Digitalization of HR processes and its impact on hybrid work

To begin, let’s define hybrid work. This model allows employees to split their time between remote work (home office) and in-office presence. Its structure varies based on company needs and employee preferences.

Today, hybrid work is the norm wherever feasible. It’s clear that this model has been made possible by technology—not just as an enhancement but as a foundational element. In particular, cloud computing plays a crucial role in enabling hybrid work.

(Want to know more about cloud solutions? Read our article: A guide to the digital transformation).

But how does cloud-based digitalization specifically benefit HR? Are there scenarios where digitalization might have drawbacks? And how can organizations balance the diverse needs of different departments and management levels?

Essential Digital Tools for an Effective Hybrid Work Environment

As mentioned earlier, cloud technology has not only facilitated hybrid work but also led to the development of comprehensive digital workspaces. This is not merely about digitizing isolated processes but about creating a fully integrated online work environment. Digital office solutions, such as Microsoft Teams—widely adopted across modern enterprises—are central to this transformation. The equation is simple: the more robust the digital workspace, the more efficient and productive hybrid work becomes. This holds true across all levels of an organization.

A digital office extends beyond virtual workstations (emails, online calendars, etc.). It also includes critical operational functions such as cloud-based attendance tracking and compliance with regulatory requirements, both of which must be seamlessly digitalized in a hybrid setting.

Formal HR Processes in the Cloud: From Onboarding to Compliance

What about the digitalization of formal HR processes? Unlike general workplace tools, these processes impact different employee groups in varying ways. Companies must carefully assess which HR and administrative tasks should be prioritized for digitalization. Some processes primarily benefit HR teams, offering limited direct value to employees. In such cases, the decision to invest in digitalization depends on whether automating these tasks yields sufficient efficiency gains to justify the cost.

However, when cloud-based HR processes enhance managerial decision-making (e.g., via business intelligence tools) or benefit all employees (e.g., digital attendance tracking or tax reconciliation), the primary challenge is often overcoming resistance to change and ensuring a smooth transition.

So, how can employees be encouraged to embrace digital workspaces? Ideally, they should develop a “digital-first” mindset from the moment they join the company. This is why onboarding is a natural starting point for HR digitalization. Some may argue that onboarding automation benefits only a small group—HR personnel and a limited number of new hires. However, for companies committed to digital transformation and hybrid work, automating onboarding is the first step toward fostering seamless adaptation to 21st-century workflows and building the workplace of the future.

Key Takeaways: The Impact of HR Digitalization on Hybrid Work

By embracing HR digitalization strategically, organizations can unlock the full potential of hybrid work and create a more agile, efficient, and future-ready workplace.