The automation of routine processes and efficient data management through technology results in up to 65 per cent gains in time and cost for the HR administration function, a TeamLease report said on Tuesday.
According to the report, human resource (HR) technology adoption also results in better control and systematic record keeping with payroll and compliance tech yielding up to 80 per cent in cost savings.
“Artificial intelligence and machine learning based tools have enabled faster hiring and improved talent retention to deliver up to 85 per cent time, cost and productivity gains for organisations,” TeamLease services Co-founder and EVP Rituparna Chakraborty said.
According to the report, tech adoption in core HR (administration, payroll and compliance and HR analytics) is over 75 per cent in 10 out of the 14 sectors surveyed, while, sub function HR Tech adoption is 75 per cent or more in banking, financial services and insurance (BFSI), business process outsourcing (BPO)/information technology enabled services (ITeS), e-commerce and telecommunication sectors.
The report further noted that the current investments by the organisations are growing incrementally and are spread across the HR tech areas, while HR analytics and employee productivity tools will see a near doubling of the investments.
Talent acquisition, retention and on-boarding performance management tools will see steady investment trends from 2018-2021.
Sub-functions consist of talent acquisition, retention and engagement, onboarding, performance management, training and employee productivity (time and attendance).
The survey was conducted among HR managers across 400 employers in 14 prominent sectors and 13 cities of India belonging to large, medium and small businesses.