Summary of the CIPD research report
The research report addresses the relationship between new technologies and managing people and the potential role of HR in that relationship. It is available to purchase online - please visit our bookstore for more details and to find out how to order.
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There is growing recognition that competitive advantage and service delivery will be built through a combination of people and technology – and that the HR professional has an indispensable role in managing this interface. HR now has the opportunity to earn new respect by playing a central strategic role in the organisation.
The report shows how new technologies and the changing technological context can impact on organisations, groups and individuals. It addresses the relationship between new technologies and managing people, and the potential role of HR in that relationship. It deals not only with the e-enablement of the HR function itself, but also how HR can play a more strategic role in aligning technological innovation, organisational change and people management. Other strands of CIPD research have touched on technology issues but none offer a comprehensive overview of the wider issues.
The report asks three questions:
- To what extent are organisations in the new knowledge-based economy different in their requirements for people and for the experience of people working within them?
- To what extent can HR specialists influence the choices being made in how technologies are introduced?
- What can HR specialists do to prepare themselves to make appropriate choices in technology–people management relationships?
The report covers:
- debates over the relationships between technology and people management, and the role of technology in human capital development
- how new technology can transform the functions of HR specialists and contribute to their role as business partners
- how technology can transform the HR function in business practice
- the ‘darker side’ of technology’s impact on people and the HR function
- how HR can work with technology professionals to implement empowering and more productive technological changes at work.
Issues
Issues that emerge include:
- the current rate of technological progress, many offering promises to transform most economies and organisations
- agreement that the systemic relationship between technology, organisations and people is vital in delivering the promises made about new technologies
- the potential for Information and Communications Technology and other new technologies to have a major impact in transforming economies, organisations and the ways people work
- how senior HR managers in international companies have identified technology as the single most important transforming force, especially in the e-enablement of HR and its impact on the creation and transfer of knowledge between organisations
- the implications that the knowledge-based economy and knowledge-based organisations have for the relationship between technology and HR – ie HR needs to make its business case for being treated as a strategic asset and subsequently acting as a strategic business partner
- the distinction between knowledge-intensive organisations and knowledge-routinised organisations
- the five areas in which new technology can be used to transform the HR function and the functioning of HR:
- helping to create greater intellectual integration and knowledge-sharing
- using e-HR to reduce the costs of HR services, to help inform employees, and to liberate HR practitioners from routine administration so that they can focus more on strategic and change management issues
- using technology to support individual and organisational learning and knowledge management
- using technology to support innovative business models and participative organisational cultures
- using technology to create new forms of community at work and new forms of organisations.
Technology will have a negative impact on morale and productivity if it isn't aligned with business objectives and good people management. From the perspective of HR specialists, investment in new technologies often delivers less than it promised because it is poorly implemented or misaligned with the necessary organisational and human factor changes. Involving HR in the design and implementation of new systems will overcome the ‘dark side’ of the new technologies, the risk that alienation and detachment can result if technology is introduced without thought being given to its consequences for the individual and the team.
HR specialists need to understand the complexities associated with the introduction of new technologies, especially the impact on productivity and people, in order to help their organisations get the best out of technological innovation. As a result, they will be better able to transform their own function and play a more strategic role in aligning technological innovation, organisational change and people management.
This is a summary of:
Martin, G. (2005) Technology and people management: the opportunity and the challenge. Research report. London: CIPD.
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