Loopline Systems Blog

Tips To Anticipate Your Performance Management Process To The Digital Changes

Posted by Sarah Lindner on September 17, 2015


In 45% of companies, the board level is not concerned with digital transformation. These results come from a study conducted by the IMD and Cisco, in which 950 companies were surveyed from 13 countries. Further examination by the personnel consultancy “Heidrick & Struggles” showed that a mere 21% of companies in Germany are proactive in the matter and have engaged a person responsible for digital topics, like a CDO. 

And yet the digital change is unstoppable; companies need to be prepared for performance analysis during the “digital disruption” and take action. Accenture has summarized in a report what actions belong to HR and what to do exactly. The most significant results we have summarized as follows:

Digital disruption: what developments do corporations expect?

Companies can no longer ignore the drastic changes in the economy, also known as “digital disruption.” New HR rules will apply in the future, ones that the digital transformation will bring to all industries. To cope with the digital future, companies are forced to undergo a process of change. As great as the opportunities of digitization are, the transformation in the enterprise should be adapted carefully to fit existing structures. According to Accenture, HR will have to face, among other things, the following changes:

  • Digital data integration, which defines daily business
  • Digitally tailored talent management
  • Cloud computing, which means new flexibility
  • Consumer applications
  • More power for self- leadership for people within digitization

From administrator to creator: tasks of HR in the wake of digital disruption

1. Human Resources Analysis must increasingly be understood as marketing for the company. Custom-tailored offers for talent development should be created based on detailed analysis of employee- and applicant data. Therefore, it is important that you equip your HR team with experts in the field of data processing.
2. The corporate structure should be reorganized in order to allow a closer integration of HR with other corporate divisions.
3. HR must increasingly assess external technologies and create interfaces between external and internal corporate systems and data.

Human Resources should become human relations: first, the focus should be on the employee, including his or her potential and needs. HR should implement individual support measures and regular feedback. Secondly, the workforce should be considered as a whole. HR must be increasingly engaged in the process of digitalization with extra commitment to team-building, work culture and communication.

Challenges for the management level

The demands on the management level are changing: during the digital transformation, certain competencies are more in demand than ever before. Leaders must be able to manage in uncertain conditions, be willing to take risks and be open to new technologies.

The risk calculation is different for digital business models than for traditional models. If HR applies itself during the digital transformation process, great opportunities for companies in all industries can open up within the power and scope of the “digital disruption.”


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Topics: Feedback, HR Solutions

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