How to Take Care of Your People and Deliver Bold Solutions ... · How to Take Care of Your People and Deliver Bold Solutions in a Fast-Changing World How to Take Care of Your People

HR.Payroll.Benefits.

In partnership with:

How to Take Care of Your People and Deliver Bold Solutions in a Fast-Changing World

2 | How to Take Care of Your People and Deliver Bold Solutions in a Fast-Changing World How to Take Care of Your People and Deliver Bold Solutions in a Fast-Changing World | 3

The rapidly changing workplaceEmployees are demanding much more from employers today than ever before. The generation who entered work in the last decade are demanding greater variety, connectivity and flexibility from their employers. But it is not just “Generation Y” or “Millennials” that are driving this change. With 55 million worldwide working outside of their home country,1 flexible working practices, social networking and mobile technology are changing the world of work for everyone. This is leading many businesses and HR commentators to warn of a changing landscape that organisations must adapt to.

“2015 will be a tumultuous and transformational year in many areas of corporate talent.”

Candidate expectations are also rising regarding the frequency, pace, and transparency of communication. Global economic forces are having a significant impact on growth, and with finding the right talent being harder, business leaders more than ever need HR to think strategically and support the business. To do this HR needs to deliver essential knowledge, insights and services to keep their organisation competitive.

Unfortunately, employers have failed to keep up with the rising tide of expectations. For example, new research from the ADP Research Institute® shows a gap between recruiters and job seekers regarding the tools they use and the user experience. Many employers overestimate how well their current processes meet jobseeker expectations. While 46% of recruiters feel their current process of tracking applicants “works well,” only 16% of job seekers feel the same.2

NEW WAYS OF WORKING AND SOCIAL MEDIA

HR must understand new ways of working and incorporate them into their Human Capital Management (HCM) strategy, but many are too busy with administrative tasks to keep up with the pace of change. Organisations striving to meet their goals for employment and engagement are therefore looking for tools

1. World Migration in Figures, OECD 2013

2. Job Candidate Trends, ADP Research Institute®, September 2013

In Bersin by Deloitte’s influential ‘Predictions for 2015’, they argue: “All of this interconnectedness and transparency, coupled with a shift in demographics (Millennials are expected to comprise 75% of the global workforce by 2020), means that businesses must think about talent very differently... people no longer expect a ‘lifetime contract’ in their careers. We join a company as athletes join a professional team as long as both parties benefit from the relationship.” Employers, writes Bersin, “are no longer in control.”

to make this possible. Increasingly this means social media – an entire World Wide Web of information and communication available at a click of a button. Yet many managers and HR professionals remain too focussed on internal systems and fail to interact with popular forms of web-based technology.

It is essential for HR professionals to be comfortable with social media and social recruitment, but many are not. There is much more transparency in the job market driven by Twitter, LinkedIn, Facebook, Glassdoor, and other online professional networks. Candidates can now easily review and assess a potential employer, the work conditions and management. As a result employer brand and employee engagement have merged.

Candidate expectations are also rising regarding the frequency, pace, and transparency of communication.


It is becoming increasingly essential to integrate social media capabilities into recruiting solutions.

The use of employer rating sites will intensify, and other stakeholders will increasingly look to these internal ratings as a leading indicator of business health. In fact, this is already beginning to happen; for example, on Glassdoor, ADP CEO Carlos Rodriguez has an 88% approval rating from employees.

A strong employer brand is crucial, and developing methods for keeping active and passive candidates interested is a critical step towards attracting top talent. It is becoming increasingly essential to integrate social media capabilities into recruiting solutions. In recent research conducted by ADP, four out of five employers now say social media has a moderate-to-great impact on employment branding, and close to half feel social media helps to create successful strategies on a budget3.

