[Trends 2020] How will HRTech Shape This Year?
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HRTech is bound to evolve in the coming times. In 2020 and beyond, we expect enterprises to take a deeper dive into artificial intelligence (AI), deep learning, machine learning (ML), predictive analytics, higher employee engagement, HR analytics, focus on diversity and inclusion, continuous performance feedback and personalized learning experiences. Disruptive technology is holding the centre stage these days and it will lead to clearer visions in the coming time. In today’s world, business has become dynamic and technology has become more disruptive, and new innovations are bound to hit the HRTech space.
HRTech is a $2 billion market in India, yet it amounts to only 0.5 per cent of the global industry which is estimated at $400 billion, according to news reports.
Also Read: 3 Dangers in HR Tech, You Should Know!
AI, deep learning and ML Will Evolve More
Robotic process automation (RPA) can be used to automate processes that are repetitive, prone to error and hypercritical. There are 50 per cent to 60 per cent of HR processes that can be replaced with robotic process automation such as hiring and on-boarding, recruitment, HR administration, analytics and payroll processing. Intelligence hiring through ML can establish a structured hiring and on-boarding process to enable digital workplace and accelerate new-hire productivity. ML powered HCM solutions enable organizations to derive intelligent insights that help navigate these challenges, reduce the cost of a bad hire, and maximize the return on investment on the resource time and cost spent on hiring.
Employee Engagement Will Increase
By 2020, 20 per cent of organizations will include employee engagement improvement as a shared performance objective, according to a Gartner report. There is a strong correlation between employee engagement and business outcomes. Higher employee engagement tends to have an improved business outcome, increases Ebitda margins and better customer experience. Employee engagement strategies can increase happiness quotient also it helps in retaining employees and manage attrition in the workspace.
Continuous Performance Feedback Would Become a Key HR function
The 2019 Gartner Performance Management Benchmarking Survey showed that 81 per cent of HR leaders are making changes to performance management. Around 82 per cent of HR leaders say performance management is not effective at achieving its purpose, and only 38 per cent say it is keeping pace with organisational goals.
A 360-degree continuous performance feedback management tool can enable each individual, all your teams who are a part of the organization, to succeed in their goals. Continuous performance feedback is a new way of looking at the traditional employee performance reviews structure. Instead of bi-annual or annual reviews, continuous performance feedback results in a more holistic and accurate picture of employee performance.
Personalised Learning Experiences Would Become Pivotal For Future Workforce
On-demand micro-learning has become essential for organizations to improve employee performance. It reduces attrition and fosters a collaborative work environment. Multi-lingual learning adds to its effectiveness. L&D teams must recognize the needs of each employee and use specific knowledge about them to personalize their learning. Personalized learning is a journey and it can improve employee engagement.
HR Data Analytics Will Be Key For Organizations and CXOs To Drive Efficiency
Big data and analytics would be a key thing to drive process re-engineering and ‘outcomation’. In today’s world, next-level HR leaders are hypercritical and imperative for the success of fast-growing progressive enterprises. HR leaders are now becoming part of the boardroom bringing data to the table in decision-making conversations and making better-informed decisions. Data-driven decision-making can have a huge impact on the topline and bottomline of the business. HR analytics empowers you to take the right action basis intelligent data insights and provide businesses with a real-time view of the HR metrics. As organizations rethink their HR processes to succeed in an agile and dynamic business environment, the continuous improvement approach will have a pervasive impact on business outcomes.
Robotic Process Automation Will Take Some Actual Big Steps In Organizations
RPA adoption is bound to increase in the coming decade, as has been made evident through multiple research studies conducted by organizations worldwide. One such study has been provided by Gartner, which lay emphasis on AI (the think engine behind RPA) and how they are bound to increase productivity in general across all industries, as can be observed in the following image. This does not necessarily have to imply that such computational intelligence is imminently going to replace and eradicate the jobs of professionals, but instead is primarily focused on working in tandem and enabling human intervention through structured data management powered by ML.
A simple example that can be referred to over here, in order to better understand RPA, is the usage of AI and ML in the process of recruitment. A task as tedious as resume stacking that ideally would require several man hours, can be processed rather instantaneously through the application of such technology, as it utilizes the parameters such as competencies and skills, among others, to search and map out relevant resume profiles that would be best-suited for the particular job profile or project at hand.
Cloud Service Will Take a Driver Seat For Data Across Formats
The age-old stigma against cloud services, especially observed through public sector companies, is no longer prevalent, as increased development in cybersecurity and data privacy capabilities of new-age server architectures, ensure that enterprises are provided with the highest level encryption so that the security and confidentiality of their data is always maintained. With the inclusion of hybrid server capabilities, wherein data is maintained at local hubs, but may be processed on the cloud, or even a scenario wherein private servers can be maintained with limited back door accessibility to ensure that extremely confidential data, such as account numbers of customers of a bank, remains completely secured with no room for any external user to access this data for any misuse. Such practices are cost effective, easy to implement and maintain and can enjoy all the benefits of a cloud based server which were earlier missing out on on-premise solutions.