=Paper=
{{Paper
|id=Vol-2522/paper12
|storemode=property
|title=Perspectives of Digitization in Staff Management
|pdfUrl=https://ceur-ws.org/Vol-2522/paper12.pdf
|volume=Vol-2522
|authors=Tatyana Y. Odarenko
}}
==Perspectives of Digitization in Staff Management==
https://ceur-ws.org/Vol-2522/paper12.pdf
121
Perspectives of Digitization in Staff Management*
Tatyana Y. Odarenko
V.I. Vernadsky Crimean Federal University, Yalta, Russia
teodarenko88@mail.ru
Abstract. We consider the direction of transformation in personnel management
in the transition to a digital economy. At the same time, the importance of per-
sonnel management will increase, like human capital and digital information be-
come more and more popular and developed. The qualification requirements of
running a digital business will require continuous improvement of the profes-
sional experience and knowledge of the staff, and hence it is continuous learning.
The competitiveness of enterprises is, first of all, highly qualified personnel,
which will become one of the most important factors of an enterprise in the digital
economy. The need to process a large amount of information related to the selec-
tion of candidates for open vacancies requires the use of digitalization in the pro-
cessing of primary data of candidates. Creating, one might say, digital work-
places will drastically change the technology of interaction between staff. The
organization of contactless working hours, the creation of an internal corporate
network will allow you to avoid the irrational time spent by staff on inquiries,
requests, paperwork and receiving references. The widespread use of distance
learning, a testing system with pre-installed employee gadgets, really reduces the
time spent on personnel certification with an increase in the quality of learning
outcomes. The results of digitalization in the near future can significantly in-
crease the effectiveness of the staff without special changes in its number and
composition.
Keywords: personnel management, directions, digital technologies, competi-
tiveness, digitalization
1 The need to introduce innovative digital technologies in the
field of personnel management
The Russian economy has come up with an urgent need to digitize both enterprises and
the habitat of its citizens. Cash payments are rapidly becoming a thing of the past, Rus-
sians more and more often solve problems that arise, through the site of public services,
the word digitalization becomes more and more familiar to our ears. In the May decrees
of 2018, the President of Russia voiced and set the task for the early introduction of
computer technologies in all spheres of the country's life and business. Conventionally,
* Copyright 2019 for this paper by its authors. Use permitted under Creative Commons License
Attribution 4.0 International (CC BY 4.0).
122
among the directions of development of the digital economy are the following, which
are presented in Figure 1
Directions for the
development of the digital
economy
Legislative and Control system
regulatory environment
State administration Digital healthcare
Smart city Infrastructure
Information Security Research and
development
Personnel and Education
Fig. 1. Directions for the development of the digital economy
Innovative organizational business models, modern motivational programs and direc-
tion of staff development, innovative approaches in searching and creative staff recruit-
ing, establishing communicatory contacts in a company are necessary for new digitiz-
ing actuals [1]. Thus, the staff managing function will remain the main one with the
help of digital economy development [2, 3].
In particular, new technologies will be used in staff recruiting: video interviews, so-
cial networks, gaming, etc. The problem is that the staff readiness in Russian enterprises
in conditions of the digital economy is low so far.
Researches that were made in the Analytic Center of the National agency of financial
researches and the “Skolkovo” Fund proof it [4].
Russian enterprises were evaluated by the following aspects: keeping and passing
information; using the internet; integration of digital technologies; information secu-
rity; human capital. Human capital had the lowest result. The level of development of
the human capital evaluates at 20 points from 100, and just at 7 for the traditional in-
dustries. It was stated that enterprises devoted little attention to the modern digital tech-
nologies training of their staff. Only 33% of professional organizations (and 8% of tra-
ditional economy industries) give staff money to take a course in digital technolo-
gies [5].
123
BUSI NESS
• Defines a development strategy;
• Generates the content of the Program and action plans;
• Evaluates the effectiveness of the implementation of the Program and Action Plans.
Strategic level Tactical level Operational level
OBSERVATI ONAL EXPERT WORKI NG
COUNCI L OF ANO CENTERS OF GROUPS ANO
“DI GI TAL ECONOM Y” COM PETENCE I N THE "DI GI TAL
• Making proposals to DI RECTI ON OF THE ECONOM Y"
change the program; PROGRAM • Coordination of
• Removal of disagreements • Preparation of proposals for proposals for changes to the
between Competence Centers changing the program; Program;
and Expert Groups; • Preparation of proposals for • Approval of proposals;
• Evaluation of the action plans; • Evaluation of the
effectiveness of the • Participation in the effectiveness of the
implementation of the implementation of action plans; implementation of action
program. plans
•
FEDERAL EXECUTI VE
AUTHORI TI ES
STATE RESPONSI BLE FOR
• Approves the Program THE DI RECTI ON OF
and Action Plans; THE PROGRAM
• Organizes work on the PROJECT OFFI CE • Coordination of changes to
implementation of the • Development of method- the Program;
Program and Action Plans; recommendations for the • Coordination of Action
preparation of plans of measures; Plans;
• Monitors the
• Monitoring the • Implementation of Action
implementation of the
implementation of action plans; Plans;
Program and Action Plans.