Yet there is a worrying disconnect between how employers actually use these tools, and how employees and job-seekers want them to. Forty-four percent of recruiters listed LinkedIn as “extremely” or “very” useful in their pursuit of new talent, while only 19% of job seekers felt the same when looking for a job.4 Facebook is almost three times as likely to be used as a job search resource by those under the age of 30 compared to those over 455 and with 60% of Millennials planning to leave their current job in the next three years, addressing the social media usage patterns of younger workers is a growing priority.6

Usefulness of Linkedin in recruitment

ONLY 19% OF JOB SEEKERS FELT THE SAME WHEN

LOOKING FOR A JOB

19%

44% OF RECRUITERS LISTED LINKEDIN AS “EXTREMELY”

OR “VERY” USEFUL

44%

40% of companies are not ready to address the challenges of talent and HR analytics

COMING TO TERMS WITH BIG DATA

Social media however, is relatively easy to understand in comparison to Big Data – the term which encapsulates the vast amount of data now captured by both business and external computer systems. HR leaders must master the online and social world by understanding how technology will affect the role of talent acquisition, and Human Capital Management is more important than ever.

Yet a recent KPMG survey finds that organisations are failing to realise the potential of Data and Analytics (D&A). According to the survey, “the vast majority (85% of respondents) said they were struggling with implementing the correct solutions to accurately analyse and interpret their existing data. Most organisations are unable to connect the dots because they do not fully understand how D&A can transform their business, or how to create the right environment for a data-driven transformation.”7

Most HR teams understand the potential value of data, but they continue to only look at the most basic measurements. According to findings from Bersin by Deloitte, only 4% of companies surveyed were able to perform predictive analytics about their workforce, and just 14% have undertaken significant statistical analysis of their employee data.8 In a recent Deloitte study, 86% of companies revealed they do not have any analytics capabilities in HR. More than 40% of those respondents reported their companies were not ready to address the twin challenges of talent and HR analytics.9

3. Recruiting Trends, ADP Research Institute®, August 2013

4. Recruiting Trends, ADP Research Institute®, August 2013 and Job Candidate Trends, ADP Research Institute®, September 2013

5. Job Candidate Trends, ADP Research Institute®, September 2013

6. The Cost of Millennial Retention, Millennial Branding, August 2013

7. Going beyond the data: Achieving actionable insights with data and analytics, KMPG 2014

8. Predictions for 2015: Redesigning the Organisation for a Rapidly Changing World, Bersin by Deloitte 2015

9. 2014 Human Capital Trends Survey, Deloitte


We need to rethink the way we attract, engage and manage peopleIn a time when companies are competing to attract the best people, talent acquisition and smartly nurturing a pool of candidates are key business priorities. Today, low engagement of the workforce is a significant business risk. Gallup believes that only 13% of the global workforce is highly engaged,10 and Glassdoor research shows that only one-half of all employees would recommend their employers to their friends11. Employee engagement needs to be redefined and new tools for employee feedback, sentiment measurement, and communications need to be adopted.

Those new tools include improved and integrated communications techniques to make the hiring process more efficient and effective. Talent communities are becoming a vital strategic investment, creating online communities for candidates and employees with targeted skill sets, allowing for tailored communication strategies and programmes. Talent communities also allow recruiters to nurture prospects until a match can be made,

strategically sharing company updates and information on openings with a ready-made talent pool.

“Network recruiting” will be important for talent acquisition teams to think of (which includes college graduates, prospects, candidates, alumni, as well as employees and their referrals) as one integrated network that is interested in your company. This means that

companies need to market themselves well, attract interested candidates before a job is posted, develop strong university relations programs, tap into professional groups, and continuously communicate with candidates.

However, there are significant barriers that are preventing HR from adopting this strategy. A major barrier is the amount of work required to build a talent community. This requires significant effort from recruiters and talent managers to actively network, create a strategy, and develop the relationships and content to keep members engaged and interested. This can be a full time job, and companies like Accenture have embraced this strategy.

