The human resources department shoulders a wide array of duties: managing emails, recruiting new hires, overseeing recruitment and payroll, and enhancing employee experiences, often without complaint and sometimes even donating their off-hours. According to a Forbes report referencing Workvivo survey of 520 participants found 98% of HR professionals experienced burnout, 88% dreaded work, 97% felt emotionally fatigued, and 73% lacked resources for effective job performance (Workvivo, as cited by Kelly, 2022). With technological tools increasingly handling data-driven tasks, HR professionals now have more opportunities to connect with colleagues and offer support. By leveraging these new technologies, they can stay ahead of 2024's technological trends.
1.Combating the upskilling challenge with VR AR technologies
In 2024, significant changes have occurred compared to the baby boomer generation. The evolving nature of work influences how we learn and develop skills. Employees are no longer confined to office desks; the focus now lies on task accomplishment rather than adhering to a traditional 9-5 schedule at a fixed location. Online learning has gained increasing appeal in this dynamic environment. Additionally, employers encounter challenges in upskilling employees, particularly with more remote workers. How can HR bridge these gaps and provide training? One solution lies in metaverse virtual reality (VR) and augmented reality (AR). Although relatively new, the PwC 2022 US Metaverse Survey indicates that nearly 51% of organizations are transitioning to integrate VR into their strategy
What is Virtual reality?
The first thing that might come to mind when one thinks of virtual reality is sci-fi movies like Star Trek where we see people wearing headsets and see a different environment. Similarly, virtuality is a software application that creates an artificial environment. The “real world” we see is hidden and the user is immersed in a digital simulation or “alternative world” In the simulation, users can interact and manipulate objects. Typically VR uses headsets or gloves such as oculus rifts. For example, you may have seen VR being used in museums, so tourists can access sightseeing without getting on an airplane.
What is augmented reality?
Have you ever used Pokémon Go or a Snapchat filter? That’s AR. Unlike VR, augmented reality doesn’t create a "fake world." Instead, it enhances or expands the user's environment through layers on top of a physical environment. AR integrates digital information into existing environments and can manipulate or augment objects. Typically, AR utilizes enabled devices like phones, tablets, or glasses. For example, in real life, you might want to preview furniture in your home before buying it. You can use an application that employs AR to see what it might look like in your home.
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How virtual reality is used in training and HR
- Virtual reality for recruitment: VR can expand your hiring pool by creating virtual recruitment events. This can save companies costs by eliminating renting costs of locations and travel expenses. Additionally, VR allows potential talent to attend job fairs remotely.
- Virtual reality provides objective assessments during hiring: Potential talent who excel at interviews may not be suitable for the job, and vice versa. To bridge this gap, VR offers assessments during hiring, such as mock environments, which can measure performance and behavioral observations. VR can simulate real-life work scenarios and assess potential candidates' skills. Additionally, with assessments, VR can decrease bias, such as age, gender, and race, by evaluating candidates' skills rather than their background.
- Enhance employee engagement and immersive training experiences with VR: Human resources can implement VR in training by creating realistic scenarios. For example, VR can recreate customer service interaction training, enabling employees to develop communication and problem-solving skills. Practicing skills in controlled environments, ensures employees are actively involved in learning, fosters a deeper understanding of concepts, and creates a more engaging memory. Studies have shown that VR learners feel 275% more confident in applying what they’re taught and reduce training time ( PWC, 2024).
How augmented reality is used in training and human resources
- Enhanced training & learning with AR: Like VR, AR can transform training into interactive, risk-free learning by overlaying digital information in real-world environments. Instead of using traditional booklets and manuals, employees can utilize AR on their phones. Using a tablet or phone, employees and trainees can point the camera to an object to solve a problem. For instance, a mechanic trainee may encounter an unfamiliar engine component. By scanning the motor with the camera, integrated with an AR training application, the mechanic will receive guided step-by-step instructions. This approach provides immediate access to information,such as pop-up videos, instructions, or diagrams, and facilitates rapid learning.
- AR application for HR onboarding: Augmented reality offers potential candidates an immersive experience during onboarding via a virtual tour. They can explore workstations, training processes, and expectations.
2.Improving HR efficiency through AI-driven candidate recommendations.
Finding top talent is challenging, requiring time, resources, and money. According to data from Forbes 36% of HR leaders reported lacking the resources to recruit top candidates. Now, envision a world where finding candidates is as effortless as scrolling through social media feeds. Enter artificial intelligence (AI)-driven recommendations. AI can streamline data-related tasks and reporting processes, condensing multiple steps into a single action. By sorting through data, resumes, and cover letters, AI saves HR professionals countless hours. AI-powered platforms streamline employee on-boarding by identifying top talent's skills, matching top talent with job descriptions and reducing biases based on gender, age, race, and background. Consequently, HR management can allocate more time to higher-value-generating tasks. AI has reshaped the recruitment process by automating the hiring stages.
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3. AI can track your DEI goals and decrease problem related to discrimination
Unconscious bias represents a big challenge in the workforce, often going unnoticed by many individuals. This bias can lead to inequalities, such as the gender pay gap. According to the U.S Bureau of Labour Statistics in 2023, women's pay was reported to be 83% of men's. While multiple factors contribute to this gap, unconscious bias plays a significant role. Bias may arise during rapid decision-making processes, where managers may base judgments on factors such as gender, age, race, appearance, and more. As a result of unconscious bias, employees may miss out on opportunities for promotion.
