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3 Latest Trends in HR Software


HR software solutions have evolved in form and function over the years. The first software intended for human resource management was built on green screen technology and mainframe computing. Its purpose was to store employee information and speed up payrolls.

Now, the human resource management system software can do more than functioning as a storage hub for employee data and accelerate payrolls. It now carries advanced features and capabilities that enable companies to get the most value out of their human resources, from effective scheduling to identifying the most qualified candidates to assigning tasks to the right employees and more.

Advances in technology certainly helped shape and steer the growth of HR software. Cloud deployment, automation, and artificial intelligence are now the core of future trends in human resource management. Looking at HRIS tools then and now, it’s easy to say that in this case, the apple has fallen far from the tree. And it’s not such a bad thing at all.


3 latest trends in hr

1. Work-From-Home Technology

Technological advances in the Internet, real-time communications, and cloud computing have ushered in a unique work setup that is both efficient and cost-effective – ‘work from home.’ Also referred to as telecommuting or remote employment, this work arrangement is not a novel idea. In fact, it has been around for decades and used by companies and organizations of all sizes.

But as technology progressed, the work-from-home arrangement has proven to be a viable option especially for startups and SMBs that have a limited budget, yet want to tap into a pool of talented individuals without spending a large amount of money. In fact, Forbes published in a 2019 article that approximately 50% of the US population has experienced working online. And that figure is only going to go up.

As remote workforce practice grows in relevance, cloud HR software solutions designed specifically for work-from-home employees are expected to proliferate. These systems will include features such as attendance logs, time tracking, screen monitoring, and task management.

AI-powered capabilities and features can be added as well. These advanced HR tools enable the software to gather data and learn so that it can perform complex functions with minimal to zero human involvement, such as worker performance monitoring and scoring among other things.


2. AI-Powered Chatbots

Speaking of artificial intelligence, among the latest HR trends that are expected to become a huge hit in the future are AI chatbots. Primarily designed for basic support delivery such as engaging website visitors and answering general questions, chatbots are now making a stir.

Advances in artificial intelligence, language processing, and machine learning have enabled many online HR software developers to create sophisticated chatbots that are capable of engaging visitors in humanlike chat discussions. Simply put, people feel they are chatting with an actual human being when, in fact, they are interacting with an intelligent application.

How do smart AI-powered chatbots figure in HR? For one, chatbots can be deployed to interact with job seekers who come to websites, social media pages, and job boards. They can collect data from candidates and provide them with instructions on how to progress to the next stages.  Two, they can also be utilized for outgoing communications, such as reaching out to applicants who qualified for positions they applied for.

Chatbots can also be utilized for internal HR processes for existing employees. According to a 2019 research initiated by the Society for Human Resource Management, 38% of HR respondents said that keeping employee engagements at high levels remains difficult due to the lack of communication.

Since AI chatbots can “sound” like humans, users are more likely to engage in dynamic and proactive discussions. This then results in higher engagement, which encourages users to provide more information. The data chatbots collected are then analyzed for actionable insights that are crucial for HR processes like interviews, hiring, and onboarding.


3. Online HRMS Software for SMBs

Small and medium-sized business owners tend to perform HR functions themselves in an effort to keep their operational costs down. That said, the majority of small business owners, or around 70%, have little to no formal HR training as per the 2017 study on SMB operations by ADP.

Handling the HR tasks of a small business operation may seem doable during the infant stages. Yet HR processes became more complicated as more administrative tasks come to the picture. Thus, it is imperative that small and medium-sized business owners invest in an online HRMS software because of the benefits it brings to the table.

Automation is the Future

The automation of multiple HR processes is the future. And it is already here.

There are various HR processes that have been automated such as payroll and benefits management. The rise and continuing evolution of artificial intelligence have lifted many HR tasks off the shoulders of the HR staff, such as plotting viable schedules, collecting and analyzing specific data from various sources, and parsing of resumes.

There is no telling how far HR automation can go but at this point, many administrative tasks, especially those that are repetitive and time-intensive, are now in the realm of chatbots and automation.

That said, there are various areas of HR that still require human discernment and judgment. Tasks that involve face-to-face interactions, critical thinking, and human emotion are less likely to be automated. It is important that businesses and organizations not be overwhelmed by automation as the results can be potentially disastrous.

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