digital

9 Exciting Trends and Opportunities in HR for 2019

Grateful to  Orlando Imperatore : Flickr 2018

Toss away the crystal ball!  Of course there is no rational way to ‘predict’ what will be important for HR leaders and business execs in 2019. In almost every case, each organisation is on a unique journey of people transformation, technical empowerment, culture mind-shift or simple operational improvements.

So my list is a collection of stuff which I’ve happened to engaged HR and other leaders about in the last 12 months and which was being considered for future plans. Perhaps only 1 is of interest to you, maybe all 9 – It doesn’t really matter. 

Here we go! and in no particular order

  1. PA – Personal Analytics 
    • HR Analytics has become an important tool for supporting organisational decision making around people. But it tends to support the employer more than the employee. As we see Employee Engagement, Happiness and changes in the Workforce and Workplace take center stage, there is a gaping hole around providing individuals with Personal Analytics in order for them to make better personal and business related decision within a continually fast-paced and constantly changing work environment.
  2. Trust
    • As we see new technologies such as Chat-bots, Robotic Process Automation, Machine learning Algorithms, Personal data-sharing and Tracking cozying up next to  human workers, the trust relationship which underpins so many things in our organisations is being diluted. The need is not just about building trust in technologies which are performing ‘human-like’ tasks or gathering our data, but effectively managing the implications for functions such as HR who have custodianship over some of these new-age tools. 
  3. Non-Exec Talent Coach 
    • Executive coaching is a mature offering, but as the nature of work and the variety of relationships between an organisation and a worker develop  ( I don’t want to say employee, because many are not technically that), the need for Independent Development Coaches at  lower levels, and which is not funded by the employer is being sought. Some of this demand exists because younger talented individuals do not want to mirror the behavior of current leaders (Think about many current Bank Leaders…. not a good model to follow), but want to become the best version of themselves without company influence.
  4. Beyond Engagement
    •  I’ve never been a fan of culture or engagement surveys – statistically they are full of errors and often based on pop-psychology. However listening with ‘Data Ears’ is becoming more relevant. In other words understand the mood of the company, or Engagement levels (Customer or Employee) or Happiness levels by analyzing the data trail left by employees, customers, your supply chain seems far more reliable and less prone to typical survey inaccuracies. 
  5. Personal Data Repository
    • One of my favorites. I’ve been engaging on this topic for a number of years. But with the changing workforce landscape, the growing contingent and gig enthronements, workers want the ability to store their own work history (think mini HR system), including Learning records, Pay and Benefit data, Performance scores, basic biographics, Job and Position history. They want control over their own data, and the ability to share it and withdraw it easily with an employer. This is not your typical Linkedin profile BTW. Big opportunity for HR Software vendors.
  6. Communication
    • Not necessarily new, but becoming an area of focus again as organisations get lost if their digital and technology transformation activities. Humans are irrational, make mistakes and are not perfect. Technology, with all its benefits, has the ability to create sterile and perfect environments, which are not conducive to human productivity or happiness. Making sure we don’t capitulate our responsibility to communicate to machines/technology is important. 
  7. The Science of HR 
    •  HR is actually a lot more complex that most people realize. Often the individual HR activities are not complex (some can be though), but ensuring there is alignment across a multitude of interrelated HR activities is where the real complexity lies, and where things often go wrong. Underpinning all HR decisions is the level of HR Maturity. When HR activities are not executed based on the Maturity level, you typically get Executive despondency towards HR or frustrated HR leadership. 
  8. Instant answers to HR Tech
    • The fast-paced and continuously changing work environments are demanding HR and IT leaders make quick, but informed HR Technology buying decisions. Gone of the days that it takes 4-8 months to do a traditional RFP, only to discover the new SaaS tools you were considering have significantly changed. There are some great services, analysts and tools available to speed up these decisions.
  9. HR Operating Model Change 
    • Many organisations are realizing the traditional Dave Ulrich HR operating model needs some adaptation. Not a radical change (as it is mostly still working), but a focus change to ensure the operating model can support ‘speed and agility’ needs of modern organisations. Changes include the ‘Business Partner’ reaching into the customer and supply chain world, the ‘Centre of Excellence’ (CoE) becoming a Networking Management Function and the ‘Shared Service Centre’ transforming into a Digital Data Centre.

