In the past five years, businesses in Vietnam have witnessed a surge in artificial intelligence (AI) and enterprise resource planning systems within human resources administration. This transformation goes beyond merely adopting new technologies – it represents a comprehensive restructuring process aimed at optimizing operational efficiency and boosting organizational competitiveness.
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The shift in HR administration in recent years
According to the 2022 Vietnam Digital Transformation Report by the Ministry of Information and Communications, 78% of Vietnamese enterprises have implemented at least one digital transformation solution, with HR administration and recruitment being among the top areas for investment. However, only about 20% of small and medium-sized enterprises (SMEs) have successfully implemented these solutions, mainly due to a lack of resources and in-depth technological expertise.
A survey by Navigos Group shows that 65% of businesses in Vietnam are now using HR management software to track employee records, benefits, and attendance. These businesses reported saving 30-40% of time and administrative costs through the application of technology. Yet, many companies are still not fully exploiting the potential of digitalization solutions.
Drawing lessons from international companies, many Vietnamese businesses have begun integrating comprehensive HR administration software into their operations. These tools not only assist in tracking and managing personnel but also enable real-time data analysis, helping companies make faster and more informed decisions.
Automation in HR administration processes
Robotic Process Automation (RPA) has shown remarkable potential in reducing manual tasks and improving efficiency. RPA can be applied across multiple HR administrative functions, as illustrated in the following examples:
Employee onboarding and offboarding
Onboarding and offboarding involve multiple complex manual tasks related to administrative procedures. RPA automates job offer letters, user account setup, background checks during onboarding, and handles tasks such as generating exit documents, revoking system access, retrieving company assets, and processing final payments during offboarding.
Read more: Automation in Onboarding: The Optimal Solution for Large-Scale Enterprises
Recruitment processes
RPA combined with Optical Character Recognition (OCR) technology can scan applicant resumes based on predefined criteria and automatically shortlist suitable candidates. Virtual assistants assist in scheduling interviews, sending invitations, and preparing personalized messages.
Attendance and leave management
RPA can check available leave balances, cross-reference them with company policies, and automatically update leave records. It can also track attendance data and generate reports, minimizing errors and streamlining payroll processes.
Payroll management
RPA automates the collection and verification of timesheets, employee data, and tax regulations to ensure accurate payroll calculations. This helps reduce errors, ensures timely salary payments, and tracks tax regulation changes.
Performance management
RPA sends reminders, collects feedback, and aggregates performance data from KPIs. This simplifies the evaluation process while ensuring transparency and accountability in HR administration.
Employee data management
Managing employee data demands accuracy, especially with personal, medical, and employment-related information. RPA automatically gathers, stores, and maintains employee records, minimizing data entry errors and ensuring continuous updates.
Lessons for businesses implementing technology in HR administration
Integrating technology into HR administrative processes involves more than just technical changes; it requires a shift in management thinking and corporate culture. To succeed in digital transformation, businesses should focus on the following:
Change management: A significant challenge in implementing technology within HR departments is resistance from employees, who may fear being “replaced” or closely monitored. To address this, businesses must create a solid change management plan, clearly communicating the benefits of automation and establishing a gradual transformation roadmap.
Internal communication: Effective internal communication is crucial when adopting new technologies. Businesses need to frequently inform and clarify the implementation of new systems, explaining how automation supports tasks and how the systems work. This helps build consensus and trust among employees.
Training: Successful digital transformation requires investment in training. HR staff must be equipped with the necessary technological knowledge and understand how to operate automated systems and HR administration software. Proper training not only enhances skills but also fosters confidence in using technology.
Wrapping up
Digital transformation is a necessity for businesses looking to maintain competitiveness and adapt to changing market conditions. By applying AI and RPA technologies to HR administration processes, enterprises can optimize operations, enhance efficiency, and boost productivity. However, for successful transformation, businesses need to focus on change management, internal communication, and employee training. Only by achieving both technological and mindset transformation can businesses fully realize the potential of digitalization.
References:
RPA in human resources: 10 use cases, examples & best tools
Top 8 Use Cases of Robotic Process Automation in HR
Xu hướng công nghệ hoá trong quản lý nhân sự
akaBot (FPT) is the operation optimization solution for enterprises based on the RPA (Robotic Process Automation) platform combined with Artificial Intelligence, Process Mining, OCR, Intelligent Document Processing, Machine Learning, Conversational AI, etc. Serving clients in 21+ countries, across 08 domains such as Banking & Finances, Retail, IT Services, Manufacturing, and Logistics…, akaBot is featured in “Voice of the Customer” for Robotics Process Automation” by Gartner Peer Insights, G2, and ranked as Top 6 Global RPA Platform by Software Reviews. akaBot also won the prestigious Stevie Award, The Asian Banker Award 2021, Everest Group’s RPA Products PEAK Matrix® 2023, etc.
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