The HR & OB Society
While a deft touch for managing people is always required, HR must increasingly achieve
business goals by capitalizing on all possibilities of digital technology. Digital Human Capital
Management solutions have potency to transform the way in which HR processes are currently
managed as illustrated in figure 3. (Source: Capgemini Consulting )
Digital HCM solutions enable
integrated
management
of
approval workflows and policies.
They provide a single point of
responsibility
for
managers
(Manager Self Service), employee
(Employee Self Service) and HR
(HR Self Service) as well as more
transparent usage, availability,
spend and performance leading to
standardisation of processes with
better visibility, accessibility and
intelligent reporting with analytics.
Digital HCM solutions enable
organisations to analyse datasets to identify patterns and causality. HR can diagnose the
factors that lead to voluntary turnover of employees and take corrective actions to reduce
employee turnover. Hiring and retention rates can be improved with help of data analytics by
identifying the best capabilities corresponding to a role.
So, what Is Holding Back Digital Transformation in HR?
Most organizations have traditionally been built upon multiple IT systems to support HR
processes. These systems are not interoperable, do not function seamlessly and lacks
scalable solution for global solution which is the major predicament. In addition, Digitization
Efforts are more often than not curtailed by Senior Management perceptions considering it as
a parsimonious rather than an investment.
HR leaders must ensure four checkpoints for successful digitization efforts and delivery
of maximum benefits.
•
•
•
•
Digitization in HR is driven post building Top-Management Consensus
Adoption of a Flexible, Scalable IT Architecture
Deliver a Seamless Corporate experience to employees across globe
Data driven Decision Making
Organization can do much more to derive value from investments already made in technology,
even as they foresee radically new ways of working. Despite the build-up around innovative
digital technologies, digital transformation journey of most organizations still has a long road
ahead. Maven Leadership is essential. The key to digital transformation is re-engineering and
Faculty of Management Studies, Delhi
7