"The e-revolution has finally freed HR to focus on strategies to support the company business - the acquisition, retention, and the growth of the company's most important assets: its people and their collective knowledge" - Watson Wyatt, HR Consulting Firm.
Today’s business environment along with the increasing importance of technology requires smart thinking, quick action and rapid adaptation to constantly changing conditions. The marketplace increasingly rewards those who respond to the demand for innovation driven by the Web and Internet, technology advances, globalization, skills shortages, and shifting demographics. This new business landscape means leaving behind old ...view middle of the document...
Information Technology improves services and access to data by employees (Employee Self Service) and managers (Manager Self Service) which in turn reduce HR administrative burdens which consequently leads to the reduction of HR working force. This enhances the feeling of employee engagement within the organization since it is now possible for the employee to insert, modify and access his/her own personal information whenever he /she wants.
Globalization is made possible by the development in information technology which made it accessible for people all over the world to work together, collaborate, compete and share knowledge. This means that it is possible now to reach talented people not only from the developed countries but also from the developing ones. It also remains the biggest challenge for organizations’ human resource departments to manage a workforce diverse in culture and language skills, distributed in various countries. HR departments of global companies assemble all the required data about employees including personal information, hiring dates, compensation and benefits, performance appraisals, gender, cultural and nationality backgrounds in data warehouses and data marts. These data warehouses provide a repository for information and data which helps in presenting data analytics and information delivery to human resources professionals to predict changes, and make informed decisions at operational and strategic levels and, ultimately, improve performance.
As a result of information technology and globalization, outsourcing of HR functions plays an important part in the future of HR. For HR to position itself strategically, it has to learn "what" and "how" to outsource. In the future, a core of HR is likely to be part of the business and all of the administrative and transactional aspects of HR are outsourced. In addition to cost reduction that outsourcing provides, HR professionals will have less depth in traditional HR functions but more breadth in skills and knowledge about the business they support.
Finally, information technology facilitates the customization of work relationships. Teleworking or telecommuting has recently taken place. Some companies allow their employees to work from home two days per week as it was the case of a New York City publishing company. This creates a kind of workplace flexibility which makes the employees more motivated and engaged.
How Technology and the Web can be used to deliver value-added HR services?
The term “e-HR” describes the transformation of HR service delivery using web-based technology. Now HR professionals must not only master traditional HR skills and knowledge, but also have the ability to apply that knowledge via technology. Employees are no longer dealing with HR face to face but through HR portals where an access point is customized for each employee. Each employee will be allowed to access his/her own personal information and any other data that is related to his / her...