• McKinsey
    David Green:The best HR & People Analytics articles of August 2024 I’ve just returned from a three-week family holiday in the South of France and am feeling refreshed, recharged and ready for the final four months of the year. These are invariably the busiest for the team at Insight222, and 2024 is set to be no different. The Digital HR Leaders podcast returns from its summer sojourn on September 3 with a special episode on how HR can help their organisations embrace the blended workforce, featuring Diane Gherson and Lynda Gratton, and based on their brilliant recent HBRarticle, The Insight222 Global Executive Retreat, which we host annually for leaders of 100+ companies that are part of the Insight222 People Analytics Program, takes place in Amsterdam from September 24-26 with guest speakers including: Erin Meyer, Prasad Setty, Janine Vos, and a workshop on storytelling with Duarte, Inc.. The fifth annual Insight222 People Analytics Trends report, which studies how leading companies are using people analytics to generate business value will be published in October – you can read the 2023 study here. Additionally, I will be speaking at a number of conferences before the end of the year including Workday Rising (Las Vegas, September 16-19), People Analytics World (New York, October 2-3), UNLEASH World (Paris, October 16-17), and Workday Rising EMEA (London, November 12-14). This edition of the Data Driven HR Monthly is sponsored by our friends at 365Talents 365Talents goes beyond traditional approaches, offering more than just technology for Skills-Based Organizations. Our approach is not just about managing skills; it's about making the entire process seamless, effective, and enjoyable. Picture real-time insights into your workforce's skills, coupled with the expertise to implement strategic HR projects aligning with your business goals. Our experience in talent mobility and skill development contribute to creating a more democratic, inclusive, and future-ready world of work where every individual has the power to shape their professional path. Start your skills journey with 365Talents today and join the ranks of trailblazers like Veolia, SLB, TotalEnergies, SocGen, and more! To find out more click here: https://www.365talents.com/en/lp/experience-365talents 2024 Skills Impact Report In today’s fast-paced and increasingly disruptive environment, companies need to adopt a more flexible approach that puts its people and their skills at the center of its talent management strategies. This has become more and more imperative as: 59% of the global workforce are disengaged. 69% of job candidates say they would reject a job offer from an employer with a negative reputation, even if they were unemployed. 87% of organizations currently have an existing skills gap or expect to within the next two to ten years. Enter the 2024 Skills Impact Report. It explores the business imperative of talent experience for Skills-Based Organizations, the impact it has on your employees, the pillars of design thinking for HR and how to start applying it to your strategy with 5 intuitive roadmap worksheets. CASE STUDY: SEGULA Technologies Group In 2020, as the world faced significant engineering transformations, the COVID crisis, talent shortages, and the rise of AI, SEGULA Technologies Group launched a strategic initiative to plan and manage the resources and skills of its workforce. The goal of this ambitious project was to identify and leverage the talents of the Group's 15,000 employees across 30 countries, using AI to drive innovative skills management and enhance overall performance. Read the Case Study to learn all the steps and actions taken to successfully tackle the challenge! To sponsor an edition of the Data Driven HR Monthly, and share your brand with more than 130,000 Data Driven HR Monthly subscribers, send an email to dgreen@zandel.org. Share the love! Enjoy reading the collection of resources for August and, if you do, please share some data driven HR love with your colleagues and networks. Thanks to the many of you who liked, shared and/or commented on July’s compendium. If you enjoy a weekly dose of curated learning (and the Digital HR Leaders podcast), the Insight222 newsletter: Digital HR Leaders newsletter is published every Tuesday – subscribe here. NEW: Insight222 research report on the People Analytics Ecosystem Access the new Insight222 study here: Building the People Analytics Ecosystem: Operating Model v 2.0. HYBRID, GENERATIVE AI AND THE FUTURE OF WORK MCKINSEY - Gen AI’s next inflection point: From employee experimentation to organizational transformation HR plays an especially important role in gen AI, both by transforming the people domain and by acting as a gen AI copilot for all employees. One executive noted that for every $1 spent on technology, $5 should be spent on people. A new study by McKinsey finds that to generate value from the momentum associated with GenAI, businesses must transform their processes, structures, and approach to talent. The article, penned by Charlotte Relyea, Dana Maor, Sandra Durth, and Jan Bouly, outlines the key findings from the research: (1) Employee use is at an inflection point, while their organisations lag behind. (2) The next inflection point will see organisations shift from individual experimentation to strategic value capture. (3) Reinvent domains by translating vision into value. (4) Reimagine talent and skilling by putting people at the centre (see FIG 1). (5) Reinforce the changes to continue transforming (“To make gen AI changes stick, organizations need the right infrastructure to support continuous change and win over hearts and minds”). FIG 1: Early adopters prioritise talent and the human side of GenAI more than other companies (Source: McKinsey) DAVE ULRICH - How are You Doing at AI for HR? A Ten-Item Assessment to Evaluate Your Progress Getting started in AI for HR often begins with initiatives that can be done relatively quickly and easily. Dave Ulrich shares key takeaways from a recent deep-dive, he and his colleagues at The RBL Group facilitated with senior HR leaders on AI in HR. He distils these into ten dimensions designed to help HR leaders assess how they are doing at applying AI for HR to their organisation (see FIG 2). These include: (1) Articulate a business case. (2) Develop Talent who can ‘do’ AI. (3) Create Responsible AI policies. (4) Create metrics to guide and measure success. (5) Start with low-hanging fruit. FIG 2: Criteria to evaluate how well your organisation is using AI for HR (Source: Dave Ulrich) DUNCAN HARRIS AND KATE ZOLNER - 5 Employee Fears of AI and How to Overcome Them If companies want to get the most out of AI, they need employee trust. Securing it is not easy. More than three-quarters of employees don’t think their organization’s future use of the technology will be ethical. Duncan Harris and Kate Zolner present the findings of Gartner research on the five main employee fears of AI use by their organisations (see FIG 3), which have a negative impact on employee trust. They then explain how leaders can address these fears through initiatives in areas such as learning, co-creation, effective communications, ethics and data privacy. As well as enabling the organisation to benefit from AI, Harris and Zolner argue that these solutions will lead to higher levels of inclusion, engagement and effort. FIG 3: Five Employee Fears of Organizational AI Use (Source: Gartner) STACIA GARR - How is HR using Gen AI today? | MAX BLUMBERG - GenAI in HR: Slashing Costs, Boosting Efficiency | SWANAND DEODHAR, FAVOUR BOROKINI, AND BEN WABER - How Companies Can Take a Global Approach to AI Ethics | BAIN - AI Survey: Four Themes Emerging Four more resources tracking topics related to GenAI in HR. (1) Stacia Sherman Garr’s LinkedIn post summarises RedThread Research analysis of how HR is using GenAI today (see FIG 4). (2) Max Blumberg (JA) ?? provides a summary of his report on Slashing HR Costs: The Ultimate Blueprint for Implementing GenAI in HR, which provides guidance on implementing GenAI to transform HR cost efficiency, and includes Max’s GenAI HR Cost Reduction Maturity Model (see FIG 5). (3) Ben Waber teams up with Swanand Deodhar and Favour Borokini in a Harvard Business Review article offering guidance on how companies can take a global approach to AI ethics: “Because AI and related data regulations are rarely uniform across geographies, compliance can be difficult. To address this problem, companies need to develop a contextual global AI ethics model that prioritizes collaboration with local teams and stakeholders and devolves decision-making authority to those local teams.” (4) Gene R., Sanjin Bicanic, Jue Wang, Richard Lichtenstein, and Arjun Dutt share the four key themes that emerged from Bain’s recent AI survey, which includes that the emphasis has shifted from experimentation in 2023 to delivering real value 12 months later – thanks to Hung Lee for sharing Bain’s research in a recent edition of Recruiting Brainfood. FIG 4: How HR is using GenAI (Source: RedThread Research) FIG 5: GenAI HR Cost Reduction