DIGITATE, a software unit of Tata Consultancy Services (TCS) and pioneer in IT Automation and Artificial Intelligence (AI), have announced their Employee Engagement study examining how onboarding experiences can affect employee retention, company recommendations, and potential revenue gains.
Digitate surveyed professionals who work for corporations with 500+ employees across multiple disciplines, including professional services, financial services and insurance, manufacturing, and healthcare. Key findings included:
Onboarding experiences impact retention:
- Employees who have a negative new hire onboarding experiences are twice as likely to look for new opportunities in the near future.
Most new hires are dissatisfied with the onboarding process:
- After the new hire onboarding experience, one in five new hirees is unlikely to recommend the employer to a friend or family member.
- One in five is confused about how to proceed during the employee onboard process.
Misalignment between HR and IT departments:
- Half of the study participants say IT resolution is too slow and 40 percent feel getting a response to an HR questions takes too long.
Employees are embracing automation:
- Three out of five (59%) employees think automation may benefit their company.
“Given enterprises invest significant resources in HR technology software and typically spend an upwards of one-third of an employee’s first-year salary to retain the best talent, our survey shows enterprises are under-performing in employee onboarding and not maximizing returns from their investments,” said Victor Thu, head of product marketing at Digitate. “Enterprises have an opportunity to improve their new hire onboarding processes and deliver tangible value by using AI and automation.”
The traditional process of setting up a new employee, in which HR initiates a series of tickets or emails, can be inefficient for all stakeholders. Digitate’s AI-enabled application, ignio, helps organisations run IT infrastructures far more efficiently, improve customer experiences and increase the agility and stability of IT operations.
With ignio, organisations can automate portions of their IT provisioning work, providing IT staff with the opportunity to focus on more challenging and strategic projects. In addition, ignio’s understanding of the business environment provides organizations with better insights into its policies and guidelines in the areas of data management. Overall, ignio™ eliminates previous bottlenecks and red tape typically associated when onboarding new hires, leading to an increase in productivity and an overall increase in employee satisfaction.
According to Dave Schubmehl, research director for Cognitive/AI Systems at IDC, “Cognitive/artificial intelligence systems are a class of technologies that have emerged to facilitate the discovery, use, and collaboration of information in analysis and decision making. By automating IT operations with AI-based capabilities, tasks that had previously taken hundreds and thousands of operations hours have been reduced to five to 10 minutes.”
While CIOs are typically associated with ‘back office’ responsibilities, the time is ripe for CIOs to take advantage of front-office functions by addressing employee onboarding. AI helps businesses create a sustainable competitive advantage by customizing employee experiences, boosting employee satisfaction and driving top-line revenue.