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HR Trends: A Statistical Analysis of HR Technology Trends, Challenges and Solutions
HR Trends: A Statistical Analysis of HR Technology Trends, Challenges and Solutions
HR Trends
Report
A statistical analysis of
HR technology trends,
challenges and solutions
A DocuSign eBook 1
DocuSign HR Trends Report
Over the course of 2020, organizations have learned that they need to be
ready to adapt to change at any moment. Whether it’s a pandemic, a series
of tumultuous political events or a social movement, there will always be
forces impacting how businesses hire, onboard, develop and otherwise
engage their people. Plus, there's the typical day-to-day challenges HR
teams face, from being bogged down by paperwork to having to identify
and fill skills gaps. How can they not only survive but also thrive in the face
of change? It comes down to adaptability.
Over the years, HR teams have been taking steady steps toward digital
transformation, increasingly embracing technology and automation. But
the past year demonstrated this transformation still has a long way to go.
Digital technology can help HR teams be more adaptable by automating
manual processes, organizing data, providing resources to employees and
simplifying many other tasks that take up HR bandwidth. DocuSign research
shows that HR teams have turned to technology for support—especially at
the onset of the COVID-19 pandemic. Despite their investments, challenges
remain. Though companies are implementing new tools, many aren’t used
to their full potential. HR teams that fully embrace digital technology
now will be better prepared for a future where being a strategic business
partner within the organization is expected.
A DocuSign survey of more than 1000 HR professionals and the report
that follows offer a look at the state of HR, highlighting the obstacles
teams continue to face and offering two key recommendations to
maximize adaptability:
1/ Unlock the full potential of technology to achieve HR goals and drive
organizational success
2/ Empower HR as a strategic and collaborative department, essential
to the organization’s future
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DocuSign HR Trends Report
Finally, participants held varying roles, ranging from individual contributors to the C-suite,
with most (81%) identifying as managers, senior managers or directors.
Roles
24% Director
7% Executive/C-level
7% VP
5% Individual contributor
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DocuSign HR Trends Report
31% Data entry (getting data from agreements into the right systems)
26% Taking actions like activating service or internal handoffs after signature
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DocuSign HR Trends Report
It’s no surprise, then, that HR teams consider hiring and onboarding—the areas perhaps most
plagued by paperwork—to be ripe for automation. Almost half (48%) say hiring (i.e. triggering an offer
letter) is a high priority for automation, followed by onboarding (44%), which entails automatically
triggering enrollment setup, payroll and other functions. Performance planning rounded out the top
three priorities for automation, but there’s opportunity for further automation across the board. The
percentages of respondents with “fully automated” tools are in the single digits across all processes.
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DocuSign HR Trends Report
As companies pivoted to remote work at the onset of the pandemic, just 19% felt “very prepared.” 63%
Those equipped with modern technology were better prepared to adapt and face the changes. say adopting new technologies
has increased in urgency as
While 41% of prepared organizations say their suite of tools supported their shift to remote work,
their organization prepares for
39% of companies that weren’t ready attribute their unpreparedness to a lack of systems, tools future disruptions
and technology that enable remote work.
For many, the pandemic revealed the need for new tools—43% implemented new technologies 91%
to better manage their workflows and another 43% explored new technologies. of HR teams aren’t fully
capitalizing on the technology
they already own, even though
Why was your company prepared for the challenges of the pandemic? they realize the power
of technology
61% Our departmental or organizational leadership is forward looking
Why was your company not prepared for the challenges of the pandemic?
19%
Very prepared
38% Difficulty creating and sending information/forms due to manual processes of paperwork
16%
Neutral
35% Difficulty ensuring policy updates reflect compliance with labor laws
29% Company unwilling to implement new technology to assist with remote work transition 15%
Somewhat unprepared
26% Mistrust between employer and employees
As companies emerge out of the initial shock of the pandemic, the pressure to introduce new
3%
Very unprepared
technology remains. Sixty-three percent say adopting new technologies has increased in urgency
as their organization prepares for future disruptions.
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DocuSign HR Trends Report
Below are the two primary reasons why they’re missing this opportunity.
