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HR Trending

into the Future

Dr Josephine Pryce
May 2015

Overview . . .
The new world of work
Trends that are shaping HR:

SHRM
ACCENTURE
Gibson, Ziskin and Bourdreau
Josh Bersin

HR Readiness

The new world of work . . .

Whether youre ready for it or not, the new


way of work is multi-generational, multigeographical, location agnostic, and device
dependent (Holland et al., 2015, p3).

The past decade has seen a seismic shift in the


employment landscape in Australia, not only in
the amount and type of changes workers can
expect to make during their lives but also in the
type of roles people are choosing to explore
(Emerson, 2013, p.2)

Trends that are shaping HR:


The findings from SHRM . . .

20 years from now . . .


a mere 20 years ago, not many people would have
been able to predict the sheer scale of technologys
impact on the nature of work and the culture of the
workplace.
From this point it can be asked:
What will the world of work look like
20 years from now?
>>Society for Human Resource Management (SHRM)<<
[http://futurehrtrends.eiu.com/report-2014/challenges-human-resource-management/]

The Research
In 2013, SHRM sponsored research conducted by
the Economist Intelligence Unit (EIU).
The Economist Intelligence Unit ran a survey that
involved 636 middle and senior executives and
the report presented the HR challenges that
emerged from the findings.
These included . . .

The Findings Challenges facing Organisations

The Findings HR Challenges


THE NATURE OF THE WORKER
1. Adapting to a rapidly changing worker profile
2. Understanding the subtleties of workers qualifications
3. Retaining and engaging a changing workforce
THE NATURE OF THE WORK
4. Aligning technology best practices to global
management strategy
5. Managing the risks of a global operation
CONFLICTING EXPECTATIONS OF WORKERS AND
THE WORKPLACE
6. Hiring and retaining talent while lowering labour costs
7. Winning the war for talent

Some key findings . . .

2. Understanding the subtleties of workers qualifications

2. Understanding the subtleties of workers qualifications

2. Understanding the subtleties of workers qualifications

3. Retaining and engaging a changing workforce

3. Retaining and engaging a changing workforce

3. Retaining and engaging a changing workforce

4. Aligning technology best practices


to global management strategy

5. Managing the risks of a global operation

Another SHRM report . . .

Over the next 10 years, what do you think will be the three biggest
challenges facing HR executives at your organization?

Note: Percentages do not total 100% due to multiple response options. Respondents who answered dont know were excluded from this analysis.

Over the next 10 years, what do you think will be


the biggest investment challenge facing organizations?

http://www.shrm.org/research/surveyfindings/articles/pages/challengesfacinghroverthenext10years.aspx

Over the next 10 years, which of the following tactics do you believe will be
most effective in attracting, retaining and rewarding the best employees in your
organization?

Note: Percentages do not total 100% due to multiple response options. An asterisk (*) indicates option was not included on 2010 survey.

Challenges Facing HR Over the Next 10 Years SHRM 2012

23

Ten years from now, which of the following competencies do


you see being most critical for the HR professional?

Note: n = 472. Percentages do not total 100% due to multiple response options.

Challenges Facing HR Over the Next 10 Years SHRM 2012

24

Key Findings
What bodies of knowledge do HR professionals rate as
being the most important in 10 years?
The four bodies of knowledge that were rated as most
important were:

strategic business management


talent management
change management
workforce planning and employment
[see over]
http://www.shrm.org/research/surveyfindings/articles/pages/challengesfacinghroverthenext10years.aspx
Challenges Facing HR Over the Next 10 Years SHRM 2012

25

Rate the importance of these bodies of knowledge for HR


professionals 10 years from now.
Body of Knowledge

Average Rating (0 to
10)

Strategic Business Management

8.8

Talent Management

8.6

Change Management

8.5

Workforce Planning and Employment

8.5

Compensation and Benefits

8.3

Human Resource Development

8.2

Employee and Labor Relations

8.1

HR Technology

8.0

Risk Management

7.7

Global and International Human Resources

6.9

Note: n = 446. Respondents rated each body of knowledge on a scale from 0 (not important) to 10 (very important).

