Every year, robotics continues to evolve in terms of task diversity and capacity. Although the most discussed example is the self-propelled car, it is possible that in the future, robots will become internal guardians and share information. They will accelerate communications and increase productivity by providing instant access to the right data at the right time.

While this is unlikely to happen in the next 12 months, it will be interesting to see how intelligent systems (such as Siri and Alexa) are beginning to play a role in talent management. It is not difficult to imagine that RNs employed as recruitment assistants, for example, would be responsible for finding and presenting data on candidates upon request.

Other possible uses of chat rooms in HR include supporting learning initiatives.

“Voice search and artificial intelligence assistants like Alexa or Google[are] starting to be a basic feature within HCM,” explains Matt Charney of Recruiting Daily. These voice-activated features, such as chatbots, will answer employee questions and reduce the need for HR departments to respond to repetitive requests.

3. Virtual and augmented reality

The term “virtual reality” is very familiar nowadays, and headlines are mostly associated with the game. Although one can easily assume that personal and gambling worlds are separate, augmented reality is in some way concerned with the construction of new worlds. With regard to the trends in personnel technology, this can be extended to training scenarios.

It would be much cheaper (and in some cases safer) to offer in-house training in virtual environments. In fact, the impact on workplace learning is significant, as real tasks are expected to be combined with virtual instruction. This would allow employees to see the learning instructions when participating in practical activities.

4. Performance management and real-time feedback
A digital human resources management platform allows companies to move away from the traditional cycle of performance assessment. It is no longer necessary to schedule long and tedious meetings and to limit the evaluation of performance to a monthly or annual frequency. Thanks to human resources management software, employees can receive constant feedback in real-time. In addition to the logistical benefits, real-time feedback “provides senior managers with the opportunity to engage in meaningful and forward-looking discussions with employees about their professional and personal development, resulting in increased engagement and productivity,” explains Cushman Biswas, a human resources specialist. In other words: “It is more constructive to have an open dialogue on employee contributions throughout the year”.

Feedback will also evolve to see “the increased use of VR for performance management, evaluation, and screening,” says Charney.

5. Biometric time registration and security
Biometric clocks use biological markers to identify employees and minimize the risk of presence fraud. Common methods of biometric time registration are fingerprint scanning and face or iris recognition. Through a biometric time tracking system, the identification of these unique physical characteristics ensures that hours are assigned exactly to the right employee.

“One of the many benefits of biometric technology is to stop the misuse of “buddy punching”, which is the process of joining one employee to another. Chuck Leddy of ADP explains: “Another benefit of biometric technology is the ability to automatically interrupt employee access to computer systems once the employee is out of time, protecting the company from potentially costly class actions by employees who claim to have worked after hours.

By minimizing time theft, the increased accuracy provided by biometric time tracking saves companies money. An additional level of security through the use of biometric technologies can also offer the advantage of tracking commercial real estate.

Conclusion

By being aware of these upcoming HR changes, offices can have a solid strategic plan and be prepared to mitigate problems as much as possible. The organization could prepare by creating a Gantt chart with a schedule of planned changes, when they will occur and the primary responsibility for the change. Other offices may find it more advantageous to restructure their organizational structure. In doing so, the office could organize itself around the person who could effectively make the necessary changes within the organization. It would be important for the office to consult its budget and financial plan to anticipate changes that can be made within a given time frame. The future of HR is bright as long as the offices are ready to meet the challenges that come with it.

If you’re looking for an automated Human Resource Management system, we suggest you IceHrm which is one of the best HRIS systems which has so many HR functions automated into one system.

IceHrm is a Human resource management system for small and medium-sized organizations. This HRM software centralizes employee data and allows only one authorized person to access it, providing a high level of security. The presence module monitors employee time based on information about insertion and perforation. It covers all the basic HRM needs of a company such as Time Management, Attendance Management, Expense management, leave management, Recruitment management and handling employee information.

Key Features of IceHrm

  • Payroll Management
  • Time & Attendance Management
  • Document Management
  • Employee Self Service Management
  • Performance Management
  • Performance Appraisal
  • Benefits Management
  • Attendance management
  • Email Integration
  • Project Management
  • Workflow Management
  • Dashboard
  • Employee Lifecycle Management

Unlike the other popular HRM software, you can use one system for all HRM functions. As the other HRM software tools are designed for specific HRM functions separately, using IceHrm will benefit you to utilize all HRM functions in one software. There are three different editions in IceHrm. Each edition has different features. You have a choice to select which edition will suit your organization according to your HR requirements in the organization. Also, you can purchase the IceHrm software based on the number of employees in your organization.