Disruptive Blockchain in HR

Human Resources industry has been going through rapid changes with every age because of technical intervention, human capital and dynamic trends of various industries and the business we do across the Globe, but we would see a total sea change the way we function in future with the help of much talked ''Blockchain''.

As a cross-industry disruptive, this new technology (Blockchain) has huge potential to shape the HR landscape.

Major changes in HR occurred when we moved from subscription-based model to mobile applications, digital and social media campaign, and keeping data on the cloud for ready to use applications but this would be history soon when Blockchain would reshape the way we function in coming years.

Today when we talk about Blockchain, we basically refer to the backbone technology of Bitcoin and other cryptocurrencies, this technology is more secure, transparent and efficient.

It basically gives us a decentralized, secure and reliable ledger, which has eliminated all the middlemen.

We would see a major change in Payroll, Recruitment, PMS, Vendor management and Learning & Development.

This will decide the future framework for Employer-employee relationship, and how we would function in Human Resources canvas.

Payroll: - We follow traditional way to do payroll when it comes to remit salaries and other financial benefits via Bank Transfers, we follow different rules and regulations across the Globe in terms of compliance and governing land law when money comes in picture, this would change drastically when the same process can be done peer to peer through blockchain which is fast, reliable and free of dynamic exchange rates Globally, this will lead to cross-border payments straight to user’s wallets, which would save time of organizations.

Payroll to all the expats and international workers would take place smoothly through available crypto coins swiftly and securely.

CV-Background verification-Professional Certifications check: - We still carry more than 60 % lies on available CVs across the job markets, and have no concrete foolproof system to rectify this, major hurdle when we have to verify information on a candidate’s resume, and there is no clear-cut mechanism to validate this.

No tool to validate the various certifications, huge scope wherein we can create one single file carrying the database of all the certificates, employment history which is connected with the college and school database, all this is possible with one decentralized ledger through blockchain.

PMS:- We can assign all the KRAs/KPIs assigned to an individual, and this contract can be executed in the beginning of the year having a clear-cut expiry, the pay hike and other benefits would run accordingly minimizing errors, human interventions. This is scalable for large organizations saving time and cost.

Offer letters can be generated via a decentralized contract that can be sent to all the prospective candidates for the critical open mandates, and the best suitable one who agrees to all the terms and conditions accepts the contract removing the middleman and recruitment consultants.

Transactions can happen between people instantly without any third parties.

Blockchain will change the basic fundamentals how we manage people and Human Resources industry by eliminating middleman or recruiter which is one of a latent function, will have to see how this evolves in future, but this is evident that Blockchain will capture the future.