Amid a technological revolution, there is no doubt that the relationship between company and employee has changed irreversibly. Flexibility, conciliation, or teleworking have become contractual elements as necessary as salary. 

Therefore, companies must adapt to these changes in parallel. In this sense, innovation in HR makes the company grow and stand out from the competition regarding attracting and retaining talent. But speaking of creation does not imply investing only in new technologies. 

It goes further. It means carrying out a transformation in people management that cuts across all areas and processes of the organization.

Innovation in HR: Reasons Why it is Important

Thus, innovation in HR can be understood as part of a corporate culture located on a higher plane. For people management departments to adapt to current rhythms and needs, they must embrace innovation as a fundamental axis of their work. Of course, based on technological advances that already allow specific processes to be automated. 

For example, intranets for document management (payroll consultation, personal income tax modification, etc.). But, at the same time, they must be able to take advantage of any innovative tools to improve non-automatable processes.

The latter implies that we can be more efficient in managing people without fearing that progressive automation will leave the role of the human professional in the background. 

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For all these reasons, these are some of the competitive advantages of implementing a culture of innovation in ​​human resources.

Efficient Time Management

Starting with something as fundamental as more efficient time management. The implementation of innovative tools in HR contributes to the reduction of the administrative burden in Human Resources. 

In this way, the department has the possibility of focusing on more productive activities for the business. Both in what has to do with recruiting or scouting tasks and in implementing new dynamics that help promote the development and performance of employees on the payroll. 

More time also makes it possible to develop new strategies for measuring and monitoring specific KPIs related to personnel management.

Greater Transparency

Closely related to the monitoring of KPIs is greater transparency. Adopting this type of transversal tool supposes an almost instant improvement of processes. It mainly allows all the parties involved (HR, management, area managers, and employees) to access all relevant information. 

We speak from something as simple and essential as monthly payroll or the collective agreement by which the company is governed. But also for operations that involve more than one person, such as vacation shifts.

Not to mention the possibility of electronically managing requests or procedures, such as sick leave or schedule changes. In short, it is a solution that allows interdepartmental transparency at the operational level that was not possible until now.

Saving Time and Resources

Another advantage of implementing a culture of innovation in HR is saving time and resources. Not only is it easier to work with digital information and documentation service, but it is also much faster. Eliminating paper allows you to not depend on the printer and save storage space. In addition, it contributes to the company’s sustainability strategy.

Greater Document Security

At the same time, document management in a digital environment is much safer than in a physical format. This type of tool is avoided, for example, when important documents are misplaced. And it also prevents anyone from accessing the physical file in the workplace. 

In this sense, with a document manager, access is restricted to a select number of authorized persons while the information is encrypted. Something with which, in addition, compliance with the new LOPD is ensured.

Communication Improvement

Lastly, communication channels in digital environments tend to be more secure, fluid, and confidential. This allows greater agility in communication with the employee without relying on regular meetings.

Resources to Implement an Innovation Strategy in HR

Worker self-management portals. An increasingly used resource allows the worker access to essential documentation such as their payroll or services such as the request for vacations or leave. Basic tax information related to Social Security can also be consulted. Or have access to a follow-up of the training or evaluations related to the worker’s performance.

Electronic signature:  Although it is not an exclusive service in this field, an electronic signature is increasingly used in HR. Above all, when it is necessary to carry out procedures for receiving documents, hiring, sick leave, or job terminations. The possibility of carrying them out electronically avoids a crucial loss of time for both parties.

Applicant Tracking Software: Another increasingly widespread resource allows working with multiple sources and databases simultaneously to streamline the company’s recruiting processes. One of its main advantages is the possibility of preliminary filtering before reaching the last phases of a contracting process.

Time control software: Something that has become imperative as a result of what is known as the Hourly Registration Law, but which consists of something more than an application to clock in and out of work. It also allows you to control and avoid employee mismatches (arriving late or missing pieces). As well as to reward them when they do overtime.

For all these reasons, it seems clear that the culture of innovation in HR is essential for people management. Firstly, because it saves time and makes processes more efficient. But also because using transversal tools in all company areas is the best way to create a transparent, agile, and safe environment for everyone.

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