Education technology company Avado released a white paper in 2018 that said 32% of workers will need to completely retrain at their current positions within 12 years. Savvy companies wishing to stay ahead of the curve are constantly training their employees on new technology and trends that maximize efficiency and accuracy. Other companies view additional training as a catch-22. Untrained employees, their mistakes and inefficiencies will likely cost companies more in the long run. But learning and development (L&D) can be expensive, particularly when investment in training leads to employees leaving the company for higher paying positions with better benefits.
Human Resources in the 21st century personnel have myriad responsibilities, from recruiting and employee retention, to health benefits and payroll administration. Planning and executing open office workstations is essential for attracting and retaining Gen Z and young Millennial workers. But it's HR technology that is helping companies keep employees engaged and remain compliant with legal issues, particularly as it relates to immigration and visas.
Employees no longer need to walk into the HR office to get questions answered about benefits, performance review policies, payroll and other issues. Now all this information can be accessed on the web.
Online portals, known as integrated HR delivery systems (IHRSD), provide employees searchable databases that answer many of their questions. When there is no direct answer available, queries are sent directly to the HR specialist that handles that particular issue. IHRSD enhances the employee experience, streamlines several processes and allows HR personnel to focus their energies elsewhere.
Once the decision makers understand the potential return on investment, they'll jump onboard. Human capital advisory firm Aptitude Research Partners concluded that large companies that solicit 1,000 or more jobs per year would save upwards of $325,000 annually with a $125,000 investment. The savings comes from eliminating ineffective job posting and duplicate recruitment mechanism.
Whether you're continually losing top talent or leaking profits, data analytics help pinpoint and solve problems. Data analytics paint a precise picture of the overall situation, then provides in-depth analysis of the specific matter at hand.
Salary, for instance, will always be one of the primary motivators related to talent retention. But it is not the only metric that may be causing an exodus of talent. The underlying issue may be related to company culture, benefits, and the direction of the company. Data analytics allows HR to view your company side-by-side with competitors to determine what they are doing better than you to retain and attract top talent.
Data collection also allows artificial intelligence (AI) to analyze data and help management better support and interact with workers.
Companies that are hesitant to train workers and expose them to the latest technology simply do not want to make said workers more attractive to other companies. L&D, however, increases loyalty and engagement as employees recognize the investment being made in them.
Employees may leave for greener pastures with their newfound knowledge. But failing to train them could potentially lead to worse outcomes.