Future of Human Resource Management
The HR industry has seen a lot of
improvement in the last decade. Artificial intelligence is on the rise and the expansion
of gig economy. The escalating push for more diversity. And, most recently, a
global pandemic that has changed the lives of millions of people while
redefining how and where work is done. In this article, we'll take a look
ahead to see which HR patterns will continue to drive change and which new ones
will emerge to determine the future of work.
Figure 1
· Top HR Trends for 2021
- Virtual work is here to stay
The rise of
the new way to work, a move away from the conventional work style toward one
that is more worker-centrist and flexible, was projected as a pattern for 2020,
exemplified by the growing acceptance of working remotely and the rise of the
gig economy.
Figure: 2
Source: IBM COVID 19
The pattern
that the work is done has changed dramatically as a result of government
declaring lock downs and businesses turning to a full-time work-from-home model.
2. Companies double down on digital
Another
trend that was expect to see is an emphasis on what has been named as
"digital-first jobs," given the transition to an office that is
increasingly virtual and more distant from an office.
KPMG, 77 % of CEOs surveyed intend to
"expand their use of communication and collaboration resources," and
67% are referring to invest in technology whereas 33% preferring to invest in
employee skills.
Similarly,
according to the Deloitte Global Human Capital Trends report for 2021, the most
critical element in maintaining this modern way of working is "introducing
digital communication channels."
Figure: 3
Source: Deloitte Global Human Capital Trend
3. HR delivers value through an outside/ in approach
HR experts
believes in business victory through an outside/in approach. The
outside-in wave shifts from value development to value distribution ,HR
‘customers' aren't just leaders ,employees , or business plans within the
company, but also stakeholders including community, customers and investors
(debt or equity) outside the company.
Figure: 4
Source: Dave Ulrich (2021)
· 4. HR design is a strategic focus
The concept of design should be a prominent focus over the coming years and HR design aids strategy in three important ways;
- Creating
the potential concept of a new company.
- Developing
the new and reshaped jobs that will be required as a result of new working
practices and automation.
- In terms
of behavioral and technological demands, identifying the emerging skills and
conditions that the new world of work would impose on the workforce, its
administrators, and its leaders.
Figure : 5
Source: Gather 5 HR trend (2021)
· 5. Data Becomes new currency
Top strategic HR trend is focus on data. The importance of this has been emerged more and more by the shift to remote work caused by the pandemic.
·
7. Workers are equipped with the skills and tools they
needs to navigate uncertainty
Very interesting Topic Poornima. Every employees has to face challenges during their career ladder and sometimes we like to predict the future and do innovations, changes, process implements and so on.
ReplyDeleteI think employer and employee both create trends and there is big evolution process compared to the initial stage of the HR.
employers worldwide are in demand of tech-powered ways to manage, recruit, and engage their employees. The trends of artificial intelligence, diversity, gig economy, cloud-based HR tech, and productivity skills will drive the HR management in 2021 to formulate, implement corporate strategies, and improve employee engagement to boost a business
ReplyDeleteIt's crucial to keep understanding the industry shifts with giant ongoing development and environmental changes. Organizations need to define their unique issues to find the solutions for them. Some old techniques won't help in job design, planning and organizational designing. New techniques needed to be used to meet the future market needs.Few new trends are gig economy, cloud based HR, artificial intelligence, and diversity.
ReplyDeleteAs a HR Manager should always be mindful of the pros, cons, and Challenges of implementing something. There are various other challenges that the industry is likely to face in the coming years. According to Sharma, P. (2021), Retaining and Rewarding Talented Candidates, Developing Future Leaders, Establishing Healthy and Cooperative Corporate Culture, Attracting Top Talent to Organization, Elevating Human Capital Investments, Flexible Work Arrangements, Clear & Transparent Work Culture & Open Leadership, Career Advancement Opportunities for Employees, Better Compensations are the Future HR challenges.
ReplyDeleteLooking to the immediate future I find prediction difficult. Organizations are
ReplyDeletequite diverse.
Prediction is always difficult, and with the economy going through substantial changes prediction is particularly hazardous. My main prediction is that "high commitment" organizations will become more common. Such organizations are marked by participation, lifetime employment, career flexibility, new forms of compensation, and generous fringes. But the extent to which this prediction will come true depends on many factors, most notably the development of technologies and market conditions favorable to it. At the moment high commitment strategies are being threatened by corporate restructuring, downsizing, and leveraged
buyouts, all of which discourage investment in human capital. But even if high
commitment organizations dominate the heartland of the economy in the future,
there will be many in the labor force who either voluntarily or through
circumstances will be denied their benefits.
In the digital age, technology has taken over the responsibility of producing standardized results. HR departments of today have a responsibility to plan for a future of technology and humans working together to accomplish business goals. This means thinking about how to best develop your workforce with both the capabilities of your tech and employees in mind.
ReplyDeleteHRM was all about hiring people, but now it is a whole system that plays important role in the growth and performance of any business. Recently, companies have started seeing HR as a part of a business and not just a paperwork department. Accordingly, they are facing challenges as well in improving the performance of processes of HRM. One of the major challenges is changing the definition of work. Employees look for flexibility in working hours, engagement of work could be short as well these days, demand-based employment is on the rise, and talent management is becoming heavily dependent on analytical predictions. Lots of organizations are researching to make use of machine learning, artificial intelligence, and analytics for improved HRM.
ReplyDelete