By 2030, all HR functions will be driven by tech if they’re not already—no ifs and no buts. Sage’s new "HR in 2030" report looks at what HR will look like by the end of the decade. Based on insights from HR experts across the globe, it looks at the top trends HR leaders need to know, and how to prepare now. The trends include:
- Flexible working: Revolutionized experiences that truly make work, work
- Organizational flexibility, fluidity, and agility, led by HR
- People analytics-based insights that drive sustainable and meaningful bottom line growth
- The great admin liberation thanks to automation
- DEI and sustainability encompassing, and requiring, so much more
Interestingly, many of the themes that arose are opportunities and challenges HR leaders are facing right now, but what emerged was that we have only just scratched the surface—and in many of these areas, there still is a very long way to go.
Key for progressive people leaders getting ahead, many of the experts featured say, lies in the role of technology that’s already available today. “It gives HR leaders a competitive advantage,” says Susan LaMotte, founder and CEO of employer brand consultancy exaqueo.
The importance of technology in HR
Mofoluwaso Ilevbare, head of HR at Procter & Gamble Australia and New Zealand, says, “tech can enhance HR solutions; analyze employee insights and stakeholder needs via analytics; simplify HR processes; enhance productivity; and help leaders make intelligent choices faster.”
Understanding tech, and using it to solve business challenges, is also more important than ever. HR leaders need to be future-ready and ‘on the front foot’ during challenging times,” says Dave Millner, founder and Consulting Partner of HR Curator, in the report. “That means a leader who is agile and digitally savvy—so that they can take executive stakeholders with them.”
Gemma Dale, author and lecturer at Liverpool John Moores University, also explains that the shift to homeworking during lockdown obviously had a huge impact: “If the current predictions of a more flexible future do materialize, then tech will play a key role, as successful hybrid working is only really viable with good technology.”
The role of AI and automation
Despite 65% of HR leaders saying their teams have played a vital role in the pandemic, 57% of the C-suite still see HR as largely an administrative function.
Linda Holbeche, co-director of The Holbeche Partnership, explains that very few HR teams have really embraced the strategic potential of automation today. She believes “it’s evolving so fast and it’s hard to get to the front of the queue when it comes to investing in technology.” That needs to change.
“[In 2030] many capabilities will be tracked by artificial intelligence,” says Ray Wang, founder of Constellation Research. But “HR will become more strategic as we see a greater degree of automation for compliance, legal, and regulation.”
HR analytics in 2030
By 2030, People analytics in HR teams will have fully evolved beyond just data reporting and collection, and instead be intrinsic to driving business impact across all organizations.
“[In 2030], there will be greater demand for HR to bring solutions to the business through research and information rather than a gut feeling,” says Ben Eubanks, Chief Research Officer at Lighthouse Research & Advisory.
Interactive dashboards, self-serve analytics tailored for board members and managers, and configurable fields to manage and track information collection are all available today, so there’s nothing stopping HR leaders from tapping into the power of insights right now.
Consolidation of systems
HR teams realized the importance of consolidated, scalable systems more than ever over the last couple of years when the pandemic hit, without having to take time, money and resource procuring new systems.
Matt Charney, Head of Industry and Product Marketing at SmartRecruiters, explains that in 2030, this will go further: “We’re going to be seeing a consolidation of systems, from highly fragmented and specialized, into broader business platforms.”
A clear ROI is mission-critical
In order to secure tech investment, HR leaders must also consider how their tools can deliver profitability directly to the company’s bottom line.
Charney says this is imperative for HR leaders who want to excel in 2030: “In tomorrow’s world of work, HR will not only be responsible for aligning their work with the employees we serve, but also, bigger business and bottom-line results. The days of touchy feely, ‘human relations’ centered HR are fleeting. [By 2030], if you’re not helping drive profits, you’re going to end up at a loss.”
When it comes to winning upfront investment for technology, the general advice from the experts is, to paraphrase, “go hard or go home.” HR leaders should plot their business case, deliver it to the highest level of management, then negotiate. Ultimately, every HR person wants to add more value. Tech will be a large part of the solution and worth the hassle to get there. Fight for it.
To discover the top five trends that lie in store for HR in 2030, and how HR can get ahead, check out "HR in 2030."
Charlotte Penny is Content Marketing Executive at Sage. Dedicated to writing content all about HR and people, she has a keen interest in creating content on emerging trends that are presenting challenges and opportunities for HR leaders in the new world of work.
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