HR Transformation: How To Ensure Success

Judith Lamb | Chief Human Resources Officer, CloudPay

Technology has the power to transform just about every single area of a business, and human resources are no exception to that. At the same time, the world of HR is changing: departments are moving away from their traditional duties and are increasingly expected to play a larger role in the operations and growth objectives of their organization as a whole. 

Because of this, the gradual approach of changing the HR function is in many cases no longer suitable. A much more revolutionary approach to HR transformation can help HR teams quickly pivot towards a tech-led future where it can align with business goals and add far more value than it does at present.

Of course, this is not a small undertaking. Undergoing HR digital transformation represents a major change for any business, one that can be highly complex and full of challenges to navigate. As transformation within this digital era requires a distinct, employee-centric approach to change management.

That’s why planning out an HR transformation in detail and positioning human resources as a business partner within your company can help smooth out the bumps on the road ahead. This blog sets out five important parts of that planning:

 

Involve everyone in the organization

HR affects every single person within a business, and so they will all be impacted by such a major change in how it works. That makes it vital to achieve buy-in right across the organization, and not just with the senior management making the big decisions.

The HR team should be proactive in seeking out employee feedback and addressing concerns with the employee experience, particularly among those who may be resistant to change. This proactive approach, along with transparency in what is happening when and why can help employees feel positive and enthused about the shift.

 

Embracing technology

Having the right HR technology in place is a critical part of achieving a successful HR transformation: deploying the wrong solution can hinder progress significantly. 

A Human Capital Management system (HCM) is particularly useful for helping HR professionals oversee their workforce, especially as it can bring several different HR duties together into a single integrated platform. 

These HCM systems can include (and aren’t necessarily limited to) payroll, benefits, performance management, and recruitment, all using a single, consistent data set. A good HCM provider will give you modular options to deploy whichever functions you need the most.

 

Create a plan to reflect defined goals

A key part of planning is to work out exactly what success looks like, and use that to scope out exactly what’s needed to get there. A good outcome-driven plan should include:

  • Targets not only for the HR department but the business as a whole, as a result of the transformation
  • Definition of all stakeholders and their roles in guiding the transformation, along with a communication plan that engages them
  • A detailed step-by-step transformation procedure that sets out all the processes and tools required at each stage
  • Identification of the metrics that can be used to measure success

 

Let data guide the transformation

A transformation that incorporates HR technology inevitably has data at its core. How an HR team handles data should therefore also be transformed so that it becomes an asset throughout the business in the long term. But data can also be used to guide the transformation itself: through analytics and a combination of key data points from across the business, it becomes much easier to understand exactly what is needed, and how best to do it.

Consider integration of HR and payroll

Increasingly, HR and payroll go hand-in-hand, and any good HR transformation should keep this front-of-mind. When considering the technology to adopt as part of the transformation, it’s therefore vital to explore ways in which HR and payroll can be integrated even more closely than before. The information and data that HR technology collects and uses can be extremely helpful in supporting more efficient payroll, and vice versa a well-integrated system should be able to support that.

 

CloudPay’s expertise in global payroll can help you bring HR and payroll together like never before. Take a closer look at our technology here.