Not too long ago, the concept of HR transformation was little more than a stock phrase that organizations bandied about, perhaps with the best of intentions. Some companies even completed the makeover. Nowadays, though, such transformation is not as much an option as it is an imperative. You want to thrive, sure, but you first must survive.
HR does require digitization, as the old, manual way of doing things won’t cut it. Neither will those clunky, disjointed systems that siloes everything off. But you also need to build in agility, and factor in remote work. That’s because, owing to the pandemic and the significant ways it’s affected the workforce, all models have been altered. You must be able to pivot during times of great disruption.
The new models, meanwhile, have HR more at the helm, as opposed to in a supportive role just keeping the ship afloat. Traditionally, human resources handled tasks such as hiring, orientation, compensation, and in-house communications, and that was it. These days, HR is being asked to help shape the employee experience, as well as to ferret out inefficiencies that affect the organization’s performance.
Transforming the HR function. Keep reading for more.
Just What is HR Transformation?
In essence, HR transformation is the process of reworking HR processes to become more digitized and data driven. But that’s just for starters. Because of HR’s new leadership role, and the department’s overall importance, such transformation also means making over the whole company. We’re talking major shifts in roles, capabilities, and approaches.
Ultimately, HR transformation translates to crafting an employee strategy that is in keeping with your company’s needs and vision. And as we say, technology by itself won’t do. That why you need new and innovative ways to attract, motivate, and retain needed talent.
HR’s New Role
It’s important to digitize HR. It’s also good for HR to have a seat at the table when organization decisions are being made. But alas, neither of those is sufficient. Real HR transformation occurs when HR becomes a partner in the company’s success. And that requires an integration between HR and business. HR not only must make sure that new hires are the right hires, in terms of business goals, but it also must play more of a business advisory role.
For example, HR may keep the company aware of stock prices and industry trends, and whether the organization has the personnel to pursue other industries. The role also may include providing insights about whether a certain position can be handled remotely, for instance, or whether a machine would be better suited.
In short, more is expected of HR.
Moves Required to Get to Transformation
In the context of HR transformation, these should be your priorities:
- Crafting a data-driven strategy to lure and keep talent.
- Producing a solid talent value proposition
- Making a business case for HR technology investments
- Evaluating HR cloud readiness
- Make sure that the employee experience you offer sets you apart from the competition
- Assessing ways to reconfigure HR so that agility is built in
- Evaluating the extent to which the organization can motivate and engage employees through dramatic change.
As you can see, HR transformation is much more than a buzzword. Or at least it should be. There’s certainly a lot that goes into it. That’s why we recommend that you get outside help to make sure the move is successful – and tailored to your organizational needs. We’ve found that the consultant Mercer has the experience and approach necessary for the constructive overhaul your organization needs.
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