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Business leaders need to be aware of the trends that will impact
the operatingenvironment in the future. Trends offer clues about
how the operating environment willchange. Understanding these
shifts will allow smart CEO's and managers to adapt andthrive. This
is especially true in the area of Human esources management since
peopleare one of the most important resources to any enterprise.
Here are five common trends in
Human esources management that business leaders will want to
watch!
Leveraging Technology
Technology is ubi"uitous. #hether you are in the industriali$ed
world or developingmar%ets& a growing number of people are
connecting with mobile devices li%e smart cell
phones and very portable computers li%e pple's i(ad. This allows
people tocommunicate across traditional boundaries within companies
or e)ternally across theworld. They have instant access to
information and to people. *mart CEO's are thin%ingabout ways to
leverage this technology e)plosion. +any are already e)perimenting
withvirtual teams& non,traditional wor%places& and flatter
corporate structures. How will your
company leverage technology- re there ways to connect more
effectively with co,wor%ers& customers& or investors- Can
access to information help to run the companymore effectively- Have
you identified what information is important to your success andhow
it should be shared- #ill you use an enterprise platform li%e * (
or (eoplesoft& orwill you simply use basic services li%e email
and the nternet- *o& the basic "uestion froma human resource
perspective is how to use technology to connect people
andinformation to your advantage. f you are not thin%ing about all
of this& rest assured thatyour competitors are already
e)perimenting with the new technologies. +a%e sure thatyou don't
get left in the dust.
Global Marketplace
s demonstrated during the recent downturn& worldwide
economic activity is moreinterdependent than it ever has been in
the past. lthough trade has crossed borders even
before the *il% oad was traveled by +arco (olo& in today's
global mar%etplace whathappens in one country usually has a
dramatic impact in another. The largest economiesli%e the U*&
China& /apan& and Europe are so interdependent that their
leaders meet
periodically at the 0,12 summits to discuss issues of mutual
interest and commonstrategies. *maller countries that were formerly
called third,world countries are nowcalled emerging mar%ets because
they have the most robust growth. t is now also
possible to do business across borders more easily using global
transportation servicesli%e 3H4& 5edE)& and U(*. Even small
businesses have the opportunity to compete or
buy supplies from outside their local mar%etplace. This is a
growing trend and much ofthe growth will be outside of the
developed countries. *o& how is your company
positioned to participate in this growth- Can you tap into new
mar%ets or find suppliersor contract wor%ers at lower cost- Can you
partner with other businesses or agencies indifferent mar%ets at
home or abroad- f you are loo%ing for new customers&
pro6ectwor%ers or new opportunities& then it only ma%es sense
to thin% about strategies thatwould allow your company to
participate in the global economy. How can your companytap into the
growth in the emerging mar%ets- +ore specifically from an human
resources
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perspective& can you leverage contract wor%ers for pro6ects
or support staff- #hile thismay not be feasible for every
business& it might be more viable than you thin%. #or%erswho do
their 6ob primarily at a computer can do this 6ust as well in
another state orcountry. This is especially true if you have the
right technology platforms or use cloudcomputing. #hile there are
security& cultural& and other issues to address& don't
let the
opportunities pass you by 6ust because you haven't thought
globally about your businessin the past. The future is a global
mar%etplace. Thin% globally.
Rising Costs of Benefits
n the United *tates& health care and benefit costs generally
have been rising at anunsustainable rate. ecent federal health care
legislation may address some issues7however& it is still very
li%ely that the costs will continue to rise. Thus& companies
will beloo%ing to shift the burden for the costs of benefits. *ome
of this will be shifted to thegovernment& some will be shifted
to wor%ers& and still other benefits will 6ust be cut
because they are no longer affordable. +any companies have
already cut their defined
benefits pensions and retirement programs. Others have modified
them to lower matchingcontributions when they aren't ma%ing a
profit. Others have shifted their health insuranceto
high,deductible plans which offer lower premiums& but also
re"uire wor%ers to pic% upmuch of the basic cost even when they use
health savings accounts. Thus the trend formany companies is to be
more frugal with employee benefit offerings7 however&
othercompanies will use their enhanced benefit programs as a
recruiting tool to attract the toptalent in their industry. *o each
company must analy$e their benefits in relation to theiroverall
strategy to attract and retain talent for their firm while
balancing the overall costsof the programs. 8ou must be able to
answer the basic "uestion& 9#hat is ourcompensation and
benefits philosophy and how does if fit into our overall
businessstrategy-
Flexible Workplace
The wor%places in the future will be more fle)ible. Once
again& technology might be oneof the driving considerations
that ma%es this possible7 however it is not the only factor.8ounger
generations are not only more accustomed to being treated
differently& but insome cases demand that employers are
fle)ible so that they can balance wor%,life issues.Unless there is
a compelling reason for wor%ers to be on site during certain
hours& such asa doctor in an emergency room or a shift manager
at a manufacturing facility& thenemployers should thin% about
how they can be more fle)ible in their wor%places.
llowing wor%ers to tele,commute has both disadvantages as well
as advantages& so thereis not a simple right or wrong answer
for every company. However& ma%e no mista%e7some companies are
wor%ing through these issues right now so that they can
offerfle)ibility for their employees that compliments their
business strategies. This will betheir %ey to attracting top
talent.
Demographics
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3emographics are definitely changing. n the United *tates where
there is a tradition ofimmigration& there is a shift from the
traditional white,male dominated wor%place to amulti,cultural
environment. This is happening at all levels from line,wor%ers
tomanagement. dditionally& women will brea% through the 9glass
ceiling9 and rise to moresenior management ran%s. Beyond ethnic and
gender considerations& age is also li%ely to
play into the e"uation of wor%force planning. +any leadership
and managerial positionsare now occupied by aging 9baby,boomers9
who will be retiring over the ne)t five to tenyears. This will open
up new opportunities for younger wor%ers& but only if they
are
prepared. On the other hand& some older wor%ers will be
wor%ing well past retirement ageeither because they haven't saved
for retirement or because they will be retained ascritical
employees due to their 6ob e)perience. They might be willing to
stay if theiremployer offers some fle)ibility li%e 6ob sharing or a
four,day wor% wee%. Outside of theU*& industriali$ed nations
will also need to deal with aging populations while theemerging
countries will have younger wor%ers who are eager to share in a
more affluentlifestyle. Thus& CEO's and H managers are thin%ing
about ways that their wor%forcewill change in the ne)t few years.
#ill you have "ualified leaders to replace aging baby,
boomers- #ill you need to train younger wor%ers to transfer the
institutional %nowledgethat is currently retained by your more
e)perienced staff- How will your company ta%eadvantage of shifts to
a more diverse wor%force- These are all very important
"uestionsthat must have an answer if your firm is going to thrive
in the future.
4oo%ing into the future is hard to do& especially in the
1:st Century& but trends offer someclues. #e live in a more
comple) and interconnect world. Events in one part of the worldare
"uic%ly news everywhere over the internet& cable T; and mobile
phones. lthough itis an e)aggeration to say that the gentle flutter
from a butterfly's wing in sia can resultin a hurricane on the
other side of the globe& we see the far reaching effects from
eventsin one place to other regions that would not have %nown about
them in the past. Thus& it
is important to loo% for trends that will impact our world. f
you can capitali$e on thechanges that result from the trends&
then you can prepare to either ta%e advantage of themor minimi$e
their harmful impact. These five trends in human resources trends
arealready impacting the way we do business. They will definitely
continue to impact ourworld& and it is up to you to figure out
how to leverage them to your advantage.
