To say that HR is undergoing significant transformation is quite an understatement. But in the shadow of AI/ML, people analytics, and other massive splashes, two familiar foundations are shifting: HR team structures and what HR teams are focusing on. Here's a flyover of what's at stake.
1. Evolving HR Team Structures
HR team structures are evolving to bridge traditional functions with analytics, technology, and strategic planning. It's important to know what's changing and how your business can adapt:
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Impact of Layoffs - Layoffs, especially in tech, force HR teams to rethink their strategies. Some companies downsize, while others use this time to attract top talent, leading to more diverse and adaptable teams.
Recommended Approach:
Use layoffs as an opportunity to reassess and restructure your HR team to align with new team focuses (below). Focus on bringing in diverse skills and expertise to create a more resilient and adaptable team.
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Optimal Team Size - There’s a growing belief that HR teams can be more effective with a smaller, well-defined team size. Bigger isn't always better; the right team size can enhance efficiency.
Recommended Approach:
Evaluate your organization’s specific needs to determine the optimal team size. Prioritize quality over quantity to build a lean, efficient team.
- Platform Approach - Modern HR platforms are reshaping team structures by automating routine tasks and streamlining workflows. This shift allows HR teams to focus more on strategic insights and less on manual processes.
Recommended Approach:
Invest in comprehensive HR technology platforms that offer automation and integration capabilities. This can free up your team to focus on strategic tasks and improve overall efficiency.
- New Emerging Roles - At the same time that some roles are becoming redundant or obsolete, new ones are forming to oversee or bridge gaps in new processes. We're seeing people analytics leaders morph into entirely new roles that span across HR functions. This cross functional people analytics position goes by many names, but we're calling it Workforce Systems Leader.
Recommended Approach:
Stay adaptable, proactive, and informed. Embrace emerging roles like the Workforce Systems Leader to optimize your HR processes and keep your organization at the forefront of industry trends and advancements. Joining a people analytics community can be very helpful in the midst of ongoing evolution. Stay tuned as we address the implications, functions, and ongoing shifts of roles in this industry.
2. Shifting HR Team Focuses
As team structures change, so do their priorities. HR must now be focusing on three key areas: data infrastructure, productivity analytics, and skills and workforce planning.
- Data Infrastructure - A strong data foundation is crucial for advanced analytics and AI. Efficient data management helps HR teams create actionable insights that drive business forward.
Recommended Approach:
Invest in advanced data management tools and provide training for HR staff to ensure high-quality data and effective use of analytics.
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Productivity Analytics - The shift to remote and hybrid work has made productivity analytics essential. HR needs to measure productivity accurately and understand what influences it, especially in new work environments.
Recommended Approach:
Implement productivity tracking software and regularly analyze the data to refine remote work policies and improve employee performance.
- Skills and Workforce Planning - Integrating skills data into workforce planning is becoming vital. HR must understand the impact of specific skills on workforce dynamics and align this knowledge with company goals.
Recommended Approach:
Conduct a skills inventory and use advanced workforce planning tools to align skill development initiatives with the company’s strategic objectives.
It's not necessarily easy, but by embracing these and other changes we've identified this year, HR departments can improve their effectiveness, foster collaboration, and drive significant business outcomes.
Ready to get ahead of these shifts and redefine the impact of HR in your organization? Download this new resource today to take a deeper dive into all 6 of this year’s top emerging trends for people analytics.