The pandemic accelerated the rate of change in HR tech and caused all of us to reflect on our priorities. Microsoft has a unique opportunity to change things for employees of businesses everywhere.
By Tom Elliott
It occurred to me recently that, in the context of the last 20 years at least, we’re entering a third age of HR tech.
Twenty years ago, any organization that needed to manage workforce information at large scale was doing it in their ERP system. That same system was probably designed to manage finance or manufacturing processes and did HR as a side line. They were unattractive, hard to learn, expensive to change systems, and didn’t do much beyond transactional processes. They were also – rightly – tightly controlled by IT and Finance departments. HR didn’t get much of a look in when it came to agreeing priorities.
As the cloud became more accessible, a different type of HR solution became available. Software as a service (SaaS) meant we didn’t have to go cap in hand to IT any more to ask for help in implementing more attractive, more focused, solutions. We probably all got a bit carried away with what was now achievable.
But SaaS wasn’t the utopia we were promised. The lack of IT support meant we missed out on crucial things like single sign on. The sort of small thing that makes a user’s life easier and increases the levels of engagement with the product. The solutions were also inflexible. A lack of customization meant that gaps were filled by endless spreadsheets that have a habit of outstaying their welcome.
For the most part, that’s where we entered the pandemic. And as businesses globally raced to adapt, it was HR, working with IT, who stepped up.
Emergence from the pandemic is prompting a re-evaluation. What does a world with more hybrid working, new-found alliances in IT, and a freshly amplified strategic voice, mean for HR tech? What does the third age look like?