That’s it!. And why not 10 I hear you ask, no reason, I only had 9 to share. Whats the point of making stuff up 🙂  

In Search of Imperfection

written for InsideHR

People leaders need to get the balance between technology, environments and human irrationality right in an increasingly digital world, writes Rob Scott, who explains that there are a number of considerations in optimising employee performance in the process

I recently attended a presentation by Alexander Kjerulf, the Chief Happiness Officer at Danish company Woohoo Inc. He makes the point that we very often, but incorrectly assume employees are happy at work when they have job satisfaction. According to Kjerulf, job satisfaction is what we “think” about our jobs, while happiness is what we “feel” about our jobs and work environment.

The employee performance conundrum
This was timely as I have been engaging with several leading-edge clients who are struggling to find appropriate ways of improving their employee performance and engagement levels. These companies have all the great benefits and perks such as free food, zone-out pods, wellness programs and gym membership which attract talent, they have tier-1 HR technology and collaboration tools, use and explore automation, robotics and AI to augment employee capability and remove humans from work which is done better by machines. Wow, everyone should be happy, satisfied and engaged. But they’re not.

Josh Bersin, a leading global HR technology analyst cites challenges with engagement, productivity and employee experience as one of four forces disrupting organisations today. In his presentation A Wild New World of HR Technology, he alludes to the lack of employee performance and productivity improvement, overwhelmed employees and marginal improvements in employee engagement despite all the great technology we continually introduce into our lives and workplaces.

“Wow, everyone should be happy, satisfied and engaged. But they’re not”

Why leaders need to empower people to improve employee performance
For several years, I’ve been driving the point that effective digital work environments are not about throwing more technology at people and problems. Unless you empower people to do more with the technology in a modified human behavioural way, you are likely to create the challenges Josh Bersin highlights.

Furthermore, as people leaders, it’s important that we figuratively step back to see the broader technical environments we are busy creating – not just from a software and apps perspective, but inclusive of the steel, concrete, glass, noise, space and technical gadgetry we combine to form our “happy” work environments.

Often these environments are created to serve rationality and optimisation but can unintentionally become “technology concentration camps” – an environment which is perfectly rational, but dreadfully unliveable.

In my view, we have become singularly focused on building environments and supporting processes using modern and emerging technical assets in order to attract, retain, engage and develop people. But we have overlooked the potential mismatch between these creations and the fact that people are not perfectly rational and don’t operate well in sterile, passionless environments.

Don’t misunderstand me, I’m a technology fan – it underpins our human desire to constantly progress and improve. However, we should realise as human beings, we are at our happiest when we can be irrational, make mistakes, share emotions, be spontaneous, indulge in passions, seek out the mysterious and have faith.

Allowing employees to be human
It was the French writer Ellul who said “The eighteenth and nineteenth centuries made an enormous error in misunderstanding this aspect of human nature and presumed to exorcise all that was not rational.”

“As human beings, we are at our happiest when we can be irrational, make mistakes, share emotions, be spontaneous, indulge in passions, seek out the mysterious and have faith”

As we evolve our digital work environments, shifting tasks to robotics and AI away from human jobs which we are not good at, are less accurate at, or are slow to do in comparison to technology, we will be left with a ‘perfectly optimised’ human worker, but perhaps not a happy or engaged one. The ‘perfect’ technology environment may be producing the opposite effects of employee performance, happiness, engagement and productivity.

Our challenge as people leaders is to get the balance between technology, our environments and human irrationality right – building the perfect ‘imperfect’ environment is the goal. Those that succeed will be the attractive organisations of the future, sought out by talented people.

