Human resources is an evolving industry and being able to anticipate the trends can give HR departments a strategic edge.
Human resources involves much more than simply tracking employee data and taking care of the payroll. From recruiting and hiring, to staff training and development, and compliance and benefits management, it can encompass a wide variety of business functions.
Effective management of the human resources within business organizations depends on the ability of your HR team to focus on policies and systems. In addition, HR can also be involved in roles such as:
- On-boarding of new hires
- Training and continuing development
- Performance reviews, and
- Managing pay and benefit systems.
- Implementing labor law requirements
- Maintenance of government mandates.
Many mid and large businesses rely on these various functions performed by their Human Resources team to help maximize employee performance, track reporting compliance and leverage the employer’s strategic objectives. Consequently, knowing what is changing or what is new, in this industry is critical.
Top HR Trends in 2017 Predicted
There are a number of organizations that put forth their predictions and analysis of developing trends and changes in the human resources field. Here is a compilation of the top HR trends that have been noted.
Trends in staffing
According to author Matt Poepsel, in an article in HumanResourcesToday.com, we will see a more multigenerational workforce,
"In 2017, the workforce will become both younger and older at the very same time. Millennials will take on critical positions in many companies. At the other end of the generational spectrum, a surprising number of Baby Boomers will choose not to bow out of the workforce at the traditional retirement age either because they want to keep working or still need an income."
In addition, Poepsel notes that there will be greater diversity with more representation of women and minority groups at all levels of within businesses.
Trends in Tech
Poespsel and others predict that HR departments will embrace more user-friendly technologies will be fully responsive, social, easy, and integrated. In fact, Dan Schawbel, writing in Forbes magazine, predicts that businesses will begin to embrace augmented and virtual reality technology to revolutionize recruiting and training,
"We've found that one-fourth of gen Z and millennials want their companies to incorporate virtual reality into the workplace and I predict that this will increase next year as more adopt VR consumer technology. The technology that employees are experiencing outside of work will naturally influence them to desire the same tech at the office."
As HR software and technology becomes more affordable, smaller companies will have the tools to find new human capital solutions for their businesses.
Trends in Culture
Company culture is a somewhat amorphous term, but the structure, tone, and overall focus of a company's employee culture can be managed and directed. And this often falls within the functions of the HR staff.
Author Catherine Spence, in speaking of corporate thinking about culture, writes:
"...many HR departments thought ping-pong tables, massage chairs and free snacks were the key to luring top Millennial talent into their workplace. Now, recruiters know that these types of perks don’t attract top talent, and even high-ticket perks don’t create loyal employees. Millennials want effective mentoring from senior management and effective collaboration throughout their workplace."
Manager will focus much more on their employee's experience in an effort to retain restless employees. This will involve evaluating the physical, emotional, and technical environment in which their people work. Part of this innovation will include networks of highly interactive teams, a trend that is expected to grow.
In addition, it has been predicted that many companies will move away from traditional top-down, hierarchical models of organization and will continue to be structured in flatter and even more democratic fashion.
Getting help with HR best practices
At some point in the growth of your company it makes sense to consider other options for maintaining and managing the vast number of tasks and functions that fall under the HR department. While newer software and automation are certainly viable and beneficial options, it can often be far more cost-effective to outsource.
If you are considering outsourcing some or all of your payroll processes, give us a call. Let Accuchex help you in managing your HR needs, payroll processes, and staying on top of compliance demands. Get your Free Download: Payroll Outsourcing Guide to help you make an informed decision or call Accuchex Payroll Management Services at 877-422-2824.