HCM 4.0 TALENT IS THE READ VALUE ADDITION TO ANY COMPANY

 

HCM 4.0 states that it adds value to the business bottom line through its judicious and prudent Talent Management System . HCM 4.0 is  about delivering business success through understanding what we actually mean by talent, and how it will achieve the specific goals of the organization.  It is about ensuring that we value the natural talents and aspirations of our people.  It is about ensuring that we understand what blockages can spoil all our hard work.  It is about operating people processes that join together not only with each other, but with the business's goals.  And finally, it is also about understanding how to manage people for alignment as well as ability.  If we adopt these approaches, not only will business success follow, but we should also have fulfilled and effective people.

 

#REDESIGN AND RESKILL THE HCM  FUNCTION.

Surprise: in our 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.

HR researchshows statistically that high-performing companies invest in HR skills development, external intelligence, and specialization. In the coming decade  if you aren’t reinvesting in HR, you’ll likely fall behind.

 

#REINVENT AND EXPAND FOCUS ON TALENT ACQUISITION.

As the economy improves you will need to more aggressively and intelligently source and recruit. 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.

#TALENT, SKILLS, AND CAPABILITY NEEDS BECOME GLOBAL.

In coming years  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.” Now we need to source and locate operations around the world to find the skills we need.

You must expand your sourcing and recruiting to a global level. Locate work where you can best find talent. And build talent networks which attract people around the world.

 

#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.

 

#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. Many are  building a HCM  analytics center of excellence and invest in the infrastructure, data quality, and integration tools you 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.

 

#INNOVATION COMES TO HR. THE NEW BOLD, CHRO.

One of the top three challenges companies now face is “reskilling their HR team.” This points to the issue that HR itself, as a business function, is undergoing radical change. Today’s HR organization is no longer judged by its administrative efficiency – it is judged by its ability to acquire, develop, retain, and help manage talent. And more and more HR is being asked to become “Data-Driven” – understand how to best manage people based on real data, not just judgement or good ideas.

As a result of these changes, our 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 “centers of expertise.” And driving this new world is a strong-willed, business-driven CHRO. In the coming decade  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.

 

BOTTOM LINE: EMBRACE THE FUTURE

the coming decade  looks to be an exciting and critically important for Human Resources. The economy will grow, employees will be in charge, and HR’s role in business success will be more important than ever. Finally, the CHRO must plan for the future. HR, through its particular lens into the business, has a unique perspective on the people challenges and opportunities we face. The CHRO must drive a view into the future – developing an understanding of future skills gaps, labor market opportunities, and the impact of potential mergers and acquisitions.