The challenges of HR digitalization for SMEs

Wednesday 21 July 2021
Digitizing HR is a means to drive forward the digital transformation of SMEs and intermediate-sized businesses. This is an essential step when organizations decide to put digital technology at the heart of their strategy.

HR digitalization represents a challenge for SMEs and intermediate-size businesses. What are the benefits of digitalization of HR administrative processes, recruitment, learning and talent management for HR leaders, managers and employees?


Prioritizing high-value tasks by digitizing the most time-consuming and repetitive of them


Some tasks like data input and updating, managing and sending documents or the examination of applications are time consuming and can be automated. In doing so, HR can focus on tasks with higher added value that require the expertise and experience of a professional, to save time and enhance productivity and improve HR service quality.


ARAGO Consulting advice: STOP using Excel files for your HR management! … still used by too many SMEs, by force of habit and for economic reasons. Yet spreadsheets can be very limiting: complexity, inflexibility, no version control or ability to work collaboratively. Input or version errors are easily done! Our modern, agile and integrated solutions like ARAGO Ready for HR exist to replace Excel.

Providing an “employee experience” tailored to employee expectations


Offering a rich and relevant employee experience is a response to recruitment issues and loyalty of SMEs. Indeed, employees today more than ever want to feel that they are considered to be important elements of the business. They expect their employer to listen, consider, empower them and support their career choices. From the perspective of tools and internal relations, they want to regain the flexibility and convenience of the digital and mobile tools they use every day. Especially with the arrival of millennials on the labour market!


HR digitizing solutions for SMEs like ARAGO Ready for HR offer more autonomy to employees for applying for and tracking leave, monitoring objectives, training, access to administrative documents.


Secured and protected data


The GDPR in place since May 2018 requires companies to ensure their customers’ data security, but also that of their employees. HR information systems (HRIS) like ARAGO Ready for HR of course comply with data protection regulations. HRISs allow for example the digitalization of documents to prevent loss and theft and offer process management and storage of secure data validated by the authorities.


HR Dematerialization: fast, simple, economical and ecological


In addition to flexibility and responsiveness, HR documents digitzation have many advantages, including for employees and the company. Employees can access all their HR documents any time, anywhere, and centrally, even when working from home. For the company, storage is centralized, sharing and sending documents is fast and easy, and going paperless has a positive economic and environmental impact.


Developing the employer brand


A good employer brand conveys the image of a modern and connected company. By offering your employees simple and useful digital services and tools, they will be able to more easily share their experience on social media or with their personal network. Online presence naturally developed by your employees is a real asset to attract new talent.


Human Resources occupy is a priority in the strategy and performance of an SME. Its development, growth, innovations, everything is based on the attraction, commitment and loyalty of talent, through HR actions that must be a priority for managers. The digitalization of these processes optimizes the strategic weight of HR within the company.