HR TRANSFORMATION: Delivery Roadmaps
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IDC outlines HR's pivotal role in digital transformation, emphasizing the need for HR to enhance its function and empower managers and employees through self-service tools. It identifies five key trends to achieve these objectives, focusing on analytics, flexible workforce management, continuous employee engagement, and social learning to streamline processes and foster a collaborative environment. The document advocates for a strategic approach that aligns HR initiatives with business goals to drive productivity, innovation, and overall success.
HR TRANSFORMATION: Delivery Roadmaps
- 1. HR TRANSFORMATION: Delivery Roadmaps IDC believes it is the responsibility of HR to address and deliver key elements of digital transformation, as well as transforming the HR function itself. To aid organizations in this process, IDC has identified five key trends and actions that support digital transformation and the development of HR. This tool enables HR professionals to understand the delivery roadmaps for realizing these key transformation objectives, starting today. Most notably, how to follow a logical approach to delivery change:
- 2. Empowering HR Across the Business Understanding Your Company Needs Forming a Working Group for Change Defining the HR Applications Needed Empowering HR across the business requires tools that address the following: Understand Progress and Deliver Results By empowering managers and employees with self-service HR tools, organizations can streamline processes and free up HR resources to focus on transformation 21 3 4 LOB managers have to interface with HR to get information on everything: from KPIs to training programs to time off. HR departments don't have time or resources to micromanage the workforce. C-suite treats the CHRO as a back-office manager without business impact. Employees have to jump through hoops to get even basic HR tasks done. Empower LOB managers with real-time control and an overview of their workforce. Enable HR to focus on long-term challenges and drive cultural change. C-suite wants the HR department to future-proof the business. Employees want more self-service and more control over their HR tasks. What you have: What you want: Ensure C-suite and IT support Explain and communicate change Create task groups to lead key elements Determine investment to meet goals Drive the HR empowerment agenda up the business and outline the impact and value to top-level objectives: productivity, agility, innovation, expansion, cost-control, talent retention and attraction, as well as knowledge management. Create a "burning platform" as to why HR capability needs to be distributed: digital transformation, changing business models, new ways of working, empowering and engaging employees. Demonstrate the benefits of change for the wider workforce. Create agents of change and pick elements of the business with rapid turnover, or demand for self-service. Where are the quick wins and the proof of concepts that can be rolled out to the wider business? What do you have and what's missing? Quickly establish the tools and systems that can make or break success in distributing HR across elements of the business now and the entire business in the future. Easy-to-use interface with social interaction capabilities Delivered via a browser across all devices and at any time Dashboards, team views, data comparisons and analytics Easy to export, easy to disseminate, no hassle reporting and auditing Total HR Collect Frequent and Consistent Feedback Ensure C-suite and LOB managers, as well as IT, provide constant inputs Ensure employees and HR itself are given the opportunity to feedback on progress, on what's working well and what is not ... Communicate Regularly with Stakeholders Publicize the wins and the achievements of the change program and what they are delivering to the business Set realistic and continuous goals. Show where and how these were met, then expand and progress on from them Reshape and Recalibrate HR Metrics Bring engagement and satisfaction to the top of the measurement pile Demonstrate productivity as a key outcome of HR transformation BACK
- 3. BACK Impactful HR Decision Making Understanding Your Company Needs Forming a Working Group for Change Defining the HR Applications Needed Impactful HR decision making requires HR tools that address the following: Understand Progress and Deliver Results The use of analytics throughout the employee life cycle enables organizations to identify issues and drive increased levels of productivity and engagement 21 3 4 LOB managers with limited visibility on KPIs, goals, progress, and team data. Role assignment is intuitive. HR departments do not have data-driven insights into the workforce, performance, and objectives, including issues. Leadership lack access to centralized HR data and struggle to make decisions. The result is a limited ability to foster long-term planning. LOB managers empowered with analytics for optimal role assignment and the design of recruitment policy. Transparency in the pockets of disengagement, attrition, and performance issues. Senior managers with deep analytics to identify risks associated with succession planning and specific skill retention. What you have: What you want: Demonstrate the business outcomes of analytics Determine the LOB and HR requirements Interface with IT to ensure access to data Invest in a tool that makes HR more impactful Show the wider business the power of deeper understanding of the workforce. Demonstrate how one clear view of HR will drive business outcomes, specifically productivity, innovation, and agility, and contribute