HR Trends of year 2014
Introduction:
2014: The Year of the Employee:
Attraction, Retention, and Engagement Will Really Matter
For the first time in nearly a decade, this year one will find the issues of retention, engagement, and "attraction of talent" to be top on your priority list. The Deloitte's Human Capital Trends 2014 reveals that the top two people issues facing organizations in 2014 are leadership and retention. These are the problems we face in a dynamic, growing global economy.
This year, for the first time in more than five years, employees are in charge. Companies have reduced costs, restructured, rationalized spending, and pushed people to work harder than ever. More than 60% of organizations tell us one of their top issues is dealing with "the overwhelmed employee."
This year the power will shift: high-performing employees will start to exert control. Top people with key skills (engineering, math, life sciences, and energy) will be in short supply.
While there will still be high levels of unemployment in places, generally people have changed their perspectives. They want work which is meaningful, rewarding, and enjoyable. Top performers will seek out career growth. Mid-level staff will strive for leadership development.
And we, as an HR organization, will have to compete, adapt, and innovate to stay ahead.
Top Ten Predictions for 2014
1. Talent, skills, and capability needs become global.
In 2014 key skills will be scarce. Software engineering, energy and life sciences, mathematics and analytics, IT, and other technical skills are in short supply. And unlike prior years, this problem is no longer one of "hiring top people" or "recruiting better than your competition."
One will need to source and locate operations around the world to find the skills we need.
2. Integrated capability Development Replaces Training.
The "training department" will be renamed "capability development." Companies will find skills short and they will have to build a supply chain for talent. Partner with universities, establish apprentice programs, create developmental assignments, and focus on continuous learning. Companies that focus on continuous learning in 2014 will attract the best and build for the future.
3. Redesign of Performance Management Accelerates.
The old-fashioned performance review is slowly going out the window. In 2014 companies will aggressively redesign their appraisal and evaluation programs to focus on coaching, development, continuous goal alignment, and recognition. The days of "stacked ranking" are slowly going away in today's talent-constrained workplace, to be replaced by a focus on engaging people and helping them perform at extraordinary levels.
4. Redefine engagement: Focus on Passion and the Holistic Work Environment.
Engagement and retention will become a top priority. But rather than focus on engagement surveys, one should now expand our horizons and look at engagement from a holistic standpoint. Work environment, management practices, benefits and recognition programs, career development, and corporate mission all contribute to engagement.
As one HR manager recently put it, "our employees are no longer looking for a career; they're looking for an experience." Its HRs job in 2014 is to make sure that experience is rewarding, exciting, and empowering.
5. Take Talent Mobility and Career Development Seriously.
Talent mobility is with us for good: thanks to tools like LinkedIn, Twitter, and Facebook people can find new jobs in a heartbeat. This means an employer needs to provide internal talent mobility and career growth in the organization. 2014 is the time to build a "facilitated talent mobility" strategy which includes open access to internal positions, employee assessment tools, interview guides, and leadership values that focus on internal development.
6. Redesign and Reskill the HR Function.
In the global Human Capital Trends research the need to "Reskill HR" was rated one of the top five challenges in every geography around the world. Why? Because HR itself is changing dramatically and we need to continuously skill our own teams to maintain our relevance and value.
Statistics show that high-performing companies invest in HR skills development, external intelligence, and specialization. In 2014 if organizations aren't reinvesting in HR, they are likely to fall behind.
7. Reinvent and Expand Focus on Talent Acquisition.
The talent acquisition market is the fastest-changing part of HR: new social recruiting, talent networks, BigData, assessment science, and recruiting platforms are being launched every month.
In 2014 organizations will need to integrate their talent acquisition teams, develop a global strategy, and expand their use of analytics, BigData, and social networks.
The company’s employment brand now becomes more strategic than ever - so HR needs to partner with Marketing. Today one’s ability to recruit is directly dependent on your one’s engagement and retention strategy - what your employees experience is what is communicated in the outside world.
8. Continued Explosive Growth in HR Technology and Content Markets.
The HR technology and content markets will expand again in 2014. ERP players (Oracle, SAP, Workday, and ADP) are all delivering integrated solutions now. IBM, Cornerstone On Demand, People Fluent, Sum Total, and dozens of other fast-growing talent management companies are now offering end-to-end solutions. And most now offer integrated analytics solutions as well.
Mobile apps, MOOCs, expanded use of Twitter, and an explosion in the use of video has created a need to continuously invest in HR technology. In 2014 the theme is "simplify" - understand technology but keep it simple. Employees are already overwhelmed and we need to make these tools and content easy to use. The word for 2014 is "adoption" - make technology easy to use and it will deliver great value.
9. Talent Analytics Comes to Front of the Stage.
Talent Analytics is red hot. More than 60% of you are increasing investment in this area and company after company is uncovering new secrets to workforce performance each day. In 2014 one should build a talent analytics centre of excellence and invest in the infrastructure, data quality, and integration tools that one need. This market is finally here, and companies that excel in talent analytics have improved their recruiting by 2X, leadership pipeline by 3X, and financial performance as well.
10. Innovation Comes to HR. The New Bold, CHRO.
Research shows a new model for HR emerging - one we call High-Impact HR. In this new world HR professionals are highly trained specialists, they act as consultants, and they operate in "networks of expertise" not just "centres of expertise." And driving this new world is a strong-willed, business-driven CHRO. In 2014 organizations should focus on innovation, new ideas, and leveraging technology to drive value in HR. This demands an integrated team, a focus on skills and capabilities within HR, and strong HR leadership.
Source Credit:
Josh Bersin
Josh Bersin writes on the ever-changing landscape of business-driven learning, HR and talent management. His favourite topics include strategic talent management, creating high-impact learning organizations, and how organizations drive business change and competitive advantage through talent strategy and technology.








