Role of Digitalization in Business Process to Reduce Manpower: A Case of Human Resource Management Process

Abstract

Purpose:The research aims to understand the layoffs currently going on in the technology industry across the world. The study aims to understand the impact due to digitalization on the HRM process and the requirement of manpower (human). Design/methodology/approach: The study used secondary data about layoffs and then tried to get insight and reasons from 63 industry experts. The regression modeling using Minitab is developing to understand the layoff reasons. Findings: it has been identified that digitizing the HR processes helped in improving HR task execution. However, most have agreed that the Human element is needed within the HR department. This study is only based on convenience sampling from the author's network. Findings also suggest that manpower is needed in HRM but it will be reduced over a while in the future. Practical implementation: Organizations are using and adopting newer technologies for transforming business processes. World-class organizations are continuously pouring investments in newer technologies for improving their supply chain management (SCM), customer relationship management (CRM), human resource management (HRM), etc. It helps organizations to achieve effectiveness, efficiency, and productivity and reduce dependency on manpower. Human resource function is going through lots of changes using technology and the old way of managing HR function is no longer an option for any organization regardless of the size of the organization. Originality value:The research refers to digitalization as another reason for layoff where most of the experts think the economic slowdown is the reason. Therefore, digitalization should also be counted towards layoff reasons.

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