Maturity Model (Source: Max Blumberg) MARC EFFRON - Above the Fray: What We Know About How WFH and Hybrid Affect Work We should approach solving this problem in the same intelligent way as we suggest all human problems be solved – start with the science. As his article on skills-based organisations testified, Marc Effron has a penchant for cutting through the hype and getting to the heart of an issue. As such, I highly recommend digging into his new analysis on what the science and evidence says are the trade-offs among WFO, WFH and hybrid work. Firstly, Effron dispels four myths propagated by proponents and opponents on CEOs, real estate, proximity bias and employees who prefer WFH. Then he examines the consequences of different work arrangements on (1) performance, (2) creativity, (3) innovation (4) work relationships, (5) collaboration, and (6) managing based on the emerging knowledge available via Google Scholar. LYNDA GRATTON - Seven Truths About Hybrid Work and Productivity | BRIAN ELLIOTT - Hybrid Work: How Leaders Build In-Person Moments That Matter | REBECCA KNIGHT - 17 Team-Building Activities for In-Person, Remote, and Hybrid Teams To get the most from hybrid work, leaders should prepare for trade-offs, make expectations clear, and think harder about how productivity is measured. Three more resources on hybrid work to read in conjunction with Marc Effron’s article above. First, Lynda Gratton unveils seven key findings from what she is seeing from experiments in hybrid working including: (1) Hybrid work is a continuum. (2) Productivity is usually challenging — and measurement is always complex. (3) It’s useful to view hybrid work as fundamentally a job design option. Second, Brian Elliott provides guidance on the four essential times leaders should be intentional about building moments that matter for hybrid workers: (1) Team development (“Get people together three or four times a year, with a 50-50 mix of business and social”). (2) Onboarding and training. (3) New-team formation and major-initiative kick-offs (“Grapple together over the objectives and norms of a project”). (4) Business-function-specific activities (“Let teams figure out the best in-person schedules for their needs”). Finally, Rebecca M. Knight provides guidance to leaders on team-building activities for in-person, remote and hybrid teams. FIG 6: Focus on Productivity, Not Physical Presence (Source: Brian Elliott, Future Forum) PEOPLE ANALYTICS NAOMI VERGHESE, JONATHAN FERRAR, AND JORDAN PETTMAN - Building the People Analytics Ecosystem: Operating Model v2.0 ARTICLE | FULL REPORT One of the questions we get asked most by the people analytics leaders and chief people officers we work with at Insight222 is: What capabilities do I need to build into our people analytics function? Based on research of more than 250 companies, focus interviews with 20 organisations, and our experience of working with more than 120 global companies as part of the Insight222 People Analytics Program, my colleagues Naomi Verghese, Jonathan Ferrar and Jordan Pettman have developed a new report: Building the People Analytics Ecosystem: Operating Model v 2.0. The executive article provides a summary of the key highlights, while the full report breaks down the six elements of the People Analytics Ecosystem (see FIG 7): (1) A Value Chain: from client drivers to business outcomes. (2) People Strategy at the Centre: a symbiotic relationship exists between people strategy and people analytics. (3) Five Core Capabilities: consulting, data science and research, employee listening, analytics at scale, adoption. (4) Four Additional Capabilities: reporting, data governance, workforce planning, AI strategy. (5) Internal Partnerships: HR and other business stakeholders are key to operational effectiveness. (6) External Partnerships: external suppliers and expertise are important for enabling success. FIG 7: The People Analytics Ecosystem (Source: Insight222 Building the People Analytics Ecosystem: Operating Model v 2.0) NELSON SPENCER - Introducing the S.T.A.R.T. Framework The strategy pillar is all about aligning with your overall HR and Business goals. You should be able to connect how your strategy is driving business outcomes. Nelson Spencer, who has worked in both sports and people analytics, presents his S.T.A.R.T Framework (see FIG 8), which is designed to solve a perennial problem for many HR functions: the disconnect between analytics, technology and operations. As Nelson explains, S.T.A.R.T has been designed “to consider these three critical functions holistically, acknowledging that they are part of a bigger puzzle and are all deeply interconnected.” The five pillars, which Nelson describes in detail in his article, are: (1) Strategy, (2) Technology, (3) Analytics, (4) Results, and (5) Transformation. He then provides guidance on how to implement the framework in organisations of varying sizes, from small to large. FIG 8: The S.T.A.R.T Framework (Source: Nelson Spencer) MICHAEL LUCA AND AMY EDMONDSON - Where Data-Driven Decision-Making Can Go Wrong When making decisions (using data), managers should consider internal validity—whether an analysis accurately answers a question in the context in which it was studied. They should also consider external validity—the extent to which they can generalize results from one context to another. Drawing on their research and work with companies, Michael Luca and Amy Edmondson present an approach that considers internal validity and external validity that leaders can apply to discussions of data to support better decision-making. This approach is designed to help leaders avoid five common pitfalls (see FIG 9) associated with data-driven decision-making. FIG 9: How to avoid predictable errors (Source: Michael Luca and Amy Edmondson) WILLIS JENSEN - Building a Network View of Data | MARTHA CURIONI - Supporting HR Adoption of People Analytics | JACKSON ROATCH - Your Best Career Move could be Going for a Run | SERENA HUANG - The Future of Work is Wellbeing | JASPAR SPANJAART - How NVIDIA's Talent Intelligence approach helped fuel its trillion-dollar rise | TOBY CULSHAW - The Talent Nexus: Redefining Business Agility for the 21st Century CEO In each edition of the Data Driven HR Monthly, I feature a collection of articles by current and recent people analytics leaders. These are intended to act as a spur and inspiration to the field. Six are highlighted in this month’s edition.  (1) In another excellent edition of his Making People Analytics Real blog, Willis Jensen discusses how to get a network view of data: “Linking your data together should be a top priority for any people analytics team.” (2) Martha Curioni provides guidance on how to support HR to adopt people analytics harnessing insights from the likes of Isabel Naidoo, Patrick Coolen, Greg Newman, and Amit Mohindra. One of Martha’s tips focuses on the importance of including HRBP’s rather than going around them. (3) As someone whose best ideas invariably come when I’m on a run, I particularly enjoyed Jackson Roatch’s article exploring the link between physical exercise and workplace learning, performance and thriving. (4) In an edition of her From Data to Action blog, Serena H. Huang, Ph.D. explores how AI can support wellbeing and lays out a ten-point plan on responsible AI principles for workplace wellbeing (see FIG 10). (5) NVIDIA’s Meta McKinney, MLIS and Nickolas Dowler, MBA explain to Jasper Spanjaart how the company’s Talent Intelligence strategy helped fuel its growth: “A winning Talent Intelligence strategy requires several key ingredients: data-driven and tested theories, meticulous and thoughtful research, reliable data, creative problem-solving, clear communication of the rationale, trusted relationships with business leaders, and the financial support and freedom to execute.” (6) Toby Culshaw provides a compelling breakdown of what he describes as The Talent Nexus: “The Talent Nexus represents a revolutionary approach to talent management and acquisition in the modern business landscape. It's an AI-driven, quantum-computing-enhanced ecosystem that transforms how organizations interact with, deploy, and develop talent.” A must-read for all those involved in talent intelligence, people analytics and workforce planning. FIG 10: Responsible AI Principles for Workplace Wellbeing (Source: Serena Huang) THE EVOLUTION OF HR, LEARNING, AND DATA DRIVEN CULTURE RAVIN JESUTHASAN - The AI revolution is coming to L&D AI will empower the L&D function to support strategic workforce planning through skills-related insights and interventions. This will help organizations shift from costly ‘churn and burn’ strategies to more cost-effective and sustainable reskilling and upskilling programs. Ravin Jesuthasan, CFA, FRSA examines how AI is set to transform the learning and development function. He highlights Mercer analysis that finds that AI and automation will likely augment some L&D activities (see FIG 11), as well as outlining four potential AI uses cases for corporate L&D: (1) Producing L&D content. (2) Personalising L&D delivery. (3) Driving the skills-powered