Human Capital Management (HCM), the HR-based cloud solutions business of Oracle, sees exciting times ahead. As organisations world over aim to retain talent by keeping their employees' experience sacred, HCM is looking to leverage the opportunity. Yazad Dalal, senior director and head-HCM, cloud applications, Asia Pacific at Oracle, spoke to Raveena Singh about HR issues concerning Indian and global companies.
Small companies are outsourcing their HR jobs to start-ups. Do you see any threat to HCM solutions?
No, not at all. The platform we provide is about employee experience and one cannot outsource that. Our type of software has been traditionally used to manage talent. It provides a strong employee experience engagement between employer and employee. It makes HR productive and their functions easier. So small companies that are smart enough to outsource their HR-oriented jobs are outsourcing the administrative jobs, say payrolls.
How will technology change the current HR roles?
HR leaders have a very strong belief in what they wished they were doing: Acting as strategic decision makers in the organisation. The reality is that HR often has to default into a very administrative function, conducting process-oriented and task-based work like leave application and medical benefits. About 60% of the administrative work and 10% of strategic work is done by HR groups. Technology will reverse that. The big opportunity that comes with digitisation is to automate administrative work and to allow HR groups to become strategic.
What are the trends emerging in HR departments?
At Oracle, we regularly work with HR heads. The multiple people, I met in NCR during my visit, were heads of businesses before they were asked to join as HR heads as the companies wanted someone who understood their business. This is a very strong trend as they understand the quality of people required for that business.
What about the inhuman approach to firing people?
In most countries, there are stringent laws how you terminate an employment, Germany and Europe takes a very long time to separate employees. For the rest of the world, it is up to the companies discretion to design a reduction in force/downsizing. Companies taking their employer brand seriously will take a very generous approach to letting people out. For example, a Fortune500 hotel company in the US 10 years back had a significant layoff at their headquarters. Everyone knew a layoff coming. And the day of the announcement, the chosen ones (to quit) were celebrated and thanked for their service and given a folio of all the benefits the company
How important in succession planning?
On a grand level, succession planning is very important and there have been examples in the past. It is of value as it creates competition and ambition. Hence, people work harder to own the rights. If we don't have a clear line of succession, that is where organisations and teams meet crisis. You can see it from the way Indian cricket team is performing under Virat Kohli, one chosen as a clear successor by former Indian captain M S Dhoni.
How would internet of things change the HR landscape?
It is regularly changing our lives. Say in Apple's Siri, though it takes time to know voice eventually keyboard will become archaic as a landline. Google's search engine does not only look for restaurants around but also updates about those shut. It's not about dictation but about natural interaction. Another intelligent interaction is if someone were to tell Amazon's Alexa she was pregnant, it will not only congratulate and ask 'when are you due', but will also inform about the pregnancy benefits in the employment package. On just a word, it will write and send an email to the HR along with the benefits you wish to avail and the leaves you are willing to take. This is just one of the thousands of benefits provided by technology and automation. It's just a matter of adopting it.
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