The 6 Stages of Successful Digital HR Transformation

In today’s article, we dive into HR digital transformation. This is a hot topic for many HR professionals but while it’s one thing to talk about digital HR transformation, it’s an entirely different thing to actually do it. So let’s get started.

What is HR digital transformation?

HR digital transformation is the process of changing operational HR processes to become automated and data driven. In Deloitte’s 2017 Human Capital Trends report they put it this way:

“It’s about HR teams making up the dual challenge of transforming HR operations on the one hand and transforming the workforce and the way work is done on the other. In other words, rather than HR digital transformation being just about HR, it’s a metamorphosis that involves organizations as a whole.”

Naturally, digital transformation doesn’t happen overnight. Organizations don’t go from being barely digital to being fully digital in the blink of an eye. Brian Solis distinguishes six stages of digital transformation which you can see in the image.

Business as usual.

• This doesn’t require further explanation.

Present and active.

• Various experiments through the organizations drive digital literacy and creativity.

Formalize.

• This is where the business relevance comes in. If an experiment isn’t relevant for the business, leadership shouldn’t support it.

Strategic.

• Individuals begin to realize the power of collaboration. Their shared efforts and insights lead to new strategic roadmaps.

Converged.

• A dedicated digital transformation team is formed to guide the company’s strategy and operations.

Innovative and adaptive.

• Digital transformation has become the new business as usual and a new ecosystem is established.

All right, now we know what process we’re talking about, let’s take a look at which factors are necessary for a successful digital transformation.

1. As a rule of thumb, any HR transformation, whether it’s a digital one or not, has to take place with a clear objective in mind. It has to make business sense.
2. You need to make sure to get all stakeholders from employees to the C suite and everyone in between are on board.
3. Don’t overcomplicate things. This means start simple and small. Look at the areas of your HR processes that could do with a digital makeover. Talk about it with employees and members of the C suite and ask them what they think should be a priority.
4. Prioritize ideas. Step three will probably result in a long list of ideas. Prioritize them based on impact and effort. Start with the ideas that are high impact and low effort.
5. Critically assess what works and what doesn’t.
6. Culture is important. A digital mindset among the entire workforce from the new people you hire via your current employees all the way up to the C suite is essential for a successful transformation.

Now you know what HR digital transformation is, which factors are necessary for a successful digital transformation and what stages organizations go through when they’re transforming.