revolution. (4) Democratising knowledge. For more from Ravin, watch the recent LinkedIn Live on Skills-Powered Organisations in the Age of AI, which I moderated and featured Ravin alongside Tanuj Kapilashrami. FIG 11: Time by task: L&D versus AI and Automation (Source: Mercer) NANCY DUARTE - Are Your Presentations Too Emotional — or Too Analytical? When making a presentation, leaders need to balance appeals to both logic and emotion — the head and the heart. Nancy Duarte provides invaluable guidance on how to strike a balance between logic and emotion when making a presentation, and how credibility plays a crucial role in this balancing act. She explains that the first step in achieving this balance is understanding the audience: “Are they data-driven decision makers who thrive on statistics and factual evidence? Or are they more likely to be swayed by personal stories and emotional connections?” FIG 12: An Analytical and Emotional Balance That’s Just Right (Source: Nancy Duarte) WORKFORCE PLANNING, ORG DESIGN, AND SKILLS-BASED ORGANISATIONS SANDRA LOUGHLIN – Seven Elements of Skills Data Quality Skills data quality isn’t talked about much despite being the foundation for the SBO value proposition, a critical input to selecting and gaining value from skills tech vendors, and arguably the most difficult part of a skills transformation. These wise words open Sandra Loughlin, PhD’s excellent article, where she outlines seven aspects of skills data quality, why they matter and their trade-offs: (1) Relevance (“Skills that are tracked should be the skills that need to be tracked—there’s no point in collecting skills data that won’t help you make better business decisions”). (2) Accuracy. (3) Validity. (4) Completeness. (5) Consistency (“Skills data should be consistently defined, recorded, and categorized across systems and within the organization”). (6) Timeliness. (7) Uniqueness. Thanks to Victoria Holdsworth for highlighting Sandra’s article. EMPLOYEE LISTENING, EMPLOYEE EXPERIENCE, AND EMPLOYEE WELLBEING CATHERINE COPPINGER - Introducing Two New Metrics: Fragmented & Interrupted Time Catherine Coppinger from Worklytics introduces two new metrics: (1) Fragmented Time (“the sum of the total number of hours people have in blocks of time that are too short to get any deep work done”) and (2) Interrupted Time (“a metric designed to measure those periods of the day where people keep getting interrupted and just can’t find enough concentrated time to finish an important task”). Understanding these can help individuals and managers organise time more productively while enhancing employee wellbeing (see FIG 13). Read as a follow-up to another recent article by Catherine: 4 New Ways to Model Work, which featured in the July edition of Data Driven HR Monthly. FIG 13: Source: Catherine Coppinger, Worklytics MCKINSEY - What employees say matters most to motivate performance Performance management is most effective when it features strong, consistent internal logic that employees understand In their article, Asmus Komm, Brooke Weddle, Dana Maor, Katharina Wagner and Vivian Morrow Breaux present the findings of a McKinsey study of more than 1,000 employees across the globe on what matters most to motivating employee performance. The findings provide insights to employers to guide their approach with regards to performance management. These include: (1) Performance management frameworks should be consistent and clearly articulated. (2) Goal setting has impact when goals are measurable and clearly linked to company priorities (see FIG 14). (3) Performance reviews with skilled managers are crucial to employee performance. (4) Rewards that include nonfinancial incentives provide a boost. FIG 14: Employees are motivated by measurable goals linked to company/team (Source: McKinsey) LEADERSHIP, CULTURE, AND LEARNING MEGAN REITZ AND AMY EDMONDSON - When a Team Member Speaks Up — and It Doesn’t Go Well Speaking up — and being heard — in organizations is critical. What gets said, and what doesn’t, directs ethical behavior, innovation, inclusion, and performance. In their article for Harvard Business Review, Megan Reitz and Amy Edmondson explore how 'conversational failures' often cause breakdowns in psychological safety rather than being used as opportunities to learn and develop. They discuss why they occur and the reasons why it is difficult to learn from these failures, before providing guidance on how these failures can become ‘intelligent’: (1) Prepare to learn from conversations. (2) Notice critical moments. (3) Implement process tools. (4) Attend to learning over the long term. For more on ‘intelligent failure’, tune in to Amy’s conversation with me on the Digital HR Leaders podcast: How Learning to Fail Can Help People and Organisations to Thrive. If you’re not failing, you’re not journeying into new territory JAMIE SMITH - How boards can champion a resilient talent strategy Talent strategy is increasingly vital to driving overall strategy. Based on a study of by EY and Corporate Board Member magazine of US public company directors across a range of industries, Jamie Carroll Smith presents analysis of the four opportunities identified in the research for boards to champion a resilient talent strategy: (1) Gain deeper insight into the employee experience. (2) Enable a workforce for the future (“Directors recognize that AI developments demand a reskilling of the workforce”). (3) Harness the value of diversity, equity and inclusion (“The future talent pool may depend on companies prioritizing DEI”). (4) Identify opportunities to strengthen talent governance. Thanks to Brian Heger for highlighting in an edition of his excellent Talent Edge newsletter. FIG 15: The biggest impacts of AI on company workforce strategy (Source: EY) JEN FISHER, SUE CANTRELL, JAY BHATT, AND PAUL SILVERGLATE - The important role of leaders in advancing human sustainability More than eight out of 10 executives surveyed say a stronger commitment to prioritizing a positive human impact would increase their company’s ability to attract new talent (82%), appeal to customers and clients (81%), and profitability (81%). Jen Fisher, Susan Cantrell, Jay Bhatt, and Paul Silverglate outline the key findings from Deloitte’s third annual Workplace Wellbeing report. The primary finding suggests that leaders can play a key role in prioritising and advancing a human sustainability agenda, particularly when it comes to measuring outcomes and holding their organizations accountable for progress. Insights identified in the study include: (1) The three trends impacting today’s workforce the most are skills, burnout and mental health. (2) The modern work experience doesn’t promote human sustainability but C-suite leaders aren’t seeing it. (3) While three out of four executives believe workforce wellbeing is excellent or good, workers are having a different experience (see FIG 16). The article then provides guidance on the metrics companies can implement to measure human sustainability including on skills development, purpose, DEI and societal impact. FIG 16: Source – Deloitte Wellbeing at Work survey, 2024 DIVERSITY, EQUITY, INCLUSION, AND BELONGING JANINE LEE - Breaking Down Barriers to Belonging for Women of Color in Tech In her article in Harvard Business Review, Dr. Janine Lee, MBA, Ed.D. Global Head of L&D at Google, outlines the findings from her doctoral research on workplace belonging for women of colour in the tech industry. Janine highlights the top belonging contributors and detractors identified in the study (see FIG 17), and then offers three recommendations to boost workplace belonging: 1) Invest in programs that foster peer-based relationships, 2) Enable sponsorship and mentoring opportunities, and 3) Hold leaders accountable to “walk the talk.” FIG 17: Sense-of belonging contributors and detractors (Source: Janine Lee) HR TECH VOICES Much of the innovation in the field continues to be driven by the vendor community, and I’ve picked out a few resources from August that I recommend readers delve into: GURU SETHUPATHY – Understanding the EU AI Act in Four Handy Charts – Guru Sethupathy of FairNow provides an invaluable breakdown of the EU AI Act and its implications. FIG 18: The four risk levels under the EU AI Act (Source: FairNow) EMILY KILLHAM - How to Build a Better Boss: What Leaders (and Their Teams) Need Now to Thrive – Emily Killham delivers a new study by Perceptyx identifying five key behaviours for managers, the positive and negative impacts of manager behaviour on employees and organisations, and the role of employee feedback in help managers take corrective action. FRANCISCO MARIN - The Role of Active and Passive Organizational Network Analysis in Cybersecurity – Francisco Marin of Cognitive Talent Solutions breaks down how active and passive ONA can support organisational cybersecurity initiatives including the detection of anomalous communications, enhancing incident response and tailoring security strategies. LOUJAINA ABDELWAHED - How To Lose an Employee in 10 Days – Loujaina Abdelwahed, PhD presents analysis by Revelio Labs