Blockchain technology is mostly associated with financial technology and cryptocurrencies like bitcoin. However, it is capable of much more. It is about to revolutionise the workplace and the mode of doing business.
What is blockchain technology
Blockchain, in layman terms, is simply a system of record keeping. It uses a decentralised network of computers to verify and automate the flow of information. It is reliable in the sense that it stores data without the regular middleman requirement. Banks have found it very useful for data keeping, and it is why HR professionals also find it very invaluable.
The technology in its full form can create more accurate and effective approaches for Human Resources. It can help in areas like hiring, taxes and even payroll. It is perfectly capable of rending professional networking sites like LinkedIn useless. This is why, instead of an applicant relying on a formal CV or LinkedIn to store all their work and academic history, blockchain will simply store all of it in its system.
Companies can now do recruitment without the lengthy verification process. They will no longer need to call references to confirm employment history. They will simply verify using a public blockchain. There is a chance of even being able to store employee performances and sanctions.
The fact that this technology can document our failures and success can be a blessing and a curse. It would mean that you are unable to go back and delete some things from your resumes. However, it’s great for employers because they get to see hidden things. It will actually mean that more people will embrace their failures instead of leaving it out. Employers can now make decisions based on a well-rounded, complete history of candidates.
Speaking of taxes
Blockchain will make taxes more accurate and automated. The working of taxes can be very burdensome for both workers and employers. Some employers are not even aware of how much tax they should be paying or how much they should be contributing to pensions. For freelancers and StartUps too, it will be great to have a system that can help you calculate and determine tax accurately. These are a few advantages the technology presents.
It is an accurate accounting system that can improve lives. Blockchain can also help track income and purchases and reset tax rates accurately and in real-time based on your income. In addition to this, it eliminates all the trouble of paper trails and email record keeping.
Blockchain technology lets companies send and receive funds securely and instantly from all over the world while eliminating tedious bank processes. This way, you can also save a lot on outrageous bank charges. The technology is definitely a cheaper and more effective way to get around. However, it requires a little more improvement as regards making this technology more accessible.