• Subcommissioning materials • Preparation of reports on
preparation the implementation of action
plans;
GOVERNM ENT
SUBCOM M I TTEE ON COM M I SSI ON
THE DI GI TAL ECONOM Y • Coordination of
• Organization of the program changes to the program;
execution; • Removal of differences
• Removal of differences on on proposals;
proposals; • Coordination of Action
• Coordination of Action Plans; Plans;
• Monitoring the • Monitoring the
implementation of action plans implementation of action
plans
Fig. 2. The management system of the program "Digital Economy" (author: http://d-rus-
sia.ru/sostoyalos-soveshhanie-po-organizatsii-raboty-tsentra-kompetentsii-formirovanie-issle-
dovatelskih-kompetentsij-i-tehnologicheskih-zadelov.html)
124
2 Digital transformation in the field of personnel management
2.1 Software methods in data processing for staff recruitment
The actuality of the chosen theme is considered that refusing to deal with digital tech-
nologies in the world, where everyone uses them more and more, can only mean an
inevitable stagnation of the economy because of the productive forces’ slump and also
because of hopeless gap of means of production.
The goal of this research is to examine directions of possible use of digital technol-
ogies in managing staff, to determinate expediency and economic need of using them
in enterprises in the territory of the Russian Federation.
Introducing IT technologies (Fig. 1) into active enterprises is not only a spirit of the
times but an acute need that indicates its existence in connection with its fast-falling
competitiveness.
Information Technology
Internet Technology Specialized Software
corporate websites
reference systems
E-mail
social networks separate authorization programs
professional communities
specialized complex programs
instant messaging programs
Fig. 3. Information technology in the field of personnel management.
Introducing digital technologies in managing staff service can have lots of directions,
and each of them will be aimed to use labor hours more effectively [6].
Business processes that can be exposed to full or partial automation are not being
viewed in this article. Attention is focused on changing traditional methods of infor-
mation processing with special programs, time management and its effective use quan-
titative and qualitative analysis of work, staff loyalty and other directions.
Digitalization is becoming more and more stable its place in our life. This process
does not allow trampling on the spot and requires constant advancement, self-develop-
ment, and improvement. It is costly and takes time, is accompanied by the introduction
of new technologies, commits to changing the usual processes and taking risks. At the
same time, personal qualities of personnel, their striving to improve, to develop new
ideas, learn, be flexible to change, be able to define their place and role in this process
and act in this direction are highlighted. And only practice will show the further effec-
tiveness of the steps taken.
125
Since the competitiveness of enterprises depends on highly qualified personnel, i.e.
human capital, then nationwide in a global digital economy, human capital is deter-
mined by the ability to collect, process and use digital information effectively. There-
fore, for the development of the digital economy, it is necessary to pay increased atten-
tion to the development of new personnel with new psychology and new ethics, which
will give them new energy necessary for digital society. In his works Malysheva G.A.
emphasizes the need to remember that a full-fledged education and the general culture
of a person are not limited to the amount of technical knowledge and skills, therefore
the bias towards exact and technical disciplines can not only go to the detriment of
humanitarian knowledge but reduce the overall quality of the country's human capi-
tal [7].
But it should be thought that technological unemployment, caused by the consider-
able disproportion between demand and the traditional structure of labor market supply,
can become one of the risks of digitalization.
The digital economy is designed to ensure the dynamic development and transpar-
ency of business and government management at all levels. At the same time, in addi-
tion to a positive renewal of the environment and relations, the digital economy delin-
eates and enhances the dangers, challenges, and threats that are directly and indirectly
related to the features and characteristics of the new digitalized [8].
There are three points on the basis of digital transformation: technological (basis for
digital infrastructure), educational and communicational. The constant development of
these points contributes to forming corporate culture that leads to developing flexibility
and activity of employees. Companies need such conditions to create surroundings
where digitization will be the most effective.
Giving public and available data, that will show employees all the pluses of digiti-
zation by the examples of successful practices, will help to overcome employees’ nat-
ural resistance that concern innovations. Doubtless, benefit can be of use by the admin-
istration (e.g. talks, briefings, seminars, etc.). But in any case, staff adaptation of using
new forms and methods, their active users can’t happen immediately – a certain period
of transition will be needed.