highlighting the negative impact of return to office on employee reviews and attrition. FIG 19: Negative reviews of RTO correlate positively with attrition (Source: Revelio Labs) ALICIA ROACH – Not all ‘Workforce Planning’ is the Same – If you are interested in workforce planning and don’t follow Alicia Roach of eQ8 on LinkedIn, you really should. In her recent post, Alicia reflects on her ‘triangle of workforce planning’ (see FIG 20), which skilfully illustrates the value of ‘strategic’ workforce planning. FIG 20: Source – Alicia Roach PODCASTS OF THE MONTH In another month of high-quality podcasts, I’ve selected six gems for your aural pleasure: (you can also check out the latest episodes of the Digital HR Leaders Podcast – see ‘From My Desk’ below): EMILY HACKER AND DAN WEISS - The Critical Role Data Plays in Skills Development - Emily Hacker, CPTD and Dan Weiss share insights from MetLife's skills journey with Stacia Sherman Garr and Dani Johnson of RedThread Research on the Workplace Stories podcast. The key learning from the conversation is that your skills data doesn't need to be perfect to benefit employees, improve talent acquisition, and enhance workforce planning. JOSH BERSIN - The Future Of The Workforce Has Arrived, Can’t You See It? – Inspired by his recent trip to Europe, Josh Bersin explains why the traditional industrial work model has ended, gig work is now mainstream, reskilling should be given primacy, and why HR professionals need to reskill in AI to stay relevant. BRYAN HANCOCK AND EMILY FIELD - Managing in the era of gen AI – In this episode of McKinsey Talks Talent, Bryan Hancock and Emily Field, two of the authors along with Bill Schaninger, Ph.D. of Power to the Middle: Why Managers Hold the Keys to the Future of Work, join host Lucia Rahilly to explain why middle managers matter, what leaders could do differently to make more of the managers on their teams, and how gen AI could change middle managers’ jobs—for the better. ANSHUL SHEOPURI - How Mastercard is Training Employees for the AI Era – Anshul Sheopuri, EVP People Operations and Insights at Mastercard, joins Christopher Rainey on the HR Leaders podcast to shares insights on leveraging AI in HR and the importance of continuous learning. JAMES GALLMAN - Bridging HR Technology, Analytics, AI Agents, LLMs, & Nudging at NetApp - James Gallman , VP HR PMO, Systems and Analytics at NetApp, joins hosts Cole Napper and Scott Hines, PhD on the Directionally Correct podcast to discuss the overlap between HR technology and people analytics. LILY ZHENG - Ground Your DEI Efforts in Data – In an episode of Women at Work, DEI strategist and consultant Lily Zheng joins hosts Amy Bernstein and Amy Gallo to explain the role of data and analytics in DEI, and the importance of measuring outcomes to make lasting progress. VIDEO OF THE MONTH JULIET SCHOR - Smarter Work for a Better World? Studies suggest that the Four Day Week may reduce burnout and depression, while also offering significant opportunities to reduce our collective carbon footprint. One of my favourite sessions at this year’s Wharton People Analytics Conference saw Professors Juliet Schor and Iwan Barankay discuss what we know about the four-day work week and share their different perspectives on what this alternate structure might mean for organisations and their employees. BOOKS OF THE MONTH One of the benefits of being on holiday the past few weeks has been that it enabled me to catch up on some reading, hence there being two books of the month for August: NICK VAN DAM – Boosting Your Well-being: The Best Version of Me - A wonderful book – and a wonderful cause with 100% of the book’s royalties being donated to the e-Learning for Kids Foundation. Written by Prof. dr. Nick van Dam, and 20 co-authors, this is a comprehensive book on professional wellbeing. It delves into the interconnected aspects of four key dimensions: body, mind, purpose, and environment, and offers a compelling approach to self- improvement. I particularly enjoyed the chapters on resilience and adaptability (written by Jacqui Brassey, PhD, MA, MAfN ?️ (née Schouten) ), sleep (Dr Els van der Helm) and contribution (Emily Ricci). An uplifting and potentially life-changing read. KALIFA OLIVER – I Think I Love My Job: Secrets To Designing A People-Centered Employer Value Proposition - At times a powerful and relatable story of the ups and downs of corporate life, and at others a compelling narrative on how to approach work, harness data and build a world-class employee experience. Kalifa Oliver, Ph.D. combines both an academic and a practitioner mindset that empowers the reader to take charge of their career, challenge workplace norms, and use data to revolutionise the employee experience. FROM MY DESK August saw us reach a notable milestone on the Digital HR Leaders podcast – our 200th episode, and we celebrated in style with a special guest, Amy Edmondson, Thank you to Louis Gordon and the team at HiBob for sponsoring series 40 of the podcast. AMY EDMONDSON - How Learning to Fail Can Help People and Organisations to Thrive – Harvard professor, pioneer of psychological safety and Thinkers50 #1, Amy Edmondson joined me for our 200th episode, where we discussed intelligent failure, and how failing well can drive individual and organisational success. DAVID GREEN - What key elements do you believe are essential to building a strong company culture? - A round up of series 40 of the Digital HR Leaders podcast, with insights from John Winsor, Maureen N. Dunne, Ph.D., Nirit Peled-Muntz, Heidi Manna and Amy Edmondson. DAVID GREEN - Five Key Elements For Building a Strong Company Culture? – A recent article for myHRfuture, where I break down five elements in building a strong company culture including aligning with organisational mission and using people data as your GPS. LOOKING FOR A NEW ROLE IN PEOPLE ANALYTICS OR HR TECH? I’d like to highlight once again the wonderful resource created by Richard Rosenow and the One Model team of open roles in people analytics and HR technology, which now numbers close to 500 roles – and has now been developed into a LinkedIn newsletter too. THANK YOU Wayne Tarken for kindly writing a post about me on LinkedIn: Curious About People Analytics? - What Leaders Can Learn from Thursday's Thought Leader. Ester Martinez and her team at People Matters for including the Digital HR Leaders podcast in their list of 100 must-read resources for HR and talent leaders. Rachel Collins for her post emphasising the need to move from employment to employability, inspired by the LinkedIn Live I hosted recently with Ravin Jesuthasan and Tanuj Kapilashrami. Similarly, thanks to James Elliott for also posting here about the LinkedIn Live with Ravin and Tanuj. David McLean , whose post on learning from your failures references the Digital HR Leaders podcast episode with Amy Edmondson. Veronika Birkheim , whose post on Culture Diagnostics, references the Digital HR Leaders podcast episode with Heidi Manna. Andrew Gadomski for his post on how he uses the Data Driven HR Monthly as a learning tool at the Cybersecurity and Infrastructure Security Agency. Irada Sadykhova for her post on how to build a strong company culture, which was inspired by a recent series of the Digital HR Leaders podcast. Ashley Utz for her post reflecting on the recent Digital HR Leaders podcast episode with Nirit Peled-Muntz. HR Executive Leadership Exchange for including me in their list of the Top 10 HR Leaders You Should Follow. Mirro.io for including me in their list of Top HR Leaders to Follow in 2024. Daniyal Wali and The Talent Games for including me in their list of the Top 10 HR Tech Leaders to Follow in 2024. Finally, a huge thank you to the following people who shared the July edition of Data Driven HR Monthly. It's much appreciated: Jaqueline Oliveira-Cella Andrés García Ayala Kristhy Bartels Sandy Zou Danielle Farrell, M.A. David Hodges Jeff Wellstead Gord Johnston MA, BHJ, BA, CHRP Debbie Harrison Dave Millner Sharna Wiblen Aizhan Tursunbayeva, PhD, GRP Catriona Lindsay Amardeep Singh, MBA Walter Maes Marcano Gert-Jan Tretmans Tim Peffers Kouros Behzad Adam Tombor (Wojciechowski) Lewis Garrad Sebastian Szachnowski Bob Pulver John Golden, Ph.D. Ben Wigert, Ph.D, MBA Ken Oehler Alexis Fink Katia Simões Francisca Solano Beneitez Abbas Qaidari Onno Bouman Aravind Warrier Kathleen Kruse Adedamola Adeleke ☁️ Elodie MENAGER Susan Knolla John Healy David Simmonds FCIPD Andrews Cobbinah, MLPI, ACIHRM Deviprasad Panda Vanesa C. David McLean Timo Tischer Prachi Agasti Maria Alice Jovinski Tristan Hack Adam McKinnon, PhD. Nicole Hazard Michael Arena Andras Vicsek Jane Kuhn Emily Pelosi, PhD Malgorzata Langlois Ahmed Salah ?? Swechha Mohapatra (IHRP-SP, SHRM-SCP, CIPD) Paul Daley Kyle Forrest Shivaani Talesra Ryan Wong Shujaat Ahmad Tessa Hilson-Greener Vivek Ojha Jacob Nielsen Søren Kold Tobias W. Goers ツ Terri Horton, EdD, MBA, MA, SHRM-CP, PHR Galo Lopez Noriega Marino Mugayar-Baldocchi Alexandra Nawrat Marian Stancik Hanadi El Sayyed Marcela Niemeyer Higor Gomes Kirsten Edwards Andreea Lungulescu Bradford Williams Faiza