10 Trends in People Data and HR Software predicted for 2024
As we embark on the journey of 2024, it's an opportune moment to pause and reflect on the significant trends that are shaping the landscape of People Data and HR software. These trends are not just fleeting fads; they are powerful forces that are redefining how we approach human resources and employee management.
From the integration of artificial intelligence to the rise of employee self-service portals, these trends are transforming the way businesses operate, enhancing efficiency, and fostering a more engaging and empowering environment for employees. Let's delve into these trends, explore their implications, and understand how they are poised to redefine the future of HR:
- AI and Machine Learning: AI and machine learning are revolutionizing HR by automating routine tasks, predicting future trends, and providing actionable insights. Deloitte's 2017 Global Human Capital Trends report found that 40% of respondents were using AI to improve HR capabilities, showing the growing acceptance of this technology in the field. Most importantly – it can help with the most mundane tasks – like manual data entry, freeing employees up to focus on more value-add (and more interesting!) tasks.
- Integration: HR software is becoming more integrated with other business systems, streamlining processes, and improving efficiency. A survey by HR Technologist found that 87% of HR professionals believe it's important for their HR software to integrate with other business systems. ConnectMyApps continues to believe there is enormous efficiency to be gained here – and we’re seeing it across the software landscape from Payroll to HRM’s, Expense Submissions and Reimbursement, ESG software and even Travel apps.
- Employee Self-Service: Employee self-service portals are becoming increasingly popular in HR software. These features allow employees to manage their own HR-related tasks, such as updating personal information or requesting time off. A study by Paychex found that 73% of employees expect their employer to provide a high level of employee self-service and we expect this trend will continue well into 2024 and beyond.
- Mobile Access: The rise of remote work has made mobile access to HR software a necessity. A study by The Manifest found that 70% of businesses use HR software with mobile access, allowing employees to manage their HR tasks from anywhere. Two of the most commonly used mobile HR apps we’re seeing at ConnectMyApps are Expensify and Xero Expenses – both of which allow users to take a photo of their expenses / receipts and submit them for reimbursement directly on their mobile device. AI can ever identify the key elements of the receipt and auto-fill the necessary data for submission. Never forget to submit a receipt again!
- Data Security: With the increasing amount of sensitive data being stored in HR software, data security is a top priority. A report by Symantec found that over 70% of all cyber-attacks target small- and medium-sized businesses, highlighting the importance of robust security features in HR software. One of Norway’s most advanced threat detection software solutions - Amesto 42 recently launched a Security Portal leveraging AI to find and isolate threats.
- People Analytics: People analytics is a growing trend in HR, with companies using data to make informed decisions about their workforce. A Deloitte survey found that while 71% of companies see people analytics as a high priority, only 9% believe they have a good understanding of which talent dimensions drive performance in their organisations. Linking analytics to talent understanding and even role allocation is fundamental to a happy and productive workforce.
- Wellness and Mental Health Support: Employee wellness and mental health are becoming increasingly important in the workplace. A survey by the National Business Group on Health found that 88% of employers offer some form of mental health support, with many using HR software to facilitate this.
- Cloud-Based HR Software: The global cloud-based HR software market is growing rapidly, with a report by Markets and Markets predicting that it will grow from $6.47 billion in 2017 to $9.89 billion by 2022. That’s not to say on-premise HR software isn’t still critical. In fact, many organisations ConnectMyApps work with have a mixture of cloud and on-prem solutions, integrated perfectly to enable a seamless user experience and accurate data transfer.
- Personalised Employee Experience: Personalising the employee experience can lead to increased loyalty and engagement. A study by Adobe found that 77% of workers say they would be more loyal to their employers if their employment experience was optimised. This can include little things – like letting employees choose their own laptop brand / model, or bigger things – like allowing employees to personally adjust and tailor their own compensation policies to suit their spending and saving needs.
- Continuous Performance Management: Continuous performance management, facilitated by HR software, can lead to higher levels of employee engagement. A study by Deloitte found that organisations that have continuous performance management processes report 50% higher levels of employee engagement.
2024 will be a significant year for technology. Not least because of AI, and the implementation of actually useful applications and use. In turn this will result in stringent cybersecurity demands. Especially to protect users’ data. This will be felt across nearly all industries.
The demand for personalisation will be important for all types of applications if organisations wish to retain their talents. And the continued demand for temporary staff and gig-workers in many industries will put pressure on organisations to ensure automation in their processes.
At ConnectMyApps we are ready to embrace these trends. With automation, information security and GDPR, AI-functionalities, and total cost of ownership (TOC) fully embedded in our product and services, we look forward to 2024, and together with our partners help organisations to reach their goals knowing that their software integrations and people data is handled in the best possible way.
All the best for 2024, everyone!