Why the Blockchain will change the HR function as we know it?

January 23, 2020

Version 10.2 de Talentia HCM

Piles of resumes to process have become the daily life of recruiters. And before you select the ones that are likely to make a difference, chances are you’ll spend some time there. While the AI revolution should provide real support, it is only possible through the Blockchain. Technology will transform the economy as a whole, and human resources are no exception.

The Blockchain is a decentralized system in which information is stored on countless servers capable of monitoring and authenticating changes to this information in real time. It looks like a classic server, except that the technology allows virtual transactions and exchanges without intermediaries. It was in 2008 that the system became known thanks to the virtual currency, Bitcoin.

What the Blockchain will bring to the HR world

One of the strengths of technology is its total transparency. In recruitment, it could play a major role, particularly in the verification of candidate profiles. The time savings are likely to be considerable and recruiting officers may not be able to do without it. This is the direct relationship between artificial intelligence possible only through the blockchain. PDF CVs and professional profiles on social networks are undeniably living their last hours…

The function specialists are well aware of this, the management of salaries and working time of everyone in a company is not always easy. The Blockchain may well prove to be able to respond to the administration of companies in the years to come. Its ability to be completely forgery-proof makes technology, for example, the best possible bank. No institution would no longer need to intervene in the process, which guarantees both security and cost savings for companies.

A new organizational model thanks to the blockchain?

As far as management is concerned, the system also has its say. It wants to be more and more “liberated” and less hierarchical. Well-being at work has become the key to success in both start-ups and larger structures. HR is well aware of this and seeks to retain talent in different ways. What if the Blockchain could play a role in the corporate culture?

Through the establishment of Decentralized Collaborative Organizations (free associations of individuals within open communities with a common goal), HR should have visibility over these DCOs (Decentralized Collaborative Organizations) and the members who have joined them based on their skills, interests or career aspirations. These organisations have the capacity to create cohesion around common objectives. The Blockchain system allows everyone to collaborate on a project. With the transparency of the technology, the reference that would be created by a user would be both visible to all but immediately rewarded according to its added value. Reward would be fair based on the contribution of each individual and their role in the community. A means of guaranteeing employee commitment.