NEW TECHNOLOGY MAKES NINE-TO-FIVE, OFFICE-BASED WORKING DEFUNCT

Results from research by ADP and CorporateLeaders highlight a growing use of mobile technology for work, as well as the increased freedom enjoyed by employees who use them. A survey of senior executives in five European countries found that around 44% of respondents said they already provided access to enterprise applications on employee smart phones or tablets and/or issued smart phones and tablets to some employees. A further 11% said they were evaluating the possibility and 2% had decided to but not implemented the decision yet. In other words, more than half had either done this already or are considering it.12

Manuela Montagnana, VP Human Resources EMEA at ADP, explains the significance: “accessing work via tablet and mobile phones has flooded all generations. While many talk about a ‘new world of work’, in reality it is a ‘new way of life’ in which work and personal lives are interconnected, whether we want it or not. Employers can’t afford remaining on the fringes of society in the long term without losing in terms of innovation and innovative spirit, competitiveness and attractiveness.”

Organisations need to create greater flexible working options such as variable work hours, job-sharing, or working from home. According to SHRM13 nearly 46% of employers use virtual teams, and with 41% of Millennials preferring to communicate electronically and 21% wanting flexible working arrangements14, it’s essential for companies to look at this evolving work-style more closely and develop approaches that promote efficiency and worker satisfaction.

The increasing dependency on technology allows us to stay connected all the time, combined with the need for greater freedom and flexibility, is one of the most significant and ‘disruptive’ workplace trends that HR faces today. Businesses need to adapt their workforce planning and development strategies to ensure that they are aligned with future requirements.

10. Worldwide, 13% of Employees Are Engaged at Work, Gallup

11. Research Bersin by Deloitte and Glassdoor, October 2014

12. Engaging and Empowering Employees in the New Workplace,

ADP and CorporateLeaders 2013

13. Virtual Teams Used Most by Global Organisations, Survey

14. Millennials at work, PwC

With 41% of Millennials preferring to communicate electronically and 21% wanting flexible working arrangements, it’s essential for companies to look at this evolving work-style.


THE BEST COMPANIES ARE GOOD AT THIS ALREADY

Silicon Valley companies such as Google and Facebook have already changed what candidates expect from today’s workplace and, in so doing, have set high expectations for everyone else in the talent market. Nearly 70% of best-in-class organisations already connect social media and talent communities, and targeted communications allow job seekers to find their niche interest in the company.15

Mobile job seeking is also on the rise. According to a recent study, 7 out of 10 job seekers now search for employment on their mobile devices16. Convenience and ease of use is driving increased interest in this area. Employers’ approach to using mobile and networking technology for business depends, to an extent, on the market in which they operate and the nature of their workforce, so it’s no surprise that IT companies tend to lead the way. These companies also have high levels of engagement, and organisations such as Google, Microsoft and Adobe Systems dominate the top ten in the Fortune 100 Best Companies to Work For listing.

Yet most companies lag far behind. According to a survey by Harvard Business Review, almost 60% of respondents said they work in an environment without a culture of quality, especially when it comes to having peers who go “above and beyond.”17 Such companies are missing out on significant benefits.

7/10 job seekers now search for employment on their mobile devices

15. HR Executive’s Guide to Web 2.0: Cracking the Code for Talent Management, Aberdeen 2013

16. Simply Hired, “Today’s Job Seekers Report”, November 2013

17. The Impact of Employee Engagement on Performance, Harvard Business Review 2013


Adopting a new, technology-enabled approachLeading edge companies are moving towards a more collaborative and mobile way of working under-pinned by technology and social networking. Investing in technology and analytics as a platform is therefore essential, supported and amplified by a great Human Capital Strategy. An engaging and collaborative culture in the workplace, which empowers individuals and teams, is the best recipe for attracting and retaining talent. And top employers are recognising that, for a new generation, a new approach to management is required which gives staff flexibility and ease of communication.

HR can respond to these demands by searching for new solutions and placing them in the hands of line managers and employees. This enables a new way of working based on flexible hours and flexible workplaces, using mobile applications, cloud computing, virtualisation, and social networking.

