Digital transformation is becoming a core factor determining the sustainable growth of businesses, and the Human Resources department, which manages the most important resource—people—is no exception to this trend. Advanced technologies such as artificial intelligence, process automation, and data analytics are progressively transforming HR management, delivering exceptional improvements in time efficiency, cost reduction, and overall experiences for both organizations and employees.
Technology is Reshaping How Businesses Manage Human Resources
Digital transformation has led to significant breakthroughs in HR management, enabling businesses to enhance efficiency and optimize processes. From recruitment to employee performance management, technology is changing the daily operations of HR departments across organizations.
A notable example is how leading companies like Unilever and IBM have integrated artificial intelligence (AI) into their recruitment processes. AI assists businesses in screening resumes, analyzing candidate behavior, and providing data-driven assessments, which helps streamline the selection process. This not only optimizes costs but also ensures that the most suitable candidates are chosen.
VNG has taken the lead in applying digital technology to HR management in Vietnam. They utilize AI-integrated software to monitor job performance, evaluate employees, and develop growth plans. As a result, management time and resources are optimized while providing comprehensive data on HR team activities.
Technology Trends in HR Operations in 2024
With the advancement of technology, many new human resource management trends have emerged and are expected to continue growing significantly in 2024.
Process Automation
According to a Deloitte study, 78% of businesses are implementing or planning to deploy Robotic Process Automation (RPA) in 2024. RPA applications can reduce processing times for HR processes such as recruitment, payroll management, and attendance tracking by 25-35%. RPA bots automatically scan resumes, schedule interviews, and send job offers, providing accuracy and significant time savings.
Hyperautomation
The trend of hyperautomation is rapidly expanding, with every process that can be automated through AI being implemented. AI not only assists employees with 24/7 chatbots but also has the capability to screen candidates based on education and experience automatically. Businesses can reduce HR costs by up to 50% by investing in hyperautomation (PwC). However, the application of AI must also ensure transparency and fairness in the decision-making process.
Data-Driven Decision Making
Modern HR management systems utilize machine learning to analyze HR data. AI-integrated HRMS solutions can assess work performance, optimize resources, and predict turnover trends. This enables businesses to make smarter management decisions based on actual data.
Flexible Work Models
The rise of remote and hybrid work models requires businesses to leverage technology to maintain connectivity and productivity. Online meeting tools, employee performance monitoring, and global payroll management are becoming essential in the era of flexible work.
Enhancing Employee Experience
Digital technology in HR not only focuses on management processes but also improves the overall employee experience. From online learning platforms to health and wellness solutions, the aim is to create a more positive and engaging work environment.
Promoting Diversity and Inclusion
According to a McKinsey report, companies with high diversity are 36% more likely to outperform those with less diversity. Implementing technologies such as anonymous feedback processes encourages employees to freely share their thoughts about the work environment without fear of discrimination, while automated skills assessment tools help eliminate potential biases in the recruitment process, ensuring that candidates are evaluated fairly based on their actual abilities.
Critical Considerations for Digital Transformation in Human Resources
While digital transformation offers numerous benefits, businesses must consider several factors to ensure the implementation process is as effective as possible.
Change Management
One of the significant challenges when adopting new technology is resistance from employees and a lack of specialized knowledge within the team. Businesses need to have a well-structured change management strategy, including clear communication about the benefits of the technology and providing necessary training courses.
Training HR Teams
Traditional HR personnel may not be familiar with advanced technologies such as AI or RPA. Investing in training for HR teams to master these technologies is essential. Short courses in data analytics or HRM system management will help enhance the skills of the staff.
Data Security
The HR department manages sensitive information, so data security must be a top priority. Businesses must invest in security solutions, continuously update their policies, and strictly comply with relevant legal regulations.
Effectiveness Evaluation
To achieve the highest effectiveness from digital transformation, businesses need to have a post-implementation evaluation plan. This helps adjust any shortcomings promptly while improving operational processes and optimizing work performance.
Conclusion
Digital transformation is not only an inevitable trend but also an opportunity for the HR department to achieve significant growth. Adopting advanced technologies such as automation, AI, and machine learning brings substantial efficiency and cost savings benefits. However, to achieve optimal results, businesses must effectively manage change, train their HR teams, and ensure information security. The new technology trends in 2024 will continue to present opportunities and challenges in human resource management.
Reference:
The 11 Hottest HR Technology Trends Of 2024 And Beyond
2024 HR technology trend predictions
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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