WHERE NEXT? Blockchain and HR: Where Next?
Digital transformation became top of the agenda last year as organisations moved to more digital processes to enable working from home. But with this transformation, comes a number of new challenges. These, coupled with the already vast array of HR challenges such as talent shortages, cost of labour, candidate fraud and changes to law surrounding gig workers, means that HR leaders must look to new technologies to enable them to be more efficient and productive. This is according to René Seifert, co-head of TrueProfile.io who believes that blockchain has a huge role to play in innovating HR functions.
Gartner predicts that blockchain will create $3.1trillion in business value by 2030 and within the HR function alone, has potential to transform contracts, storage and sharing of sensitive information and data, the recruitment and onboarding process, and any other processes that require sharing of information. René explains, “Blockchain has historically been understood as ‘something to do with cryptocurrencies’ and ‘something for the very tech-savvy’.”
“But, in simple terms a blockchain is a shared file which records transactions. Each of the transactions, such as a piece of identifying information, is added in as a ‘block’ and is stored decentralised in the chain which means that once added in, no one can interfere with or control its content, meaning it’s highly secure.“
René outlines that because of the nature of blockchain, a specific innovation that is gathering pace is blockchain-powered verification: “For example, using a blockchain-enabled professional document verification platform can enable candidates to securely upload and verify private documents, such as passport or university certificates, providing them with a form of portable credentials. Recruiters can then view and verify candidates’ credentials against the blockchain.”