Digital HR: Everything You Need to Know

Published Date: 20 June 2020 | 5 min read

Digital HR

The COVID-19 crisis has created many challenges for HR departments. To adapt to the new normal, HR professionals had to turn to digital solutions.

This article aims to explain the concept of digital HR and how it will not only help businesses navigate the pandemic to ensure business continuity - it will also help them survive the post-COVID19 reality.

What is digital HR?

Digital HR refers to the use of digital technologies to optimize HR processes and to create better employee experiences.

HR digitalization automates manual HR processes, thus saving businesses time and money.

 

How did COVID19 impact HR departments?

The COVID19 pandemic has created some significant challenges for HR departments such as:

Organizing employees to work from home

Creating office guidelines to comply with the new safety and health regulations

Hiring and onboarding new employees remotely

Offboarding employees that have been laid-off

Implementing working from home guidelines

Ensuring employee engagement while working remotely

Regularly checking in with employees to make sure they are doing alright

Digital human resource management helps HR professionals tackle these challenges and provides a seamless employee experience during this time of uncertainty. On top of that, it paves the way for a more efficient way of working post-COVID19.

 

What are the benefits of digital HR?

Digital HR makes life easier for human resource departments and helps them deal with increased workloads caused by the pandemic. The 3 key benefits of digitization in HR digitization are:

 

1. HR employees get to use their working time more efficiently

Digital solutions automate time-consuming, manual tasks such as:

Collecting candidate data

Printing, scanning, and mailing employment contracts

Making sure all parties sign the employment contract

Calling or emailing the candidate to check if they have signed the contract

Searching through piles of paperwork to find a specific document you need

Automating these repetitive tasks saves HR employees time and headaches. As a result, they can use their working hours more efficiently and focus on the work that matters.

 

2. Digital tools help you manage compliance and mitigate risks

Digital transaction management tools allow HR professionals to store all confidential data in compliance with the latest regulations.

Cloud-based digital platforms securely store all employee information on servers within the EU in compliance with the GDPR.

Digital solutions also help mitigate the risks associated with storing personal data on your computer’s hard drive.

 

3. Digital HR helps you attract and retain talent

In today’s digital world, candidates expect a convenient and personalized recruitment process.

All companies are looking to attract top talent, including your competitors. A digital, seamless recruitment process can drive competitive advantage and ensure that top candidates choose you.

On the other hand, a long and difficult recruitment process can easily scare talented people away.

Digital HR ensures your employees can easily and securely provide you with their information via end-to-end encrypted platforms. On top of that, they can digitally sign and return employment contracts from any device.

With the help of digital tools, HR departments can create extraordinary employee experiences and attract talented employees.

 

Digital HR examples

More and more businesses across various industries are adopting digital HR tools. Here are three examples of successful digital transformation in HR.

 

1. Copenhagen Airport

In 2017, Copenhagen Airport’s HR department implemented Penneo. This is a software that allows HR employees to:

Send employment contracts out for singing in a matter of seconds

Digitally sign employment contracts and agreements

Track the status of the employment contract and send automatic reminders to candidates

Create online forms to securely collect candidate data (name, banking information, criminal records, ID)

Achieve full GDPR compliance when it comes to personal data storage

Save money on printing and sending documents by post

As a result, Copenhagen Airport managed to significantly speed up its recruiting process. On top of that, they saved approximately €5,000 per year.

 

2. Santander Consumer Bank

Santander Consumer Bank is the leading provider of auto loans in Denmark. In 2014, the bank switched from Excel spreadsheets to Timeplan - a workforce management software. The digital HR software makes it easier for their HR employees to:

Plan shifts, work hours, sick leaves, and holidays

Comply with collective agreements and local rules

Get a clear overview of all employees who are at work

Ensure they always have an optimal level of staffing (Autoplan feature)

Reduce overtime expenses

Thanks to Timeplan, they don’t have to manually calculate salary supplements or spend hours planning shifts in Excel anymore. This has saved the HR department a lot of time. In addition, human errors were also significantly reduced.

 

3. Lalalandia

Lalalandia is the name of a Danish holiday resort located in Billund. The resort employs over 100 seasonal employees every year. To make this task easier, Lalalandia's HR department started using Emply - a digital recruitment solution.

With Emply, Lalalandia’s HR department can:

Get an overview of all applicants

Easily and quickly set up job postings

Advertise job openings on social media and job boards

Track where the best candidates came from and optimize their next recruitment campaigns

Invite candidates to video interviews

Create job-related questions to make screening easier

Timeplan helped Lalalandia automate most tasks related to the recruitment process which made their HR employees’ lives easier.

 

How can Penneo help you digitize HR processes?

Penneo’s digital signatures and document management platform helps HR departments:

Securely store all employee documents on the cloud

Collect employee information via online forms

Create different signature collection paths based on document type

See which documents have been opened, signed, delayed, or rejected

Meet deadlines by sending automatic email reminders to candidates who have not yet signed

Ensure a high level of data safety through end-to-end encryption

Verify the validity and integrity of the document via audit trails

Send contracts and COVID19 consent forms to employees for digital signing

What’s more, Penneo integrates with other digital HR tools such as HR Manager, Emply, and Timeplan. This means you can easily sync all employee data and documents across apps.

 

Sign up for a free trial of Penneo and take the first step to digital HR!