Digitization of HR services: the key to overcoming the crisis

In 2023, the digitization of human resources (HR) services will play a key role in the economic recovery after a period of crisis. Companies that have invested in digital workforce management solutions will be better able to adapt quickly to new challenges and continue to recruit and manage talent despite economic uncertainties.

HR Strategy

By Amine BENALI

Data Scientist Consultant

What is the digitization of HR services?

When discussing the topic of HR digitization, it’s easy to focus solely on the administrative processes managed by HR, such as payroll, time tracking, expense management, etc.

Although these processes are important to ensure the smooth running of the company, they are not in themselves factors of performance. Errors or delays can have a negative impact on employee morale and the social climate of the company.

However, to truly transform talent management, it is important to focus on the “human capital development” aspect.

This involves asking critical questions such as:

How to anticipate market trends and the skills required for the future?
How do you ensure that the company has the right people for a future project?
Are the R&D teams up to date on the latest technologies and are they continuously trained?

All of these issues are critical to business success and are directly related to the dynamic management of employee data to support business strategy.

Digitalization of HR to ensure the smooth running of the company

The smooth running of the company depends largely on the efficient management of human resources. The administrative part of HR needs to be organized in a smooth and seamless way, while being easy to use for employees and able to adapt to different types of employees, such as temps, fixed-term, part-time, and public and private sector employees.

That’s why it’s essential that the administrative side of HR be able to adapt to the diversity of situations and to face the challenges that arise.

However, the digital transformation of HR should not only focus on this administrative part. The real challenge of digital HR transformation lies elsewhere, and requires careful consideration of how new technologies can improve talent management and add value to the business.

Digitalization that contributes to the company’s performance and competitiveness

“A digital project can contribute significantly to the competitiveness of the company. It is important that it is strategic and effectively managed, with selected tools to improve the performance of employees and the company itself. If integrated into a well-managed HR strategy, these tools can provide a key competitive advantage.

Human resource management addresses the interaction between the individual needs of employees and the needs of the company as a whole. The project must integrate all these elements to form a coherent strategy. Tools must be linked to a common database to enable informed measurement, analysis, prediction and decision making.

The end goal is to maximize the use of human capital, while providing employees with a clear view of their skills and opportunities.”

When it comes to HR tools, it is important to have an overview of the solutions available to us. They help manage the employee recruitment process, their integration, their development and their exit from the company. The Applicant Tracking System (ATS) software helps identify and attract the most suitable candidates for the company’s needs and culture. Onboarding solutions ensure optimal monitoring of the delicate integration phase, which affects talent retention. The management of skills and internal mobility must meet the expectations of employees while ensuring the continuity of production and the development of the company.

Good HR software allows you to anticipate succession needs and avoid skill shortages. It offers a global vision of all the employees of the company or group.

Finally, a learning management platform (LMS) optimizes the implementation of the training plan and facilitates collaboration between HR, managers, employees, and training organizations. It is essential to combine this with a catalog of attractive and useful training courses.

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The Digitization of HR services who benefits?

The digital transformation in HR must benefit any company concerned with its human capital management strategy.

Employees are the main beneficiaries of digitalization

In a world where the employee is increasingly seen as the customer of HR, employees see themselves as the ultimate beneficiaries of these initiatives. They should have access to various features related to their professional life, such as:

Manage their time: leave requests, RTT, telecommuting, etc.
Manage their personal data, claims, documents, etc.
Request training, follow the online training process
Apply for an internal position
Share information
Communicating with the HR department
Discuss HR topics with colleagues.

The quality of HR tools and their interface play a crucial role in the employee experience. This reflects a dynamic and open HR strategy .

Digitalization at the service of managers

The digital HR strategy must take into account the needs of field managers. The goal is to give them an overview of their team, in terms of daily management (leave, absences, travel) and individual evaluation of each employee (interviews, training, mobility) as well as medium and long term planning of human resources.

Local managers play a key role in the teams. They must ensure the achievement of objectives while encouraging, motivating and supporting employees. Faced with these often conflicting demands, they need to be supported with reliable information about team members, regular check-ins, suggestions for development and ongoing training. For example, being able to watch a short video on conflict management before discussing a topic with an employee is very useful.

It is therefore crucial that managers have access to the means and tools to play their role of liaison between the company’s global management strategy and its implementation on the ground.

A valuable tool for managers and HR

Business leaders seek access to reliable data to make informed decisions. An enhanced digital HR can provide analytics and insights into the company’s ability to respond to opportunities, the strengths of each team, and internal competencies. This will help build a comprehensive talent and competency development strategy. The HR department will be greatly impacted by these changes and will need to be at the forefront of the project to optimize its efficiency and implement its strategy in terms of compensation, administrative management, labor relations, recruitment, mobility, GPEC, training, career management and internal communication.

How to manage a digital HR transformation project?

You are determined to launch your ambitious project in the field of human resources, but where to start? What are the steps to follow to succeed, and what are the mistakes to avoid?

1. Clearly define your HR needs: no matter where you start (administrative functions, talent management, training…), if you prefer to start with a pilot project, make sure you leave the door open for the future by choosing scalable and adaptable solutions.

2. Make an inventory of what already exists: your company already uses tools to recruit, pay employees, offer training, manage vacations and absences… Before changing everything, identify the processes that are working well and make sure your vision meets the expectations of those who will use the new tools.

3. Identify your specificities to define your needs precisely: size of the company, status of the employees, structure of the group (subsidiaries, network, presence abroad…), intensity and nature of the training flows, turnover… Consider these characteristics to guide your technical choices, keeping in mind that your business will evolve over time.

4. Involve your managers and your social partners: the success of such a project depends largely on the way your internal customers are involved in the project. It must appear above all as a solution to their problems, as a tool at their service. The social partners can also contribute their vision on topics such as employee data management.

5. Train your teams: in order for the objectives to be reached and for the employees, managers and executives to take ownership of the project, it is essential to give them the means to succeed.

6. Evaluate the success of the project on a regular basis: follow up on difficulties, identify new needs, evaluate the achievement of objectives, establish a dialogue with internal customers to bring up problems and suggestions… a dialogue that can often be achieved through the new tools that have been implemented!

Conclusion on the transformation of HR services

Finally, it is important to be accompanied by a partner specialized in digital transformation consulting for HR services with a strong experience and references with an international dimension.

The SQORUS teams will put their strategic, technical and functional expertise at your service to help you make the best decisions. By following these steps and avoiding certain mistakes, you can implement a successful and effective HR digitalization project for your company. Do not hesitate to contact us to discuss this with our experts.