Two years of virtual hiring and on-boarding processes paved the way for human resources (HR) tech, yet another term tied to a future-forward concept. Prior to the pandemic, human resources processes were done manually. But the pandemic has taught the industry that remote recruitment is possible.
By employing HR Tech, businesses can bring a level of automation for administrative chores, and free up HR staff’s time to focus on additional value-added initiatives and projects.
Technologies that include artificial intelligence (AI), data analytics, and machine learning (ML) are now assisting HR of various companies to speed up the recruitment process. Recruiters use AI tools to match job candidates, which is an improvement above the traditional recruiting method. AI has also been a great tool for business leaders who are implementing diversity and objectivity in their hiring process. AI has enabled businesses to prioritize only the merits of the candidate during screening while concealing their race, gender, and other demographic factors.
Experts predict that by 2030 there will be a full shift to technology based-HR operations. Over 20 new HR-related functions and responsibilities were recognized as likely to become legitimate positions soon in a Harvard Business Review study. Even in the current scenario, many careers have their roots in technology, including Human Bias Officer, Human Facilitator, Business Continuity Director, Human Network Analyst among many others.
In 2021, there was a recorded $12.3 billion investment in global HR IT start-ups. This resulted in 809 deals, or approximately 3.6 times higher that the amount invested in 2020. This trend has been carried over into 2022, with four mega-deals accounting for more than $1.4 billion in venture capital just in the first month of the year, according to human resources firm Recruitment Smart.
HR tech is an emerging opportunity for investment Recruitment Smart suggests. Just recently, HR tech firm Darwinbox secured a $72 million funding. Darwinbox’s services include candidate sourcing, enabling users to post job ads through the platform.