Table of Contents
Introduction
1. Could Blockchain Resolve the Challenges in the HR Industry?
2. The Three Best HR Blockchain Systems
2.1. IBM Blockchain
2.2. Kaleido
2.3. Chainstack
Final Words

Introduction

The rapid technological development of the way HR professionals and organizations work, manage talent, and handle their employees’ sensitive data will undergo a profound transformation with blockchain technology. In the 21st century, blockchain technology has emerged as a groundbreaking technology that can reshape the HR process.

Earlier, it was witnessed that the HR department grappled with issues of securing data safely, verifying it, and managing large amounts of data sets. These data sets usually contained information regarding employee recruitment, onboarding, and payroll management, where HR professionals were entrusted with these critical tasks for maintaining the organization’s integrity. However, this system often falls short of the security, transparency, and efficiency that are required to maintain a modern workplace.

In today’s exclusive HR Tech Cube article, we will understand the importance of blockchain technology in the HR industry and how it can help HR professionals.

1. Could Blockchain Resolve the Challenges in the HR Industry?

With the introduction of blockchain technology in the HR industry, it has the potential to secure and efficiently manage employees’ data. For instance, the blockchain system used by HR professionals can be used to verify the identity of job candidates, track employees’ performance, and store employees’ records safely. Blockchain can also help streamline the hiring process by automating numerous tasks, giving HR professionals the bandwidth to focus on developing more positive strategic tasks, such as talent development and employee engagement.

One of the most significant advantages of blockchain technology is its ability to provide unparalleled security, as it operates on sophisticated algorithms that authorize individuals to access sensitive information. The data stored on the blockchain makes it impossible for cybercriminals to alter or hack employees’ information and safeguards a company’s high-volume transactions on a global scale.

Smart contracts can be implemented to automate the financial side of any organization, just as they can automate employee payments. When smart contracts are combined with blockchain technology, they can be programmed together to create certain standards in an organization. For instance, if an employee is working overtime, the blockchain gets triggered and alerts the HR professionals about the situation; it further alerts the smart contract technology to release the payment according to the hours the employee has worked.

2. The Three Best HR Blockchain Systems

Let’s understand the top four best HR blockchain applications that HR professionals can use to make more confident hiring decisions, and save time and resources in background verification.

Let’s understand the top four best HR blockchain applications that HR professionals can use to make more confident hiring decisions and save time and resources on background verification.

2.1. IBM Blockchain

IBM’s blockchain service runs through Linux’s Hyperledger Fabric and works as an open-source platform where HR professionals can develop a wide range of applications and HR functions. The scalability of this application is backed by its “pluggable architecture” and its “permission” network, which helps HR professionals run data through a network of trusted people in organizations.

2.2. Kaleido

This is one of the most feature-rich providers of blockchain applications in the HR industry, as it helps organizations design HR applications that will boost internal security and business efficiency. The main attraction of this software is its “plug and play” setup that helps in creating document exchanges, smart contract hubs, and token factories in a few easy steps.

2.3. Chainstack

Chainstack is considered one of the most scalable blockchain products that HR professionals can use for a simpler user experience, and it ignites to process of the most intensive requests. HR professionals can run blockchain apps and processes to set up smart contracts and tokenize employee details without the fear of cyberattacks.

Final Words

With the constant change in the HR landscape, the emergence of technologies such as artificial intelligence, machine learning, and blockchain technology has the potential to change the traditional workplace. Blockchain technology’s capability in the human resources industry is not limited to assisting human resource professionals with background checks of applicants and employees; it has the potential to shield all sensitive information related to them and the business itself.
In the near future, businesses that adopt this technology will continue to grow, as blockchain will open new doors for innovative applications that offer more security, efficiency, and transparency, aiding HR professionals to manage a workplace better in the digital world.

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