Tasneem(Associate CIPD) Alysson DuPont, SHRM-SCP, MBA Dr. Peter Schulz-Rittich Joaquin Hernandez Doug Shagam Mariami Lolashvili Caitie Jacobson Jaap Veldkamp Jaejin Lee Yvonne Bell (She/Her) John Gunawan Roberto Amatucci Philipp Heller Tina Peeters, PhD Gianni Giacomelli Lina Makneviciute Roshaunda Green, MBA, CDSP, Phenom Certified Recruiter Jacob Bradburn, Ph.D. Ying Li Phil Inskip Jack Liu Jonathan Berríos Leiva Stephen Hickey Lars Schmidt Geetanjali Gamel Dan George Anabel Fall Alejandra Barbarelli Adam Gibson Mia Norgren David van Lochem Nick Lynn Silja Kupiainen Heather Whiteman, Ph.D. Meghan M. Biro Martijn Wiertz Agnes Garaba Dolapo (Dolly) Oyenuga Laurent Reich Sebastian Kolberg Sebastián Mestre Chris Long Penny Newman Ralf Buechsenschuss Sebastian Knepper Marcela Mury Joseph Frank, PhD CCP GWCCM Dave Fineman Ron Ben Oz Danielle Bushen Kimberly Rose Daorong Lin Sukumaran Mariappan Abhilash Bodanapu Sonia Mooney Kerrian Soong Jay Polaki⚡️ SHRM-SCP/SPHR Remco van Es Ken Clar Matt Elk Aulia Raubien Natalie Wiseman Graham Irene Wong David Balls (FCIPD) Olivier Bougarel Ramesh Karpagavinayagam Oliver Kasper Andrew Kilshaw Nick Hudgell Gal Mozes, PhD Tatu Westling Brandon Merritt Johnson UNLOCK THE POTENTIAL OF YOUR PEOPLE ANALYTICS FUNCTION THROUGH THE INSIGHT222 PEOPLE ANALYTICS PROGRAM At Insight222, our mission is to make organisations better by putting people analytics at the centre of business and upskilling the HR profession The Insight222 People Analytics Program® is your gateway to a world of knowledge, networking, and growth. Developed exclusively for people analytics leaders and their teams, the program equips you with the frameworks, guidance, learnings, and connections you need to create greater impact. As the landscape of people analytics becomes increasingly complex, with data, technology, and ethical considerations at the forefront, our program brings together over one hundred organisations to collectively address these shared challenges. Insight222 Peer Meetings, like this event in London, are a core component of the Insight222 People Analytics Program®. They allow participants to learn, network and co-create solutions together with the purpose of ultimately growing the business value that people analytics can deliver to their organisations. If you would like to learn more, contact us today. ABOUT THE AUTHOR David Green ?? is a globally respected author, speaker, conference chair, and executive consultant on people analytics, data-driven HR and the future of work. As Managing Partner and Executive Director at Insight222, he has overall responsibility for the delivery of the Insight222 People Analytics Program, which supports the advancement of people analytics in over 90 global organisations. Prior to co-founding Insight222, David accumulated over 20 years experience in the human resources and people analytics fields, including as Global Director of People Analytics Solutions at IBM. As such, David has extensive experience in helping organisations increase value, impact and focus from the wise and ethical use of people analytics. David also hosts the Digital HR Leaders Podcast and is an instructor for Insight222's myHRfuture Academy. His book, co-authored with Jonathan Ferrar, Excellence in People Analytics: How to use Workforce Data to Create Business Value was published in the summer of 2021. MEET ME AT THESE EVENTS I'll be speaking about people analytics, the future of work, and data driven HR at a number of upcoming events in 2024: September 11 - Productivity, Purpose, and Profit: How to thrive in ‘25 (London) September 16-19 - Workday Rising (Las Vegas) September 24-26 - Insight222 Global Executive Retreat (Colorado, US) - exclusively for member organisations of the Insight222 People Analytics Program October 2-3 - People Analytics World (New York) October 16-17 - UNLEASH World (Paris) October 22-23 - Insight222 North American Peer Meeting (hosted by Workday in Pleasanton, CA) - exclusively for member organisations of the Insight222 People Analytics Program November 12-14 - Workday Rising EMEA (London) November 19-20 - Insight222 European Peer Meeting (hosted by Merck in Darmstadt, Germany) - exclusively for member organisations of the Insight222 People Analytics Program More events will be added as they are confirmed.
    McKinsey
    2024年09月03日
  • McKinsey
    The best HR & People Analytics articles of May 2024 I’m writing the introduction to the May edition of the Data Driven HR Monthly on a flight to London from Mexico City. Together with Jonathan Ferrar, I was in Mexico to conduct an Insight222 workshop with the HR Leadership Team of one of the world’s largest global consumer goods companies. The workshop was composed of a number of modules including: consulting with data, prioritisation and data governance. It was the culmination of a month of notable milestones both within Insight222 and the external market: The Digital HR Leaders podcast celebrated its fifth birthday (see here). The fifth edition of the Insight222 People Analytics Trends study was launched (see below for details). We also opened registration for an Insight222 webinar on AI in HR and People Analytics, which will take place on June 13 (see below for details). In the HR Tech space, Crunchr and TechWolf announced a strategic partnership (see here),  and Cornerstone OnDemand acquired SkyHive (read analysis from Alexandra Nawrat here). Welcome to the 2,513 new subscribers to the Data Driven HR Monthly newsletter, who joined in the last month. This month’s collection features new research from the likes of Microsoft, McKinsey, and the Talent Strategy Group, as well as resources from practitioners in companies including Mastercard, EY, Novartis, IBM, Intuit, Lego, Ericsson, and Marks & Spencer. This edition of the Data Driven HR Monthly is sponsored by our friends at TechWolf The Journey to the Skills-Based Organization Transform your HR strategy with skill-based insights Advancements in technology and evolving market demands are reshaping the skills landscape, making the transition to skill-based essential for organisations to remain competitive. Yet, despite widespread recognition of its value, research by Deloitte showed that less than 20% of companies have embarked on this transformative journey toward becoming a skill-based organisation (SBO). Wondering where to start? Our guide, "Getting Started with Skills," is designed for HR leaders on this journey, covering three actionable steps: Reasons for adopting a skill-based approach. Challenges in becoming an SBO. Practical steps to integrate skills into your strategy. This journey is about setting a new direction for your organisation, one that is agile, resilient, and ready for the future. Read our latest guide today. Download now To sponsor an edition of the Data Driven HR Monthly, and share your brand with over 125,000 Data Driven HR Monthly subscribers, send an email to dgreen@zandel.org. Join me for an Insight222 webinar on June 13 to discover how AI is reshaping HR and people analytics As AI and Generative AI continue to dominate HR conversations, it's essential to explore practical applications, benefits, and challenges. Register to join me for an Insight222 webinar on June 13.  In the webinar, Jasdeep Kareer, PhD (née Bhambra) Andrew Elston Justin Shemeley and I will discuss: Real-world use cases demonstrating AI's impact on HR and People Analytics. Common challenges encountered during AI adoption and strategies for overcoming them. The importance of responsible AI practices and ethical considerations in HR. Register for The Role of AI in HR People Analytics webinar. Invitation: If you are a people analytics leader, participate in the 5th annual Insight222 People Analytics Trends survey... The Insight222 People Analytics Trends study is now in its fifth year, and has grown to be the biggest and most important annual study in the field of people analytics. We have now opened the survey for 2024, which is intended to gain insights into: (1) People analytics operating model, roles, and technology. (2) Measuring the value of people analytics. (3) AI in HR. If you are the people analytics leader at your company and would like to participate in the People Analytics Trends study for 2024, click this link and please complete the survey by Sunday 23 June. Participate in the Insight222 People Analytics Trends Survey for 2024. Share the love! Enjoy reading the collection of resources for May and, if you do, please share some data driven HR love with your colleagues and networks. Thanks to the many of you who liked, shared and/or commented on April’s compendium (including those in the Comments section). If you enjoy a weekly dose of curated learning (and the Digital HR Leaders podcast), the Insight222 newsletter: Digital HR Leaders newsletter is published every Tuesday – subscribe here. HYBRID, GENERATIVE AI AND THE FUTURE OF WORK MICROSOFT AND LINKEDIN - AI at Work Is Here. Now Comes the Hard Part We’ve come to the hard part of any tech disruption: moving past experimentation to business transformation. Just as we saw with the advent of the internet or the