3 minute read
The state of HR technology in New Zealand
At a time when we are leading our people through a period of massive modernisation and digitisation in the workplace, it is important to know the role technology plays in supporting HR functions.
HRNZ sought to understand in more detail what the state of HR technology is in New Zealand today. Historically, HR professionals have not been well served by technology solutions, and, hence, HRNZ wanted to understand the challenges and identify how best to support members on their technology choices in the future.
The organisation worked with Victoria University of Wellington and Probity Consulting to conduct this research. Specifically of interest to Victoria University (and HRNZ) was the subject of how the HR community is currently using artificial intelligence (AI).
HRNZ sent a questionnaire survey to over 1,000 members and received responses from 200. Questions looked at what was the purpose of the technology for their business, how satisfied HR professionals were with their current HR technology solutions, what challenges they were facing, and what plans they have around HR solutions and AI.
Although many of us in the HR world are talking about AI, the results told us that very few had any concrete plans to implement AI solutions in their organisations. It is hypothesised that this is because people aren’t at a stage of knowing how to progress it within their organisation. People see the benefits of using AI as improving work–life balance and improving people’s job experience (by taking away the low-level admin, repetitive aspects of HR’s duties). However, it appears a disconnection still exists in knowing how to implement these solutions.
Very few had any concrete plans to implement AI solutions in their organisations.
In terms of the current satisfaction levels of those using a core Human Resources Information System (HRIS), only 13 per cent of respondents were satisfied with their current solution. This becomes a more concerning statistic when we learn that 50 per cent of these solutions were implemented in the past five years. It would imply that we are not well served in terms of products on
the market. Complaints around current systems include a lack of relevant product features, poor user experience and low levels of customer support.
Very few had any concrete plans to implement AI solutions in their organisations.
Our survey respondents were generally more satisfied with their stand-alone systems, particularly in the wellbeing arena. It seems then that HR apps designed with one purpose in mind will provide more satisfactory experiences than a core HRIS that attempts to meet a variety of needs.
In terms of their main challenges with technology, respondents cited integration, affordability and organisational support as their top challenges. Members are finding stand-alone systems better in terms of meeting their needs but are then faced with challenges of integrating these different systems, for example, a learning and development solution with a recruitment system. Many HRNZ members are from small to medium enterprises and find the pricing of HR technologies beyond their means.
A wide range of technology products is on the market, but, unfortunately, no one product stands out in excellence. New Zealand is a small market yet has its own individual requirements, so it remains to be seen whether there is a vendor that can meet HR’s needs. It is clear that core HRIS is not meeting members’ needs, and there is definitely room for improvement. Members see potential for growth through technology and application of AI in recruitment and selection, onboarding, performance management and training.
The next steps from here are to engage with the vendor community and share these results with them and explore the opportunities for products that match the needs of the New Zealand market. HRNZ also aims to create an online space where members can share their experiences of working with HRIS products. HRNZ’s priority is also to support members through professional development, to improve support for HR technological improvements.
There is definitely room for improvement.
What we as HR professionals can do is to get clear on what our HR technology requirements are, continue to learn about AI and the future impacts on our organisations, and share our success stories when they arise.
