Digitization of the Human Resources area

How HR digitization impacts the performance of the entire organization

According to data from the consulting firm McKinsey, productivity increases between 20 and 30% after digitization. Over the last decade, the digital transformation of business models has been consolidated as an imperative need to remain competitive in the market. The implications of this process are complex and affect all areas of the organization. In addition, they require the adoption of a new work culture by the workforce and the management team. As a result, the pace of digitization varies depending on the sector of activity and the area of the company.

In recent months, as a result of exceptional circumstances, we have become accustomed to a new way of working and have seen new technologies break into our daily lives in a different way. The digitalization process has accelerated and our awareness of the importance of the team and the trust and well-being of the workforce has been consolidated. This is why it is time to boost the digitization of the Human Resources area.

The implementation of HR software for people and payroll management such as Dynamics 365 Human Resources brings greater efficiency to the company by optimizing the distribution of resources. In general, companies that digitize their Human Resources improve productivity, employee satisfaction, communication and the distribution of training and self-service resources.

Human Resources Software: what should it bring to the organization?

The digitization of the HR department will positively affect the entire company. First of all, you must choose a tool that integrates with the rest of the solutions in other areas to make the information more fluid and the processes more complex and effective. This is the case with the Microsoft Dynamics 365 suite of business apps.

On the other hand, the solution must provide the workforce with a series of resources that facilitate self-service. For example, access to training resources or the management of their vacations and notifications. In this way, all procedures are streamlined by facilitating access to these types of resources. It also helps motivate employees with benefits and reward programs.

In addition, managers must have access at a glance to the performance of this area of the business to make better and faster decisions. Rapid analysis of information through reports and dashboards has a direct impact on the performance of the organization.

Finally, the solution should facilitate other departmental tasks. For example, by providing better information about candidates and offering the necessary tools to achieve a better selection process. Or also by facilitating payroll management in line with the administrative or accounting department.


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