HR technology is an umbrella term for technology that automates the human resources function. There is automated tech for employee payroll and compensation, talent acquisition and management, workforce analytics, performance management, benefits administration, etc.
While all of that is great to know, why should you care about HR tech?
First, there are the financial benefits. HR organizations that “regularly use data to make talent and HR strategy decisions” generate 30% greater stock returns than the S&P 500 over the last 3 years.*
And then there are workplace benefits, specifically related to diversity and inclusion.
Pay equity legislation is a hot topic for businesses nationwide. Eliminating discrimination in wages is challenging – pay transparency laws restrict companies from asking about employee salary history; work loads differ for same job titles; different merits receive more compensation than others; etc.
Cue HR tech to the rescue. Technology plays a critical role in navigating these challenges and committing your organization to fair pay. Pay equity in turn leads to flourishing morale, a stronger brand (internally and externally) and a growing business – not to mention proactive protection against potential lawsuits.
One tool that offers solutions to the issue of diversity and inclusion is Syndio. By compiling data about employees (gender, years of experience, IQ, etc) with internal work information gathered from employees, Syndio is able to measure the inclusion of individuals, identify high/low collaborative groups, internally influential employees and retention risk. As it relates to pay equity, Syndio can use this information to identify compensation tiers for different positions and current employees being underpaid/overpaid.
With this information, companies are able to audit, measure and potentially fix current inclusion efforts. All of which would not be possible without HR tech!
So don’t fear the technology opportunities around us – work with the technology experts to embrace them and discover your business’ potential.
*Putting HR Tech to Work for You, Zev J. Eigen, JD, PhD