Top 3 Human Capital Trends in 2017
As the world gets more digitally advanced, modern businesses are experiencing radical changes in every way they operate. In our last blog, we discussed how all workplaces must adapt to the surge in millennials. It has been a particularly challenging time for HR leaders to cope with the ongoing changes in skill requirements, increased demand for better, more efficient HR processes and calls for an improved management system for the modern-day workforce.
As we can see, the Curve 1 represents how fast technology has been advancing. Curve 2 shows that individuals are adapting to the technological changes at a fast pace. Businesses, however, seem to be taking more time to pick up the pace and public policies even more so. It is essential to take necessary action to close the gaps between these curves.
The ever-changing landscape of employee demographics demands changes in the traditional workplace. We have seen ongoing disruption in human resources field since the last few years and the following are some of the interesting trends surfacing out of changes in social, economic and most importantly, technological fields.
New Employee Engagement Approach:
Maintaining a positive employee engagement in a workplace can impact the financial health of an organisation. It was a big year for recruitment in 2016 and HR leaders are more focussed on employee retention programs than ever. With the number of millennials increasing in workplaces, organisations are looking to formulate holistic employee engagement schemes based on key factors like autonomous and flexible work environment, clear growth potential, dynamic learning capabilities and transparent leadership. Such an approach would be key in retaining the key talent demographic.
“Branding the employer culture from the start is the best way to recruit and retain top talent in a competitive global landscape. As Millennials shape the workforce, traditional items like bonuses and other perks don’t matter as much as fitting in with the employer culture and sharing a common vision. Your company must focus on their unique culture and deliberately shape it to stay relevant to top talent.”
– Laura Platt, director of human resources for Spreadshirt U.S., Boston [Source]
Use of Technology in HR Processes:
Global organisations are already using technology to improve their human resource operations. HR Tech is projected to embrace the disruption and introduce faster, more effective ways for employees to perform functions like managing benefits, make important decisions and be socially integrated. A huge step to accomplish this still would be down to business leaders getting past the “physical world mindset“.
“Many business leaders still believe that if your product exists in the physical world, you can’t be digitally disrupted. That’s the wrong attitude. Any responsible company today should view digital technologies as a means to create a more efficient organization or a different form of customer engagement, irrespective of how physical the product may be.”
– Arun Sundararajan, a professor of business at New York University and author of The Sharing Economy [Source]
Solving the Diversity Issue:
Deloitte’s Global Human Capital Trends Report 2017 shows that diversity is perceived as a competitive advantage by most business leaders. It remains to be seen if this trend is going to be enough to solve the diversity issue in organisations at large in near future but it is definitely a positive trend to see global CEOs attaching importance to fairness, diversity, and equality in workplaces.
“Inclusion is taking people with diverse backgrounds and saying, ‘We’re going to create an environment where people feel valued and connected so that they can bring their authentic selves to work.'”
– Stacia Sherman Garr, a vice president at Bersin by Deloitte [Source]