3 key insights: employee performance in the digital world

  • Our digital work environments are increasingly becoming optimised and rational, driven by technology. But when we put humans, who are not perfectly rational, into these environments, we are impacting engagement and happiness.
  • We have an abundance of technology in our personal and work lives, yet evidence suggests that employee performance, human productivity and engagement has only marginally improved.
  • Our desire to remain competitive organisations has necessitated leveraging modern technologies and shifting human tasks to machines and AI. Organisations who understand how to optimise, but at the same time not dehumanise will be the successful companies of the future.

Time to turn the Ulrich Model into a Digital Delivery Model

Written by Rob Scott for Inside HR

The Ulrich model of HR delivery has been the cornerstone framework of HR for the past 20 years, but in light of the newly emerging digital world, modern HR must adapt to become agile and remain effective, says Rob Scott

There is no denying that all of us are on a digital transformation journey. Our work environments and operating models are feeling the strain of being caught between more traditional business operating models and the newer, agile demands of techno-digital environments. Deciding whether to toss out the old approach or focus on a more evolutionary adaptation of your existing ways can be a daunting decision to make for HR leaders.

The Ulrich model of HR delivery, developed by Professor David Ulrich 20 years ago, has been a solid guiding framework in full or part for most HR functions globally. And even though the model has been contested over the years, the building blocks of the model; HR Shared Service Centres (SSC) for administration, Centres of Excellence (CoE’s) for content expertise and the HR Business Partner (HRBP) for business alignment, have worked – so why change something that ‘ain’t broke’?

The underlying design principle of the Ulrich model has been about effective and streamlined connectivity between the elements of HR and business operations and strategy. It was built on assumptions that were pre-digital age. But the digital work environment has introduced new technologies such as Robotic Process Automation, Cognitive computing, Artificial Intelligence (AI), new thinking styles such as Design Thinking, Evidence-based decisions supported by deep-dive Data Analytics as well as a deluge of demographic, ethics and loyalty impacts. As HR professionals, the worse thing we can do is bury our heads in the sand and fall prey to the Normalcy Bias, believing things will always function the way things normally function. We need to consider how a digital environment is changing the way the workforce is empowered, interacts and connects.

“The Ulrich model as a framework is still a relevant HR operating model, but the transition from the old roles to the new ones is an important adjustment required to support digital work environments”

In a Digital world, HR must respond and adapt quickly to changes which impact your business, whether that be through external competitiveness or internal innovation. This will require the roles of the HRBP, SSC and CoE to transform into ‘early warning’ detectors and predictors which can seamlessly morph into problem-solving guru’s and inform the creation of relevant and unique HR solutions. How should these roles change?

HR Business Partner » Alignment Agent

Modern HR technology, digital and automation tools fully empower line managers to be effective in hiring, managing and developing their staff. It’s time to get beyond playing the quasi-admin role for line managers. The Alignment Agent is externally focussed around your organisation’s supply chain and customers, ensuring HR solutions are adding customer-focussed value in line with business strategies and advising line managers and executives on required changes. The new Alignment Agent is seeking out business issues from a people perspective and doing problem-solving with data analytics.

Shared Service Centre » Analytics Engine Room   

As Automation and Robotic Processing takes over administrative tasks and AI replaces more complex HR admin tasks, the admin centre becomes obsolete but is reborn as an Analytics Engine Room that supports business problem solving and provides predictive capability to business leaders. Their outcomes inform future HR solutions. The future SSC employee is a data scientist or analyst. The engine room is not HR centric only, but can be part of a broader analytics entity or could be an outsourced service.

Centre of Excellence » HR Solution Provider

The new CoE will still require deep-skilled and experienced HR practitioners who will remain the thought leaders for appropriate people practices. They will be responsible for developing and deploying solutions which are identified by the new Alignment Agent and use data-driven outcomes from the Analytics Engine Room to validate their solutions. Solutions are not always standardised and can be focussed on providing the best solution for a part of the business.

