5 Trends that HR heads must consider in 2022
1. Understand a multi-generational workforce
I have spoken at length about remote work and its subsequent challenges. A diverse workforce brings with it
people across all generations. Many organizations have employees spanning 4 generations. In such a situation,
human resources must recognize and understand the differences in employee mindsets.
Additionally, automation in work will bring in young employees who prioritize work-life balance and flexibility in working hours. A lot of importance is also given to collaboration and feedback. Finally, CHROs will have to actively focus on various working styles and career goals to design suitable work policies.
2. Adapting to the gig economy
The growing gig economy is going to largely influence work schedules and benefit schemes.
Employees love working under flexible arrangements due to increased work autonomy. Several people are predicting
the rise of independent contractors and freelance communities. HR professionals must strive to understand this shift
from long-term employment to maintain agile practices and efficiency.
The management must also fully adapt to software such as ERPs and apps for monitoring employee onboarding and engagement as part of their working tools.
3. Focus on data-driven HR
Human resources have always had to deal with a lot of data. The HR of 2022
will need that data to be analyzed through HR analytics. To ensure deep insights and make smarter
predictions, business leaders must invest in these analytics.
So which metrics am I referring to? I’m talking about offer acceptance rates, turnover rates, revenue per employee, etc. With specialized HR analytics, it becomes simple to create intentional plans that will mostly succeed. This technology will enable the HR department to create actionable solutions based on real-time data analysis.
4. Adopt HR chatbots
22% of high performing HR companies have or will implement chatbots in their processes.
Chatbots can automate many tasks that require time such as answering FAQs on company policies. They are also
useful when it comes to maintaining employee satisfaction through their interfaces and fun virtual gestures.
To summarize, there are many reasons HR chatbots are efficient, boosting employee productivity is just one of them. Employee bots can also serve as self-service portals for onboarding and training. Chatbots are great for enabling remote work through their 24/7 support and feedback loops.
5. Reskilling for Continual Performance
HR will certainly have to develop new ways to manage performance levels. A growing number
of enterprises are moving towards continuous performance management. This is largely in part due to employees’
need for constant and consistent feedback.
Another major facet of evaluating performance will be the reskilling of employees for arising job requirements. There are numerous courses on LinkedIn, Coursera, and Udemy that serve as instant professional development certifications. Such tools not only encourage career growth but also provide scope for skill updations and performance improvement.
Looking ahead: Future of HR in 2025
I may be over-reaching here but I want to give you a full picture of what a 5 year HR plan could look like.
1) Personalized Review System
The HR of 2025 will probably have a hyper-personalized performance review system. This includes scrapping out the traditional yearly-reviews for real-time performance reports and personalized coaching. Further, employees will become the focus of attention and their ‘uniqueness’ will have to be recognized.
2) Future-forward HR leadership
Another key factor will be a focus on futuristic leadership. Some of the points to consider are:
a) Digital Expertise
b) Strengthening Human Capital
c) Playing to Win
Startups and enterprises alike will have to create an HR ecosystem that combines new technologies with different roles. Remember we talked about evaluating revenue-per-employee? Well, that may also shift to a ‘value-per-employee’ approach in 2025
3) AI for creating a diverse workforce
I’ve spoken in depth about AI and HR. I want to reiterate this point with a different angle.
Additionally take a look at this blog on most frequent use of AI in HR
It is inevitable, you will have to adopt technology eventually. So rather than competing with HR tech and increasing employee pressure, why not collaborate with it? Did you know you can intentionally create a diverse remote workforce using analytics to determine age, gender, ethnicity, etc.? You already know the benefits of having employees from varied backgrounds. By using technology to proactively make such decisions, you are not only relieving yourself of the burden of looking for different workers. Simultaneously, you can use specific metrics to match skill sets to people who may be better suited to them.
Crystal ball gazing: What will HR look like in 2030?
Yes, we’re moving to the next decade now. In this section, we’ll take a look at some possible changes we can expect in the year 2030.
1) Break down work to be agile
In the overall mission to be agile and lean, most tasks in HR will be broken down into discrete components. The change will be a part of life. Agile employees will have significant work freedom and control. By adopting agile practices, large enterprises will become more nimble like startups.The seeds of change have already been sown in forward-looking global enterprises.
2) Consistent Innovation
By 2030, we will be in a space where micro-innovation will hold maximum importance.
This means constantly evolving innovative practices within the organization.
Innovation is needed at all levels of employees and job roles. Micro-innovation will also imply product-centric teams and the creation of policies that keep in mind the impact of digitalization. Entrepreneurial behaviours and mindsets will be at the front of the race and HR will find themselves amid all organizational frameworks.
CHROs will also be responsible for pushing the top management towards change and building new perspectives to widen technological research.
3) Resource Sharing
The gig economy may soon transform into a sharing economy. One that is built around sharing human,
technological and physical resources. Moreover, attitudes relating to ownership will change substantially with a strong
focus on collaboration through technology and apps. These changes in human resources will enable the rapid matching of
demand and supply from person to person.
Sharing resources will also provide a competitive advantage when it comes to attracting future talent. With a change in work styles, forecasting future work and economic trends will gain importance.
Key elements to consider for the future
We saw what factors are going to drive HR’s future and the expected job roles, here are some elements that will be critical for the future.
1) Move from manual
So, listen up. I am not saying that manual processes do not work. However, they are not as efficient and helpful as automated tools. If there was ever a need to shift from paper and Excel, it is now. Moreover, this article has spoken about technology in some way or another. Move away from manual workflows or you can bid adieu to business growth. Invest in specialized HR and payroll software to make time for strategic thinking. Payslips are not provided by hand anymore; optimize your HR functions through complete automation.
2) Adapt to Apps
The app ecosystem is blowing up. There is an app for every action you can think of and more.
So you simply have to adapt to integrating your existing work methods with customizable apps. HR Apps have several
built-in properties such as engaging employees, simplifying onboarding, and executing salary calculations.
Invest in an HR software that can integrate with work apps that you are comfortable with like Slack, MS Teams, or Google calendar. Don’t wait for the future, get started today!
3) Stay AWEsome
Yes, that’s right. But what I mean is a different kind of awesome. Inculcate the AWE work
principles in your organization for efficiency and effectiveness:
#Agile: Make your HR processes more agile and reduce waste. Focus on value-added work by empowering employees and the department.
#WorkIsWonderful: Maintain fairness by reducing bias in decision making and implementation. Furthermore, using technology, and analytics makes work simple and wonderful.
#Engage: Employee engagement is a critical function. An interface plays a role in both engaging and motivating employees. Also, make use of communication platforms such as Slack to run your HR operations for increased engagement.
4) Connect through Conversations
I cannot emphasize this enough. Employee interfaces must be made conversational to maintain engagement and attention. Chatbots are paving a way for easing remote work as they ensure that the relationship between people is sustained. Even though emojis and virtual symbols cannot mimic human nature, they go a long way in keeping the connection alive.
602, Naurang House, KG Marg Connaught Place, New Delhi-01
© 2020 BBS. All Rights Reserved