The digital transformation of HR functions: what role for the HRD?

Transformations of several kinds

The impacts of digital transformation are strongly felt on the organization of human resources and the company as a whole. The various communication technologies are constantly evolving, making the boundary between professional and personal life increasingly fine. The HRD must therefore constantly adapt to the new organizations and new practices generated by this transformation.

Automation and dematerialization are the two pillars of the company’s digital transformation. The various HR processes must be dematerialized. All areas are concerned, from payroll to training, including recruitment of course. This dematerialization will allow the automation of a large number of processes. Some of these tasks can be entrusted directly to digital tools using new technologies, such as chatbots for example, thus allowing people to be assigned to other tasks. Others will continue to be managed by HR specialists, supported by sophisticated tools.

Of course, all these transformations must be coherent and be part of a real digital strategy implemented at all levels of the company. The transformation of the company’s tools also leads to a transformation of the corporate culture, of the way in which the relationship between employees and management is built.

Communication becomes instantaneous, as does the sharing of knowledge and information. Digital tools open the way to new forms of work. The worker becomes nomadic and is no longer necessarily physically attached to the company’s premises. The telecommuting is growing.

The ease with which information circulates and is used leads the company to adopt a more horizontal organization. Employees from different departments work together for varying lengths of time on common projects. Less compartmentalization, more flexibility, more mutual aid and collaboration, this is how the new organization can be perceived. From now on, the company relies on collective intelligence, rather than on individuality. Naturally, this profound transformation of the company’s organization will require HR support for employees.

The challenges of the digital transformation of HR functions

The challenges linked to the digital transformation of HR functions are numerous. Special attention should be paid to the automation of HR tasks, which should be implemented as a priority.

Indeed, in a few years, with the introduction of agile methods, project management and horizontal organization, the workflows of decision making and information have multiplied. HRDs are therefore faced with more and more demands from employees. In order to respond to this, it is necessary to automate the most requested processes that require less customization.

HR will thus be relieved of the processing of these requests, which are often repetitive and have little added value. They can then refocus on more interesting and, above all, more strategic tasks. In the same way, the digitalization of the HR function makes it possible to improve interviews (annual or semi-annual) with employees through tools such as corporate social networks, which make it possible to obtain daily feedback from employees.

HRIS at the heart of the digital transformation of the HR function

The company’s information system has evolved significantly in recent years, thanks in particular to cloud computing. We have gone from a mode where you had to buy a software, install it on your computer, redo this operation in case of change of computer and do not forget to copy the data in this case, and especially, think of making constant backups so as not to lose the data in case of failure of your hard disk. With the cloud, it’s totally different.

Indeed, you have an on-demand service where you choose the online software that suits you and then you pay or not the service and you use the software. Access to resources is via the cloud, which allows for more flexibility and you don’t even have to worry about backups, computer changes or software versions. The HRIS is naturally part of the systems now hosted in the cloud.

Employee evaluation and performance, absence management (vacations, sick leave, maternity leave, etc.), recruitment and even payroll services are now hosted outside the company, in the cloud, with all the flexibility that this can imply. Nevertheless, if the massive use of cloud computing is a reality, it implies another major issue for the company: data security.

The General Data Protection Regulation, or
RGPD
, which went into effect in May 2018, requires companies handling personal data to ensure its security. Companies found guilty of serious breaches of security of the personal data they host and use may face significant fines. HR is of course concerned since it handles a considerable amount of personal and confidential data.

The actions will therefore not only be at the technical level to ensure data security, but also at the level of training and awareness of the people who will be handling them. Dematerialization will also result in easier access to data and processes for employees.

As with consumer applications, HR applications will have to transform to meet new needs and the user experience will become the focus.

Indeed, providing a large amount of information and data is useless if the interface that allows access to it is not ergonomic. Employees must be supported in their efforts, trained and made aware of the use of these new tools, as well as of the potentially confidential aspect of the new information to which they will have access.

HR will now have an impressive amount of information at its disposal, and making the most of it will certainly become a major issue. Data concerning time management, allocations, planning, project feedback, etc. can be cross-referenced for different purposes. Predictive or prescriptive deductions can be made in different areas. The prevention of psycho-social risks should thus experience an unprecedented development thanks to these new tools.

The last major issue that can be easily identified is employee involvement. Training a small number of employees to become ambassadors for their colleagues is a way that can be effective in facilitating the adoption of the different tools by the largest number of people.

The major challenges for the HRD in the future

The Human Resources Department will have to face new challenges. The digital transformation of the company not only leads to a profound change in the tools used, but also in behaviors and work habits. HRDs must be competent in the digital tools at their disposal and therefore trained to do so.

They will also need to have a more or less long-term strategic vision. The digital transformation of the company is leading to the emergence of new ways of working, notably with the disappearance of distance and time constraints. HR managers, like employees, must evolve and rethink the organization of work.

Improving the Quality of Life at Work (QWL) and taking into account new psycho-social risks (burn-out, bore-out or work addiction) are other major challenges facing companies. The HRD is at the heart of these issues and must therefore seize the opportunity that the digital transformation of the company represents to improve its functioning and ensure its efficient and harmonious development. New recruitment methods are also emerging.

More generally, there are four major challenges facing the human resources department in the years to come:

• Develop the employer brand and attract talent
• Enhance the employee experience and build loyalty
• Coping with new regulations
• Develop a digital culture in the company

The digital transformation of HR functions plays a key role in improving business performance and the role of the HR department will therefore be decisive in making this evolution a success.

Also read in our feature on the digital transformation of the HR function:

• The digital transformation of HR functions: what role for the HRD?
• The major challenges for human resources management in the future
• Regulatory issues for HRDs to master in 2019
• Valuing the employee experience, a priority for HR departments
• Improving the company’s HR processes, the major challenge for HR departments
• Human Resources Information SystemHRIS), what is its use?
• HRIS to improve the company’s HR processes
• Human resources and technologies for business performance
• What technological tools are available to HRDs?
• HRD: which HRIS solution to choose for your digital transformation?
• Help in choosing an HRIS: why use a firm?