- Article
Why HR must embrace tech
Yes, digitization of HR is here, but the trend shouldn't be followed blindly
The extent to which technology is playing an outsized role in our personal and professional lives is evident. But the critical question organizations must ask themselves is this: How relevant is that technology?
There have been endless conversations, and volumes written about the convergence of HR and technology. In fact, a recent industry report shows that the market for HR technology solutions is around $40 billion globally. Yes, digitization of HR is here, but the trend shouldn't be followed blindly.
Let's be honest. It's pointless to attempt to list the impact, benefits, or power of technology. We all know the role it plays in our lives. But in our quest to make HR faster, more real-time and responsive, we are often taking the easy road by using technology for technology's sake. The desire to ride this digital wave becomes the primary driving force behind implementing the technology. The end result: we're not paying full attention to whether or not it's truly fulfilling real needs.
Here are two examples I've seen in the past year that are noteworthy for different reasons. Both are from the performance management space, yet only one really worked. The one that was successfully implemented was in the area of network analysis—a tool based on “deep learning" used to determine whether an employee would be a “rock star" performer or not. As you can imagine, this is a goldmine of information for any organization. A single person using this tool can predict top performers across thousands of employees!
Yet an app that was designed to give employees instant feedback turned out to be a complete miss. Why? Because it lacked the human touch necessary for people to feel comfortable enough to provide developmental feedback. In other words, it became a tool for giving out good news only. That's hardly useful, but it was a great learning experience for us nonetheless. It showed us that good judgment is so important if we are to leverage technology that truly has a significant business impact. Again, technology just for the sake of technology is never a winning formula.
Therefore, here are my top three reasons for implementing technology:
So before you implement any technology in your HR organization, ask yourself these three questions:
Even though change is impossible without technology, a nuanced and clear-eyed understanding of what it can—and cannot—do in your organization is necessary. Implementing technology with a purpose, right from the start, is critical for success.
The article was authored by Piyush Mehta, Chief Human Resource Officer at Genpact, and was first published by BusinessWorld.