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Blockchain Poised To Disrupt Human Resources And Staffing Industry

December 18, 2017

Blockchain technology is making it even more critical for human resource professionals and staffing firms to find top-tier talent. With blockchain adoption on the rise, it is clear that many industries are starting to rethink their business models or create entirely new ones altogether. With entire revenue streams at risk, blockchain is being taken very seriously and talent acquisition should be too.

Impact on hiring

There is a lot of room for blockchain development within a wide scope of industries. Thus, skilled professionals with a background or understanding of blockchain models are in high-demand. Right now organizations are hiring these types of individuals so that they can establish a strong foundation and develop their market. These organizations are bringing in legal and technical support on various levels to develop and establish new operations that lay solid foundations for future market developments. Besides an increase in demand for talent in this specialty there will also be a change in how HR functions will be remodeled. Here are some of the key ways that the application of blockchain technology will transform HR:

Resume validation – A candidates skill-set, previous employment and education would be verified by different nodes in the blockchain system upon first review of resume. This will mitigate the time and costs associated with a bad hire whose skills did not reflect what was claimed on their resume.

Background check validation – Nodes will reduce time needed to complete the background verification process as the system will already be connected to the required verification agencies with essentially no risk of false information.

There are a few business models that are already set up with blockchain-based platforms specifically addressing human resources and staffing. There are currently two distinct categories:

Freelance Contracts is best thought of as a platform that is linking freelancers together. This blockchain model allows for individuals to create and join contracts that have very specific and well-defined goals. Each contract acts like a business model and individuals join contracts based on the skills needed to achieve the purpose. Each freelancer could be contributing to numerous contracts simultaneously and most would never interact with their counterparts in a formal business setting. Payment is based on the terms defined within the contract and transparent to the platform users.

Recruitment Sourcing – has established a network that will allow entities to recommend or partake in the recruitment of talent for open employment contracts. Each contract has an established bounty that is only disbursed to the chain or network that led to the successful hiring of a candidate. This will make the traditional practice of posting openings on multiple job boards (like Monster, Indeed, and CareerBuilder) redundant, slow, and cumbersome for both employers and job seekers. Instead, this decentralized network could reach a much larger and diverse population and decrease the time it takes for positions to be filled.

“Recruitment Sourcing” forms of blockchain-based platforms offers the largest opening for the Staffing Industry to currently capitalize on. Many staffing companies have huge databases of job seeking candidates and because these source pools are so diverse, each company has the potential to fill a large percentage of contracts without the need for long chains of recommendations. This will breed fierce competition between companies, thus creating the need to be hyper-accurate with “best fit” recommendations so that they can increase the likelihood of providing the hired candidate and maximizing their share of the bounty. A subsequent result will be an increase in the demand from job seekers to have their resumes included in the staffing company database with the largest number of completed contracts. Job seekers will be able to audit a company’s complete blockchain record and make decisions on which organization to utilize, if any, based on criteria such as types of positions filled, industry specialization, contracted companies, the average length of time a contract is open, and many others.

Outside of blockchain, how can Comrise help?

As mentioned, a lot of industries are poised to adopt blockchain, and there is an ever-increasing urgency to acquire specialized talent capable of leading companies through the impending transitions.

We expect to see organizations that are facing disruption start to sequester high-value individuals so that as the demand continues to grow, the cost of acquiring similar professionals will skyrocket for the competition. Companies slow to hire are at a greater risk of being left behind, as they won’t be able to make the leap from current industry standards to blockchain-based industry standards.

Therefore, staffing firms like Comrise that have a large pipeline of specialized professionals will become invaluable to locating top-tier blockchain talent.

Additionally, Comrise utilizes RightFit software to help pinpoint talent based on intuitive keyword searching. Comrise can help any industry fill highly technical positions based on experience, previous technologies utilized, and even blockchain experience itself. Comrise can help strategize and focus your recruiting to maximize a staffing budget and gain a strong market position in your industry both in the United States and Greater China.

Final thought

Despite what your views of blockchain are, there are many industries that will be disrupted by blockchain technology. The future of these industries will rely heavily on preparation for this change and more specifically on their commitment to talent acquisition.

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