Impact of Information Technology On Human Resource Management

Hanna Wilson, HR tech Outlook | Wednesday, February 24, 2021

Nowadays, 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.

FREMONT, CA: 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.

It has been conventionally proved that Information and Communication Technology (ICT), such as the Internet, mobile communication, new media, and such in HR can greatly contribute to the fulfillment of personnel policies of the organization. Technological advancement can have a huge impact on the HR department of an organization. It allows the company to improve its internal processes, core competencies, relevant markets and organizational structure as a whole.

Human Resource must mainly be focused on the strategic objectives of the organization. These strategies must be led to incorporate an IT strategic plan for the organization. These are activities related to any development in the technological systems of the entity, such as product design (research and development) and IT systems.

Technology development is an important activity for the innovation process within the business, and may include acquired knowledge. In the context, all activities may have some technical content, and results in greater technological advancement.

These days integration capability plays a key role in the HR tech space. As the HR function is becoming more and more automated, system integration has become even more essential. To facilitate an effective combination of capabilities your HR technology should be able to easily integrate with third-party systems. This includes other tools as well within the HR tech space, such as payroll and claims management.

As per a Gartner report, 20 percent of organizations will include employee engagement improvement as a shared performance objective. There is a strong correlation between engagement and outcomes. High employee engagement tends to have an improved business outcome, increases EBITDA margins and customer satisfaction.

We believe that tech will play a great role in internal employee and stakeholder engagement through machine learning and predictive analytics. The advancement of technology means companies can use the latest innovations, such as machine learning to screen resumes and augmented reality to onboard new employees.

It is important to remember though that the whole HRM domain is impossible without people. A lot depends on the empathy and experience of an HR specialist, but the deployment of technology can significantly improve the quality of work of a single specialist.

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