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Despite rising investments in HR technology, most organizations still struggle to implement AI-enhanced and fully integrated systems that drive business strategy and innovation, according to the newly released research report, HR.com’s State of Today’s HR Technology and Integrations 2025.
In fact, only 10% of HR professionals rate their organization’s HR technology as being at an “expert” level of maturity. There are various factors that impede success. These include:
Lack of alignment between HR systems and broader business goals
Lack of system integrations
Inadequate budgets
Difficulty accessing accurate, actionable data
Despite these challenges, 60% of organizations have increased HR tech investments over the past two years, with continued growth anticipated.
Key priorities for HR technology moving forward:
Expanding employee self-service (54%)
Improving user experience (50%)
Integrating AI capabilities (39%)
Enhancing data quality (38%)
AI is expected to play a major role in the near future, with organizations aiming to use it to:
Boost HR productivity (77%)
Automate repetitive tasks (71%)
Improve workforce analytics (57%)
“HR leaders are investing in technology, but without strategic alignment and full integration, these tools fall short of their potential,” said Debbie McGrath, CEO and Chief Instigator at HR.com. “Fragmented systems and siloed data continue to be major roadblocks.”
The recording of the research webcast presentation, How Technologies Give HR More Superpowers