The Ulrich model as a framework is still a relevant HR operating model, but the transition from the old roles to the new ones is an important adjustment required to support digital work environments.  It requires forward thinking executives and HR leaders to recognize the different demands of a future workforce and workplace, and an acknowledgement that technology, applied in the right way, is empowering employees and workplaces to be super-agile, and achieve significantly more. HR must change.

Some takeaway messages

  • The classic Ulrich model of HR has been the cornerstone of HR delivery for most organisations. It’s a good model, but it needs to be aligned to the emerging digital work environment
  • Much of what HR Business Partners and HR Shared Services Centres do is administrative in nature. The available HR software, automation and AI tools now available will completely change how these mundane activities are done. The Ulrich-defined roles must adapt
  • The old HR Business Partner role needs to drop the line manager ‘hand-holding’ style of management – Modern HR tools make line managers completely self-sufficient
  • Shared Services as we know it will disappear as administrative tasks are automated or managed by AI. A major skill refocus is needed to change these entities into Analytic Engine Rooms

CHATBOTS: the next frontier for HR software

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PHOTO CREDIT: brahim elmokaouim, FLICKR

You’ll be forgiven for thinking  Chatbots are new  technology, they’ve been around since the 1960’s in fact, but have been given a new lease of life with the recent developments in machine learning and artificial intelligence.

The word itself gives some hints as to what it does. “Chat” implies a form of informal communication and “bot” indicates the presence of robotics. In reality they are small software applications that automate tasks on your behalf over the internet and interact with you in a human-like way. Many of these tasks tend to be basic, repetitive and gimmicky , however we are seeing the emergence of  sophisticated business chatbots that learn and adjust their behaviour and response.

The way you interact with these bots is casual and in natural language.

Most of the major tech houses like Facebook, Google, Microsoft and Apple are actively developing these bots, and you’ve probably used some of them such as Siri (iPhone), or Cortana (Microsoft), Alexa (Amazon Echo) and a host of text based chatbots now found in tools like Skype and Slack. (On a side note let’s hope soon-to-be parents don’t start naming their babies with similar names – can you imagine the chaos in the home and future workplaces).

IMPACTS FOR HR TECHNOLOGY

The HR environment is a perfect breeding ground for chatbots. Many of the transactions and data requests performed by managers and employees are simple. A well-developed chatbot could remove the need to access the HR solution directly, replaced with a simple voice request or a text message or email to carry out the task on behalf of the employee. It could be quicker than logging into the ESS/MSS app and broaden the means of interacting with the HR system. Here are a few examples:

  • VOICE: “Hey Siri, what is my leave balance”
  • VOICE: “Hey Alexa, let my boss know I’m feeling unwell” 
  • VOICE: “Hey Bob, mail me a list of team members due to attend safety training”
  • TEXT: Send my Feb py advice
  • MAIL: Approve John’s training expenses for May

The above are examples of simple requests that would typically interrogate the HR system as if it were the real user. Things like security profiles and data access would be applied to the bot in the same fashion as the human user. In all likelihood these simple request would include logical follow-up questions based on the in-built artificial intelligence:

  • “You have 11.3 days of annual leave. You haven’t had any time off for 7 months, do you want to put in a request?”
  • “I’m sorry to hear you are not well…as it’s a Monday please ensure you obtain a doctors certificate”
  • “I’ve mailed you a list of team members attending safety training. Check in with Peter Smith, his record shows he doesn’t arrive 36% of the time”

RAMCO the Indian based Enterprise Software Vendor is providing their HR clients with e-mail communication to its HR system, citing speed as a primary motivator. They have a number of other tools in their other non-HR modules of similar ilk. Other vendors like ADP are building bots that automate HR tasks such as sending a job to a prospective hire and alerting employees to use up their annual leave.

The other likelihood is that Chatbots will be developed outside of the vendor products. There are a number of specialist platforms such as Kore who provide tools for bot self-development and others who provide existing libraries to commonly used systems.