http://www.shrm.org/research/surveyfindings/articles/pages/challengesfacinghroverthenext10years.aspx

Further trends that are shaping


HR: Insights from ACCENTURE

1. Digital radically disrupts HR


2. Reconfiguring the global talent landscape
3. Tapping skills anywhere, anytime
4. Managing peoples as a workforce of one
5. The rise of the extended workforce
6. Shattering the boundaries of HR
7. Talent management meets the science of human behaviour
8. HR drives the agile organisation
9. HR must navigate risk and privacy in a more complex world
10. Social drives the democratization of work
http://www.accenture.com/SiteCollectionDocuments/PDF/Accenture-Future-of-HR-Overview.pdf
http://www.accenture.com/us-en/Pages/insight-future-of-hr.aspx

1. Digital Radically Disrupts HR


Digital technology, including social,
gamification, cloud, mobile, big data and
consumer applications, is transforming
how people carry out their workand how
HR supports them in that effort.

http://www.accenture.com/us-en/Pages/insight-future-of-hr-trends-digital-radically-disrupts-hr.aspx

2. Reconfiguring the Global Talent


Landscape
HR will transform to adapt to a more global
world, including adopting new talent
sourcing strategies to match talent with
task all over the globe, and adopting new
management methods, such as supporting
mobile workforces across geographic
barriers.
http://www.accenture.com/us-en/Pages/insight-future-of-hr-trends-reconfiguring-global-talen
t-landscape.aspx

3. Tapping Skills Anywhere, Anytime


Skills gaps are widening, and HR will be
increasingly hard pressed to ensure their
organizations have the right talent. To do
this, HR will need to quickly tap skills when
theyre neededand where.

http://www.accenture.com/us-en/Pages/insight-future-of-hr-trends-reshaping-skills.aspx

4. Managing Your People as a Workforce


of One
Customization is poised to revolutionize
the way organizations manage their
people. They will no longer treat their
workforce as a single entity but instead,
treat each employee as a workforce of
one, offering customized HR and talent
management solutions..
http://www.accenture.com/us-en/Pages/insight-future-of-hr-trends-reshaping-workforce-one.
aspx

5. The Rise of the Extended Workforce


Organizations will leverage the new
extended workforce: a global network of
outside contractors, outsourcing partners,
vendors, and other nontraditional
employees. HR will redefine its mission
and mandate to maximize the extended
workforces strategic value.

http://www.accenture.com/us-en/Pages/insight-future-of-hr-rise-extended-workforce.aspx

6. Shattering the Boundaries of HR


HR will evolve from being a clearly
defined, stand-alone function that
administers HR and talent management
processes to one that spans disciplines
and crosses boundaries to deliver crossfunctional, seamless employee
experiences.

http://www.accenture.com/us-en/Pages/insight-shattering-boundaries-hr.aspx

7. Talent Management Meets the Science of


Human Behavior
As new insights into brain science and
human behavior emerge and as analytics
finally enable organizations to test
hypotheses and form conclusions by
analyzing a newly available treasure trove
of data HR will arm itself with the tools
and insights of a scientist to drive better
performance from their workforces.

http://www.accenture.com/us-en/Pages/insight-future-of-hr-trends-science-human-behavior.
aspx

8. HR Drives the Agile Organization


In a pervasively unpredictable world,
organizations that can adapt to changing
business conditions will outperform the
competition. HR will reshape itself so that
the function becomes the critical driver of
agility.

http://www.accenture.com/us-en/Pages/insight-future-of-hr-trends-agile-organization.aspx

9. HR Must Navigate Risk and Privacy in a


More Complex World
HR will adopt risk management strategies
covering everything from protecting
confidential information and data, to risks
associated with weak hiring or turnover of
talent.

http://www.accenture.com/us-en/Pages/insight-future-of-hr.aspx

10. Social Drives the Democratization of


Work
Instead of relying on solutions dictated from
the top of the organization, organizations
will be populated with knowledge workers
who harness social media to create
solutions in conjunction with each other,
thereby radically disrupting organizational
structures, hierarchy, and job titles.

http://www.accenture.com/us-en/Pages/insight-future-of-hr.aspx

Gamification
As the popularity of video and online gaming has increased exponentially in
recent years, companies keen to attract, engage, incentivize, and retain
todays generation of workers have begun to take games and gaming
concepts very seriously indeed.