Manuela Montagnana, VP Human Resources EMEA at ADP, explains: “Core HRMS and talent management features (e.g. payroll,

performance management, recruiting, learning management, and succession management) are available from most major ERP providers. But the exciting new tools that will drive adoption and engagement, such as mobile apps and mobile HR applications, social recruiting capabilities, development planning, learning on the go features, along with a multitude of user-friendly applications, for TLM (Time and Leave Management) for instance, are the ones that can make the difference. With one-half or more

of our employees on the road in today’s modern economies, most of the transactions take place on the move. Cloud-based data analytics are considered as a must-have by most Millennial associates while only the most innovative HR vendors provide really useful people and business-aligned information.”

As high-income earners join young job seekers on social media platforms, employers can optimise their social messages to build talent pipelines and provide more information to candidates. Using candidate relationship technologies, recruiters can now nurture conversations with prospects and foster better connections.

GOING BEYOND TECHNOLOGY TO DELIVER BOLD SOLUTIONS

The average employer uses more than four systems or tools during the recruitment process, yet only 30% rate their current recruitment solution as “excellent” or even “very good.”18 Integrating these platforms into one, easy to use interface, can reap almost immediate rewards. Recruiters cite integration three times more often than any

other component as a way of improving the talent acquisition process19. If combined with new KPIs which shed light on the candidate’s experience, these could be crucial competitive differentiators. Such KPIs include:

• Mobile vs. computer web browser access to your career sites

• Monitor time from interview to offer

• Frequent outreach and communication following initial interview

• Track candidate satisfaction with the process

Upgrading technology and consolidating many processes and systems into simpler processes is just the start. To make that internal strategic leap, HR leaders need to use technology wisely to produce real business insight. Currently 40% of company leaders say HR gives them a lack of sufficient insight into their global workforce to enable them to make sound business decisions.20 Today HR needs to combine technology with the organisation’s talent, and provide the highest level of HR services that will enable them to enhance employee performance and align with the objectives of the business.

Mobile and Human Capital Management solutions provide data-driven insights at a global level

Mobile connectivity, flexible working and individualised talent development are major drivers for empowerment in today’s workforce. Where the workforce is empowered, it will also be engaged. People will remain longer in their jobs, feel greater loyalty to their team and employer and go the extra mile to provide great service.

To win the war for talent in the next decade, senior leaders need to understand the transformation taking place in the world of work. Increasingly, work is ceasing to be a place and more a state of mind. For large numbers of people, it can happen at any time of day and in any place. Executives who understand this and equip their organisations to survive in this new world will be the ones still leading successful organisations in the Human Capital and Mobile Age.

18. & 19 Recruiting Trends, ADP Research Institute® August 2013

20. Knowledge Infusion 2010.

Employers around the world rely on ADP® (NASDAQ: ADP) for cloud-based solutions and services to help manage their most important asset - their people. From human resources and payroll to talent management to benefits administration, ADP brings unmatched depth and expertise in helping clients build a better workforce. A pioneer in Human Capital Management (HCM) and business process outsourcing, ADP serves more than 610,000 clients in 100 countries.

www.adp.co.uk

CorporateLeaders is an exclusive independent network that inspires business and leadership by providing a trusted forum for executives to network, exchange ideas, share lessons learned, and drive business forward in an ever-changing environment. We focus on providing exclusive membership services, intimate and content-rich networking events, research, thought leadership and advice on business transformation with executive needs and experiences at its core.

www.corporate-leaders.com

The ADP logo and ADP are registered trademarks of ADP, LLC. All other trademarks and service marks are the property of their respective owners. © 2015, Automatic Data Processing Ltd.

Documents

How to Take Care of Your People and Deliver Bold Solutions ... · How to Take Care of Your People and Deliver Bold Solutions in a Fast-Changing World How to Take Care of Your People