DIGITAL TRANSFORMATION IN HR SPHERE: DIRECTIONS, PROBLEMS AND OPPORTUNITIES

Abstract

The progress of digital technologies in the XXI century requires radical transformations of business processes in all spheres of socio-economic life. The particular relevance of digital transformations is in the field of HRM (human resource management), which contribute not only to increased productivity but also the development of talents. Companies that are actively implementing changes in HR management, do not lose competitiveness in the market and occupy leading positions in their fields. The growing number of network teams and employees on short-term contracts in the world allow many industries to implement business processes quite quickly, based on the transformation of HR. Based on the study of the world experience of digitalization, the analysis of the vectors of transformation of HR-management functions is substantiated, the key opportunities provided by digital transformation for HR are substantiated, the emphasis is on the terminology of digital changes. Digital organizations are evolving in several areas (3E) – Enterprise, Environment and Enablement. In each of these areas, the role of HR is crucial important. Strategic changes in people management during the transition from traditional to digital management models are also analyzed. The challenges of managing people remotely during the global COVID-19 pandemic have further highlighted the need for every business to apply digital processes in HRM and learn best practices, as this is already a matter of survival in the new environment. The obtained results allowed to establish the directions of development of digital organizations, as well as to draw conclusions about the challenges of digitalization for the development of society in the XXI century. The digital transformation of HR is affecting all types of business – from the largest corporations to the smallest micro-firms. It includes the transition from long-standing and traditionally used resources, tools, and processes to digital means of storing information. In 2020, the world underwent a massive transformation of HR, as many companies have mastered digital solutions that help them work effectively remotely through the COVID-19 pandemic, the situation with which remains unclear and difficult to predict.