How Technology is Changing HR
The workplace is evolving and HR departments are having to keep pace. The demands of today’s employees are entirely different to those of a decade ago. HR teams are, however, blessed with a raft of new technologies to meet these demands. Automation tools, remote working options, wearable devices… there are more tools available to HR for effective management of a company’s workforce than ever.
HR departments in companies of all sizes are exploring ways to utilise these, and not only in tech. Everyone from fast-growing startups to corporations is using technology to solve workplace issues. We’ve collected a few of the most promising that we’ve seen first-hand.
Using AI to Optimise Recruitment
AI consultancy company CognitionX is actively tracking 300 AI vendors who offer recruitment technology.
Finding the right person for the job is fundamental to shaping a successful company. It can also be woefully time-consuming. Writing a comprehensive job description, sifting through applications, and organising various rounds of interviews… these things take time.
There is a solution, though. AI recruitment platforms are a fast-developing branch of HR technology. In fact, AI consultancy company CognitionX is actively tracking 300 AI vendors who offer recruitment technology. One of these is HireVue, which uses AI to analyse and screen candidates, organise schedules for video interviews, and even track facial expressions and body language during these interviews. This may sound sinister and is still an inexact science, but its potential is huge. By freeing up HR resources, they no longer have to waste time on candidates who are never going to cut it and can focus on those that will.
Using AI to Increase Inclusion and Fairness
Companies with policies that encourage the retention and promotion of workers across the race, sexual orientation, and gender spectrum were more innovative and released more products.
Diversity and pay have been arguably the two major workplace issues of the last few years. It is important that companies get it right, both because it’s fair and because so many studies have shown how beneficial diversity is for both innovation and the bottom line. A 2015 McKinsey report on 366 public companies found that those in the top quartile for ethnic and racial diversity in management were 35% more likely to have financial returns above their respective industry means. Another study called “Do Pro-Diversity Policies Improve Corporate Innovation?” in the journal Financial Management, found that companies with policies that encourage the retention and promotion of workers across the race, sexual orientation, and gender spectrum were more innovative and released more products.
One solution is in automated analytical software. This can help you better understand the drivers of performance, use statistics to make recruitment decisions, and establish the factors that impact retention rates, such as salary, distance from the office, and team manager. Data visualisation software can then break down all the information to understand why. It also provides a demonstrable way of showing senior staff where your company is failing, and inspire them to do something about it.
This begins at the hiring process, and continues all the way through. For example, one company found that very few women were going for certain promotions. When asked why, they said that they only met 80% of the necessary attributes. However, many male applicants were going for the role that had far fewer of the skills needed. This company now looks at transferable skills when writing job postings, rather than mandating specific areas.
Blockchain in HR
Blockchain smart contracts allow freelancers and their clients to reach agreements while avoiding confusing region-specific issues.
The workforce is not as sedentary as it once was. A 2018 study found that 1 in 3 US workers identified as freelancers. This form of employment is opening up possibilities of cross-border working. As such, there are challenges that freelancers face — challenges that HR use of blockchain technology can address.
Freelancers often work for clients around in other countries. These have differing employment laws and regulations that affect contractual processes. Blockchain smart contracts allow freelancers and their clients to reach agreements while avoiding confusing region-specific issues.
Blockchain can also be used to facilitate cryptocurrency payments, which gives freelancers more flexibility when dealing with payments.
Employee Wellness and Development
Company perks are an important aspect of personal and professional development. Many now assign budget for fitness courses and other activities that promote physical wellbeing. Most also have individual training budgets for career development. HR can organise these programs through internal systems. These ‘hubs’ serve as a convenient shared portal, making access and confirmation easier than ever to ensure no one misses out.
Collaborative Working Applications
Adoption of new collaborative tech has given HR departments direct access to employees. Google Drive and Slack are two of the best examples of this. They enable document sharing and out-of-office communication for all employees. HR departments can also collaborate easily with various departments on important projects.
At Primalbase, we see our tenants utilise new technologies to run their HR operations in increasingly innovative ways. Flexibility is an essential component for finding new solutions to existing workplace issues, which is what we’re all about. If you’re looking for a flexible setting for your business, book a tour at one of our offices today.
