Human resources and technology may seem like different ends of the spectrum: one dealing with people, the other digital systems. But HR and technology have always gone hand-in-hand to improve employee engagement. The difference is that now more than ever before, new tools exist to address almost every type of HR challenge.
From talent acquisition and onboarding to employee engagement and communication, HR leaders are turning to advanced tools that streamline processes and enhance the employee experience. Not to mention, of course, saving significant amounts of time by automating repetitive HR tasks like payroll, recordkeeping, benefits administration, onboarding, performance reviews, and more. Added on top of that are the possibilities opening up with artificial intelligence and large language models.
Simply having technology available doesn’t mean it’s being used to its full potential. It’s not uncommon for HR professionals to feel overburdened and overwhelmed by the wide range of programs, processes, and documentation they must manage every day. It’s a problem that Harvard Business Review has dubbed the “toggling tax”: the average employee (HR or otherwise) toggles between apps and websites nearly 1,200 times daily.
For HR professionals in particular, a lack of integration of their tech stack solutions is a problem.
68% have between two and seven paid HR solutions in their HR tech stacks.
30% say they’re held back from attaining their important HR goals by a lack of tech integration.
69% say HR tech tools increase HR efficiency and 73% say they improve organizational productivity.
25% struggle to reconfigure their HR tech stack in response to change.
(Source: State of Today's HR Tech Stack and Integrations 2024, HR Research)
There are solutions, though, both in terms of choosing the best tools for the HR tech stack and leveraging a combination of high-tech and high-touch approaches.
The Evolution of HR Technologies
Traditional HR practices relied heavily on manual processes, including paper-based record-keeping, face-to-face communication, and limited data analysis capabilities. HR departments focused primarily on administrative tasks, such as payroll, recruitment, and compliance.
The introduction of HR software in the 1980s (the first HR management software, PeopleSoft, launched in 1987) marked a significant shift, automating many administrative tasks. The 1990s and early 2000s saw the rise of more sophisticated systems, including more advanced people analytics. The following decades saw a rise in cloud-based HR solutions and the beginnings of AI – something that continues today.
Now, HR technology is driven by cutting-edge AI, machine learning, and comprehensive data analytics. Tools that offer predictive analytics and real-time employee feedback systems are essential. Remote work technologies and mobile HR apps are also trending, reflecting the shift towards flexible and decentralized work environments.
The shift towards new technologies has enabled HR professionals to embrace a more strategic role – driving innovation, improving employee engagement, and making data-driven decisions that align with broader organizational goals.
Today, the most common uses of HR technology (according to HR Research’s 2024 report) are:
- Payroll
- Recruitment
- Benefits Administration
- Workforce Management
- Performance Management
- Onboarding
- Learning and Development
- Reporting and Compliance
- Employee Experience*
- Rewards and Recognition
- Total Rewards
* Note: HR Research found that enhancing the employee experience through technology is the top priority for the majority of HR professionals, but less than half of organizations currently have tools specifically designed for this purpose.
Benefits of Technology in Employee Engagement
As organizations strive to foster a more engaged and productive workforce, leveraging technology has become essential. Integrating advanced tools and platforms into HR practices streamlines communication, personalized employee experiences, and supports flexible work arrangements, all of which contribute to higher levels of engagement.
In fact, according to a survey by Gartner, HR leaders say technology is their top investment priority in 2024 – for the third year in a row. The benefits and return on investment are just too good to ignore!
Key Technologies Enhancing Employee Engagement
- Communication: Technology facilitates seamless communication across all levels of an organization. Tools like instant messaging, video conferencing, and collaborative platforms (e.g., Slack, Microsoft Teams) are standard at nearly all organizations now. A platform designed specifically for engagement, however, takes communication even further by facilitating peer-to-peer and manager-to-report recognition.
- Collaboration: Collaborative tools and software enable employees to work together more effectively. Shared workspaces, project management tools (e.g., Asana, Trello), and document-sharing platforms (e.g., Google Drive, SharePoint) allow for real-time collaboration, making it easier to share ideas and work collectively on projects. Again, these types of tools are table stakes nowadays. A bigger challenge is in motivating teams to perform at their best, which is where a robust employee incentive and rewards program supported by technology comes in.
- Recognition and Rewards: Recognition and reward programs are essential for maintaining high levels of employee engagement – appreciation is incredibly powerful. A platform like Inspirus Connects makes it easy to acknowledge good work and celebrate employees.
