Revolution in selection processes: BLOCKCHAIN

Surely in recent years you have heard of cryptocurrency. The concept of bitcoin may sound a lot familiar to you, which is nothing more than one of the best-known virtual currencies in existence. It is possible that you even have something called blockchain in your head and that we usually associate it with the latter two. That is, we only relate it to the financial world. In fact, if we tell you that it is applicable to Human Resources, you may be somewhat out of the game. But today we are going to explain everything to you so that you can join this revolution.

What is Blockchain?

Blockchain (also known as a blockchain), is a shared and unalterable ledger that facilitates the process of recording transactions and tracking assets within a business network.

How does blockchain work?

We must know the concepts that are part of the so-called blockchain to understand the idea and to know if it is possible to apply it to the world of Human Resources.

There are four elements that are responsible for ensuring communications. They are the nodes, the standard protocol, the peer-to-peer (P2P) network and the decentralized system. Thanks to these four elements, information travels from one point to another without being able to be modified or eliminated.

The messages are transmitted through blockchains (blockchain) and are called tokens. This information can be anything: a data, a currency, or a service. These are grouped into blocks and are transferred from time to time and in a linked manner, arranged chronologically. A password system makes it impossible to make any changes to the blocks. Therefore, the information (or whatever was transferred) remains unchanged.

How Will Blockchain Affect Human Resources?

Acquisition of new talent:

One of the great opportunities offered by block technology is to identify potential candidates. The Blockchain will make it possible to identify the most suitable potential candidates for each selection process. It will take into account specific profiles and qualities of each person.

Certificate validation:

In a single click, we can know the veracity of fingerprints, qualifications, experience and even recommendations, with the consequent saving of resources and time for HR.

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Smart Contracts:

Do you know Smart Contracts? These are automated contracts that, through a computer code, make it possible to verify and enforce a contract automatically, providing legal validity. People do not need to intervene time to verify or execute this type of contract, although later it will have to be legal specialists (oracles) who are responsible for applying this technology to this area.

Worker lifecycle monitoring:

When someone begins their professional career within the company, it is normal for them to acquire certain knowledge along the way. The development of certain tasks can trigger further training. Therefore, in addition to taking into account previous information, it is necessary to see how that person has been evolving. Thanks to Blockchain, this documentation process can be simplified.

Payment or compensation of remuneration:

Although payroll is now payable by the Human Resources department, it is expected that in the future it will be possible to delegate this function to the Blockchain. What's more, there are already companies that use this form of payroll income.

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Although it is still early, experts agree that blockchain will launch a revolution at all levels, including business and those linked to Human Resources. And you, do you already see yourself applying this emerging technology in your company?

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