Technology as Leverage in Human Resource Planning - Literature review Example

Technology as Leverage in Human Resource Planning

Technology has taken a ubiquitous position in the contemporary set up of organizations. The efficiency of operations and planning in organizations has become synonymous with the uptake of industry-specific technology. Bersin (2015) shows that institutions that have upgraded their human resource management systems spend about 22% less on each of their staff. Attracting and retaining talent is becoming a defining parameter for firms that seek to cut out a niche for themselves. Human resource planning is a continuous process that seeks to address existing, emergent and future needs of organizations. This ultimately determines the productivity of employees and their overall input (Davis, 2000). Onus is placed on the human resource department to ensure that this objective is conclusively achieved. Multiple Functions ascribed to the human resource department ranging from the recruitment of new employees all the way to retirement of staff are streamlined using technology (Use of Technology in Human Resource Management, 2012). This paper shows how technology is used as a tool to leverage human resource operations.

Human Resource Management: The Backstory

Human resource departments have two traditional focus areas: administration and execution (Davis, 2000). Administration includes functions such as staff recruitment, processing payrolls, handling legal aspects of enforcing and terminating staff contracts and ensuring that employee benefits such as bonuses and other allowances are remitted. Execution on the other hand entails achieving the objectives of the company through cumulative efforts designed to meet set targets. A key anchor of this element is ensuring that jobs are allocated to the right personnel. Human resource departments in most organizations usually operate unnoticed unless they fail to fulfill some of their core functions (Davis, 2000). For example, if they fail to pay employees in time.

Integration of Technology into Human Resource Planning

The advent, revolution and growth of technology has brought a paradigm shift where business execution becomes part and parcel of the human resource department (The Role of Technology in the Evolution of HR, 2011). Focus shifts from the traditional view of the human resource department as an entity to manage staff members. A new view point has emerged where it is seen that human resource planning is imperative to achieving the strategic goals of the organization. This is made possible due to the availability of performance analysis tools at the personnel level (Alfes et al, 2012). Increased awareness on the influence of human resource goals on the overall trajectory of a company bridges the gap between human resource management and strategic business. Successful firms have their focus on people skills, a key element in human resource operations.

The integration of human resource planning into the human resource process during the 90s resulted in the drastic reduction of the time used to process the administrative roles of human resource departments. More time is consequently made available that allows focus to be directed towards those tasks that seek to complement strategic goals of the business (Bersin, 2015). Coupled with a viral spread of personal computers during this period, human resource departments could now focus on specific aspects of their core mandate such as hiring the best candidates for jobs, forecasting employees’ dynamics such as performance measurement and managing staff turnover in a more proactive manner.

The 2000s heralded the exponential growth and spread of internet use. Human resource departments, which were previously functioning as stand-alone isolated entities, could now share information across the network (Bersin, 2015). Developing talent-oriented strategies for employees replaced the initial employee-focused approach of human resource goals. Computer techniques that would allow the identification of talent and potential recruits and facilitated the development and training of employees took center stage in most human resource development plans.

Cloud computing in the contemporary era has revolutionized the entire business scene. Tools developed by human resource technology vendors are business-tailored and mostly designed in-house (Davis, 2000). A key characteristic of these new tools is that they are geared towards achieving business execution goals rather than focusing on personnel monitoring. Subsequently, the human resource systems that are developed automate the process of monitoring employee performance. Human resource experts increasingly integrate technology as they seek to align human resource departments to complement and advance the strategic targets of the organization (Gordon, 1999). Human resource departments seek to ensure that they champion for the realization of the goals of the company by filling the gap that existed in business execution.

Application of Technology in Human Resource Planning

Hiring

Potential staffs are able to check for job openings on the internet through portals. Positions are advertised in field-specific areas, which makes it easier to match the skills of the applicants against the needs of an organization. Psychometric tests and aptitude tests are performed on the portals of these organizations (Davis, 2000). Some platforms offering recruitment through portals have options for applicants to upload videos that give the human resource department considerable insight on the demeanor of potential employees. Verbal and body language skills can be assessed on such platforms.

Social media platforms also make the human resource department have meaningful social interactions with potential recruits. Job postings can be made on sites such as Facebook and these trigger social conversations with regards to the advertised opportunities. Some human resource departments have also rejected applicants on ethical grounds based on negative posts. Socially unacceptable pictures accessed on the public profiles of potential recruits have also been a cause for turning down some people. Cases of people losing out on job opportunities due to social media posts are commonplace. These posts may range from racist remarks, drug abuse among others.

