The terms “HR 4.0” or “Future HR management” have been circulating through the media for some time now – they are indicative of the fact that HR departments can change from simple “administrations” to strategic partners for employees, executives, and managing directors. In the same context, terminology such as talent management, (social) recruiting, employer branding, support for change processes, and new way of work occurs.
I’ll extend the capabilities of “HR 4.0” a bit further in some places: how about HR departments automating their HR, ongoing development and subsequent planning as well, based on statistical procedures already known from the Predictive Maintenance sector – i.e. predicting the next maintenance interval of an engine?
Proactive in three stages
Familiar patterns and structured information about employees (e.g. length of service and age in combination with changes to the status) allow machine prediction, for example, of employees displaying, if appropriate, an increased readiness to change. The responsible personnel officer is given this hint, which allows them to discuss the next steps with the responsible executive.
This type of strategic and proactive HR requires three stages:
- Digitized administrative HR processes – these create the necessary basis for the following stages
- Dashboards in real time – key figures from the systems and processes, as well as further, relevant HR key figures are available in real time
- Predictive HR – based on the key figures determined above, trends and analyses are automatically determined and reported by the system to the respective stakeholders.
Let’s start using the digital personnel file
The first step may be digitizing administrative standard processes in HR. More often than not, this goes hand in hand with implementing a digital personnel file. Only when all information covering an employee is electronically available and paper is no longer used can administrative HR processes be digitized.
The next step is frequently providing employee self-services: e.g. time collection, vacation request and changes to addresses, marital status, or bank details. Other processes such as conducting annual assessment interviews, internal shifts, travel expense accounting, and statements can be implemented step by step. Personnel (deployment) planning, optimized on-/off-boarding processes, as well as all types of recruiting are also relevant processes that can be very well digitized.