Is the Traditional HR Operations Department Obsolete?

15 Aug 2025 by Reimund Schlosser

For decades, HR Operations has been the operational backbone of the Human Resources function, managing the critical administrative processes of the employee lifecycle. However, in an era of sophisticated HR technology and increasing automation, a fundamental question arises: Is the traditional HR Operations department still relevant?

The initial assumption may be a simple narrative of technology replacing human roles. The reality, however, is a strategic evolution. The shift away from manual administration began long before the current AI boom, driven by a need for greater efficiency, accuracy, and an improved employee experience.

From Manual Processing to System-Driven Workflows

Many core HR responsibilities that were once manual and time-intensive are now prime candidates for automation, shifting the focus from task execution to system architecture.

• Documentation & Data Changes: Consider employment contract generation. Historically, this involved an administrator manually populating a Word template. Today, a recruiter inputs approved offer details into the HRIS once. The system then instantly generates a legally-vetted, brand-compliant contract and sends it for e-signature. This same principle applies to processing promotions, where a manager-initiated request is routed through a pre-defined approval workflow—from an HR Business Partner to Finance—with full transparency. Similarly, leave of absence management is no longer a complex manual calculation; the system manages eligibility and tracking based on configured legal and company policies.
• Employee Self-Service: The most significant shift is empowering employees and managers. Instead of emailing HR for a standard proof of employment letter, an employee can now generate it instantly from a self-service portal. This model puts the business in control of its own data and processes, guided by workflows built and maintained by HR.

Redefining the Employee Experience

This technological shift is not just about internal efficiency; it's about shaping the employee's perception of the company from their very first interaction.

Onboarding is a perfect example. Many companies direct new hires to an HR portal to complete their documentation before their start date. In theory, this is efficient. In practice, these systems are often unintuitive and difficult to navigate, causing frustration and requiring manual HR intervention—defeating the purpose of automation.

The standard for success must be higher. The goal should be a consumer-grade user experience. As I often say:

"New Hire Onboarding in our systems needs to be as easy as creating an Instagram account."

This philosophy—focusing on intuitive, user-centric design—is the key to unlocking the true potential of HR technology. It ensures a seamless experience that sets a positive tone for the entire employment relationship.

The Next Frontier: Beyond Strategic Evolution

Given this level of automation, it's clear the function must evolve. But simply relabeling administrators as "analysts" or "process owners" misses the point. The most forward-thinking organisations are not just evolving their HR Operations; they are completely reinventing them. The future lies in moving beyond support and into prediction and productisation.

The next-generation HR Operations function will be defined by two core principles:

1. HR as a Product Management Team:

Instead of viewing its role as managing services or processes, the future HR Ops team will function like a software product team.

• Processes as Products: Onboarding, performance management, and compensation cycles are no longer just processes to be administered; they are "products" to be owned, developed, and iterated upon.
• Agile Methodology: This team won't work in annual cycles. They will operate in agile sprints, using user stories, A/B testing, and direct employee feedback to constantly improve their "products." Their goal is not just process compliance, but user adoption and satisfaction.
• The End of the Portal: This model shatters the reliance on a single, monolithic HR system. Instead of forcing employees into a portal they rarely visit, HR services will be delivered directly into the flow of work—approving leave via a Slack command, completing a performance check-in via a Microsoft Teams notification, or receiving a personalised benefits nudge via email. HR Ops becomes the master of integration and user experience, not just a single system.

2. The Shift from Reactive to Predictive Operations:

Automation handles the present, but true value comes from predicting the future. The ultimate evolution of HR Ops is to become the organisation's predictive engine.

• Proactive Interventions: Instead of merely reporting on last month's attrition, the system will use AI to analyse leading indicators—manager one-on-one frequency, PTO patterns, internal mobility applications—to flag flight risks before they resign.
• Organisational Health Monitoring: This function can provide real-time insights into team health, identifying potential burnout hotspots by analysing project workloads and communication metadata, allowing for interventions before productivity dips.
• Resource Forecasting: By modelling data from sales pipelines and product roadmaps, HR Ops can predict future hiring needs with far greater accuracy, transforming recruitment from a reactive necessity to a strategic, forward-planned advantage.

In this vision, the traditional, administrative-focused HR Operations department is not just obsolete; its foundational thinking is irrelevant. The future is not about serving the business—it's about providing the intelligence and the seamlessly integrated product experiences that will shape its success.

I'd love to hear your thoughts on the evolution of HR Operations. If you have any questions, comments, or experiences to share, please don't hesitate to get in touch. You can reach me via my contact page or by sending an email directly to hey@reimundschlosser.com.