Daniel Ball examines how businesses can negate problems associated with the impact of digitalisation on HR, offering practical guidance on how to implement digital technologies without forgoing employee satisfaction, engagement and job security.
Digital technology has transformed all aspects of life, including how we work. Our reliance on automation is such that businesses in all sectors have felt the impact, with digitalisation inducing a shift towards more streamlined, efficient and agile ways of working.
However, as cloud-based services propagate and advanced IT systems effectively abolish manual processes, what impact is digital transformation having on traditional industry sectors? HR, for example?
According to a study commissioned by Wax Digital, 42% of HR professionals feel their job has changed – for better or worse – as a direct result of digitalisation.
On the surface, this may not sound concerning, but with over than half saying they don’t feel they’ve had sufficient training in new systems and processes, it’s clear that businesses need to do more to ensure digitalisation doesn’t negatively impact staff in traditional roles.
Positive changes to traditional roles
A growing dependence on technology means that traditional HR roles are changing rapidly – but that isn’t necessarily a bad thing. Many in the industry believing that digital transformation has had a positive impact on professionals working in this sector.
When implementing emerging new technologies, it’s vital that leaders communicate the value that such systems will bring, whilst also acknowledging that there will be changes. A transparent approach will not only allay fears that technology will take jobs, but will also give other team members the opportunity to be creatively involved in the digitalisation process, enabling them to buy into how technology will benefit their role.
One of the key changes that digital transformation in HR can bring is the removal of laborious and time-consuming manual processes, such as data entry. Some may argue that such processes form an integral part of traditional HR roles, others would attest that freeing staff of thankless administrative tasks provides more space for creative output, innovation and career progression.
As opposed to acting as a barrier, technology should be viewed as a means of support for people working in traditional HR roles. By embracing change, HR can turn its focus away from administrative tasks in favour of the individual needs of the workforce – with people at the centre of a more agile, progressive and forward-thinking department.
A change in culture
There are many of reasons why a business may choose to adopt new digital processes. Often, organisations invest in other areas, such as sales and marketing, before considering updating their digital HR strategy – seeing digitalisation in this department as a ‘nice to have’ rather than an essential business function.
As such, when businesses implement digital technologies in HR, it should be for the right reasons. While digitalisation may benefit the business from an administrative, productive and financial standpoint, in the long-term, the half-hearted rollout of new technology could negatively impact company culture – leaving the workforce feeling cold-shouldered and anxious about where they fit into the business.
As opposed to embracing digitalisation purely from a monetary or efficiency-boosting stance, a change of culture is needed to highlight that a move towards a digital workplace can benefit everyone within the business. Senior leaders must buy into the fact that digital technology is vital to keeping employees engaged and retained, and place this at the centre of their company ethos – even in traditional HR roles.
Technology is one of the key drivers of growth, innovation and productivity within a business. But it also has a place in helping to build a healthy company culture, in which individuals across all departments feel they have the space, resources and means to progress in their career – whether they work in marketing, sales or human resources.
Filling the training gaps for HR professionals
While 72% of HR professionals claim digital technology has made them more efficient at their job, a lack of training in new systems and processes can endanger such benefits. Investing in new technology may feel like the natural next step for a business, but if staff aren’t given the appropriate training and support throughout the implementation stage and beyond, any gains could quickly fall by the wayside.
Bridging these perceived knowledge gaps is absolutely critical to the successful rollout of new IT systems and processes. If individuals working in traditional roles, such as those in HR, feel they don’t have the skills, knowledge and support to make full use of the new technology, this could have far-reaching consequences for employee satisfaction, engagement and retention.
There are lots of ways senior management can help HR executives to buy into new digital systems from an early stage. Firstly, HR professionals are encouraged to get involved in choosing new providers, software and platforms, so that they’re aware of the advantages and limitations of the technology before it is implemented.
Next, businesses should provide comprehensive onboarding sessions for their staff on how to use new systems. This could include in-depth training, one-to-one sessions, or mentoring to ensure that the knowledge is in place and that staff feel they are of value to the business.
Company culture and digitalisation
When implementing digital technology, it’s natural that those working in traditional HR roles may feel anxious or concerned about their position. With new systems promising to reduce manual administrative tasks, some HR personnel may feel they are being replaced by technology. This can quickly lead to a lack of engagement in the benefits offered by digitalisation.
To combat this, communication is critical when introducing new technology. Senior figures within the department should be transparent about why such changes are being made, allaying fears and promoting the benefits of the technology to those who may be wary of change.
IIt’s vital that businesses formally embrace digital transformation in HR, investing adequate time into endorsing the key benefits and providing a soapbox from which individuals can air their concerns, raise questions and discuss the technology openly with colleagues.
Daniel Ball is the Business Development Manager at Wax Digital, a leading provider of e-procurement and spend management solutions. In 2019, Wax Digital published the State of Digital Transformation report, examining how digitalisation is affecting management roles across different UK industry sectors. Click here to read the full report.