Chatbots are unlikely to replace the need for slick end-user interfaces in the short term, but they are potential big cost savers from a vendor development perspective as well as for software licencing.

As chatbots become more proficient and operate like real assistants or concierge services, people will want to use them, creating a demand. Hopefully vendors and developers have their ears to the ground.

 

 

5 STEPS TO BOOSTING DIGITAL HR LITERACY & TRANSFORMATION

Upskilling and introducing new competencies into HR will help ensure digital transformation initiatives succeed, writes Rob Scott

Original article published by Inside HR Magazine (Feb 2016)

Given a digital workplace is undeniably the future we are rapidly heading towards, the skills any future employee will need to be effective and remain market-competitive is an important consideration for HR and talent managers. HR functions have had first-hand experience of resistance from executives to hand over strategic accountability, mainly because their business skills and acumen have been lacking.

The HR function is not immune to the disruption of modern technology; in fact, the advent of Cloud and SaaS technologies in the HR space is ahead of many other business functions. It’s an advantage that HR leaders should capitalise on to secure the relevance of the function in a digitally minded work environment.

Being digitally literate for HR is a prerequisite for the next wave of business transformation. So what are the competencies, knowledge areas and behaviours required to ensure HR professionals can deliver optimised future service? I have identified five focus areas, each of which houses a number of different subsets.
Digital HR literacy

1. Computer and platform literacy
This competency area is often mistaken as the equivalent of digital literacy. Rather, this skill set is a predecessor of digital and includes understanding how desktop PCs, laptops, smartphones and tablets work. This includes how these systems are best consumed and how they connect, and managing software applications. For many, these are skills associated with IT specialists. These skills are no longer an IT domain but have become general business skills which form a fundamental base to foster digital innovation and creativity.

2. Data design and ethics
These two components may seem like distant cousins, but how and what data we collect and derive is both a powerful business opportunity as well as one that borders on intrusion, invasion of privacy and manipulation. This skill set involves an understanding of other disciplines such as marketing and finance, as well as how things such as graphics, video, Internet of Things (IoT) feeds and other non-transactional data are integrated and designed to produce evidence-based outcomes.

3. Analytics
Analytic skills are closely aligned with data design and ethics. It’s far more than producing quality outputs, which is increasingly becoming a science in itself, and has a strong emphasis on ensuring the right information is being analysed and interpreted to inform business- and people-related decisions. Just as HR faced rebuke by becoming pseudo psychologists with off-the-shelf psychometric assessments, this skill set is embedded in formal data-science education.

4. Social intelligence
Social tools are ubiquitous and increasingly straddle our private and work lives. Understanding how search, content and social media work together requires technical understanding such as SEO as well as strategic alignment and tactical execution skills. Creating, observing and responding activities are reliant on a creative mindset, communication, writing and PR skills.

5. Innovative mindset
SaaS solutions as well as hardware are continuously being updated and improved, to the extent that new features are being “dropped” by the vendors every few months. Ignoring new features and capabilities for extended time periods is not a good strategy; rather, HR should embrace an agile and continuous improvement approach to its operating model. Skills relevant to support innovation include novel, critical & adaptive thinking, problem solving and design concepts.

Most seasoned HR professionals won’t fall into the “digital native” category, meaning that many of these concepts will be foreign and confronting. However, upskilling and introducing new competencies into the HR function will ensure digital transformation initiatives are executed with insight and purpose.

The scope of digital HR literacy

  • The next wave of business transformation will develop around the creation of a digital work ecosystem.
  • Being digitally literate is not the same as being computer literate. It’s about understanding the creation, consumption, management, manipulation and interpretation of information across multiple platforms to achieve business goals.
  • HR should capitalise on their lead in Cloud and SaaS technology deployments to further develop their digital skill sets and influence.
  • Some digital literacy skills – such as being computer literate – are general competencies; others such as data analysis are specialist skills supported by formal qualifications.
  • Digital skills should be spread across many HR roles, rather than thinking they are inherent in a single individual.