 "Anmol Nautiyal")
HR leaders need to start communicating in the language associated with financial statements, Anmol Nautiyal tells Ankita Rai
What are the new HR challenges thrown up by the protracted economic slowdown? The effectiveness of HR as a function has been hotly debated over the past few years...
We are at the cusp of a huge transformation in the construct of an enterprise, which is moving from focusing on back-end optimisation and creation of records-oriented processes to value generation through front-end digitisation. This transformation and value creation can only be driven via empowerment and engagement of the workforce and the creation of a culture of collective intelligence, facilitated by a reinvented HR function.
Also Read
According to a recent global study by IBM, 71 per cent of CEOs cite human capital as the single biggest contributor to sustained economic value. Hence, the need for organisations to get the most out of their talent has never been greater. And it is the HR function that can drive this so as to fuel overall business impact.
So why is it that so few HR managers actually reach the c-suite? The level of representation of HR professionals in the top jobs is surprisingly low. What should HR managers do so that they are taken seriously?
The role of HR has changed considerably over time. It is now responsible for hiring and retaining the best for the organisation and maximising performance through the employee life cycle. Today, HR leaders are aspiring to be viewed as a business partner. Theoretically, this should not be difficult since people and people-related spend in an organisation is generally the largest, and this is in the purview of the HR function.
However, the department is not taken very seriously. Therefore, to change this perception HR leaders need to start communicating in the language associated with the financial statements and looking at how they can influence the reduction of the costs associated with people. This can be achieved by working to create a more engaged and smarter work-force, which will drive productivity and efficiency (and therefore, profitability) up, and decrease costs associated with low productivity and attrition.
The way people work is changing fast. Nearly 75 per cent of the world's population has access to a mobile device, so information is not only accessible but is available at the fingertips of a global audience. What tools HR managers have to respond to this changing work force?
Decisions once made based on limited information and gut feelings are now being made based on insights extracted from the exabytes of information that people and employers publish every day. Potential employees prepare for interviews by scouring job sites to learn about a company and the people interviewing them. Three out of four employers are actively gathering, organising and analysing public and internal data.
From creating queries to predictive modelling and optimisation, data and analytics are revealing previously unseen relationships and correlations. Employers are using these insights to guide who and how they recruit, how they design their jobs to attract and retain talent, as well as how they manage their workplace culture and develop their existing work-force. The speed of decision-making is accelerated by the access to and availability of data. However, the challenge will continue to be how to harness the correct insights from this significantly high volume of data being generated. Employers actively using analytics believe it is creating a competitive advantage for their organisation.
This tremendous source of data is also changing the nature of the HR profession as HR leaders can present work-force challenges based on quantifiable insights in a way that has not been available to them in the past. Our Smart Workforce looks at analytics as descriptive, predictive and cognitive, not only analysing existing data for insights for today but also identifying unseen trends that can help better decision-making for the future.
Could you tell us more about the Smart Workforce approach? How does it help in employee engagement, retention and quality hiring?
The primary purpose of Smarter Workforce is to harness the power of big data and analytics together with insights into human behaviour and work-force solutions. The objective is to bring people and employers together to do more meaningful and valuable work. This revolves around three key elements. It helps to identify, attract and recruit the top talent and integrate them to the culture. It aids in developing employee skills and capitalise on their collective intelligence. It also helps in inspiring the workforce to make a difference, cultivate creative leaders and improve performance.
To achieve this, we require solutions that bring the best breed of the talent management domain, human sciences approaches and state-of-the-art technology including social and analytics and using the cloud as our delivery platform.
Today, work has become more than a source of sustenance; it has become the way individuals identify themselves, a source of meaning and of feeling that they have contributed something. When a person is in a job that is ideally suited to his or her talents, in an environment or organisational culture that encourages innovation and recognises talent and contributions, the person is more engaged. This has a spillover effect not only on the individual's personal life and health, but also on the business outcomes, as the person has a sense of ownership and productivity and retention are enhanced, leading to an increase in profitability for the enterprise. Smarter Workforce solutions help to create deeper engagement by helping to first hire the best person for the job, helping them develop their skills, inspiring them to work to make a difference, developing a culture of trust and investing in their growth and development. The social technologies available help them capitalise on their collective intelligence, and the data and analytics available can enable them to take better decisions both about their everyday work and their career path. All of this will, in turn, enhance engagement and thus, retention.
How can all this help to measure, predict and enable peak performance?
The fundamental premise of a smarter workforce is putting the right person in the right job based on their skills and talents. This creates a meritocratic enterprise, which is naturally diverse and inclusive.
Starting from our science-based assessments, which help predict the precise skills required for a job and find the applicant best suited to the job, Smart Workforce offers on-boarding solutions that enable a new employee to hit the ground running and feel welcomed into the organisation. Our comprehensive engagement surveys map the employees' opinions and help plan action items to improve areas that require improvement.
Then, the learning management systems help employees fill gaps in their knowledge while big data and analytics enable them to chart their ideal career path, backed by solid I/O (industrial-organisational) research. Behavioural science research and the analysis from the responses to millions of global employee surveys can help identify drivers of employee engagement, and culture that enables innovation and productivity. In short, this is bringing a level of precision to hiring and performance management like never before.