Information area around us is filled with digital technologies, they change gradually
our perception and our attitude towards this process. Undoubtedly, an employee’s age
is very important for perception the digitalization process. The less it is, the more an
employee is influenced by digital surroundings, and the more is the effectiveness of
digital methods that are influenced by him. This given factor must be taken into con-
sideration when digital technologies will be admitted.
Active developments in such fields as telecommunications, microelectronics, cogni-
tive technologies, etc. necessitate high-tech changes for any production or enterprise.
According to this a new information-oriented society (that is called the “digital econ-
omy) is appearing where staff managing service is needed to be changed. The evidence
is that the program “Digital Economy of the Russian Federation” (decreed by the gov-
ernment of the Russian Federation on the 28th of July in2017, № 1632-p) has shots that
deal with the basic directions of digital economy’s development in Russia [9].
126
While digitalization the staff management’s function will remain one of the principal
ones. It will define the effectiveness of the company’s activity, its competitive power
in markets, and it will change a lot.
From the point of view of creating an effective personnel management system, it is
necessary to single out a number of its most important elements: personnel selection in
sufficient quantity and quality (qualifications), a systematic approach to personnel
training and retraining, a wage system, an employee adaptation system in an organiza-
tion and interpersonal relationship within the team [10].
The most enterprises in Crimea (especially in its coastal part) face the problem of
high turnover of staff. Nowadays most pf problems concerning staff recruiting can be
solved with the help of newly made tools for data handling, including artificial intelli-
gence [11]. These days almost every person who’s looking for a job downloads his
resume into numerous web-sites, leaving his digital trace on the Internet. Some of the
competitors make several resumes, they put their different fields of specialization, dif-
ferent qualities and abilities hoping they will be able to get a job in given specializa-
tions. Even elementary searching programs enable to classify sited information by pro-
fession, sex, age. This staff recruiting method with the help of artificial intelligence
showed itself to be good in such a company as Mail.ru. Its effectiveness was proved in
practice: four times less of reduction of costs for staff recruiting, two times less for
closing vacancies.
Development of the given direction has the possibility of creating a product for HR,
that enables to get a prediction in dismissing employees, their correspondence to a job,
their possibility to complete the period of probation.
But the main obstacle in the expediency of using this method is a lack of sufficient
information that is required for evaluating a candidate without a competitor. Not so
long ago it was declared that a new video analysis method (HireVue video resume) with
reference to one of the massive vacancies would be used by food stuff and goods for
your house manufacturer Unilever. Human-candidate is recruited only when interview-
ing for a job, before that all information about him is analyzed by a system. This project
disclosed quite good future of this method. Within the Russian market some of Russian
companies, such as Skillaz and VisionLabs, made efforts to create similar models. Ma-
ture technology already exists officially, but the lack of data array (information about
lots of people, who has already been interviewed successfully or has failed an inter-
view) put obstacles in the way of using it widely [12].
The common database of claimants is an element of know-how. It must be not just
a dossier but a common transparent “smart” database that will be able to give the clear-
est understanding of skills, abilities, and turns of a claimant. Such a database and such
an approach are able to help with forming cross-functional and areal groups in non-
standard career planning. As a result, HR department gets “a digital professional trace”
of all employees for creating a long-term career decision.
127
2.2 Creating an internal corporate portal as a form of saving working time
Rational use of labor hours means an opportunity to solve as many industrial or indi-
vidual tasks as possible with minimum costs. Creating a corporate portal for all em-
ployees where it is possible to accomplish tasks from your computer or mobile phone
will enable not to waste labor hours going from one department to another one, search-
ing a required person.
2.3 The use of remote forms of training and staff development
One of the most important directions for increasing of labor productivity of employ-
ees is organization of non-stoppable high-qualified and effective learning process. In
ordinary terms calling professional coaches, collecting staff, labor time costs, holding
classes (taking average information perception into consideration) are enough expen-
sive activities concerning money and time [13]. Moving this all of these into computer
opens new possibilities in the mode of learning, its duration, and place. Distant learning
(especially such branches of learning as ecology, fire safety, labor protection, etc.) is
developing rapidly. Widening of this field towards corporate learning on the basis of
IT. There are examples showing that it gives good results, makes the new employee’s
adoptive process faster, increases knowledge assimilation, etc. In opinion of companies
that use such system (iSpring for example) they have gained comparing with forms of
learning they used to deal with.