PC, business transformation comes with broad adoption. Organizations that apply AI to drive growth, manage costs, and deliver greater value to customers will pull ahead. Microsoft’s 4th annual Work Trend Index, in partnership with LinkedIn provides a comprehensive view of how AI is not only reshaping work, but the labour market more broadly. Three key findings are described in depth: (1) Employees want AI at work—and they won’t wait for companies to catch up. (2) For employees, AI raises the bar and breaks the career ceiling. (3) The rise of the AI power user—and what they reveal about the future. The report contains a series of powerful insights, visualisations, and analysis – such as the impact of AI skills on hiring (see FIG 1). I also recommend watching Johnny C. Taylor, Jr., SHRM-SCP, CEO of SHRM, talking to Kathleen Hogan and Jared Spataro about the integration of AI in enhancing work at Microsoft, insights on AI adoption strategies, and addressing the balance between AI opportunities and workforce implications. FIG 1: The New Hiring Imperative: AI Aptitude Takes Centre Stage (Source: Microsoft Work Trends, 2024) ANSHUL SHEOPURI AND LUCRECIA BORGONOVO - At the inflection of AI and HR: How Mastercard is equipping employees for the AI era We recognize the best way to build trust is to bring our employees along with us on our AI journey, ensuring they are made aware of and educated about our commitment to responsible and ethical AI — in addition to the benefits that AI can bring to their day-to-day experiences and overall career path. Anshul Sheopuri and Lucrecia Borgonovo share five areas where Mastercard is using AI to improve the way their employees work, grow and manage their careers: (1) AI as career coach. (2) AI as wellbeing guide. (3) AI as workflow assistant. (4) AI as co-pilot. (5) AI as workforce planning partner. For more insights, particularly with regards to how Mastercard is using AI in Unlocked, its internal talent marketplace, I recommend watching the recording of the CHRO Panel at the recent Gloat Live event in New York, where I moderated a panel featuring Michael Fraccaro, Mastercard’s chief people officer, as well as Tanuj Kapilashrami and Tamla Oates-Forney. MCKINSEY - A new future of work: The race to deploy AI and raise skills in Europe and beyond Up to 30 percent of hours worked could be automated by 2030, boosted by gen AI, leading to millions of required occupational transitions An insightful McKinsey study, which explores labour markets in ten European countries and the United States, in the years to 2030 given factors including labour shortages, productivity challenges, and the inexorable rise of technology. The report identifies four key priorities for companies: (1) Understand the potential: Leaders need to understand the potential of how AI and gen AI can augment and automate work. (2) Plan a strategic workforce shift: Once they understand the potential of automation technologies, leaders need to plan the shift toward readiness for the automation and AI era. (3) Prioritise people development: To ensure that the right talent is on hand, leaders could consider strengthening their capabilities to identify, attract, and recruit future AI and gen AI leaders in a tight market. (4) Pursue the executive-education journey on automation technologies: Leaders also need to undertake their own education journey on automation technologies to maximise their contributions during the coming transformation. (Authors: Eric Hazan, Anu Madgavkar, Michael Chui, Sven Smit, Dana Maor, Gurneet Singh Dandona, and Roland Huyghues Despointes). FIG 2: Source - McKinsey JEREMIE BRECHEISEN - What Companies Don’t Know About How Workers Use AI Managers influence 70% of team engagement and they can ensure that your AI strategy supports the organization’s goals and expectations in terms of innovation, agility, and productivity. Jeremie K Brecheisen presents Gallup research, which finds that leaders do not fully understand their employees’ use of, and readiness for, AI. The study finds that seven in 10 employees never use AI in their job, with only one in 10 saying they use AI on a weekly basis or more often.  Brecheisen offers three recommendations for leaders to find the right balance of control and trust around AI, including measuring how their employees currently use AI, cultivating trust by empowering managers, and adopting a purpose-led AI strategy that is driven by the company’s purpose instead of a rules-heavy strategy that is driven by fear. FIG 3: Could AI improve how work gets done? (Source: Gallup) HEIDI GRANT, GINNIE CARLIER, AND FRANK GIAMPIETRO - Using Data to Design Your Hybrid Work Policies | JOSE MARIA BARRERO, NICHOLAS BLOOM, SHELBY BUCKMAN, AND STEVEN J. DAVIS - Survey of Working Arrangements and Attitudes (SWAA) (May 2024) In their article for Harvard Business Review, Heidi Grant, Ginnie Carlier, and Frank Giampietro outline how EY has taken a data-driven approach to questions around hybrid work. Their data comparing the performance and well-being of hybrid employees with their fully in-person and remote counterparts has yielded often surprising insights. For example, EY found that hybrid employees who spent 40% to 60% of their time in person experienced higher well-being, belonging, skills development, and engagement when compared to fully remote or in-person employees. The article also provides guidance on how enabling teams to co-create and commit to ways of working drives work-life balance and wellbeing. Read alongside the May 2024 update of the WFH Research report by Jose Maria Barrero, Nick Bloom, Shelby Buckman, and Steven J. Davis, which amongst its many highlights, finds that 66% of workers use an office at least once a month (see FIG 4). FIG 4: Source – wfhresearch.com PEOPLE ANALYTICS PIETRO MAZZOLENI - Blueprint for Balance: IBM’s Guide to Managing and Protecting People Data In another edition of what it proving to be consistently one of the best newsletters of 2024 – People Data Platform – Pietro Mazzoleni shares the three core principles of how IBM manages and protects people data (see FIG 5). He explains how his team effectively secures data, strikes a balance between protection and accessibility, and establishes clear ownership of every piece of data. FIG 5: Three core principles for managing and protecting people data (Source: Pietro Mazzoleni) MCKINSEY - Master data management: The key to getting more from your data Master data management can give organizations a leg up by allowing them to easily organize and access data about customers, suppliers, products, and employees. An essential read for HR and people analytics professionals looking to bring their people and other organisational data together to drive value for the company, customers and employees.  The article by Aziz Shaikh Holger Harreis Jorge Machado and Kayvaun Rowshankish, provides findings from a McKinsey study on how large companies organise, use, and mature their master data management (MDM). It includes examples of how MDM creates value in five ways (e.g. how MDM standardises data across entities to provide a unified view across various systems), common challenges (e.g. poor data quality – see FIG 6), and guidance on how to implement MDM effectively (e.g. establishing a robust data governance model to maintain integrity and reliability of MDM capabilities). FIG 6: MDM quality issues (Source: McKinsey) ANNETT ZIPPEL AND PATRICK COOLEN - Finding the right People Analytics Leader for your organization | MARTHA CURIONI - People Analytics for HR: Demystifying People Analytics | SERENA HUANG - Winning Over Gen Z: How AI & Data Can Create the Ideal Workplace | RORY O’GALLAGHER - Bridging Surveys and Conversations with Generative Listening Tools | WILLIS JENSEN - Moving Beyond Correlation to Causation in People Analytics | LOUISE BAIRD - How To Use People Analytics to Improve Manager Effectiveness In recent editions of the Data Driven HR Monthly, I’ve featured a collection of articles by current and recent people analytics leaders. Six are highlighted here. (1) In an interview with Annett Zippel of KennedyFitch, Patrick Coolen shares insights on the components of a successful people analytics practice, how to get started, and the skills to look for and build in a people analytics leader. (2) Martha Curioni outlines a five-step methodology to undertake a people analytics project, with the first step perhaps being the most important: Define the Problem Statement. (3) Serena H. Huang, Ph.D. provides guidance on how AI and data can help create effective wellbeing and DEI strategies that resonate with Gen Z. (4) Rory O'Gallagher breaks down the what, why, and how of generative employee listening tools, including how they differ from traditional surveys, how to integrate them into your employee listening ecosystem, and how they will evolve. (5) Willis Jensen sets out the challenges of establishing causation in people analytics and provides guidance on how to get past these challenges such as identifying actionable variables (see FIG 7). (6). Louise Baird, Head of People Analytics at Marks & Spencer, offers