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Deloitte asks are you ready for digital disruption in HR?

Posted on Jul 3, 2016

With more than 7 billion mobile devices in the world and more than 40% of all internet traffic driven by these devices, smart data is driving an entirely new employee experience. But it’s clear that far more needs to be done.

In the Deloitte global survey, Global Human Capital Trends 2016: The new organisation: Different by design, only 7% of companies use mobile technology for coaching, 10% for performance management, 8% for time scheduling, 13% for recruiting and candidate management, and 21% for leave requests.

As companies navigate the culture and change dynamic, technology can be both an amplifier for the positive and negative – so organisations need to tread carefully.

Technology in the driver’s seat

Globally and locally businesses are turning to technology as the facilitator – realising the need to adapt to rapidly evolving business ecosystems:

Almost three-quarters of executives (74%) identified digital HR, the complete redesign of HR tools and services around digital technology, as a top priority. The report reveals 59% are shifting their back-office HR systems to mobile in an effort to make them easier to use by employees. It said 42% of companies are redesigning their HR systems to support mobile, just-in-time learning.

The impact of technology in creating a captivating culture

With technology becoming a critical driver of cultural change, it’s important to consider both hard-wiring – the systems, processes, communications protocols and channels; and soft-wiring – the software we use and in particular the leaders’ behaviours.

Soft-wiring and in particular leaders’ behaviours, have the greatest influence on culture, whether positive or negative. But when it comes to technology and leadership – if leaders behave poorly, technology will accelerate the negatives. Its ubiquitous nature means it enhances connectivity, its speed and transparency.

On the positive side, however, hyperconnectivity enables us to:

  • Collaborate, with a diversity of people and teams, to improve employee connectivity and culture as well as outcomes.
  • Feel empowered, creating personalised solutions, careers and work experiences.
  • Be more responsive, helping the shift from annual surveys to employee listening tools such as pulse surveys, anonymous social tools, and regular feedback check-ins by managers.

Again Australia leads the world in the importance it places on people analytics, and using people-related data to improve, be smarter and inform all types of management, business, and HR decisions.

Ready to embrace technology?

To keep up with technology and its powerful place on the corporate ladder, companies need to ask five key questions:

  1. Is digital drivingthe HR strategy? If not, why not? From mobile to cloud solutions, smartphones to laptops – HR processes are being redefined, redesigned and delivered differently in this rapidly moving digital landscape
  2. Is design thinking being used effectively? HR must begin with employee needs and the user experience. Incorporating design thinking throughout the process can help organisations to maximise the full potential of new digital technologies.
  3. How agile is HR? It’s time to integrate HR, technology, employees and business leaders to work together cohesively so that digital enhancements are seamless and productive.
  4. Ready for the real-time employee experience? HR teams need to automate, streamline and adopt an increased focus on real-time and digitally-focused operations in place of the traditional process forms and manual transactions.
  5. Does your digital platform integrate analytics and reporting? Gone are the days of the piecemeal approach. It’s all about ensuring that business intelligence comes from an integrated perspective – linking apps directly to leadership reports and analysis.

From having a new digital mindset to revolutionising the way HR services are delivered, organisations need to continue to adapt and harness the power of technology, faster than ever.

David Brown is a partner of consulting and leads the Human Capital practice nationally at Deloitte.