Training

Employees are trained on the use of company technology to get a feel of the software and virtual points they will use in the organization. Most companies use customized in-house developed databases (Davis, 2000). The human resource department oversees the training of employees using the available data and communication technology systems. The introduction of new software, either in phases or at once also forces companies to develop skills and capacities that will blend with the workforce that is in place. Staffs are retrained on the use of newly introduced software. Software plays a central role in company processes. In some instances, software that complements company processes tend to be the secret ingredient that makes companies maintain their statuses as industry leaders. Human resource departments are responsible for instilling business etiquette among their staff (Ullah, 2012). The use of technology is guided by some principles such as confidentiality, accessibility and accuracy, which also transfer these ethics to the culture of staff in an organization

Assessment

Davise et al (2000) argue that technological platforms offer some sort of space to allow performance analytics. Key performance indicators can narrow down to tools used by the human resource section such as CPM (computerized performance monitoring). The appraisal of staff can also be conducted by processing performance algorithms that are developed to cater for specific staff categories. The monitoring of staff performance has always led to the injection of quality into an organization’s output. Promotion criteria are more often than not guided by these assessments, which are made possible by the use of technology.

Data mining

In the age of big data, human resource functions conducted on the cloud have made it considerably easier to conduct data mining for the improvement of current systems. Many companies are endeavoring to achieve better analytics and online platforms have made this possible for human resource departments (Bersin, 2015). Companies are able to consolidate big data by harmonizing their different modules.

Record Keeping

Human resource departments keep the staff records and pertinent data on electronic platforms. Cloud computing is gaining traction and this makes it easy for safe keeping of records. Outsourcing cloud services from human resource solutions vendors eliminates the expensive process of upgrading to new systems on a regular cycle, a nightmare for many companies (Bersin, 2015). Human resource solution vendors have opted to incubate most of human resource functions on the cloud. Some technological systems such as digital staff attendance logs allow for the easy processing of the payroll. Staff attendance logs are monitored through the recognition of staff biometrics (Alfes et al, 2012). This makes it easy for institutions with large staff numbers to have a streamlined process of reconciling the attendance logs. Such systems have also led to a drastic reduction in staff absenteeism, making the human resource department more productive.

Managing Performance

Technology has made it easy to spread out strategies that primarily evaluate performance. Staff appraisal tools can be accessed and used online, making it convenient in administering online questionnaires (Alfes et al, 2012). This saves a lot of time for the companies. However, customized tools in this regard function better than readymade off-the-shelf-tools.

Compensations

Effecting proper and sustainable compensation for employees is one of the most formidable tasks in human resource management. Matching staff input to desired outcome is very complicated. However, the use of technology makes it possible for the human resource department to perform comparative analytics and plan for this. Key areas of focus include the following; introducing incentives to induce staff performance, the recognition of outstanding staff, setting and managing flexible staff hours, encouraging employees’ personal development among others (Davise et al, 2000). A crucial part in this task is offering perks at rates that are commensurate with standard market offers. Electronic human resource systems have made this otherwise arduous task less difficult. Assessments and improvements are however conducted regularly.

Career coaching

Programs that facilitate the development of staff are run using technological tools (Bersin, 2015). Company traditions such as identifying scholarship opportunities for staff or facilitating specialized training is important in cultivating productivity. Tools that allow employees to assess their own skills and identify areas to improve on their productivity eventually increase the retention rates of organizations.

Benefits of Technology in Human Resource Planning

Transparency

Technology has ensured that employees can share their workplace experiences with any people or entities with access to the internet. Whether productive or outright unacceptable, employees will share personal experiences that will expose failure or advance the values of their employers. Online anonymity has led to disgruntled members of staff giving reviews, which are at times very critical about the organizations they work for (Ullah, 2012). Such realities prompt human resource departments to set up mechanisms that allow for timely and regular feedback from their employees. These are deliberate efforts instigated to avoid critical reviews that damage brand reputations that have been cultivated over time. Such exchanges are facilitated on technological platforms that espouse confidentiality and at the same time allow analytics to be conducted on feedback.

The assessment of human resource processes also serves as a crucial pointer to business areas that may need improvement. Employment policies are now based on meritocracy due to automated systems on portals (Bersin, 2015). Most organizations have adopted this approach and it has led to integrity and faith in systems. Processes are seen as being transparent. Companies also upload information about their portfolios on company websites or other platforms and this is a very potent channel for attracting top talent and attracting potential partners with similar goals. Mergers and acquisitions have been facilitated through such forums.