These concepts have now begun to work their way into key human resource (HR)
functions in two distinct forms:

"Serious games"a game whose main purpose is something


beyond entertainmenteducation, advertising or behavior
shaping, for instance.
"Gamification"the use of game mechanics and/or game
design principles in contexts other than games.

Manish Mehta and Alex Kass of Accenture Technology Labs take a closer look at this
growing area.

http://www.accenture.com/us-en/Pages/insight-changing-human-resources-games-gamification.aspx

Workforce of One
In Workforce of One, Susan Cantrell and
David Smith show how exceptional
companies are tailoring work experiences to
employees' talents and interests by
customizing job duties, training, recognition,
and even compensation, work schedules,
and performance appraisals.
Their reward? - - - Lower turnover, greater
productivity, improved profit margins.

https://books.google.com.au/books?id=HZAUbNaPvdcC&dq=Workforce+of+One:+Revolutionizing+Talent+Management+thr
ough+Customization&source=gbs_navlinks_s

Workforce of One
In Workforce of One, Susan Cantrell and
David Smith show how exceptional companies
are tailoring work experiences to employees'
talents and interests by customizing job duties,
training, recognition, and even compensation,
work schedules, and performance appraisals.
Their reward? - - - Lower turnover, greater
productivity, improved profit margins.

https://books.google.com.au/books?id=HZAUbNaPvdcC&dq=Workforce+of+One:
+Revolutionizing+Talent+Management+through+Customization&source=gbs_navlinks_s

Further trends that are shaping


HR: From the writings of Carrie
Gibson, Ian Ziskin, and John
Boudreau . . .

Andrea del Sarto


by Robert Browning

Andrea del Sarto


(14861530)
an Italian painter
from Florence

Gibson, Ziskin and Bourdreau


the demands of day-to-day HR may be
crowding out the focus, passion and
spirit that are necessary if practitioners
are to take a leading role in helping
organizations capitalize on opportunities
offered by emerging trends such as big
data and gamification.

Andrea del Sarto

What is the future of HR?


Gibson, Ziskin and Bourdreau acknowledge that much of
the work addressing this issue has defined the future of HR
in terms of competencies, workforce demographics, or
professional techniques or practices.
Twenty (20) to 30 HR professionals within each company
participated in the consortium.

http://www.workforce.com/articles/20179-what-is-the-future-of-hr

What is the future of HR?


They examined the trends of:
1. globalization,
2. generational diversity,
3. sustainability,
4. social media,
5. personal technology,
6. mass customization,
7. open innovation,
8. big data
9. gamification.
. . . explained on next slide . . .
http://www.workforce.com/articles/20179-what-is-the-future-of-hr

Table 1. Lofty Ambitions but Less-Elevated Reality

Globalization: Integrating world economies


through the exchange of goods, services and
capital.

Personal technology: Mobile platforms such as


smartphones, laptop and tablet computers, future
technology such as wrist devices and Google Glass,
and the apps that support them, seamlessly and
constantly connecting people and Web-based
content.

Generational diversity: The presence of many


different age groups among workers, citizens
and consumers.

Mass customization: Combining mass production


with customization for specific individual consumers
or groups to meet peoples needs with the
effectiveness and efficiency of mass production.

Sustainability: Meeting the needs of the present


without compromising the ability of future
generations to meet their needs.

Open innovation: The inflow and outflow of


knowledge to increase innovation, including user
innovation, innovation ecosystems, co-development,
innovation contests and crowdsourcing.

