This article is first published in HRM Singapore issue 11.4

Now, more than ever, HR relies on fast, smart and flexible technology to work its magic. HRM examines some useful tools in the market that are giving people professionals more time to become truly strategic operators.

The HR technology market is constantly re-inventing itself to meet the changing expectations of its users. Technological advancements such as advanced HR information systems (HRIS) enable HR professionals to access and search for information at a click of a mouse.

HR technology has also made major inroads in areas such as payroll processing, recruitment and talent management, offering sophisticated tools that can save time and improve efficiency. However, enterprise software has a reputation of being overly complicated. Industry observers say that this has heightened demand for more user-friendly applications that can be accessed on-the-go. “There is a clear and present move away from complexity. In fact zero clicks is quickly becoming the holy grail of efficient applications,” Ari Kopoulos, National Sales and Marketing Manager, EmployeeConnect says.

HR goes mobile
Application-driven mobile devices are the rage now with users expecting to receive key services anytime, anywhere. Mobile applications are also rapidly moving through the HR chain and being applied in areas such as recruitment, talent acquisition as well as learning and development.

Mobile technology tools can lead to gains in performance and productivity. According to a research by the Aberdeen Group top performing companies are 26% more likely than all other organisations to use mobile tools to facilitate human capital management processes and workflows. In addition, the survey found that 65% of employees at companies using mobility tools for Human Capital Management rated themselves as “highly engaged” versus 57% of organisations that do not use such tools.

Such tools are also the new frontier for talent management, Kopoulos says. Many recruitment firms now offer smart phone-designed job portals where recruitment requests can be approved on-the-go. “The real value of this lies in closing the gap between the recruitment process and social media channels, allowing HR to put its finger on the pulse of the existing or prospective workforce,” he says.

Mobile applications can smooth out workflow for administrative HR functions as well. Payroll processing vendor Pay Asia has been investing heavily in R&D to keep up with developments in this space. “Our e-portal will synergise with a more tech-savvy workforce allowing mobile applications to access e-payslips, apply for leave, make an expenses reimbursement or even activate an online HR report,” Lawrence Pushpam, Business Development Director, Pay Asia says.

The next frontier in mobile applications could be talent development, Aileen Ng, Managing Director, VirtualHR says. “We could leverage mobile technology to extend the efficacy of training to where the trainer cannot easily go,” she says.

Intelligent HR
HR is the gatekeeper to a host of employee-related information. But how can it effectively utilise this data to bring about improvements in performance, retention and employee satisfaction? This is where smart HR technology can make a difference.

Business intelligence (BI) tools essentially give HR a bird’s eye view of its resources, often through a dashboard or graphical representation that displays key metrics on areas such as staff turnover, retention, skills gaps and overheads. “Visualisation makes the complex data embedded within an HRIS clear and immediately actionable,” Kopoulos says.

According to Kopoulos, a key advantage of such a system is its ability to build scenarios or make the data talk and present it in a way that drives decision making. For example, instead of reporting the aging workforce, BI tools will enable HR to illustrate what the workforce will look like in 5, 10 or 15 years’ time. “This kind of ‘what if’ scenario building allows you to explore the consequences of inadequate bench strength,” he says.

Dashboards can also be configured to provide competitive insights. While most hiring and promotion decisions are made by the line managers, presenting them with accurate talent analysis provides a level of quality in their decisions, Kopoulos says. “For example, understanding the sources of departure, reasons for departure, and sources of high performers and potentials, provides insights that build strategies for retention and hiring.

Aging workforce
Singapore is experiencing a rapidly aging workforce with one out of five residents expected to be over the age of 65 by 2030. From 2012, employers will be required to rehire workers who have reached the statutory retirement age of 62.

“Employers should review the benefits programs offered to reemployed employees – in particular insurance and medical benefits – and, where necessary, discuss terms and conditions with their providers,” Mark Whatley, Director, Benefits, Southeast Asia, Towers Watson says.
The cost of benefits for older workers may be higher and this needs to be planned for and understood, Marcus Underhill, Global Reward Director, Thomson Online Benefits says.

The expectations of older workers might also be different form Gen Y staff. Typically they value retirement income and medical provision, or a flexible and less pressurised work environment, whilst younger employees may value vacation or work progression, Underhill says.

Compensation and benefits technology can help HR better meet the changing demographics of these issues. Typically offered by third party solution providers, such a service can help HR keep track of changes in insurance premiums, worker compensation as well as local labour legislation. It also covers administrative duties like the processing of paperwork and employee claim forms. The burden on HR is further reduced as employees can log on to a fully-automated web-based portal to access services. Employees can directly approach the vendor’s call centre if they have any queries and get advice on how to best use their options.

Technology solutions can manage complex benefits plans at an individual level so organisations concerned about cost control in areas such as medical or retirement plan inflation can look to micro manage cost-sharing approaches, Underhill says. “With technology advancement, and falling costs, it is really now a case of ‘when’ for benefits technology and ‘not if’,” he says.