practical steps on how to drive manager effectiveness through people analytics. FIG 7: Examples of non-actionable and actionable variables in people analytics (Source: Willis Jensen) THE EVOLUTION OF HR, LEARNING, AND DATA DRIVEN CULTURE NORM SMALLWOOD AND DAVE ULRICH - HR Transformation: Common Pitfalls and Tried and True Tips Not developing the HR professionals to do strategic work is the #1 reason HR Transformation fails Norm Smallwood, Dave Ulrich and The RBL Group outline four common HR Transformation pitfalls and tips to overcome each: (1) HR transformation is about transforming the entire HR Department to create value for the business. (2) It requires an understanding of the work that creates value for the business and then designing the organisation and building HR leaders and professionals to enable it (see FIG 8). (3) Invest in providing HR professionals with frameworks, tools, and shared language to do strategic work – “For impact on the business, HR must invest in itself.” (4) Capabilities are the link between business strategy and HR actions. FIG 8: Source – The RBL Group ZAC UPCHURCH | TALENT STRATEGY GROUP – CHRO Trends 2024: Insights from the Fortune 200 Chief Human Resources Officer and Chief People Officer Changes Zac Upchurch presents the key findings from the seventh annual edition of The Talent Strategy Group’s CHRO Trends report. Three of the ten trends are: (1) A Decline In CHRO/CPO Appointments - 2023 had the fewest Fortune 200 CHROs/CPOs appointments since the report’s inception, with 22 new CHROs/CPOs appointed in 2023. (2) The Rapid Increase in Internal Succession - 73% of 2023 appointed CHROs/CPOs came to the role via internal succession, a rate not seen since 2017. (3) The HRBP as the CHRO/CPO Stepping Stone - The vast majority of the 2023 CHRO/CPO appointments consisted of individuals that served in a HRBP role prior to their CHRO/CPO appointment. FIG 9: Internal vs. External CHRO/CPO hires in 2023 (top) and from 2017-2023 (bottom) (Source: Talent Strategy Group) STORYTELLING WITH DATA SPECIAL JAY DORIO - How to Empower HR Through Data Literacy | BRENT DYKES - Data Storytelling Arc: Demystifying Narrative Structure In Data Stories | NANCY DUARTE - How to Create Slides That Suit Your Superiors: 11 Tips | GANES KESARI - The Enduring Power of Data Storytelling in the Generative AI Era | COLE NUSSBAUMER KNAFLIC - How HR professionals can Master Storytelling with Data As Jay Dorio reveals in his article, which is based on Insight222 research on how to build data literacy in HR at scale, storytelling is one of the five core skills HR professionals need to build to improve their data literacy. Four resources I recommend on storytelling are: (1) Brent Dykes analyses alternative narrative models for data storytelling and presents his Data Storytelling Arc (see FIG 10). (2) Nancy Duarte outlines 11 tips for preparing slides for an internal presentation, which includes four things you must have in every exec’s slides: start with an executive summary, have a logical organisation, make it skimmable, and focus on concise insights. (3) Ganes Kesari presents a 2x2 (see FIG 11) to help select the best approach to drive decision-making with data. (4) In a recent episode of the Digital HR Leaders Podcast, Cole Nussbaumer Knaflic discusses the transformative power of storytelling in the context of people data and analytics. FIG 10: Data Storytelling Arc (Source: Brent Dykes) FIG 11: What kind of decision are you making? Four Situations (Source: Ganes Kesari) WORKFORCE PLANNING, ORG DESIGN, AND SKILLS-BASED ORGANISATIONS AMANDA EVANS - Applying People Analytics To Organizational Design Amanda Jane Evans draws on recent collaborative research by Andrea Derler, Ph.D. of Visier Inc. and Amy C. Lewis, PhD to demonstrate how people analytics can inform actions on team size that drive business performance. The research highlighted that smaller teams—specifically those with six to 10 members—tend to harbour more high performers and have lower resignation rates (see FIG 12). In her article, Amanda explains that people analytics revealed that smaller teams at Partners Group are more likely to be successful in scenarios with direct client contact where high expectations for performance and stakeholder management are set. Amanda also explains how the firm proactively uses people analytics to analyse span of control during business transformation. FIG 12: Smaller teams have lower resignation rates (Source: Visier) EMPLOYEE LISTENING, EMPLOYEE EXPERIENCE, AND EMPLOYEE WELLBEING MCKINSEY - To defend against disruption, build a thriving workforce To build a thriving workplace, leaders must reimagine work, the workplace, and the worker. Generative AI provides organisations – and HR professionals – with the opportunity to reimagine work, the workplace and the worker. In their article, the McKinsey team of Jacqui Brassey, PhD, MA, MAfN (née Schouten), Aaron De Smet, Emily Field, Taylor Lauricella, and Brooke Weddle, break down what a ‘thriving culture’ is (and what it isn’t) and offer five actions companies can adopt to maximise healthy work environments, team effectiveness, and employee well-being so that more workers can reach their peak performance. FIG 13: Employee segments as a share of an organisation’s workforce (Source: McKinsey) DAWN KLINGHOFFER - The Key to a Thriving Workforce? A Smart Approach to AI What we find is that AI is really there to help you take friction and toil out of the system, and to remove the drudgery of work. And when people are able to remove some of that drudgery, we see that they’re more productive, and they thrive more. Dawn Klinghoffer, Global Head of People Analytics at Microsoft, shares insights from the company’s recent Employee Signals survey. The findings not only highlighted the tangible benefits of thriving, but also identified a key catalyst for fostering it: access to AI. The article then highlights how thriving – and access to AI – has a positive impact on three indicators of high performance: (1) Meaningfulness (incorporating AI into the day correlated to a 20% jump in scores relating to meaningful work). (2) Empowerment. (3) Energy (scores on energy-related questions for those using AI jumped almost 27%). Dawn also shares the ABCs of thriving with AI: Accelerate alignment, Be inclusive, and Cultivate collective growth. This is another example of how Microsoft’s comprehensive approach to employee listening (see FIG 14) – coupled with the sponsorship of the CEO, Satya Nadella, leads to insights that drive positive outcomes for the business and the workforce. For more on Microsoft’s approach to employee thriving, listen to Dawn in conversation with me on the Digital HR Leaders podcast: How Microsoft Created A Thriving Workforce By Going Beyond Employee Engagement. FIG 14: Microsoft’s Employee Listening Ecosystem (Source: Dawn Klinghoffer) EMILY PELOSI AND PAIGE MCGLAUFLIN - Intuit’s ‘head of employee listening’ talks about the science of worker feedback—and the art of asking the right questions In an interview with Fortune, Emily Pelosi, PhD, Head of Employee Listening at Intuit, discusses why her role was created, what it involves, and how she helps Intuit’s leaders harness employee feedback to make better and more informed decisions based on data. Two areas that really resonate, are (1) how Emily partners closely with Intuit’s CEO and chief people officer to shape their bi-annual survey and take action on the results. (2) the importance of asking the right questions. BENJAMIN LAKER AND STEFANIA MARIANO - The Unexpected Upsides of Letting Employees Define Their Jobs | JACKSON ROATCH - The Work-GPT Paradox, AI and Job Crafting Job crafting creates an environment of autonomy, encouraging employees to take initiative and innovate. Three resources about ‘job crafting’, which in the article by Benjamin Laker and Stefania Mariano is described as: “Job crafting is a proactive approach where employees reshape their roles to infuse more meaning and engagement into their work.” Their article describes the three primary components – task crafting, relational crafting, and cognitive crafting – and discusses the benefits, challenges and considerations for implementing job crafting successfully. In the second article, Jackson Roatch explains how using AI more can enable employees to use job crafting to make their jobs 5-10% better. He cites research by Amy Wrzesniewski, as well as the work of Ravin Jesuthasan, CFA, FRSA and John Boudreau in deconstructing jobs, to provide an example of how AI can shape the role of a data analyst (see FIG 15). Finally, for more on job crafting, I recommend listening to Dan Cable in discussion with me on the Digital HR Leaders podcast: How to Help People Love What They Do At Work. FIG 15: Using AI to ‘job craft’ the role of the data analyst (Source: Jackson Roatch) LEADERSHIP, CULTURE, AND INCLUSION ALLAN H. CHURCH, JAMES SCRIVANI, AND MARKUS GRAF - Unleashing The Power of Assessments for Leaders and their Organizations Based on their experience of working with assessment tools in organisations such as PepsiCo and Novartis, Allan