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6 Things that will Redefine the Future of HR

Shefali Vasave | October 18, 2021 | 316 views

Fast transforming workplaces mean more focus needs to be placed on human resources and their management. According to current HR tech trends, the future of HR will witness a strategy-driven approach. HR teams are the gatekeepers of an organization’s vision and mission. In 2022, they will also be significant drivers of business outcomes and advance its financial success through human capital management.

As workplaces become remote, the world is witnessing several technology-led innovations in HR operations hiring and recruitment. But what are some non-tech transformations that have forced organizations to revisit their workforce management?


Integration of the gig economy

The normalization of remote work as the primary way to do things has opened the doors for the gig economy to make its way into the mainstream. As organizations become more adept at managing a hybrid workforce, remote workers, including employees, freelancers, and even specialist contractors, can deliver direct services without much interference.
With tools to measure productivity and performance, the gig economy is no longer a subset of the job market. Further, organizations embracing the latest HR tech will become simpler,enablingremote workers to collaborate and manage a hybrid workforce of full-time and freelance employees..


Rise in outsourcing

Innovations in HR software will also encourage HR to incorporate employee self-service and automation software in turn, enabling independence across the board. In addition, as many roles are outsourced to specialists, HR resources can be capitalized to identify new strategies and put tailored initiatives and policies in place to engage employees and improve their work experience.

Cloud HR has further enabled the outsourcing of roles to specialists to perform HR functions like payroll management. With these new developments in the role of HR leaders, outsourcing will become rampant, reducing the cost for in-house HR teams.


Employee Wellness at the heart of HR

While, traditionally, HR operations focused on capitalizing on the organization’s workforce through performance, employee wellness has proven to be just as critical. In addition, the COVID-19 pandemic amplified uncertainty in its wake. As a result, most employees have to balance the concern for their health and safety with the uncertainty of work.

Modern HR management considers these concerns and puts employee wellness at the center of its new policies.


People Analytics

People management around the globe is shifting towards adopting a more data-driven approach to improve employee experience intelligence. People Analytics is a huge step towards using data to identify, configure, and predict the challenges in HR.

“Organizations require insights at everyone’s fingertips, no matter where they are on their digital business journey.”

- Mark Palmer, Senior Vice President, Engineering at TIBCO

With the integration of Artificial Intelligence (AI) and Machine Learning (ML), this trend will transform the way companies attract, hire, and retain talent. In addition, the use of big data to develop personalized HR and marketing initiatives will lead to improvement in performance management within the organization.

Reimagining sustainability and agility

In the backdrop of the global health crisis, the importance of resilience and sustainability in business is evident more than ever. Furthermore, HR leaders focusing on faster adaptability improve business outcomes for organizations.
Organizations encouraging a culture of listening, ensuring trust, and a sense of security for their employees need to manage employee sentiment with fast decision-making. That is essential during times of crisis. At a point when time is of core essence, HR professionals must be prepared to course-correct quickly and identify new solutions to manage evolving challenges.

Emphasis on cybersecurity

Digitizing core HR functions and work processes has shed a spotlight on the importance of cybersecurity. As a result, maintaining a robust remote infrastructure will be the number one priority on the lists of both HR and IT teams. Everything, from ‘Work from home’ to information confidentiality policies, have to be reframed to accommodate a mobile workforce.

HR leaders might want to take a leaf out of IBM’s book. As a tech giant, IBM’s VP of data, AI, and strategy oversees the HR department’s use of data to enhance employee retention and encourage talent mobility within IBM. This is a significant example of encouraging collaboration between the IT, data, and HR teams to improve human resources management.

In a nutshell

While HR’s main aim will be to strengthen the organization’s human capital, a foresighted approach have to be adopted. Even though the current scenario makes it impossible to tell for sure, upcoming trends and patterns are helpful inidentifyingwhere HR is headed.
In 2025 itself, HR is envisioned to be much different than what it is today. HR leaders will become an integral part of decision-making teams, charting strategies and consequently making business decisions.


Frequently Asked Questions

What should be the main focus of HR in 2022?

HR needs to focus on employee engagement across the organization. In addition, with a hybrid workforce, it is vital to integrate HR tech to improve employee experience at every stage.

What is the future of HR tech?

Technology in HR will take precedence in administrative functions. This means HR resources can be better utilized to boost people-oriented policies. Using tools like artificial intelligence, machine learning, digital learning and development, an emphasis on creating a culture of digital collaboration is a must-do for all HR teams.

Will AI take over HR?

No. The HR function may undergo automation and adopt machine learning to identify and predict solutions. However, being a people-oriented process that requires human perception will remain the core of HR for a long time.

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