Top 9 Use Cases of RPA in HR in 2024: A Comprehensive Guide

Robotic Process Automation (RPA) adoption in Human Resources (HR) departments is accelerating, with 45% of HR leaders planning RPA investments in the next 12-24 months, according to PwC‘s 2020 HR Technology Survey. RPA has the potential to transform HR operations by automating high-volume, repetitive administrative tasks. This allows HR professionals to focus more strategic, value-add initiatives that enhance productivity and the employee experience.

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In this comprehensive guide, we will explore the top RPA use cases in HR for 2024 and beyond.

Overview of RPA in HR

RPA software utilizes bots to mimic human actions and automate repetitive, rules-based processes without disrupting existing systems. For HR workflows, RPA can replicate employee actions such as data entry, information checks, report generation and other manual tasks.

According to Grand View Research, the global RPA market size was valued at USD 1.57 billion in 2021, expanding at a CAGR of 33.6% from 2022 to 2030. RPA adoption is being fuelled by demand for efficient automation across industries.

Key Benefits of RPA for HR

RPA delivers a range of benefits that directly impact HR KPIs:

Increased productivity – Automating repetitive manual work reduces HR workload by 60-70%, allowing staff to complete more high-value tasks.
Improved efficiency – HR workflows are sped up by at least 30% through automation based on UiPath benchmarks.
Higher accuracy – Bots consistently perform processes using predefined business rules, eliminating human error. Data entry accuracy improves to near 100%.
Enhanced compliance – Automated workflows ensure adherence to policies and regulations through built-in validations.
Better employee experience – 95% of candidates rank employee experience as an important factor according to IBM. RPA relieves HR staff to focus on talent engagement.
Greater agility – New HR processes can be rapidly automated without complex IT changes.

RPA Use Cases Across the HR Process Lifecycle

RPA can be deployed to enhance almost all HR workflows spanning:

Hiring
Onboarding
Ongoing employee management
Payroll
Time and attendance
Performance management
Offboarding

Next, we will explore the top 9 use cases of RPA in HR based on automation potential and impact on efficiency.

Top 9 RPA Use Cases in HR for 2024

1. New Hire Onboarding

HR needs to coordinate a multitude of onboarding tasks when an employee joins:

Create user accounts and emails
Assign permissions and access
Send appointment letter
Initiate background verification
Populate payroll system
Conduct induction program
Distribute policy documents
Arrange for IT assets

Manually completing these activities across systems is time-consuming. RPA bots can seamlessly automate the process:

Initiate account creation in Active Directory, Exchange, G-Suite etc. via API integration
Enable system access through role-based permissions
Pull employee, payroll, compliance data from HRIS
Populate information into required systems
Email customized onboarding checklist and documents
Update HRMS with confirmation of completed activities

RPA reduces onboarding time from days to hours while ensuring all steps are accurately completed. New employees can thus be productive immediately.

According to KPMG, RPA improves onboarding efficiency by over 50% and data accuracy by 40%.

2. Recruitment Process Automation

Recruitment requires significant administrative efforts. RPA bots excel at repetitive sourcing, screening and communication activities:

Post open positions across job portals via API integration
Source and collect resumes from ATS, LinkedIn, job sites
Screen applicants and identify qualified candidates based on mandatory skills, experience etc.
Schedule interviews based on recruiter calendars
Send customized rejection/confirmation emails to applicants
Validate credentials and background checks by retrieving information from external sites
Generate and send legal compliance documents like offer letters

By automating these steps, recruiters can focus on building relationships with candidates and strategizing hiring.

According to UI Path, Infosys improved their recruitment productivity by 65% using RPA.

3. Employee Data Management

HR needs to continuously capture, validate and update employee data across multiple systems like:

Personal information
Job details
Compensation and benefits
Tax forms
Compliance documents
Training credentials

RPA bots can seamlessly gather and reconcile employee data from various sources into the HRIS. Bulk updating records is made quick and error-free.

Bots can also generate periodic reports for compliance. Automating data management improves accuracy and provides real-time view of the workforce.

According to Automation Anywhere, Clarivate saved more than 800 man hours per year using RPA for their HR data processes.

4. Employee Lifecycle Management

As employees go through status changes, HR must process a number of updates:

Promotions
Department transfers
Location changes
Leave management
Exits

RPA bots can smoothly handle related workflow steps:

Generate updated letter communicating change
Modify Active Directory account details
Update information in HRIS, payroll, other databases
Modify access permissions
Initiate approval workflows
Send notifications to relevant stakeholders

Automating lifecycle changes improves accuracy, increases compliance and provides better self-service options for employees and managers.