to overall success. Determine what the bigger picture view of HR needs to be. What will it predominantly be used for and how will it deliver on business requirements? What can we use to be proactive and pre-emptive in HR decision making? What data is required? Success in this area rests with accessing the right data, quickly and accurately, and with consistency. Ask IT how "we" can create a powerful and scalable approach to working with HR data. Focus on the HR investments that drive positive business outcomes. Also focus on pain points (talent, resource, agility). How can we plan our workforce future and maintain high performance? Interface with existing databases with ease, extract data, and offer fast insights Deliver easy-to-use analytics tools, with custom views and dashboards Integrate with workforce performance management, compensation, and L&D Export in different formats, and provide smart recommendations based on data insights HR Analytics Compare and Contrast Insights With the Past Provide insight to HR, but ensure it can roll-up to LOB management and C-suite Collect all insight between line of business and employees, including past data Apply Analysis-Based Recommendations Focus on succession planning and attrition as a key starting point and where maximum value can be created early Create workforce planning and workforce projection outcomes, to show actionable results to LOB and senior management Common Starting Point and Frame of Reference Prepare, plan, and execute longer-term HR strategy with greater access to insights and trends Use this to streamline HR resources across departments and divisions and demonstrate efficiency gains to the board
- 4. BACK Managing a Flexible Workforce Understanding Your Company Needs Forming a Working Group for Change Defining the HR Applications Needed Managing a flexible workforce requires HR tools that address the following: Understand Progress and Deliver Results Contingent, seasonal, or even virtual workers are now part of the talent ecosystem, but they are not part of the HR process. They need to be managed as if they were FTEs. 21 3 4 Contingent labor is treated as temporary staff and is managed at "arm's length" with limited engagement. HR focus is on FTEs and as a result the business does not fully utilize wider talent nor potential of flexible staff. LOB is not empowered to change this process and does not have the skills or tools to manage flexible workers. Agile and project-based work is suffering. For contingent workers to feel engaged and valued, as key members of the talent pool and culture. For HR to enable LOB to connect and match talent with opportunities across the organization's needs. For the wider business to tap the best talent anywhere and anytime, transforming their needs into outcomes. What you have: What you want: Drive the C-level business case for flexible talent Determine the skills needed and how they are to be used Define the processes to support this contingent labor Select an evolving and easy-access software tool Communicate the changing workspace and how employee requirements are evolving. Focus on the business outcomes, such as a wider talent pool allowing the organization to be flexible at all times and react to market challenges and opportunities. Demonstrate the requirement for FTEs and departments to tap into wider skills — either flexibly, or the skills of workers who prefer "gig-based" roles. Engage with LOBs on what is missing from their requirements and what could be met with short-term or flexible resource. Focus in on the question how HR and LOB manage, evaluate, and build relationships and engagement with contingent workers. What tools and processes are needed to support this and how do they differ to what is already in place? To achieve this look for software tools that facilitate transactions, are totally transparent, and allow frequent feedback and evaluation. Focus on the same tools and processes for employees whatever their position. Integrate contingent, seasonal, and virtual workers across the wider talent pool Monitor and provide accurate feedback on performance, past experience, and skills Is easy to use, benefits FTEs, and enables the organization to tap talent anywhere and at anytime Delivers smart recommendations to managers for best-fit, to specific requirements Contingent Labor Redefine Processes to Include Flexible Workers Empower HR with the tools and requirements that engage these flexible employees Deliver easy-to-use and self-service tools for LOBs to conduct this process themselves and benefit quickly as a result Collect Feedback to Curate a Talent Pool Widen the approach to collecting, storing, integrating, and acting on feedback; not just line managers, but project-based Use this insight beyond managing flexible workers, for wider strategic planning and workforce projection Common Starting Point and Frame of Reference Use this approach to enable the company to prepare, plan, and execute its longer-term HR strategy Use the process to begin a rationalization of HR resources across departments and divisions
