Why should HR lead the digital transformation of the company?

February 3, 2022

HR digital transformation

Digital transformation has become an unavoidable necessity for all organizations.

In fact, according to a recent study by the consulting firm IDC, 66% of the CEOs surveyed consider it a key part of their business plans.

But why should this transformation begin with the HR digitalization? Simple! Because HR means people and teams. So, the HR digitalization means in general the digitalization of the entire company. 

Why should HR lead the digital transformation of the company?

When we talk about people, company digitalization is pivoting around HR. The main reason is that nowadays most of the HR processes involve managers and employees. For example: 

  • Approving a training request.
  • Updating a CV.
  • Requesting annual leave. 
  • Participating in an online social discussion. 
  • Making a recruitment request…

These are several processes related to the HR department where the whole organization is involved. 

Thus, providing employees with tools to do that even with their own devices is a task for the HR department.  

Benefits of the HR digital transformation

HR digitalization brings with it a number of advantages that make the digital transformation more effective since it takes place in a comprehensive manner, i.e., it does not only affect a specific department, but the entire organization.  

Leading the transformation from HR enables: 

  1. Automating processes and decreasing the time spent on repetitive tasks. Time-consuming tasks are automated. This allows the time to be spent on tasks that truly add value to be increased, resulting in greater efficiency in internal processes.  
  2. Maximizing the employee experience. The advent of COVID has triggered the need to manage teams remotely, ensure higher performance and improve engagement. The digitization of HR is key in this process because it helps to create an important link between employee engagement and overall company performance.  
  3. Increasing productivity. The digitalization of business processes is accompanied by a reduction in operating costs. In fact, and according to McKinsey, the increase in productivity resulting from digitalization is between 20 and 30%.  

HR management software, an essential element of the digital transformation 

For HR departments to lead the digital transformation, it is essential to understand that it is not the final aim.

Digitalization is the way to achieve growth, improvement, and performance of business goals. Digitalization, through technology and the implementation of HR management software, facilitates communication with teams, allows for more efficient selection processes and, ultimately, faster and more accurate decision-making. 

A management software such as Talentia HCM provides all the necessary tools to achieve a successful digital transformation that increases competitiveness, achieves greater efficiency in internal processes, and has a focus on the employee experience.

For this tool to add value to your organization, it must adapt to the performance and productivity needs of your business. Thus, the HR management software is not only a key element in the digital transformation process of any company, but it also frees the HR department from repetitive tasks so that it can take on strategic functions that benefit the entire organization.

It is key to select a very flexible software that adapts to the company’s processes and the changes, that functionally and organically speaking, affect the business.