According to KPMG, automating employee status changes with RPA drives efficiency gains of 40-60%.

5. Payroll Processing

Payroll involves extensive amounts of data entry for new hires, status changes and monthly payments. RPA bots can seamlessly perform calculations and prepares pay slips accurately by:

Retrieving attendance, overtime, reimbursement data from HRMS
Calculating salaries, deductions, allowances as per policies
Checking for exceptions or variances
Generating monthly payroll for approval
Updating payroll software via API integration
Emailing payslips to employees

By reducing repetitive manual work, RPA enables payroll processing with 100% accuracy and on-time. Compliance risks are also minimized.

As per EY analysis, over 70% of payroll processes can be automated using RPA.

6. Travel and Expense Processing

Processing employee expense reports involves tedious data entry and verification steps:

Download and input expense receipts
Extract travel and purchase details
Map expenditures to general ledger codes
Validate expenses against policies
Submit reports for manager approval
Reimburse approved expenses

RPA bots can optimize the entire workflow:

Ingest receipts and extract key details using OCR
Log expenses based on receipt data
Compare expenditures with policy rules
Route for approval via workflow engine
Post approved amounts to ERP system
Transfer reimbursements to employee bank accounts

Automating T&E leads to faster processing, fewer errors and improved compliance. Employees also receive quicker reimbursements.

As per KPMG, over 90% of data extraction from finance documents can be automated by RPA.

7. Employee Offboarding

When an employee leaves, HR must take care of multiple aspects:

Send separation letter with transition details
Conduct exit interviews
Revoke access to all building, IT systems
Collect company assets
Settle final payments
Deactivate payroll
File taxes

RPA enables efficient and error-free offboarding by:

Generating termination letter from HRMS data
Scheduling calendar invites for exit interview
Disabling access badges, system logins per policy
Emailing managers about asset return
Processing full & final settlement
Removing from payroll
Completing regulatory documents and filings

According to Willis Towers Watson, automating offboarding with RPA improves process efficiency by over 60%.

8. Employee Self-Service Portal

HR portals allow employees to access payroll details, apply for leave and other needs. RPA can enhance portal capabilities:

Chatbot assistance – Bots can handle employee queries and provide quick resolutions for common issues. Natural Language Processing enables conversational interactions.
Information updates – Employees can report life events like marriage, new child etc. bots can instantly update records across HRIS, payroll etc.
Leave/expense applications – Bots can generate applications as per policies, route for approvals and notify upon completion.
Report generation – Employees can easily request for income statements, experience letters etc. which bots can instantly produce and deliver over email.

Automating self-service reduces HR workload by over 70% as per KPMG findings. User satisfaction also sees significant improvement.

9. People Analytics

HR metrics and reports are critical for data-driven decisions. RPA can compile data from disparate systems to generate insights using templates for:

Turnover analysis
Headcount tracking
Compensation benchmarking
Performance trends
Training needs analysis
Diversity stats
Recruitment pipeline

Automated reporting and analytics reduces manual reporting efforts by over 80% as per Virtual Operations. Strategic decision making is also faster with readily available people insights.

Key Implementation Factors for RPA Success in HR

Realizing maximum value from RPA requires considering certain critical factors:

Selecting the right processes – Prioritize high volume, repetitive tasks for automation based on impact on efficiency and compliance. Start with non-customer facing processes.
Integration with HR systems – RPA should work seamlessly across your technology landscape including HRIS, payroll, ATS etc. via APIs.
Involving HR early on – HR should be integral to determining use cases, change management and training users to leverage RPA.
Partnering with IT – IT plays a key role in planning integration, infrastructure, support and monitoring required for scalable RPA.
Starting small – Take an iterative approach to automation. Build credibility with quick 3-6 month RPA pilots before expanding.
Secure infrastructure – Robust access controls, encryption and activity monitoring is vital for secure, audited RPA operations.

The Future of RPA for HR is Here

RPA adoption in HR is accelerating given the immense potential for productivity gains, data-driven insights and improved experiences. For forward-thinking HR leaders, RPA is a strategic investment that empowers employees and transforms operations.

With the responsibility for managing complex workflows at immense scale, RPA enables HR to focus on maximizing the value of their company‘s greatest asset – its people. This guide provided a comprehensive overview of the top RPA use cases that can have the biggest business impact for HR in 2024 and beyond.