Technology and Management Trends For Emerging HR Leaders 2015
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1 Technology and Management Trends For Emerging HR Leaders 2015
2 The Human Resources landscape is changing at a rapid pace. The traditional HR role has evolved from that of a business function to that of a business integrator and partner, with more responsibilities and stake in the overall growth of the organization. Stagnant and outdated employee management processes are no longer a core focus of the HR role. Today, in the face of a rapidly changing and complex business environment, HR leaders are faced with growing opportunities to improve efficiencies and create modern HR management programs. Here, we outline the trends in technology and management that impact the role of HR leaders today. The adaptation of the HR role is fueled by the emergence of these trends and the impact that they will have on the future of organizational growth.
3 What s Inside Introduction A Shifting Workforce Culture & Engagement Leadership Building Learning & Development HR Automation Technology Platforms
4 The makeup of the workforce has changed. As Baby Boomers look to retirement in the coming years, a new, younger workforce prepares to enter the market. As Millennials and Gen Z employees flood the workforce, organizations will have to shift their HR practices to accommodate their different values and attitudes. Also contributing to the evolution of the workforce is the availability and ease of access to data. Employees are armed with more information about companies thanks to the pervasion of social media sites like LinkedIn and Glassdoor. Information about a company s workplace environment is available at their fingertips. This has given employees more power when searching for job opportunities, making them more like customers than subordinates. HR leaders will have to use innovative solutions to engage with employees and recruit top talent for sustainable leadership and growth. 1
5 Trending in 2015 for HR leaders are the increased emphases on the importance of creating a company culture and engaging employees, a demand to create leadership programs at all levels for sustainable growth, and redesigning learning and development programs for ongoing education. All of this while utilizing more advanced HR automation technology to streamline processes, improve efficiencies, and position HR leaders as business partners driven by the delivery of innovative solutions. The new HR leader is a critical asset to the overall growth and success of the business. Whether a CHRO, HR Manager, Director of HR, or Chief People Officer, the role of the HR professional will shift to encompass an integrated HR leader driven by the delivery of innovative, value-added solutions. The increasing complexities of the workforce require a new HR playbook. 2
6 A Shifting Workforce
7 More than half of the workforce today consists of Millennials. These Generation Y ers, born between the early 1980 s and roughly 2000, are moving into managerial positions as Baby Boomers head for retirement. According to the 2015 Deloitte Global Human Capital Trends Report, 27% of Millennials are currently in a managerial position. That number is expected to increase to 47% in the next ten years. This demographic shift represents a change in the workplace culture. Millennials have different values and opinions than their older counterparts. They seek a greater purpose in their work and they value efficiencies and tools that allow them to perform their job better. Another demographic consideration that becomes relevant in 2015 is the entrance of Generation Z ers to the workforce. This generation represents people born between 1995 and The oldest of this young generation will be college seniors this year, preparing to start their careers in companies just like yours. Out with the old, in with the new. The generational shift in the workforce presents a challenge to HR leaders who are ill prepared to manage the beliefs, values, and motivators of success of what will be their new hires. This shift requires a modern approach to the processes and strategies that are being used by traditional HR professionals Deloitte Global Human Capital Trends Report 4
8 Culture and Engagement
9 As the next generation of employees move into the workforce, culture and engagement become higher priorities for HR leaders. In the same study by Deloitte, the emerging trends for HR leaders were explored. At the top of the list was the need to create a company culture of engagement with employees. People can easily access information right at their fingertips thanks to the prevalence of social media and other web tools. This has blurred the line between the traditional work-life balance. Employees can be tapped into work any time of day. This creates an opportunity that HR leaders need to capitalize on when trying to engage with current employees, and when looking to recruit top talent and skills in future employees. HR leaders must demonstrate an active social media presence within the company in order to remain relevant. As the younger generation of employees seek career opportunities, they will look at companies that are active online and demonstrate positive engagement. 6
