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MIT Sloan Management Review study highlights data and expectations about the sector

75% of HR leaders and managers understand the need to incorporate artificial intelligence solutions into human resource management platforms as a priority. The data is part of the survey Human Capital Management Solutions Report, made by the company MIT Sloan Management Review BR, with support from HR Tech LG lugar de gente. 

CEOs, directors, consultants and managers from more than 140 Brazilian organizations participated in the survey, which used a methodology based on a basic questionnaire on the main demands of the sector, perception of values and strategies for applying management platforms. 

The study investigated the use of solutions of Human Capital Management (HCM)which are the set of strategies and tools linked to human capital management, whether through segmented use, such as payroll payment, recruitment and selection processes, as well as transversal process integration platforms. The analysis identified expectations, applications, obstacles and advantages in the adoption of technological solutions, in the national territory. 

Opportunities for the Sector – Artificial Intelligence has already become an essential topic for any technology company. In the Human Resources sector, companies still see the subject as still under development. Although 75% of industry leaders prioritize implementing AI solutions in people management platforms, only 20% can identify clear applications of the tool in their systems. The data shows that there is still a range of possibilities for implementing AI in HCM processes to be explored. 

The study also revealed that for 67% of HR managers and leaders, the main benefit of implementing HCM is the strengthening of strategic vision. With the use of the platforms, 69% of the interviewees highlighted operational efficiency as the main indicator of advantage, accompanied by process automation and assertive analyses on teams and employees, both highlighted by 64,19% of the participants.

“HR needs to be more analytical. It is a major challenge today, since the HR team does not have this skill by default. The sector must act as a facilitator by promoting education on the importance of data, in addition to leading integration and analysis initiatives. It must set an example by using data to define strategies and direct the company’s leadership. However, we cannot forget that management and human skills are equally fundamental to success,” explains Daniella Vasconcelos, Strategy and Customer Excellence Manager at LG Lugar de Gente.

Decision Making – The study indicates that HCM optimizes processes and helps analyze data to build strategies. It is worth highlighting that the platforms also serve as decision-making thermometers and boost employee engagement, the latter valued by 87% of C-Level executives in Brazil. On the financial side, the implementation of the solutions has a positive impact on companies' pockets. 66% of those interviewed said they had reduced costs after implementing HCM.

Mental health and well-being – Employee satisfaction is a key focus of HR strategic planning. The survey sheds light on this concern, as 741% of respondents said they prioritize incorporating mental health solutions, but there is still low adoption of processes that integrate technologies designed for this issue.

Only 18,24% of companies actually have such tools. This topic illustrates a trend in the sector to look for platforms that offer uses beyond bureaucratic processes, but as facilitators and channels of actions aimed at managing organizational climate and corporate happiness.

“It is important to use data to obtain continuous feedback from employees. This practice improves talent retention and engagement, in addition to being directly linked to the strategy established by the sector,” concludes Daniella.

To learn about the solutions offered by LG lugar de gente, visit: People Management Solutions for your company – LG lugar de gente.

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