Technological innovation has taken hold in the world and in companies, and the human resources sector has not been immune to this. It is therefore not surprising that the use of technology is making a strong presence in the management of this sector, whether it be for attracting, recruiting and retaining talent or for the development and monitoring of employee performance, for example.

Read on, because in this article we will explain how technological innovation in human resources has revolutionised and changed the way human resources are managed with a view to strengthening this area in organisations.

The impact of technological innovation on human resources

Technological innovation impacts business in general and human resources in particular. For example, through technological applications and tools for human resources, the work and management of this area can be enhanced while transforming the organisation and the way it works.

Likewise, the HR area has a fundamental role to play in the transformation of the company and its culture, as it is necessary that the application of technologies is accompanied by a change in corporate culture and in this, precisely, human resources can help to consolidate the digital transformation in a company.

Digital innovations and major changes in human resources

Here are some of the main technological and digital innovations in HR that you should consider:

Being able to listen better to employees. Traditional surveys have given way to other employee listening strategies to find out what employees think, feel and need in their jobs, with the aim of doing so in real time or as close to it as possible. This is how, thanks to digital innovations, pulse, incorporation, permanence and/or exit surveys are installed, as well as an electronic box for receiving comments, for example, to be able to listen, analyse and act on the basis of what they say.

All-in-one platforms. Here the bet is to have a platform that can bring together as much as possible in itself. That is to say, that concentrates most of the tasks and also covers each of the stages of the life cycle of people in organisations. On the one hand, this facilitates the work of the HR team, who can now concentrate on the strategic and not the operational, and this also translates into cost and time savings.

People Analytics and AI. Using People Analytics allows you to combine data analysis and statistics with human resource management, in order to leverage employee information and data to make more informed and strategic decisions. This, among other things, allows to know more about performance and productivity; to know more about motivation, engagement and satisfaction; and to evaluate performance, for example.

When it comes to artificial intelligence (AI), there are tools that help you perform time-consuming tasks that make processes less efficient. In addition, there are also those that focus on streamlining recruitment processes and allow for unbiased analysis of applicants’ CVs.

Metaverse. There is a lot of talk about metaverse, but it is not always clear what it is: it is a digital reality, or rather a second digital reality, in which you can interact with friends, work with colleagues or have a job in the digital space, to name a few examples. Thus, the design and implementation of workspaces that mix Metaverses and augmented reality seek to favour interaction between leaders and collaborators in hybrid work models. All of this increases commitment, the sense of belonging, strengthens the employer brand, and thus increases the organisation’s productivity.

Gamification. Gamification is more than just playing games, it is applying the dynamics of games to the professional and work environment. For example, you can gamify performance evaluations, the recruitment process, the use of benefits, point incentives, wallets and even the delivery of rewards or compensation to workers.

HR and fintech solutions. Technological innovation in human resources has also been aimed at offering innovative financial services to employees through financial benefits and incentive programmes, cashback and salary advances, for example, which have a positive impact on workers.

Data security and privacy. This is primarily about ensuring that workers are confident that the data a platform collects about their behaviour and personal information is secure. This means complying with international data protection regulations, which HR needs to consider.

Benefits of digital innovation for the HR area

There are a number of benefits or advantages associated with the use of digital or technological innovation in this area, both for the company and for the employees or workers of a company. Take note, we break it down below.

Business benefits 

Here we break down some of the advantages or benefits of technological innovation for businesses: 

• Improve internal communication. Technology has made communication easier, especially in terms of the speed it brings, for example through emails, text messages and other instant messaging applications such as Slack, Teams, Basecamp or others.
• Employee data analysis is simplified. Today’s software and applications make it easier to analyse performance data.
• Data can be easily collected and used to analyse the performance of workers.
• It makes the recruitment process easier. Certain technological tools and especially AI help to be a kind of automated filter, especially in the early stages of the recruitment process, to detect the skills in the CVs of applicants.
• Improved efficiency. Human resources, before the implementation of technological innovations, spent much of their time on administrative tasks, and with this change, they can focus on other tasks. The tools also help data to be recorded more systematically and be more readily available when needed.
• Attracting and retaining talent. The use of technology creates a positive image of the company and this, in turn, attracts the attention of applicants who will rate the organisation above others.
• Errors are limited. Digitisation is a sign that certain tools make it possible to eliminate or limit errors. This is because these types of tools or techniques are standardised, fluid and less prone to risk than non-digitised processes, where the human factor can lead to error.

Employee benefits 

• They foster collaboration and improve communication. Digital transformation eliminates indirect communication, slow response times, repetition or redundancy, loss of information and inefficient exchange of ideas. This helps employees’ work performance as well as the company. Above all, it can strengthen ties and improve communication between employees.
• More flexibility. In some ways, technological innovation benefits labour flexibility, especially in relation to remote work, favouring both the employee’s timetable and the employer by monitoring what the employee does.
• They favour time management. If technological innovation is applied, and information is kept in the cloud, for example, it is kept within reach in an orderly manner, which aids the search for documents.
• They foster motivation and productivity. Some of the innovations encourage motivation, and this also has an impact on productivity. And a motivated worker is more productive than an unmotivated one.

Technological tools for HR

There are several tools that are in line with technological innovation for human resources. Here are some of them:

• Internal social networks. These help interaction between team members from different areas and sections. They also facilitate group cohesion and camaraderie, and this reinforces the corporate culture.
• E-learning platforms. Such platforms can be very useful for employees and the company, and are often managed by human resources.
• Payroll management software. This type of tool has been very successful in human resources, as in addition to payroll they include systems for tracking days off, managing leave, maternity leave, new employee onboarding, days off, overtime and more.
• Applicant Tracking System (ATS). Also known as Applicant Tracking System (ATS), it enables the digital management of human capital recruitment and hiring needs, from receiving resumes to adding human talent, for example.
• Time and attendance tools. This type of software is focused on keeping track of the hours worked by employees, especially when remote work is involved.
• Performance and performance management. This tool helps to gain an in-depth understanding of work productivity and overall employee performance. They help quantify worker performance for accurate and objective data on professional behaviour, goal setting, employee appraisals, as well as ongoing feedback and training.

If you need to follow this path for your company, Kilpatrick points towards technological innovation and the digital transformation of people with the most useful tools, such as oneAPP, Digital Readiness, Check it Easy and One-way Video Interview to name a few. Contact us to help you in this process so that together we can achieve your goals.