Use of Information Technology in "HRM"
In the last two centuries, Technology has grown and continues to grow exponentially, rooting to every corner of the world and it is a dominant factor for success whether it is country as a whole or individual business. The technology is being adopted in every aspect of the HRM process from recruitment to exit and comes under the umbrella term of “E-HRM” and according to Oswal and Narayanappa (2015), the E-HRM is a highly influential tool contributing to organizational effectiveness and sustainability.
Strohmeier (2007) defines E-HRM as “planning, implementation and application of information technology for both networking and supporting at least two individual or collective actors in their shared performing of HR activities.” and it is fundamentally administrative support for all HR activities using technology. This includes E-Recruitment, E-Selection, E-Performance management, E-learning and many other functions.
According to Rathee and Bhuntel (2021), their study revealed that factors including user-friendliness, usefulness and experience of information technology are highly influential in implementing E-HRM in an organization. The E-HRM can be used in three aspects of an organization to gain benefits as Transactional, Relational and Transformational (Samson and Agrawal, 2020).
Emerging Technological Trend in HRM
Adoption of Artificial Intelligence
The article in Paychex (2020) mentions that currently, many companies are already using AI in recruiting process to screen and filter appropriate applicants in an efficient method and even to respond to applicants through the use of chatbots saving HR time.
Also, AI is used in the training and development of employees through augmented/virtual reality by individualizing content to better suit employees in a more productive way by saving time for HR staff and trainers.
Self-Service tools
The Employee self-service (ESS) and Manager self-service (MSS) are increasingly being adopted by organizations. According to the 2018 – 2019 Sierra-Cedar HR Systems survey shows that use of ESS is expected to rise from 78 percent to 87 percent and use of MSS from 68 to 80 percent within a year (Zielinski, 2019). Zielinski further mentions that companies using self-service tools appropriately gaining benefits by way of saving time and increasing the productivity of HR staff and allowing them to use the time more on important decision making and development of the business.
Conclusion
It is crucial for any organization to adopt the latest technology into HRM as appropriate to the business and technologically stay up to date in order to successfully compete in the market. Several studies have proved that digitization of HRM using the latest technology such as AI and self-service tools, has several benefits and some of them; sourcing better talents, monitor employee performance and improve worldwide access to human resources, and adding to that, improvements in overall efficiency and effectiveness of the organization.
References
Human Resources Online, 2020. 13 global HR trends
for the rest of 2020. [Online]
Available at: https://www.humanresourcesonline.net/13-global-hr-trends-for-the-rest-of-2020
[Accessed 27 July 2021].
Insights
Desk, 2019. HR Technology Set to Transform Business Operations. [Online]
Available at: https://www.demandtalk.com/insights/human-resources/hr-technology-set-to-transform-business-operations/
[Accessed 25 July 2021].
myHRfuture,
2019. AI in HR - What is the Impact of Artificial Intelligence or AI on
HR?. [Online]
Available at: https://www.youtube.com/watch?v=TNi9KV61ir0
[Accessed 28 July 2021].
Oswal, N.
& Narayanappa, 2015. Evolution of HRM to E-HRM to Achieve Organizational
Effectiveness and Sustainability. International Journal of Business
Administration and Management Research, 1(2), pp. 22-26.
Paychex,
2020. Technology Trends in HR for 2021. [Online]
Available at: https://www.paychex.com/articles/hcm/technology-trends-in-hr
[Accessed 27 July 2021].
Rathee, R.
& Bhuntel, R., 2021. A Study on Employee Perception about the Use of
E-HRM in IT. SCMS Journal of Indian Management, March.pp. 37-47.
Samson, H.
& Agrawal, V., 2020. Effectiveness of Digitalization in HRM: An Emerging
Trend. Journal of Critical Reviews, 7(4), pp. 4082-4088.
Strohmeier,
S., 2007. Research in e-HRM: Review and. Human Resource Management Review,
17(1), pp. 19-37.
Zielinski,
D., 2019. Self-Service Technology Brings Benefits and Concerns. [Online]
Available at: https://www.shrm.org/resourcesandtools/hr-topics/technology/pages/self-service-technology-brings-benefits-and-concerns.aspx
[Accessed 27 July 2021].