To mitigate such bias, HR can utilize Diversity, Equity, Inclusion, and Belonging (DEIB) analytics and technology tools. Tools like AI can gather quantitative data, which is more objective compared to manager reviews. AI technology aids in bias identification, tracks Diversity, Equity, and Inclusion (DEI) goals, measures progress, and makes predictions. According to a survey by Indeed, AI is projected to have a 36% positive impact on leaders with disabilities, a 28% positive impact on African American job seekers, and a 23% positive impact on individuals identifying as gay or lesbian ( Indeed, 2023). Data-driven decision-making can significantly enhance inclusivity, diversity, and effectiveness in talent development.
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4.Protect and store employee information in a blockchain
Ensuring the security of HR data within organizations is paramount, especially in compliance with privacy laws. As technological advancements continue to evolve, companies must adopt innovative strategies to safeguard data and thwart cyber threats aimed at stealing sensitive employee information.Pew Research Center conducted a study and reported that 79% of American adults say they are not confident companies will take accountability for compromised data. Embracing blockchain technology emerges as a powerful solution in this endeavor, offering enhanced security measures to protect valuable HR data.
What is blockchain?
Blockchain is a system that involves storing information in a decentralized manner. It utilizes digital ledger technology and cryptography. Information is recorded in blocks and verified by an encrypted network of computers called nodes, using cryptography. Each block possesses a unique code, rendering it secure and immutable. In other words, it records information in a manner that makes cheating the system nearly impossible.
To put this in perspective, imagine you're carrying an envelope filled with money without any third parties or banks interfering. Now, envision yourself taking money out of the envelope. The blockchain would record the money initially present in the envelope and encrypt it with a code. Any modifications made to a block are then recorded and linked with a unique code.
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Uses of blockchain in HR Management
- Ensuring Data Security: Ensuring Data Security: HR can securely store information such as identification documents, via, immigration documents, and tax records. Blockchain technology allows instinctive access to files and cuts the procurement cycle, thus speeding up the hiring application process. Blockchain is encrypted to keep records safe and maintain security.
- Facilitating payroll: Blockchain can be a game changer for administering payroll; payroll can be sped up, and cut bank costs ( Naukri Hiring Suite, 2021). Additionally, blockchain can simply payroll by automating employee experience by providing on-demand pay. For example, HR needs to secure salary data. The blockchain can help create data sets in blocks such as secure blocks. The block would have cash value, name, and address. If there are any changes then it would be imputed into the next block. It helps identify changes, provides double layers, and is decentralized.
- Blockchain in HRBP Function: HR Business Partners (HRBP) can utilize blockchain in management, corporate communication, remote learning, and ready-to-use- software development kits (SDKs). The decentralized cloud network blockchain eases internal interactions such as exchanging sensitive data, and protecting employee data rights.
Conclusion
The new age of technology brings potential benefits for HR specialists, enabling talent acquisition, enhanced training, management, and organizational effectiveness. Organizations can save costs, bolster data security, and optimize talent management by leveraging AR/VR technology, artificial intelligence, data-driven DEIB, and blockchain.
References
[1] Kelly, J. (April 22, 2022). 98% Of HR Professionals Are Burned Out, Study Shows. https://www.forbes.com/sites/jackkelly/2022/04/14/98-of-human-resources-professionals-are-burned-out-study-shows/?sh=6a3bb946c02f
[2] Pradeepa, B. (December 2023). Impact Of Virtual Reality (VR) And Augmented Reality (AR) In Human Resource Management.International Journal of Creative Research Thoughts (IJCRT); Volume 11; issue 12. ISSN: 2320-2882. https://ijcrt.org/papers/IJCRT2312845.pdf
[3] PwC (N.A). PwC. 2022 US Metaverse Survey. https://www.pwc.com/us/en/tech-effect/emerging-tech/metaverse-survey.html
[4] Indeed Editorial Team (December 12, 2023). How AI Can Help — or Hurt — Your DEIB Goals.https://www.indeed.com/leadershiphub/how-ai-can-help-or-hurt-your-deib-goals#:~:text=Diversio%2C%20a%20company%20that%20helps,are%20concentrated%20among%20certain%20demographics.
[5] U.S Bureau of Labour Statistics (March 12, 2024). Women’s earnings were 83.6 percent of men’s in 2023. https://www.bls.gov/opub/ted/2024/womens-earnings-were-83-6-percent-of-mens-in-2023.htm
[6] Auxier, B., Rainie, L., Anderson, M., Perrin, A., Kumar, M. Turner, E.(November 15, 2019). Americans and Privacy: Concerned, Confused and Feeling Lack of Control Over Their Personal Information.https://www.pewresearch.org/internet/2019/11/15/americans-and-privacy-concerned-confused-and-feeling-lack-of-control-over-their-personal-information/
[7] Naukri Hiring Suite ( October 2021). All Things Talent. How Blockchain in Human Resources is a Game Changer in Early Startups. https://allthingstalent.org/how-blockchain-in-human-resources-is-a-game-changer-in-early-startups/2021/10/21/