<25% of capabilities 6%
76–100% of capabilities 9%
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DocuSign HR Trends Report
Even when integration is in place, it’s often partial rather than complete. About a third of Enterprise organizations
respondents say their benefits management, employee performance solution and applicant face more frequent barriers
tracking software, among others, are only partially integrated with their human resource to digitizing HR processes
management suite (HRMS). Just over half of contract lifecycle management tools were fully
integrated with respondents’ HRMS tools. 42%
due to integration with
legacy systems
Integration with HRMS
To see the full benefit of the systems companies have invested in, they must make integration
the central focus. HR is a unique department in that its work has an impact on every individual
in the company—if HR teams can’t reap the full benefits of their toolsets, it can affect everyone
at the organization.
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DocuSign HR Trends Report
For the purpose of this report, “strategists” are defined as those who answered that their HR
department is viewed as a “strategic partner” to the organization and frequently looks for ways
to innovate through new solutions and tools. Other respondents were classified as “executors,” or
those who execute the existing functions of HR, such as hiring.
While hiring is the primary activity for both groups, strategists’ attention is somewhat more evenly
distributed between other tasks, including development and employee benefits.
Strategists and executors also measure department success differently. For example, while 62% of
strategic HR teams use employee engagement as an indicator of success, just 50% of executors
look to it as a success metric. In fact, strategists are more likely to consider all of the KPIs below.
This indicates that strategists look to a broader range of metrics to evaluate performance.
Development 13% 9% 4%
Operations 8% 6% 2%
Onboarding 4% 6% -2%
Employee experience 6% 4% 2%
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DocuSign HR Trends Report
Overall, strategists are more deeply entrenched in their organizations and its goals than their
executor counterparts. This affects not only what they focus on, but also how they use technology.
When asked about priorities, for example, strategists are more likely to prioritize areas such
as talent development (59% vs 46% of executors), compliance (37% vs 29%), adopting new
technologies (47% vs 37%), and updating legacy technologies (34% vs 26% of executors).
With regard to specific tools, the most stark usage differences exist with applicant tracking
software, training management, benefits management and electronic signature software use.
However, strategists are more likely to use every tool or system—this is a logical result, since
these digital solutions aim to unify, simplify and automate tasks, enabling strategists to be the
collaborative, cross-functional and adaptable partners they aim to be.
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DocuSign HR Trends Report
One key takeaway is that HR teams that are leveraging technology are freed up to play a more
strategic role in the organization.
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DocuSign HR Trends Report
At the moment, HR teams are juggling a number of challenges, all pointing to the need for more
adaptability. Two in five organizations recognize the trend of technology as both a way to attract
younger generations of workers and increase the agility of hiring teams.
41% Modern use of technology to attract and retain talent (i.e. millennials/Gen Z)
40% Hiring agility (i.e. filling gaps as needed with contract workers)
Looking five years into the future, HR teams see an even sharper focus on attracting, developing and
retaining talent. Around 70% of respondents say those areas will be more of a focus. These priorities
look very similar to current priorities, except for one important change—adopting new technology
skyrockets to the top of the list. That focus on new solutions does not take the focus off internal talent,
it’s clear that the future of HR uses cutting-edge tools to allow employees to do their best work.
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DocuSign HR Trends Report
Technology will be instrumental in achieving HR’s goals, both in the short and long term. As the volume of documents
Already, teams are looking to technology to save them time (57%), reduce errors (55%), in HR surges, tools such as
eSignature and Contract
improve employee experience (51%) and solve other problems.
Lifecycle Management will
become increasingly important
Desired outcomes of HR technology
In fact, HR teams consider tools like human resource management systems (85%), enterprise
resource planning systems (77%) and customer relationship management systems (66%),
among others, to be critical to their success over the next five years. And emerging, targeted
technology will be crucial as well.
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DocuSign HR Trends Report
A fully digital system of agreement can eliminate waste, error and delay that are part of their
current manual workflows, giving HR teams more time to focus on other priorities and goals—
including employee development, experience and satisfaction.
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