Dynamic role of HR in 2022: The future of human resource management

Years 2020 and 2021 proved remarkably different for HR – the main goals were to adapt. In 2022, HR will be called upon to  push the boundaries of how they can add value. Organizations across the globe were forced to show resilience and overcome unprecedented challenges. Apart from everything else, the pandemic was a learning experience to see how employees adapted to the new work from home situation creatively, showing their potential to work in a digital workplace.

What’s ahead for HR? 

• The need to focus on employee wellbeing 

Companies that adopt a human-centered approach to business see a 32% lift in revenue, deliver outcomes to their market 2x faster, and outperform the S&P by 211%. The need for organizations today is to focus on embracing a people first approach. And top of the list is an employee’s wellbeing. Employee wellbeing is no longer an added benefit but rather a priority. Employees are more discerning about the jobs they accept and work-life balance is non-negotiable. Today, employees want more than just physical wellbeing, they want emotional, social, career, and financial wellness as well.

This is why it is important to focus on how well-suited the workplace environment is to enable employees to feel happy and engaged in their roles, and in the organization. 

• Prioritizing flexibility 

Before the pandemic, HR used to follow a one-size-fits-all approach for hiring and retaining talent. In 2022, the focus must be on creating a positive employee experience by understanding how they are doing, what they need, and how inclusive they feel. HR needs to co-create programs with employees and not just for them. Dealing with the challenges during the pandemic brought our attention to the fact that different employees have different needs. Some people want to return to the office while others want to work remotely permanently. This is why there is a need to create autonomy and flexibility in your policies to retain and hire talent.

• Implementing people analytics

The digital workplace is emerging as one of the top HR trends in 2022. To best support such a workplace, virtual working technology, learning platforms, and above all people analytics are important. HR needs to move ahead of making decisions based on their intuition and embrace data for more informed decisions. It is important as in a digital workspace, the use of technology enables us to monitor a lot of data for insights on how organizations can improve the employee experience.

HR must be trained in analytics and strategy to remain competitive in 2022. These are mandatory skills to generate value for the company. Furthermore, companies must enable continuous learning and be transparent in their communication, if they want to get the most out of their investment in people analytics.

• Implementing strategies and policies for hybrid work

Hybrid work is the future as Accenture found out in its survey. According to the findings, 83% of workers now prefer companies that offer hybrid work models. Also, 63% of high-growth companies have already adopted a “productive anywhere” workforce model.

For both, employers and employees, working from anywhere is about accountability regardless of where or when work happens. The Our Work from Anywhere Future research at Harvard Business School found that people today count freedom to work as an important benefit while deciding about a job offer. HR’s responsibility to define work from anywhere practice policies for employers is critical for the success of such a work model. You can take a cue from companies like the United States Patent and Trademark Office and Zapier to understand how to create policies for virtual collaboration, mentoring, and productivity.

• Creating diversity, equity, and inclusion in the workplace 

A McKinsey study found that companies with high diversity in their leadership were 25% more likely to maintain above-average profitability than companies with lower diversity in the workforce. Many organizations are failing to see how diversity and inclusion can help them grow and create a more positive employee experience.

The challenge for HR here is to strengthen the case for diversity, equity, and inclusion by using data-backed insights. Open communication, active incorporation of diversity, and more inclusion in the selection and training of managers is important than ever before. The days when HR was a back-office function are over. Today the role requires managers to redefine the work itself and you need to be ready for the challenge.

Talent500 can help you meet the challenges of hiring and managing global teams. Let’s connect today to discuss your requirements.