I agree with you, Fayaz; thank you for sharing such an interesting issue. At the current situation, IT plays a significant role in HRM; the pandemic has disrupted organizations and led HR managers to reconsider their roles as they respond to social distancing techniques and a new work environment that they may not have imagined.
ReplyDeleteAll the best
Thank you for the comments Praveen
DeleteNowadays, entrepreneurs with business acumen have acknowledged the power of information technology (IT) tools for reaching business targets. It not only helps achieve the business goals but also optimizes the work processes. Human Resource Management (HRM) includes activities such as recruiting, training, developing and rewarding people in the organization. HRM must aim at achieving competitiveness in the field of HR by providing constant educational and training programs for the personal and professional development of the employees of the organization. In this way, HR specialists can make data-driven decisions and use past experience as a base to redesign and optimize current processes.
ReplyDeleteThank you for the comments Oshadha
DeleteTechnology is effecting to almost every corner of an organization so as HRM. Using latest technology will streamline HRM process and better monitoring and identifying needs and fulfilling those in advance will result effective and efficiency work place.
ReplyDeleteThank you for the comments Sunith
DeleteHR technology is used to attract, hire, retain and maintain talent, support workforce administration, and optimize workforce management. The goal from automating functions is to help managers work faster and more efficiently. HR technology is used by managers, employees, HR professionals, IT and operations departments all in different ways to improve the way they do business. Implementing HR technology within an organization enables managers to gather, collect, and deliver information, as well as communicate with employees more easily and efficiently. Automating certain business processes can greatly reduce the amount of administrative work and allow managers to focus more of their time and energy on managing their workforce. HR technology also provides managers with the necessary decision making tools to allow them to make more effective HR-related decisions. Very interesting and thanks for sharing Fayaz.
ReplyDeleteThank you Harsha, for adding more insight to the article
DeleteAs you explained, It is important that HR professionals must analyze social, economic, political-legal, and technological environment opportunities to redesign HRM processes and practices that are key success factors to the organization mission and objectives.
ReplyDeleteIn recent years, information technology has effects on almost every aspect of our society, as well on organizational processes, including HRM processes and practices (Stone and Deadrick, 2015). From a position associated with administrative management, it has managed to become a strategic partner of organizations, largely because of the use of technologies.
ReplyDeleteIn global context, World’s leading financial institutes, such as J.P. Morgan, National Bank of Wynne have already begun to use AI-powered chatbots and virtual assistants for inputting customer information and anticipating customers’ future needs, etc (Marria, 2018). Besides that banks also use AI to identify suspicious activities or money laundering activities.
In today's context organizations have been forced to get the use of new technology to retain its market share. It is important for organizations to develop and implement effective HR strategies and policies to create a recruiting, competitive and intelligent workforce environment with the use of latest information technology, as the success of a company depends on good quality and its talented and well-satisfied employees.
ReplyDeleteHuman resource management (HRM) has undergone a significant transformation in recent years. The rapid advancement of IT in HRM is one of the major reasons for this change. Modern HRM has been significantly impacted by the increased use of IT. It has accelerated a significant shift in HR procedures and practices within businesses, particularly in terms of data collection, storage, use, and sharing. Several human resource management procedures have improved, resulting in greater human resource involvement in company strategy.
ReplyDeleteWhen HR functions are digitalized, they improve their functionality. Rather than doing the same administrative responsibilities, it can place a greater emphasis on employee well-being. With the present use of technology around the globe, the digitization of human resources has caused HR to reconsider how they connect with people. New HR tools and software are available to improve key functions, including recruitment, training, and performance management. It is unquestionably a positive step toward strengthening organizational goals.
ReplyDeleteThe basics of HRM has adapted Technology with the technological advancement that has overtaken the routine manual processes.
ReplyDelete1. Recruitment & selection - E Recruitment
2. Performance management - Systemized Performance management
3. Learning & development - Online Learning materials
4. Compensation and benefits - Salary and other payments are done through online platform.
5. Human Resources Information Systems - Employee details are stored in a company's online portal
6. HR data and analytics - Information regarding staff turnover, leave etc are maintained.
Likewise HR has adapted technology. Thank You.