Consistency

Virtual computer environments offer a consistent and predictable setup due to predetermined algorithms. A key aspect of this feature is the harmonization of databases that allow human resource departments to integrate other operations seamlessly. W-4 and I-9 forms are made available online (Ullah, 2012). These allow for the verification of staff details and important documents such as those that capture compliance with tax requirements. They also address other legal hurdles.

Speed

The introduction of high-end devices and integrating them into company processes also increases the speed of execution of routine human resource tasks (Handy, 1995). Processes such as payroll harmonization and conducting staff role calls are done at the execution of processes.

Looking into the future

Predicting what the future holds has always been a preoccupation of human beings. This also holds true for the human resource development sector. Key words that will define futuristic technological trends in human resource development are smatter systems, faster speeds and better analytics. Efficiency in managing execution and administrative processes will shift focus from long-term goals to short-term targets (Bersin, 2015). The importance of short-term targets in advancing long-term goals is increasingly becoming appreciated. Efforts will be focused on the short term goals and changes over days and weeks will be more important than those analyzed over months and years.

Technology will be the nerve center that addresses these needs due to the speed and precision of generating required reports or information on-demand (Davise, 2000). Future trends also give credence to the development and uptake of wearable technology. Human resource professionals will embrace hi-tech devices that have voice capabilities and have capacities to connect them to remote databases. This will allow telecommuting and working on the go. Such technology also allows human resource personnel to share and access information faster.

Bersin (2015) intiates that 40% of all organizations have plans to replace their central systems used in human resource management. Companies will adopt particular systems designed to meet their specific needs. Most companies have established relationships with preferred vendors and these will be contracted to develop the systems. Major vendors include ORACLE, SAP, Workday, ADP, Ceridian, Ultimate Systems Software among others. These will offer packages focused on building talent. Cloud computing will be the nerve center of human resource pursuits. These platforms will offer increased operational capabilities such as faster access speeds and reinforced cyber security.

Tracking new applicants and talent attraction will be revolutionized with video abilities embedded to complement existing systems. Learning will be greatly enhanced by the use of such facilities. This is primarily dictated by a market that will consume these products from vendors. Performance management systems will see a progressive rise in their adoption to meet business needs. Vendors of ERP systems stand to gain a sizeable market (Bersin, 2015).

Feedback mechanisms will be enhanced by the development of feedback apps, impulse tools and improved online anonymity on social networks. Traditional business engagements such as annual general meetings (AGMs) will be phased out (Ullah, 2012). However, this will happen gradually, and will be dictated by personal business preferences. Analytic strategies focused on people will advance greatly in the future. Market vendors specializing in human resource development products are increasingly integrating workforce analytic capabilities into their systems. The capabilities of such human resource-specific tools will increase tremendously with the progression of time.

The conventional employee is becoming increasingly burdened by work at the work place (Alfes et al, 2012). Traditional human resource systems do not have avenues to address this contemporary problem. However, the future dynamics of human resource processes indicate that the human resource managers and experts will develop systems that will allow for technological monitoring of staff. Such monitoring that revolves around the use of precise technological tools will be used to allocate staff to delve into health-enhancing activities such as going to gyms, engaging in social activities to relieve stress, partnering with healthcare providers to achieve a generally balanced and productive human base (Bersin, 2015). All these fundamental operational tenets will be tracked through technology.

Conclusion

The Integration of technology in human resource departments continues to define the competitive edge driving the human resource agenda forward. Whether it is moving certain operations into the cloud or using lifestyle measurement tools such as UP, these modus operandi have impacted positively on human resource developments. The application of technology in human resource departments has become an inherent feature for serious organizations. The benefits accrued from using such systems allow for the growth of enterprises, increased efficiency and the differentiation of strengths. Companies using technology in their human resource departments compete better since they streamline most of the business processes, allowing them to focus on core business goals. The traditional preoccupation of human resource departments with personnel monitoring has been gradually diminished. The prioritization of targets means that energy is focused on the business execution dimension. Technology has been recognized as a critical factor in the planning of human resource operations. However, it should be underscored that technology only complements already existent systems and a seamless synergy with these systems is what provides leverage. The era of technology-propelled human resource development is here and the future holds more in store.