As per the “State of the HR Landscape in 2025” survey by Avature, 74% of HR teams have either already integrated AI-powered tools in their operations or are working towards making it a reality. Combined with 60% of HR professionals considering AI the most powerful asset for their strategies, it is hard to overstate the importance that companies have started to give to technology in their operations.
When talking about the advantages provided by the latest technological tools for HR, there is no shortage of benefits that a company can reap. From increased efficiency to a rise in innovations, there is no shortage of reasons why companies in India have been so open to adopting HR tools.
But is the fast adoption of technology in HR operations simply about the benefits it provides to the company, or is it a deeper reflection of values intrinsic to companies in India? What does it say about the employers in India who have been eager to reap the benefits of the latest advancements in HR Tech?
Rise of HR technology in India
According to the ETHRWorld Tech Transformations 2025 report, 69% of companies in India are using automation tools for their HR operations. 26% of companies have taken it a step further and have included artificial intelligence (AI) in their operations.
With 70% of companies investing in AI-based HR tools, the message can not be clearer. HR tools are not going anywhere and have become an unalienable part of day-to-day HR operations.
A major contributor to the popularity of the ever-evolving HR tools is the sheer advantages it provide in terms of efficiency, especially when it comes to administrative tasks. Furthermore, data analysis has helped in garnering crucial insights that have helped increase employee engagement and talent retention.
The increasing use of HR technology in Indian companies says a lot about their drive for efficiency, but it also goes beyond that. In more ways than one, adopting the latest tools highlights the values that these companies stand for.
Ready for innovation
Adopting HR technology by a company is often a sign of open opportunities for innovative ideas. A company’s ability to utilise the latest technology to cater to its HR needs indicates its willingness to adopt more efficient ideas and step away from established methods for the sake of progress.
Inculcating HR technology highlights a company’s attitude towards innovation, including:
- Their willingness to listen and adapt to new ideas, especially if it increases efficiency.
- Their drive to remain on top of the latest trends to maintain a competitive advantage.
- Their foresight by investing in tools that might not show profits right away.
Like any piece of technology, HR tools require a thorough understanding of their purpose and how they approach different problems. Their adoption into a company highlights a willingness to learn and grow for the betterment of the whole team.
A focus on employees
Apart from efficiency, HR tools prioritise accessibility for employees across the company. With easy-to-use, employee-centric HR tools, companies display their desire to put their employees first by simplifying HR operations as much as possible.
With the help of the latest HR tools, employees can:
- View and access their compensation details.
- Access their attendance records and make appropriate requests.
- Submitting documents and information from the ease of their own devices.
The usage of HR tools that keep employees allows companies to show the value they put in their employees. The latest technology in the field is not always about efficiency but also tries to make everyday operations easier for employees and HR professionals.
Using data for strategic benefits
Data analytics in HR is a vast discussion on its own. Using past and present data, HR professionals can now identify unforeseen trends and even predict hiring needs and possible resignations.
With 63% of companies investing in advanced analytics, it is clear that companies are set on using their data to better their workforce. Data analytics allows companies to provide a numerically backed structure to their plans. This provides clarity to the company’s plans and gives employees and management assurance about their feasibility.
With data analytics in hand, companies reflect their drive for growth. They highlight the company’s emphasis on accuracy, innovation, future planning, and optimization. Methods driven by data analytics emphasize that the company’s goals are based on real-life facts, which makes them seem that much more achievable.