So managers of the “Honewell” company (Russia) mentioned a shortening of sales
manager’s adaptational time who learned online, his coefficient of efficiency increased
a lot. Online shop MW-LIGHT reduced costs for study of their employees from 3900
to 179 rubles. One of the most famous companies called “Johnson & Johnson” cope
with determining knowledge level of 400 medical representatives all around the terri-
tory of Russia within two days. The traditional way would have spent 20 times more
time.
OPTI M I ZATI ON
THE BENEFI TS OF TRAI NI NG
OF DI STANCE COSTS
LEARNI NG
I N-SERVI CE
TRAI NI NG
I NDI VI DUAL
LEARNI NG PACE
THE USE OF I T I N
THE
EDUCATI ONAL
PROCESS
EDUCATI ON AT
THE PLACE OF
RESI DENCE
Fig. 4. The benefits of distance learning
128
Such ways of learning don’t need learning classes. A listener can assimilate information
wherever he is a comfort to be. Existing programs enable to study with the help of any
device: a computer, a notebook, a pad, a phone. And if you have such programs as iPad
or Android installed, you even don’t have to be connected to the internet.
2.4 The need for different approaches to employees of different ages in the
digitalization of personnel management
Younger employees show particular interest in such forms of education. They easily
use various gadgets in their daily life, surf the Internet, go through registration proce-
dures, use a multi-level search to solve problems, perform several parallel or intersect-
ing tasks. The increasing complexity of software systems and equipment occurs simul-
taneously with the accumulation of experience and knowledge in the digital sphere of
this generation. By offering digitalization of processes in the enterprise, the employer
begins to communicate with young people in their usual language and way. Test ques-
tions, short and clear informational messages - all this has been present in our everyday
life for more than a year.
Another issue is the people of the older generation and low incomes. It is more dif-
ficult for this category of workers to adapt to innovations and, accordingly, to under-
stand their necessity. Understanding that age workers are often the bearers of the
knowledge, experience, and traditions of the enterprise, the manager simply needs to
put additional efforts and resources in support and additional training for this category
of personnel.
2.5 Organization of monitoring the use of staff time
Time managing and territory movement control is very important for a lot of organiza-
tions. It can be easily solved by innovating a biometric system integrated with CACS
(control and access control system). As a rule, fulfilling industrial tasks is limited by
different areas (buildings, rooms) for different staff groups and if someone is not in
“his” demarcation point, it automatically can be meant time-consuming. Intellectual
access control can be realized by video surveillance or by using individual cards with
an electromagnetic chip, that snoop all the employees’ movements with corresponding
hardware. The fact of having such a control form disciplines people and reduces non-
productive time spending (smoking breaks, speaking by phones, drinking tea during
labor hours). For example, there is an enterprise of hotel business where limited access
for some staff categories into guest zones is being used, where a certain individuality
of solving problems is used as well (chambermaids, cleaners, technical staff). Never-
theless, problems concerning effective control management appear especially if an en-
terprise has a big volume of works, a huge territory and a large number of employees.
Using such a system can increase productivity in the time of the same labor hours and
a staff quantity.
129
3 Prospects for the development of digital transformation in the
field of personnel management
Firstly, digital transformation has to be aimed at increasing the effectiveness and open-
ness of company’s business processes.
A subject who adopts such a system has the rights to count on information processing
with a considerable increase in speed, in greater opportunities in getting deep, high-
quality and large-scale analytics. This is how access to critical numbers opens and be-
comes easier. And this will definitely help the manager of the company to reduce time
for making important and strategic decisions [14].
Secondly, the business processes of a company under the impact of digital transfor-
mation will be changed as an inner and outer client will prefer. New business-processes
will be made.
It is predictable that digitization can’t exist without attracting investments, but re-
sults exceed all the costs to a considerable degree. It is meant organizations that have a
large enough turnover and a big quantity of employees on staff. Digitization planning
must take into account an expected impact and the size of the enterprise. The innovation
of complicated automation systems into a small company will do nothing good.
4 The development of digital technologies as a form of human
resource conservation
Human capital is a determining factor when changing to new digital technologies and
decisions. There is a greater need for preparing new managers, who are able to adapt
and be flexible when accepting new managing models. The following steps must be
done to make this happen: improve leading qualities, culture, technologies, enrich em-
ployees’ experience, use new methods in business management and improve digital
technologies because future is digitalization of enterprises.
Every step on the way to the automation of information processing and preparing for
making decisions proves an increasing value of staff management. Human capital be-
comes a supreme value in a world of technologies. The realization of directions we read
above can enable companies to take the lead in the market in the background of increas-
ing competing for employees. Realization of digital decisions in reducing non-produc-
tion costs of labor hours and also using automatic control forms open new potential for
growth of production within staff and labor hours.
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