- 5. BACK Continuous Employee Engagement Understanding Your Company Needs Forming a Working Group for Change Defining the HR Applications Needed Continuous employee engagement requires HR tools that address the following: Understand Progress and Deliver Results Existing evaluations are sporadic, time consuming, and expensive. Regular and distributed feedback from across the business delivers constant improvements. 21 3 4 Performance reviews often force managers to condense 12 months of work into one meaningful session. Coordinated performance review "season" results in an inundated HR department, struggling to manage the process, while addressing other objectives. Line-of-business managers lack timely feedback on employee performance and project-based outcomes. Timely inputs based on team feedback, delivered at the end of projects and on a frequent basis. HR has a complete and real-time view of employee performance so issues can be acted on immediately. Employees with flexible relationships and insight from many leaders, mentors, and team peers. What you have: What you want: Reexamine your evaluation culture and its impact Collect requirements from managers and employees Involve IT in determining workflows and process Select an easy to access and user-focused solution Ask yourself and the organization whether the process of yearly evaluation is keeping pace with the changing business. Is it caught up in the processes that define it, rather than being the correct approach to take? Dig into the effectiveness of this process and ask employees if they still see value in it. Understand that these requirements will vary by department and employee. Ask LOB how the business can move away from the yearly review model. Position the transition to continuous engagement as a way to build touchpoints with employees. Determine what tools and processes are needed to generate timely and accurate feedback. What tools already exist that could be utilized to manage this process? What is now required and does it fit the needs? Decide how to use that to drive better engagement and increase productivity. Are easy to use and export data across team and project setting Flexible and agile and can aggregate to create the complete picture Easily integrated with other HCM modules, such as compensation, L&D, and KPI setting Deliver recommendations to managers based on benchmarks and team dynamics Continuous Engagement A Process That Integrates Multiple Inputs Ensure employee performance is measured across the organization and from a number of sources As well as line managers, ensure project inputs and team feedback is included in the process Feedback Drives Productivity and Efficiency Use this feedback to reward wider sources of success and performance — across teams and wider aspects Provide the business with wider inputs on performance and skills, as well as linking these to business outcomes overall Continuous Successful Engagement Employees learn from their experience and improve on key skills Lines of business build expert teams, provide timely inputs, and achieve better results
- 6. BACK Social and Collaborative Learning Understanding Your Company Needs Forming a Working Group for Change Defining the HR Applications Needed Social and collaborative learning requires HR tools that address the following: Understand Progress and Deliver Results Social learning can turn everyone into both teachers and students, empowering knowledge sharing across the business and making L&D far more engaging 21 3 4 A system with role-based learning, and no collaborative or social capabilities. Contains inflexible, repetitive, or mandated content, with little clear benefit or motivation. HR departments struggle to create engaging content to help the workforce engage with learning materials. No ability for employees to demonstrate or share their expertise or locate experts. A platform that increases job satisfaction and motivation by offering employees an engaging and collaborative learning environment. A culture and environment that leverages employees as both students and teachers. An easy-to-use and well maintained archive of content that also retains wider employee knowledge. What you have: What you want: Review learning content, importance, and ease of use Introduce a culture of collaborative learning Engage IT on best way to collect and deliver learning Position learning as a key feature of success While content may be vast and exhaustive, how is it being accessed and how often? Demonstrate to the business that knowledge sharing is the essence of talent development and the combined intellectual capital of the business. Demonstrate how sharing knowledge and teaching others empowers the recipient, but also empowers and motivates the teacher. Highlight the need for collaborative learning as a cornerstone of company culture. Engage with IT to establish what tools are available to support this kind of distributed learning. Can HR measure learning outcomes and, if not, what are the metrics needed to demonstrate value and productivity gains? Demonstrate some quick wins and show how the performance of learning platforms and the use of collaborative learning across the business are contributing to both performance and employee engagement. Easy access to regular training, via any kind of platform and at any time The ability to share, rate, and review content, and participate in learning communities Connects to a learning database where materials can be classified by topic, creator, and rating Uses AI to recommend learning based on role, position, project, and KPIs Distributed Learning Foster a Culture of Sharing Expertise Drive and foster a culture of employee-created content and sharing of knowledge Begin by shifting line of business away from being centers of expertise, to centers of sharing and knowledge transfer Reinforce Culture and Embed Best Practice Use highly rated content to begin to identify subject matter experts and conversely skills-gaps and talent concerns Soon, documented best practices become common knowledge to employees, and talent and skills are built Distribute Learning as a Force Multiplier Employees learn from their peers and use their experiences to improve performance Organizations curate knowledge and reward high-flying individuals that help with business outcomes