10 HR leaders face challenges of employee retention as the workforce becomes more competitive. It is estimated that 86% of employees will search for a new opportunity while they are employed at their current job. The only way to conquer this challenge is to create a company culture of engagement to encourage employee retention and loyalty. Employees that are actively engaged within the company are more likely to stay, and have higher performance and productivity ratings. According to the 12th Annual U.S. Employee Benefits Trend Study from MetLife, employees that are engaged are 26% more productive. They are also increasingly vested in the growth of the company, in addition to their personal growth. HR leaders that recognize the need and importance of creating a culture of engagement now will create a sustainable workforce for the future MetLife 12th Annual U.S. Employee Benefits Trend Study 7
11 Leadership Building
12 The increasing introduction of data-driven technology tools enable HR leaders to help close the leadership development gap. Leadership at all levels is a perpetual issue, year after year, across companies of all sizes. There is a demand for investment in leadership development programs, especially as Millennials line up to take more senior level positions in the coming decade. The gap lies in the plan for succession of senior level leaders and lack of consistent spending to develop leadership talent for future leaders. An investment in HR automation technology can help close this gap. HR leaders use advanced technology to assess leadership qualities over time and to develop strategic plans for leadership succession. In concert with C-level leaders, HR leaders must work to establish processes that will enable smooth leadership transitions now and in the future. 9
13 Learning and Development
14 Leadership succession is a strategic plan built over time, and with the help of programs in place to encourage the learning and development of employees. HR leaders are facing an increasing skills gap: there are more potential candidates flooding the market, but fewer with a mature skillset. This isn t to say that there aren t highly qualified, motivated candidates coming out of college. The argument is that the business environment is changing at a more rapid pace than college curriculums can keep up with. Technology from last year or the year before might be old and outdated. Processes and principles seem old-fashioned under the technology lens. The business environment is more elastic, and there are more meshed job opportunities for Millennials than ever before. HR leaders are facing an increasing skills gap: there are more potential candidates flooding the market, but fewer with a mature skillset. That is the emerging opportunity and responsibility of modern HR leaders today. As more Millennials and Gen Z ers begin to enter the workforce, HR leaders must develop modern programs for learning and development. HR leaders must redefine the corporate training department and adapt to a more modern process using digital learning tools and technology platforms. 10
15 HR Automation Technology Platforms
16 Today, almost every aspect of every business can be made more efficient with advanced technology platforms. Human Resources is no exception. The evolution of HR management has witnessed a giant transformation in the core function of the HR leader s role. HR professionals were once responsible for payroll and benefits administration, merely a function of the business operations. Today, HR leaders serve as business partners and integrators, delivering innovative solutions that directly impact the success of the business. HR leaders of forward-thinking businesses are increasingly investing in HR automation technology software as a key component in the business growth plan for the future. Today, HR leaders serve as business partners and integrators, delivering innovative solutions that directly impact the success of the business. Modern HR leaders build a talented, sustainable workforce through improved efficiencies and advanced processes. But redefining processes and adapting outdated HR programs is a wasted effort if the tools needed to accomplish them aren t in place. HR leaders of forward-thinking businesses are increasingly investing in HR automation technology software as a key component in the business growth plan for the future. C-level leaders are also recognizing the growing demand for streamlined processes to manage employees and are treating it as a business necessity for future development. 11
17 41% of HR and business leaders say they plan to increase HR spending in the next months. Not surprisingly, the growing demand for HR efficiencies has led to a 50% growth in the HR technology market in the last 5 years. New HR technology platforms offer integrated systems with data analytics and assessment science, making employee self-service a reality and an increasing need for the emerging workforce. With these advancements, HR leaders can better manage their time delivering value-added solutions that contribute to the long-term growth of the business, and leave behind the outdated, project-based employee management processes that have bogged them down for years. 12
18 Streamline your HR processes with an all-in-one automation software
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