How (not) to democratize digitalization in HR

In my last post I made a strong argument and case for a digital first mindset – especially in HR Operations. And I am still standing behind this – but with all transformations, you can and will often get them not 100% correct first time around. And I am seeing and experiencing the same with the digital transformation of HR.

As I wrote, digital first mindset is not only an abstract theme, but you need to experience it in practice to really see the influence, learn the outcome and see how it transforms processes and practices. One way that is often used to have the first hand look and feel experience is Citizen Development or low-code, no code applications. I love low-code, no-code Apps as they are bringing really powerful tools in the hands of many and so can bring quick digital first mindset transformation with them. At the same time, there is a considerable downside to citizen-development that must be looked at and also mitigated – especially in HR. Why are we in HR again so special you might ask? – because of the data we are processing. These data are special and require protection.

Democratize digital HR

Democratizing digital (HR) is something that you have for sure heard over and over again. And another hype you have heard over and over again is “low code, no code”. This is one of the big topics I am sure that many of you are faced with currently. Probably all at different stages. At many of these stages, I am seeing companies getting it not right, but overreaching what it should be used for and can be used for. It is not a one-size-fits-all and not a super-power to solve every problem. In fact, I am seeing it creating lots of (not new) problems in HR to solve for:

  • Data Privacy
  • Data Security
  • Support
  • Updates

One thing is clear, we need to automate and digitze more HR admin processes to drive out costs to reinvest into our function (see Employee Relationship Management). But we also need to be careful around it. The deal with low code, no code Apps is (in the good and in the bad) that anyone can create them and deploy them. There is no automatic governance in place like you have it with bigger technology solutions. You don’t need to have a separate contract, you don’t need a server or open any firewalls or similar. You can just click & play. Just create your idea and get it started. This is powerful and will easily transform your mindset to being more digital first. At the same time though you are opening up to a few concerns that you have to master – best with a reestablishment of governance.

The concerns

Low code, no code Apps in HR will very likely deal with HR data – what else would you do? And unfortunately, HR data is highly sensitive and requires special data privacy and data security protections. Out of the box none of this is in place with low code, no code. Anyone can create such App and feed it with data from your HR system (provided they have access to download data or receive reports from your HR system – but this is usually already a big group). And once the data is in there, it is as save and private as the App is – mostly not at all. 

This though is not everything. Low code, no code Apps are often ideas and deployments by a single person that was curious, had an idea and put it into practice. What happens if this person leaves the company? Or even just switches jobs? – suddenly you have a low code, no code App that is no longer looked after. There is no support in place anymore, no one that can or would do any App updates. If you are lucky, this means that the App will be automatically retired without any data in it. But this is in my experience the most unlikely scenario. More likely that it is forgotten with data – and is somewhere in your network and potentially exposed. For sure though it won’t see any updates anymore and this makes it more and more vulnerable. Worst case though, it is in continued use without anyone looking after it which means that new data is fed to it constantly without security being looked after. This is a nightmare.

The solution: Install strong governance or go for special App-development-tools. 

In my view, there are two ways how to mitigate the risk while making sure that you continue to get the fruits of such tools as well as develop a digital first mindset. One is to install a strong governance, educate everyone with access to HR data and low code, no code Apps around the security and data privacy aspects. In addition, have every App proposal and final App go through a review process to make sure that the idea is viable (and potentially scalable vs. a solution to a none existent problem, or even a solution where a different solution already exists) as well as a review process of the final App to confirm data security and data privacy. In addition, make sure you have clear App owner accountabilities defined which includes the support network for the App as well as a clear process if the owner leaves the company or changes jobs. And last but not least, build a global inventory of all low code, no code Apps and quarterly review ownership, privacy, security and version control. Like this you can also retire what is no longer in use in a save way.  If you install this sufficiently robust, you can have a great low code, no code ecosystem.

The 2nd way to get more control over it is to utilize specific App development environments that already include and apply the data privacy and security standards of your HR environment.  One of those is Workday Extend (which of course only works if you are using Workday). With such integrated platform it is seamless and easy to ensure the right governance is in place and working – and especially data is save and secure as there is no need to extract data from your save environment and within the App, the same security model is applied. Of course, it is not as versatile as other low code, no code applications. It always depends on what you are striving for and how much built in security and governance you need or prefer vs. relying on offline governance.

With any of these you can though make sure that you continue to innovate and build solutions that will increase efficiency and improve experience – at the same time you will continue to build a digital mindset with a focus of digital first. And this is what it’s all about.