More and more companies are discovering the advantage of storing personnel records digitally. There are many reasons to make the switch, particularly the improved collaboration and increased process efficiency, not to mention better legal compliance and privacy protection.
There are lots of great reasons – especially for corporate groups
Large companies and corporate groups with multiple locations are leading the trend, realizing their personnel departments can work together more quickly and efficiently across branches using digital files. There are also other considerations: many internal IT service providers have worked through a restructuring, or are in the middle of another change process intended to enable greater efficiency and transparency. They might be implementing corresponding IT-solutions, or beginning outsourced or offshore hiring. These are all motivating factors to digitalize a human resources department.
Think privacy protection has to slow you down? No way!
And then there are strict privacy protection regulations – especially in Germany – that human resources departments need to follow if they want to avoid a visit from the authorities. Privacy protection itself is often seen as a barrier to introducing digital personnel records. Sceptical representatives might need some convincing before making a commitment.
In reality, the opposite is true: the best way to secure a paper file is to lock it in a filing cabinet. Anyone with the right key can copy it at any time. It doesn’t matter whether you shred the file on schedule or not – your employees’ information is all right there in black and white.
Make meeting deadlines easy
That’s not the case with digital personnel records. Access to digital records inherently remains restricted to an authorized group of individuals, and each viewing is meticulously documented. Digital personnel records also help you meet deadlines, for instance by deleting applicant files after an approved time period, and thus eliminate excessive data storage in the process. It’s clear that the benefits outweigh the risks. Privacy protection is no argument against digitalization; quite the contrary!