New vision in HR 2013„Companies need abusiness manager to leadHR, not an administratorto manage HR“

www.pwc.com/sk

Vanda Šinková

The evolution of HR

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Performance

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China

USA

Why - Emerging markets

CEOs expect the following countries the most important for theirprospective growth

31%

23%

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Brazil

Germany

India

Centralized HR management challenged: companies often moving productionto emerging markets

15%

12%

10%

HR trends4

CentralisationCentralisation and outsourcing within the company

Strategic HR

Central HR unit thatsets out the strategies

HR business partners (BPs) and centres of excellence

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Consulting HR

BPs assisting seniormanagement indecision-making

Transactional HR

HR Shared Services

Day-to-day operations

5

52 50 4850

60

70

80

90

100

The confidence CEOs feel has goneup and down sharply in recent

years/ Percentage stating ‘very confident’

Global Business trends in graphs

Revenue growth rate

31

4150

21

31

4840

36

0

10

20

30

40

50

2003 2004 2006 2007 2008 2009 2010 2011 2012

%

Source, 16th Annual Global CEO Survey 2013Source: PwC Saratoga 2012 European Human Capital Effectivenessreport

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Millenials

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Colours of the future

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Business challenges with major HR implications

• „Expect the unexpected” Resilience is the solution1

Targeting pockets ofopportunity :• Selected initiatives

Concentrating on thecustomer:• Increasing influence,

Improving operationaleffectiveness:• Delivering the strategy

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• „Change is the new normal” 1

1* Source: Source, 16th Annual Global CEO Survey 2013

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• Selected initiatives• Organic growth,• Favoured destinations

• Increasing influence,• Customer engagement and

loyalty• More efficient innovation

• Delivering the strategy• Cutting costs without

cutting value• Sharing resources,• Devolving power

PwCCIPD HR Outlook – 2012-2013

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Is HR curious to seek out innovative solutionswhich add value to the organisation?

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Does HR deliver competitive advantage throughpeople?

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Does HR challenge inappropriate behaviours andactions?

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Does HR debate and challenge organisation issueswith sound reasoning?

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Mirror, mirror on the wall.....

PwCCIPD HR Outlook – 2012-2013

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Top 5 priority areas for building HR capability,according to business leaders

PwCCIPD HR Outlook 2012-13

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Top 5 priority areas for building HR capability,according to HR leaders

PwCCIPD HR Outlook – 2012-2013

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Business challenges with major HR implications

• „Expect the unexpected” Resilience is the solution1

Targeting pockets ofopportunity :• Selected initiatives

Concentrating on thecustomer:• Increasing influence,

Improving operationaleffectiveness:• Delivering the strategy

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• „Change is the new normal” 1

1* Source: Source, 16th Annual Global CEO Survey 2013

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• Selected initiatives• Organic growth,• Favoured destinations

• Increasing influence,• Customer engagement and

loyalty• More efficient innovation

• Delivering the strategy• Cutting costs without

cutting value• Sharing resources,• Devolving power

The 3 ‘savvies’ defined inCIPD Next Generation HR

PwCCIPD HR Outlook – 2012-2013

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The six insights that HR needs to act upon are:

1. Increase visibility and impact.

2. Have the courage (and skills) to challenge and influence.

3. Use data-based evidence to support business(not HR) agenda.

4. Be curious. Be credible.

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5. Keep an eye on the long term – don’t forget to invest in the talent andleaders of the future.

6. See the current economic climate as an opportunity (to be creativeand demonstrate the strategic contribution that HR can make).

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Next Generation HR:Four Linked Propositions

1. HR is there to drive sustainable

performance

2. HR needs to become insight driven

3. HR needs to look and feel more

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‘situational’

4. HR leadership needs re-defining in

this light.

www.cipd.co.uk/nextgeneration2h4r

CIPD Next Generation HR21

Employee Engagement

• Intellectual engagement – thinking hard about the job andhow to do it better

• Affective engagement – feeling positively about doing a goodjob

• Social engagement – actively taking opportunities to discuss

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• Social engagement – actively taking opportunities to discusswork-related improvements with others at work.

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But how do we build it?

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Thank you

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