How Technology Is Disrupting The HR Industry

This article will focus on three major solutions that are set to leave a mark on the human resources (HR) industry – specifically, HR Management Solutions (HRMs), science-based data analytics, and network-based recruitment.

In Singapore’s tight labour market, organisations have to stay competitive to attract and retain their share of talented individuals. This has prompted business leaders to look beyond usual corporate strategies, and explore disruptive technologies that will drive staff productivity and spur recruitment efforts.
 
Coined by Harvard Professor Clayton Christensen in 1995, the term disruptive technology is described as “an innovation that helps to create a new market and value network, and eventually disrupts an existing market and value network”.
 
While there are a number of such solutions being developed for the market, we will focus on three major ones that are set to leave a mark on the human resources (HR) industry. These are HR Management Solutions (HRMs), science-based data analytics, and network-based recruitment.
 
Firstly, we will begin with HRMs. This type of solution is set to replace existing HR administrative models, and bring about a new phase of integrated HR and employee management.
 
Internal HR Management Solutions

The administrative arm of a HR department will be the first to go as core HR systems move towards becoming a fully “self-service” function. This means that all Internal HR Management Systems (HRMs) will be automated to ensure that data is always fluid and seen in “real-time”.
 
This change is inevitable as HR departments were wasting too much time and resources managing administrative duties and employee-related issues. To improve upon this, future HRMs solutions will be embedded into an employee’s day-to-day work-flow. This will allow them to learn on demand, share work experiences in real-time, update goals on-the-go, and provide real-time data to line managers.
 
Examples of such integrated tasks include:
·         Clocking in/out
·         Goal setting and performance management
·         Feedback and engagement
·         Applying for benefits/leave
·         Applying for higher-learning courses  
 
Automated HRMs will also benefit organisations in terms of raising staff engagement and productivity levels. The system will also need to be transparent to both the organisation and employee, so that both parties are aligned on agreed goals.
 
Analytics-driven, Science-based Solutions

Future HR professionals will also function as data scientists with the help of analytics solutions. This technology looks at real-time labour activity and allows HR professionals to make predictive, data-driven business decisions regarding their human capital.
 
For example, insights drawn from staff characteristics, job experience and real-time work-related data can be used to predict retention rates, identify departments which incur high operational costs, and even recommended learning courses for staff.
 
Furthermore, HR professionals will also be able to compare these trends over time, across business units or between key groups of employees. The insights will enable HR professionals to take a calculated approach with employees, leading to better HR strategies at a lower overall cost.
 
Network Recruiting

Recruitment tactics have come full circle and will revert to the good old days, where word-of-mouth and referrals held much importance. However, physical communication will be replaced with online networking solutions (like Glassdoor) or applicant tracking systems.
 
These recruitment tools will give HR professionals access to candidate management systems (passive or active), labour market analytics, and advertising metrics. It can even allow HR professionals to track the performance of recruiters themselves.
 
An example of this would be CareerBuilder Singapore’s Big Data Analytics Suite (BDAS). The solution equips HR leaders with vital intelligence by pulling and analysing data from job boards, career sites, referrals, and applicant tracking systems. The information is then distilled into a single pane for easy viewing of the entire recruitment programme.
 
However, HR professionals first need to get used to a highly-connected set of systems to handle talent acquisition. Only then can they fully utilise the power of networking to fill positions with the most effective candidates.
 
Regardless of the many benefits these disruptive HR processes will bring, organisations will be faced with challenges when implementing them. Nonetheless, business leaders need to understand that change is important and the process of familiarising themselves with these technologies will take some time.
 
In the near future, the full automation of administrative processes, personnel management and recruitment will allow HR professionals to make a greater impact on an organisation’s overall business strategies.