The Realities of HR Tech Part 2: Current State Analysis

The HR tech world is continuously evolving, and innovation is at its peak in such interesting and confusing times; how do you understand it all? Where do you begin? How do you catch up?

This is the second article in my multi-part series on Transformation Tech. Over the last few months, I’ve had a lot of conversations with many people and was introduced to Rajamma Krishnamurthy, who advises HR professionals to prioritize preparation and foundational work before implementing new technology, especially AI, like ChatGPT.

Rajamma suggests in HRGeckos Podcast to focus on laying a strong groundwork and carefully planning where AI will benefit the organization rather than solely focusing on its implementation.

Also, a very relevant post by tech visionary and author of “Your AI Survival Guide,” Sol Rashidi says, “The journey of AI implementation requires strategic vision, leadership, and an organization culture conducive to innovation.”

In Part One of this series, “Guiding You Through the Noice”, I focused on a few takeaways: 

  • Technology is an enabler, not a strategy.
  • Before innovating, establish a strong foundation of people, processes, branding, and technology.
  • How to get started and what are the top 5 things to consider

I also covered how organizational goals and HR strategies are important to tie to tech initiatives. 

Now, in the second part of the series, we’ll focus on the Current State Analysis.

When conducting the current state analysis, examine your existing systems, processes, people, and the organization’s culture. Sound familiar? Of course- it is part of the process. The point is how well you do it and what should you pay attention to? 

It helps to identify gaps, inefficiencies, and opportunities before implementing new technologies or updating existing ones. Implementing new systems without addressing the above areas can lead to long-term known and unknown gaps and poor user experiences. Be proactive and avoid this pitfall!

Here are the five things to focus on for your Current State Analysis:

  • Systems/Technology
  • Processes
  • People
  • Culture
  • Others (I know, a few people do not appreciate the ‘others’ bucket as you stuff a lot in there!)

Systems/Tech Ecosystem: Do an Inventory of what you have.

  1. List of Existing HR and Non-HR Systems:
    Create a list of all HR-related technologies in use, such as HCM, ATS, TA tools, apps, learning platforms, talent management, content providers, performance, compensation, payroll, AskHR, and knowledge management systems. 

In addition to the above, include non-HR systems like your intranet, IT systems, and wellness apps, which ultimately impact the overall employee experience. Being proactive in considering the full ecosystem that affects the employee experience will be appreciated in the long term.

  1. Analyze the List Captured Above:
    Once you have the complete list, get into the details of these systems. For example, assess current usage, ease of use, data gathering and availability, scalability, integration capabilities, product roadmap, mobile accessibility, AI integration, audit trails, compliance reporting, etc. You might discover that some technologies are underutilized, aren’t tracked, or are even disliked by users! Address these issues before investing in new technology or adding more systems. Your CFO will appreciate this initiative!

Processes: What about it?
Often, the old processes are transferred into new systems and expect magic to happen. But remember, GIGO (Garbage In, Garbage Out).

The 3Rs—Review, Recycle, and Remove outdated, manual, or unnecessary multi-step processes—are important steps for creating efficient and automated future workflows. Again, technology won’t work if your processes are broken.

  1. Review existing HR and related processes:
    Examine areas like recruitment, onboarding, performance management, payroll, learning & development, compensation, shared services, employee relations, and people analytics. Also, include related processes involving the communications team, reporting team, and IT team. All of these should be on your list.
  2. Manual vs. Automated:
    Identify which processes are still manual and time-consuming. Consider automating processes that bring relief to employees, HR teams, shared services, and others involved in the workflow. Are HR processes functioning in silos, or are they connected? For example, onboarding could be integrated with skills assessment and learning & development.

People: What do I do with them?
Your users will either use the tech or they won’t. It’s very important to understand where their mindset, skills, and behaviors are. Different audiences and stakeholders have different needs. We’ll dive deeper into Stakeholder Analysis in our third article in the series, but for now, here are three key things to think about:

  1. Is the organization set up the right way?
  2. Do you have the right skill set; what needs to build/buy/borrow?
  3. Are people stuck in BAU (Business as Usual) mode, or are they innovative, curious, and open to learning? 
  4. Do people see tech as a game changer, or are they just using it because they’ve been told to? 
  5. Were they involved from the start, or are they only part of the testing phase or ‘change management team’ now?

You might wonder why we’re talking about all this, or maybe this all sounds familiar. Either way, you need REAL answers to these questions in your Current State Analysis. It’ll help you figure out where to focus when managing the ‘people’ side of things.

Culture: Don’t underestimate the power of an organization’s culture.
There’s a famous Peter Drucker quote, “Culture eats strategy for breakfast,” but it seems it may have been misquoted, as explained in this article. The key takeaway, though, is that culture and strategy aren’t in a simple, linear relationship. If you only focus on one and ignore the other, you’re putting the organization at risk. It’s important to gauge the company’s culture regarding technology adoption and transformation.

We know this, but sometimes get distracted by the shiny new tools and assume things will just work out from an HR perspective. Often, things are forced, and people use them because they have to—but what you really want is organic growth. If you align initiatives with the organization’s culture, you’ll bring people along naturally, and the change won’t feel forced.

For example, some organizations won’t easily transition into Skills-Based Organizations (SBO). Does that mean launching skills-based talent tools will magically work? Absolutely not—it’ll fail. Instead, introduce skills-based learning as a small initiative that might catch on. Try it!

Other considerations before we wrap up:

  • Current costs: Capture the cost of current HR technologies, including licensing, maintenance, and support.
  • ROI assessment: Return on investment of the existing technology in terms of efficiency, productivity, and cost-saving – do not leave it as something to look at later!
  • Assess legal compliance: Ensure current systems meet local, national, and industry-specific regulatory requirements, e.g., GDPR, or other local applicable laws.

Share your side of the story, and let’s continue the conversation!

Feel free to reach out to @Ekta Lall Mittal with your inputs, comments, and thoughts!hip may change, systems are more challenging to alter. Do the right thing, even if it takes extra time.

About The Author

Ekta Lall Mittal is a seasoned Human Resources leader with over 20 years of experience spanning diverse industries and organizations. She has cultivated a robust skill set in HR Technology and Transformations within Learning & Development, Talent Acquisition, Talent Management, Skills Transformation, HR Operations and Shared Services, focusing on enhancing end-to-end employee experience.

As a mentor at Women Unlimited and an advisory board member for startups, she is committed to nurturing talent and contributing strategic insights that propel business success. Feel free to reach out to @Ekta Lall Mittal with your input, comments, and thoughts!

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