- Feedback: Real-time feedback from employees helps HR teams address issues promptly and improve overall employee satisfaction and engagement. Anonymous feedback options encourage more honest and constructive input, providing deeper insights into their engagement levels. And don’t forget to take stock of your organization's cultural health. Neuroscience-based pre-built surveys like the ones offered in partnership between Inspirus and The Happiness Index allow you to measure how your people think, feel, and behave across the full employee experience.
- Learning and Development: Technology provides access to a wide range of online training and development resources. More personalized learning paths enable employees to upskill and grow professionally, which can lead to higher job satisfaction and engagement.
Enhancing Employee Wellbeing Through Technology
In addition to programs that directly impact employee productivity – like recognition or better communication – there are a lot of benefits in offering employees tools that foster a more balanced and healthier lifestyle.
Investing in employee wellbeing is, of course, great for employees and well worth it on that alone. On top of that though, healthy and happy employees are less likely to miss work or leave the company. When employees feel supported and valued, they are more likely to show up consistently and remain committed to their jobs. This reduction in absenteeism and turnover is an immeasurable benefit – even just in terms of cutting costs for recruiting, training, and onboarding new employees.
Here are some of the tools and technologies HR leaders are offering to help enhance employee wellbeing:
Mental Health Platforms and Apps
Digital mental health platforms and apps have transformed access to mental health support. These tools offer services such as therapy sessions, meditation exercises, and coping strategies. Plus, they allow employees to seek professional help and enhance their emotional well-being from their devices at home or at work.
Stress Management With AI Tools
AI-powered chatbots and virtual assistants, for example, can offer real-time support, helping employees manage stress, burnout, and anxiety. AI algorithms can also analyze data to identify patterns and provide personalized recommendations for self-care and resilience-building activities.
Wearable Devices for Health Tracking and Fitness
Wearable devices like fitness trackers and smartwatches have become increasingly popular for monitoring health metrics like heart rate, sleep patterns, and activity levels. By integrating these devices into wellness programs, organizations can encourage physical health and wellness among employees. Plus, health-related technology products are always a huge hit when given as a gift or available in a catalog of reward gifts!
Virtual Reality and Augmented Reality for Emotional Wellness
Virtual reality (VR) and augmented reality (AR) technologies provide immersive experiences that promote emotional wellness. VR can simulate calming environments for relaxation and stress relief, while AR can overlay mindfulness exercises or visualizations onto the real world, creating engaging experiences that support emotional health. Think: a relaxing time on the beach or at a spa, but digitally.
Gamification in the Workplace
Gamification is a proven way to engage employees in all types of programs from wellness initiatives to brainstorming sessions. A little healthy competition can be incredibly motivating!
By incorporating game elements like points, badges, and leaderboards, organizations can make routine tasks more engaging and enjoyable – while also leading to higher levels of participation and performance.
It also makes learning and development by making training sessions interactive and fun. Employees are more likely to retain information and develop new skills when the learning process involves game-like elements. This can be particularly effective for onboarding new employees and providing ongoing professional development.
Here are some tips for implementing gamified systems:
- Design a variety of challenges that cater to different interests and skill sets to keep employees engaged.
- Use gamified platforms to track employee progress and provide real-time feedback, helping employees see their achievements and areas for improvement.
- Encourage team-based competitions to foster collaboration and build a stronger sense of community within the workplace.
- Reward employees for doing well! For instance, using an employee engagement platform like Inspirus allows managers to award employees points which can then be redeemed for rewards and gifts of their choice from a comprehensive catalog.
FAQs on HR and Technology
How can HR technology improve employee engagement?
HR technology enhances employee engagement by streamlining communication, personalizing employee experiences, and providing real-time feedback tools. This means HR professionals can create a more connected and motivated workforce, ultimately boosting employee satisfaction and productivity.
What are the benefits of using tech-enabled HR systems?
Tech-enabled HR systems offer numerous benefits, including reduced administrative burdens, real-time access to employee data, and scalability. From managing core HR functions to talent acquisition to employee development, technology improves HR processes and leads to better decision-making.
How do digital rewards and recognition platforms impact HR?
Digital rewards and recognition platforms automate the process of recognizing employee achievements, facilitating peer-to-peer recognition, and providing managers with easy-to-use tools for managing recognition activities. These platforms save time for HR teams and improve employee experience with regular and supportive acknowledgment, which is crucial for employee retention and engagement.
HR and Technology Combined
Thoughtfully incorporating technology into HR practices offers numerous benefits, from streamlining communication and personalizing employee experiences to enhancing well-being and engagement. Embracing these HR tech trends and solutions, while not overlooking the power of high-touch and human approaches, supports the holistic well-being of employees and positions organizations for ongoing success.