HR departments still over-reliant on paper
Human resources (HR) applications, such as employee on-boarding, are popular candidates for digitisation. Yet, many HR departments are still reliant on paper-based processes.
According to the 2015 HR Service Delivery and Technology Survey by global professional services company Towers Watson, nearly a third of companies still use manual or paper methods to manage bonuses, and 39% still use paper-based systems to process new joiners.
This represents a significant opportunity for resellers, with nine out of 10 respondents in the EMEA region planning to spend as much or more on HR technology this year as they did in 2014. More than one in ten (12%) plan to increase their investment by more than 20%. Overall, more than one third of respondents in EMEA plan to replace their core HR management system.
Tim Richard, EMEA leader of Towers Watson’s HR Service Delivery practice, said: “Upgrading and consolidating technology is becoming a major priority for HR. While in the past, companies have mostly invested in separate technology for talent, compensation and performance management, there has been a dramatic shift to investing in an overarching IT system with the functionality to take care of all of these areas. Many organisations are now looking at cloud-based solutions to replace traditional HR platforms.”
He added: “That said, while many HR organisations are embracing change and capitalising on the opportunities presented by new technologies, the extent to which legacy paper systems prevail is startling. I expect that as more positive case studies of tech adoption are shared with peers, confidence will naturally grow and the use of paper systems will significantly decline during the next few years.”
The survey highlights growing interest in the use of mobile technologies for HR purposes, with almost two-thirds of companies already using such applications or planning to introduce them in the next 12-18 months, and in self-service HR portals, which 90% of organisations have in place or are developing.