Social media: Online networks and two-way


communication channels that connect users in
the virtual world, establishing new relationships
that expand users networks and facilitate user
participation in interactions and exchanges.

Big data: Data that are too big, too unstructured or


too diverse to be stored and analyzed by
conventional means, processes or tools.

Gamification: Applying game mechanics to


nongame situations to motivate and change
behavior.

What is the future of HR?


Barriers and Opportunities to Close the Gap . . .
The prominent barriers were more traditional:

lack of time
budget
expertise

http://www.workforce.com/articles/20179-what-is-the-future-of-hr

Andrea del Sarto


by Robert Browning

Andrea del Sarto


(14861530)
an Italian painter
from Florence

Browning wrote of the painter:


Ah, but a mans reach should exceed
his grasp/Or whats a heaven for?
To paraphrase Browning:
Does HRs reach exceed its grasp?

Andrea del Sarto

Further insights for HR tending


into the Future: Josh Bersin
[Principal and Founder, Bersin
by Deloitte] explains . . .

The New World of Work

As was found from the Deloittes Global Human Capital


Trends 2015 survey (more than 3,300 organizations from
106 countries): 10 major trends emerged from the
research and these trends reflect four major themes:

1. Leading
2. Engaging
3. Reinventing
4. Reimagining
http://www2.deloitte.com/content/dam/Deloitte/at/Documents/human-capital/hc-trends2015.pdf

http://jobmarketmonitor.com/2015/04/25/the-10-trends-in-the-2015-global-human-capital-trends-report/

HR as Controller, Server, Enabler and Supporter . . .


(Josh Bersin et al., 2015)

http://www.slideshare.net/jbersin/hihr-asia-13

The New World of Work


driven by a new world of work, the #1 issue
companies now face is employee engagement,
retention, and culture, and HR's readiness to
address these issues has slipped significantly in
the last year
Josh Bersin, Principal and Founder, Bersin by Deloitte
https://www.linkedin.com/pulse/new-research-shows-employee-engagement-now-1-global-talent-bersin

https://www.linkedin.com/pulse/new-research-shows-employee-engagement-now-1-global-talent-bersin

Josh Bersin says, As we analysed the data we


realized that companies and HR teams are
struggling to deal with the "New World of Work,"
an always-on, 24x7 environment, led by younger
leaders, where employees have more power in
the job market than ever before.

The New World of Work


Mark Bertolini, the CEO of Aetna
He has revitalized Aetna's shift into the consumer
market for healthcare by increasing wages, improving
employee benefits, and bringing yoga and mindfulness
to the workplace
The new model is simple:

employees come first


a need to simplify

HRs readiness . . .

HR Readiness Gap
One of the big findings from the research that Josh Bersin and
his team conducted, is the fact that HR does not seem to be
ready.
In the research, Josh Bresin and his team computed an
"importance index" and a "readiness index," with a
"readiness gap" which is the difference between the two.

HR Readiness Gap

https://www.linkedin.com/pulse/new-research-shows-employee-engagement-now-1-global-talent-bersin

Josh Bersin, says . . .

http://hrtimesblog.com/

High Impact HR . . .
Three critical principles are at the heart of driving HighImpact HR:
1. It is about the business. Business imperatives and
insights about the workforce have to guide how HR
operates, not the other way around.
2. Nimble is key. When HR demonstrates agility, flexibility,
and coordination, it unlocks high business performance
throughout the organization.
3. Beyond the organization. Industry and social networks,
organizations customers, and the external market must
be integrated within how HR operates.
https://www2.deloitte.com/content/dam/Deloitte/global/Documents/HumanCapital/gx-hc-high-impact-hr-pov.pdf

Global HR Transformation: The Journey Continues. . .

http://www.mondaq.com/x/166700/Human+Resources/The+Global+Talent+Challenge+Getting+New+People+In+New+Jobs+In+New
+Places

Into the future . . .

https://plus.google.com/+DecodedCo/posts

Thank-you . . .