Digital transformation drives UAE's HR sector as function becomes more strategic: KPMG Lower Gulf report

62% of UAE HR executives expect an increase in their technology budgets in the next two years

Digital transformation drives UAE's HR sector as function becomes more strategic: KPMG Lower Gulf report

Dubai: It appears that the role of the HR function is becoming more critical in the UAE. According to KPMG Lower Gulf’s The future of HR 2019 report, almost 80 per cent of UAE-based HR executives believe that the function is a key value driver for senior leadership, as it contributes to performance management, workforce reskilling and business transformation. This year’s report focuses on understanding how the convergence of policy, technology and innovation in the UAE is driving digital transformation.

A majority of executives interviewed (90 per cent) stated that their enterprises have invested in one or more digital solutions over the past two years, with 62 per cent expecting an increase in technology budgets by 2021. Implementation of digitally-driven HR innovations is led by automation of payroll systems and/or vendors (62 per cent), adoption of Human Capital Management (HCM) software (55 per cent) and use of mobile HR applications (40 per cent).

Marketa Simkova, Head of People and Change, KPMG Lower Gulf, said: “The HR function appears to have evolved to occupy a far more strategic role for organizations in the UAE, and senior leadership teams are now looking at new ways to drive business and operational performance by investing in digital tools and solutions, including Artificial Intelligence (AI) and machine learning. As the UAE continues to invest in building a knowledge-based economy, a combination of a skilled workforce and suitable corporate culture will be fundamental to enable successful transformation.”

Since implementation of AI is still in its early stages, the survey suggests that this may be the ideal time for HR not to simply manage disruption but to also proactively shape the workforce and instill confidence in the organization. In fact, nine out of ten (88 per cent) HR leaders in the UAE and 83 per cent globally feel that HR can bring tremendous value through analytics, enabled by technologies such as AI.

The survey also identifies capabilities vital to the successful development of related functions in this era of technological disruption. These include a modern problem solving framework that promotes collaboration, diversity of thought, visual expression and results in a shared vision and sense of ownership; leveraging data analytics to accurately predict business needs and individuals’ behavior and enable efficient decision making; and leveraging innovation to realize unique capabilities and potentially rethink how business is done.


About the survey:
In the second half of 2018, 1,201 executives from 52 countries participated in KPMG’s The future of HR 2019 survey. Results from the UAE captured responses from 42 individuals, who represented a variety of organizations ranging in size and representing various sectors.

About KPMG International
KPMG is a global network of professional services firms providing Audit, Tax and Advisory services. We operate in 153 countries and territories and have 207,000 people working in member firms around the world. The independent member firms of the KPMG network are affiliated with KPMG International Cooperative ("KPMG International"), a Swiss entity. Each KPMG firm is a legally distinct and separate entity and describes itself as such.

For media enquiries, please contact:
Mara Carpencu
+971 4 506 5563
Siddhi Sainani
+971 4 506 5582 

© Press Release 2019

Disclaimer: The contents of this press release was provided from an external third party provider. This website is not responsible for, and does not control, such external content. This content is provided on an “as is” and “as available” basis and has not been edited in any way. Neither this website nor our affiliates guarantee the accuracy of or endorse the views or opinions expressed in this press release.

The press release is provided for informational purposes only. The content does not provide tax, legal or investment advice or opinion regarding the suitability, value or profitability of any particular security, portfolio or investment strategy. Neither this website nor our affiliates shall be liable for any errors or inaccuracies in the content, or for any actions taken by you in reliance thereon. You expressly agree that your use of the information within this article is at your sole risk.

To the fullest extent permitted by applicable law, this website, its parent company, its subsidiaries, its affiliates and the respective shareholders, directors, officers, employees, agents, advertisers, content providers and licensors will not be liable (jointly or severally) to you for any direct, indirect, consequential, special, incidental, punitive or exemplary damages, including without limitation, lost profits, lost savings and lost revenues, whether in negligence, tort, contract or any other theory of liability, even if the parties have been advised of the possibility or could have foreseen any such damages.

More From Press Releases