Fremont, CA: Advancements in HR technology have provided a significant boost to the often-overlooked HR departments within organizations. Securing funding for HR projects during annual reviews with senior management remains a challenge, as many Chief Human Resources Officers (CHROs) can attest. Unfortunately, the usual response in these discussions tends to be a recommendation for reducing personnel. The ongoing struggle for HR leaders to advocate for investment in innovative technologies that can enhance their departments and drive overall business success.
The pandemic has, however, created a 180-degree shift in how businesses now approach the HR function, with a strong focus being placed on harnessing technology in all HR activities. Several job search sites and cloud-based HR management tools had already begun to gain popularity before the pandemic, but Covid-19 has further expedited the upheaval of conventional HR practices.
Most significantly, businesses have come to the realisation that the HR function needs to be more flexible and dynamic, with the flexibility to change course depending on external factors. They had previously believed that Covid-19 had passed by, but the new Omicron model is forcing many people worldwide to resume remote work. As a result, hybrid work arrangements will be the standard for the foreseeable future, with some businesses, like Twitter and Microsoft, allowing workers to do their business entirely from home.
Companies and employees will be accustomed to remote working arrangements by the time the pandemic is over, making it impossible to put the genie back in the bottle. Because employees would need to be supported across different locations by the same HR manager, this permanent shift to a hybrid workforce will place new demands on HR managers.
Cloud-based employee portals and HR tech businesses will be more valuable than ever. Similar to this, new performance management systems will ensure that remote workers are not unfairly penalised for not working under the manager's eye by utilising a variety of measures to help evaluate employee performance.
In a post-Covid future, the outdated HR paradigm of having one HR manager oversee 500 employees in large organisations will also no longer work. Employees are starting to understand that their total welfare, which includes their mental health, is the deciding factor in whether or not they stay with a specific company. For businesses trying to retain their best employees, HR tech start-ups that can help increase employee engagement and offer outsourced employee perks like mental health counselling services will be a competitive advantage.
Startups in the HR technology industry are also engaged in various facets of the HR value chain, such as recruiting and recruitment, succession planning, diversity and inclusion initiatives, individualised training, and employee upskilling.
