In addition to keeping an organization in compliance and managing people, HR leaders are expected to keep up with the latest workforce trends and new advances in technology to drive organizational efficiency and people productivity. 

Adopting new Human Capital Management (HCM) technology doesn’t just lead to a more efficient and productive workforce—it also frees HR teams to focus less on paperwork and more on strategic projects that really matter. Cloud-based HR solutions are becoming a clear favorite, with this segment growing faster than any other area of HR technology. In fact, nearly 3 out of 4 companies are planning to increase their HR tech spending this year, and by 2025, more than half of all business technology spending will shift from traditional systems to cloud-based solutions. 

With a constantly evolving workforce and a crowded HCM space, it can be difficult for HR leaders to understand exactly what they need to be investing in to help their organization and people grow. Here are the top tools HR leaders are investing in today: 

Recruiting Tools 

Candidates have become decision makers, putting a tremendous amount of pressure on employers to make a great first impression. As a result, organizations are investing 59% more on their employer brand. As part of the investment towards the employer brand, HR leaders are leveraging recruiting technology to assist with creating a better overall candidate experience, even for candidates they don’t hire. 

The right recruiting software can simplify candidate management, empower managers to find the right talent, and keep applicants engaged throughout the process. In fact, automating recruiting processes can reduce the time it takes to fill a position by 20%, giving HR leaders more time to concentrate on the strategic aspects of onboarding such as culture and training.  

Social Engagement Tools 

The newer generations, Millennials and Generation Z, have entered the workforce and firmly believe that culture fit is one of the most important factors to look for before accepting a job offer.  

Social engagement tools engage the modern workforce. New social platforms that empower your people to collaborate and engage with each other through badging, reward points, polls, and surveys boosts overall morale and help cultivate that great company culture everyone dreams about. Organizations with a formalized employee engagement program tend to have 26% higher annual revenue growth. 

Mobile Apps 

Nearly 60% of the U.S. workforce will be mobile workers by 2024, reflecting how work has fundamentally changed. To support this growing mobile workforce, companies are investing heavily in mobile technology. Recent research shows that people spend about 88% of their mobile device time using apps rather than browsing websites, yet only 57% of organizations currently provide their employees with mobile HR apps. With 47% of companies now focusing on mobile-first technology strategies, mobile apps have shifted from being a nice-to-have feature to an essential tool for keeping teams productive and connected.

Agile Performance 

Waiting an entire year to receive feedback on a project completed 8 months ago isn’t effective for today’s fast-paced and diverse workforce. 45% of HR leaders agree, and do not believe that annual performance reviews are an accurate appraisal for an employee’s work.  

Agile Performance is replacing outdated annual performance reviews by transforming managers into coaches, and coworkers into teammates. To boost engagement, coaches and teammates now actively participate in the review process by regularly rating and providing comments on team members’ actions and work in real-time. 

Predictive Analytics 

On average, it takes about 52 days and $4,000 to fill an open position. Replacing talent is costly and time consuming, but it doesn’t have to be if you have the ability to plan for the future.  

Predictive Analytics is about leveraging insight to help you make better informed decisions. This advanced technology looks at previous trends and then computes the data to predict what will happen in the future to provide HR leaders with the insights they need to hire the best talent, recognize engagement levels, and understand where to invest in the development of their people. 

HCM technology is the foundation for cultivating a strategic workforce that can take your organization to the next level while improving your bottom line. Get ahead of your competition and stay up-to-date with how you can invest in the development and growth of your people.