Picture this for a moment.
Siya is the Head of Human Resource Management (HRM) in Abracadabra, a company with over 500 employees. Siya has a team of talented HR personnel who handle a range of regular activities such as verifying employee credentials, handling payrolls, sorting out compensation, managing and discovering talents, and the like. Of course, there are programs to track and sort regular functions. So as long as the HR department is handling administration duties and controlling costs, Abracadabra believes that it has put its resources to good use. But have they?
Many believe that the scope of HR is limited to what it decades ago, ever since the term ‘HR’ was first coined (in 1893 by economist John R. Commons). The role of HR is assumed to be that of simply lowering administrative costs. Newsflash – it isn’t. Well, not anymore at least.
HR functions are much broader and complex than what they used to be. For starters, many progressive companies now refer to their human resource division as Human Capital Management (HCM). While the paperwork and other responsibilities remain, the challenge is to stop considering employees as data sets and treat them as assets that can be developed and properly utilized.
According to Deloitte’s 2016 Global Human Capital Trends report, HR divisions have shown a 13% increase in employee engagement. It’s not just about filling in vacant positions anymore. It’s about building ties with the right kind of employees and moulding their skills in alignment with that of the organizations’.
Jeremy Roche, president and CEO at FinancialForce.com, believes that business growth depends on the ability to attract and retain the right kind of people. If HR is not at the forefront of this requirement, small businesses could find it difficult to function efficiently. Organizations have begun to realize that the HR function needs to expand to include a dynamic and creative approach when it comes to managing, developing, and retaining vital manpower.
And how do we make the transition? By automating regular activities.
New and improved tools from SAP have been key in taking over a large chunk of repetitive work such as managing payroll, reports, and the like. This will enable HR executives to concentrate more on employing creative solutions to build a strong and efficient talent base. What matters is adopting innovative methods of onboarding, constantly tracking progress, and helping employees develop a long-term career path.
So what does the future look like?
While many things can be automated, people can’t. A changing economy demands that we change with the times. Technological advancements and business strategies demand creative solutions that can bring profits. This, in turn, requires HR divisions to create and inspire reform from within the talent pool. In short, upgrading HR functions can largely contribute to building a driven workforce.
Have you built your team for success?
Picture this for a moment.