Impact of Technological Revolution on HR Practices

By Smita Kumari |Email | May 3, 2018 | 12342 Views

Technologies have changed the way we live, the way we do our business, the way we interact with each has almost transformed the process of business as a whole. Earlier Human Resource management was only restricted to recruitment, selection, compensation and training. But the technologies have changed broaden the scope of Human Resource Manager.


As per 2015 Employee Recognition Report by SHRM/Globo force Survey, the major challenges in managing Human Resource are Employee Engagement, Turnover, Development of Potential leaders and competitive pay. These challenges bring down technology revolution in HR Operations.

Major Changes in HR Operations in recent years:

  • Recruitment Process: 

Earlier recruiter used to post a vacancy and wait for the candidate response. Now with the help of social media and other technology, the waiting time reduced. Sometimes resume and an interview is not enough to screen out the candidates. Hr. manager need to look at the hidden skills and potential of the candidate. Using social media as a recruitment tool provides the broader view of the candidate personality, skills, preferences and other interpersonal skills.

  • Employee Engagement:

Millennials are born in the era of technology. So, they want to involve more with the technology. A workplace setting such as work from home, real-time performance evaluation, reduce waiting time for communication, accurate feedback is possible with technology which results in more employee engagement with the organization.

  • Performance Management:

Today's organization is shifting towards Performance Management from Performance Appraisal with the help of technology. Earlier Performance appraisal was done once in a year to review performance and based on which employees were provided with promotion etc. Now with the use of KPI (Key Performance Indicator and other tools, a continuous review of employeeâ??s performance are possible.

  • People analytics:

With the help of analyzing data related to employeesâ?? performance, experience, learning and satisfaction, managing Human Capital in a strategic way is possible. People analytics help in analyzing employees experience with the organization and improve them. This may result in Talent retention and reduced attrition. 

  • HR as Business Partner:

Technology has transformed HR function from supportive to act as a business partner with other functions as the views of an organization has changed to treat employees as a resource to capital, the investment on which will provide a return in terms of increased productivity, profitability and growth.

  • Improved Efficiency:

The technologies have improved efficiency of employees with real-time access on accurate information, changing workplace setting, ease of communication, continuous performance management, training through the webinar and use of chatbots in handling queries.

So various technology such as centralized communication system, KPI (Key Performance Indicator), People Analytics and other tools has changed the face of HR operations or the process of managing people as a whole.

Source: HOB