Along with the increasingly massive digital era, more and more companies are carrying out digital transformation. However, there are five trends that must be a concern for the digitization process to run smoothly.
Digitalization of Human Resources (HR) can help companies to recruit, train and retain employees more precisely and effectively.
Software as a Service (SaaS) company for Human Resources and financial management, Mekari, revealed five trends for digitizing HR in the future, which are as follows:
1. Data Analytics
HR holds an abundance of data, from profiles of each employee to daily attendance records. With analytical data, this data can be processed by HR to provide the company with insight or in-depth insight into its HR.
For example, data analytics can reveal the factors that lead to high turnover in a department, so HR can design specific solutions to strive for employee satisfaction in that department.
Regarding data, technology also makes it easier for HR to check the latest employment situation by summarizing the data on the dashboard, so it's easy to read.
2. Manpower Planning
The accuracy of human resource planning is increasingly crucial amid inflation because companies must carefully balance the need for human resources with the available budget.
Technology assists manpower planning by facilitating HR to recruit the most suitable candidates for a position. For example, with technology, HR can analyze hundreds of CVs to find the most suitable candidates.
Technology can also be used for succession planning, or employee turnover planning, where HR can build a database containing potential talents who can be prepared as candidates to take over the positions of employees who move departments or resign.
3. Provision of Benefits for Employees
The phenomenon of quiet quitting reminds companies that work culture has a big impact on employee loyalty and productivity. Now, HR can create a positive work culture by using technology to deepen company appreciation and relationships with employees.
Technology can be used to distribute benefits, such as health insurance and access to early salary, or earned wage access (EWA), which will improve the welfare of employees.
In addition, technology such as the HR Helpdesk provides a place where employees can practically ask questions and check with HR regarding matters related to personnel administration.
4. Work Flexibility
The pandemic has made companies aware that work flexibility has a positive impact on business agility, or the company's speed in adapting to market changes.
Now, many companies are implementing hybrid work so that companies and employees are no longer shackled by a physical office to operate a business. Work flexibility requires HR to utilize technology in order to be able to carry out staffing processes, such as attendance, remotely.
In fact, companies in traditional industries such as manufacturing and mining have also adopted virtual attendance so that their employees can clock in and clock out directly from the field.
5. Compliance with Work Obligations
Technology presents a system that makes it easier for HR and employees to carry out mutual obligations, including administrative ones such as attendance and timesheets.
In the future, cutting-edge technology such as AI will make it easier for employees to fulfill various office obligations. For example, a virtual attendance system, namely liveness validation, uses facial recognition technology to match facial selfies taken by employees when clocked in with photos stored in the HR database.
"From the trends above, it can be concluded that technology makes the daily HR process, even one as simple as attendance, very practical and effortless. It is these various conveniences that increase the productivity of employees and also the HR department because they are now free from the hassle of administrative processes. so they can focus on the real task," said Chief Product Officer Mekari, Aviandri Hidayat in his statement, Monday (30/1/2023).
He added that companies can easily access the latest HR technologies, such as data analytics and AI, by using digital solutions that offer subscription models.
"Companies no longer need to buy HR solutions which will cost a lot. By simply subscribing to a cloud-based solution, they can access data analytics and AI technology at a cost that can be adjusted to their budget," concluded Aviandri.