Church, Ph.D. Jim S. and Markus Graf present a three-step guide to building an effective, impactful and meaningful assessment system: (1) Focus Assessments on Future Capabilities Needed for Your Organisation. (2) Take a Multi-Trait, Multi-Method Approach to Assessment, aka Use Multiple Lenses. (3) Unlock the Value of Assessment Insights for Leaders, Teams, and the Organisation (see FIG 16). FIG 16: The Three Levels of Assessment Insights (Source: Church et al) MCKINSEY - In the spotlight: Performance management that puts people first Companies that focus on their people’s performance are 4.2 times more likely to outperform their peers, realizing an average 30 percent higher revenue growth and experiencing attrition five percentage points lower. While effective performance management systems support employees to develop, new research by McKinsey finds that most companies fall short of best practices. In their article, Amaia Noguera Andrea Pedroni Asmus Komm and Simon Gallot Lavallée provide insights on how leading companies approach performance management across four elements - goal setting, performance reviews, ongoing development, and rewards (see FIG 17). The article also digs into five enabling factors: (1) Ensure that performance management systems are agile. (2) Provide regular feedback. (3) Establish an effective fact base. (4) Maintain rating and differentiation. (5) Employ gen AI. FIG 17: Designing a performance management system (Source: McKinsey) CATHERINE COPPINGER - Manager Effectiveness: 5 Metrics That Matter More than eSat Scores Catherine Coppinger presents findings from Worklytics research on manager effectiveness, which highlights the top drivers of low and high manager satisfaction (see FIG 18). The article also recommends metrics for measuring manager effectiveness, which are based on five things top-performing managers tend to do: (1) Provide regular coaching. (2) Define and implement reasonable team norms. (3) Support their team (without micromanaging). (4) Elevate and unblock their team via network connections. (5) Routinely engage with team members in-person. For more insights on this topic, listen to Catherine on a recent episode of the Digital HR Leaders podcast: How to Use Passive Data to Enhance Manager Effectiveness. I also recommend checking out the deck Philip Arkcoll and Michael Arena presented recently at Society for Industrial and Organizational Psychology (SIOP): The ONA Hype Cycle: Why this Time is Different. FIG 18: The drivers of lower and higher manager satisfaction (Source: Worklytics) HR TECH VOICES Much of the innovation in the field is driven by the vendor community. I’ve picked out a few resources from May that I recommend readers delve into: ARCTIC SHORES - The pragmatist’s playbook for skills-based hiring – An indispensable guide to skills-based hiring from Robert Newry and the team at Arctic Shores. It features: why companies are shifting from experience to skills-based hiring (see FIG 19) a seven-step framework for skills-based hiring, case studies from Siemens and Molson Coors, and contributions from the likes of Hung Lee, Gemma Aldridge, Joe Sidley, and Yasar Ahmad. FIG 19: The shift from experience-based to skill-based hiring (Source: Arctic Shores) ANDY PRZYSTANSKI - Lattice Data Reveals Lower Engagement, Stretched Managers, and More – Andy Przystanski presents findings from analysis of over one million employees on Lattice’s people platform including (1) Engagement is down - between 2022 and 2023, eNPS decreased from an already low 33.33 to 24.8 (see FIG 20). (2) Manager span of control is increasing. (3) Soft skills are in high demand. FIG 20: Source - Lattice FRANCISCO MARIN - Embracing Generative AI in Organizational Network Analysis: 8 Key Considerations for Success – Francisco Marin of Cognitive Talent Solutions sets out eight key considerations for successfully incorporating GenAI into organisational network analysis including: (1) Define clear objectives, (2) Ensure data quality, and (3) Prioritise privacy and ethics. KEN OEHLER - Unlocking the Power of Personality – Ken Oehler presents new research from RADICL, which explores the link between personality traits and areas such as hybrid collaboration, trust, employee experience, and productivity. A fascinating read. FIG 21: Source - RADICL FRESIA JACKSON, HEATHER WALKER, AUBREY BLANCHE-SARELLANO - Workplace Diversity, Equity, and Inclusion 2024 Report – Culture Amp’s Workplace DEI Report is always an insightful read and the 2024 edition is no exception. As Aubrey Blanche-Sarellano writes in the Foreword: “DEI has become both a buzzword and the target of significant backlash.” The report by Fresia Jackson, Heather Rose Walker, PhD and the team provides detail on five key findings including: (1) Perception of DEI in the workplace is falling globally. (2) Intersectionality has a compounding effect. (3) Embedding DEI into existing programs has a bigger impact. FIG 22: Source – Culture Amp PODCASTS OF THE MONTH In another month of high-quality podcasts, I’ve selected four gems for your aural pleasure: COLE NAPPER, SCOTT HINES, AND GUESTS – Live from SIOP 2024 – If you only listen to one podcast this month, I highly recommend this episode of the Directionally Correct podcast, recorded live at the recent SIOP 2024 event. Joining hosts Cole Napper and Scott Hines, PhD, are a stellar list of people analytics practitioners: Anthony Ferreras, Amy Frost Stevenson, PhD, Rob Stilson, Ph.D., Emily Pelosi, PhD, and Kelsie L. Colley, M.S. PhD ABD. SERGIO EZAMA - Unlocking the Secrets of Netflix's Innovative HR Strategy – Netflix CHRO Sergio Ezama joins Lars Schmidt on the Redefining Work podcast to share a unique approach to compensation that's setting new benchmarks in the HR landscape. VIDYA KRISHNAN AND PETER SHEPPARD – Why Skills are like Oxygen – Vidya Krishnan and Peter Sheppard join Stacia Sherman Garr and Dani Johnson on RedThread Research’s Workplace Stories podcast to share Ericsson’s skills-based approach and why “Skills are like oxygen, invisible but necessary.” TOMAS CHAMORRO-PREMUZIC - Why so many bad bosses still rise to the top – Dr Tomas Chamorro-Premuzic, Bryan Hancock, and Brooke Weddle join host Lucia Rahilly on the McKinsey Talks Talent podcast to discuss why the traits that propel us to the top seem to diverge so widely from those that make us great leaders—as well as how to choose stronger, more successful, and more diverse candidates for leadership roles. VIDEO OF THE MONTH NEHA UPADHYAYA – Building an Impactful People Analytics Practice I recently had the privilege of attending the Wharton People Analytics Conference - thanks to Matthew Bidwell, Laura Zarrow, and team. All the sessions from the event can now be viewed including this one featuring Neha Upadhyaya presenting the findings of interviews and surveys of people analytics leaders. The talk presents the initial findings, including the trends they've uncovered, and the pitfalls to avoid in order to build and sustain an impactful people analytics team. BOOK OF THE MONTH ANISH LALCHANDANI – The Skills Advantage: A Human-Centered, Sustainable, and Scalable Approach to Reskilling In the ‘Book of the Month’, Anish Lalchandani breaks down ‘why’ companies should make the paradigm shift towards a skill-centric approach, ‘how’ it contributes to business success, and provides guidance on ‘what’ steps practitioners can take with regards to Agility, Awareness, Application and Alliances in building a comprehensive reskilling strategy. The book is an indispensable guide for HR leaders looking to embrace a successful skills-based approach. RESEARCH REPORT OF THE MONTH STEFANO DI LAURO, AIZHAN TURSUNBAYEVA, GILDA ANTONELLI. AND LUIGI MOSCHERA - Disrupting human resource management with people analytics: a study of applications, value, enablers and barriers in Italy In their paper, Stefano Di Lauro, Aizhan Tursunbayeva, PhD, GRP, Gilda Antonelli, and Luigi Moscheraexplore the adoption and impact of people analytics in Italy. Key findings suggest that people analytics, particularly descriptive, is growing, and that benefits are being enjoyed at both an organisational and employee level. FIG 23: People Analytics value for organisations in Italy (Source: Di Lauro et al) FROM MY DESK May saw four episodes of the Digital HR Leaders podcast - with two each sponsored by our friends at Worklytics and Crunchr. Thank you to Philip Arkcoll and Laura Morris from Worklytics and Ralf Bovers and Dirk Jonker from Crunchr for your partnership and support. LASSAAD ESSAFI AND DAVID GREEN - How EDLIGO Enhances Organisational Performance with Skills-Based Models - In this Expert Interview, I sit down with Lassaad Essafi, CEO at EDLIGO Talent Analytics and Learning Analytics to explore why a skills-based approach to talent management is not just a strategic imperative but a significant driver of business value and organisational performance, drawing upon recent studies and real-world examples. LOREN SHUSTER - Lego’s Blueprint for Modern HR: People, Places and Culture - Loren I. Shuster, Chief People Officer at the LEGO Group joins me to discuss Lego’s blueprint for modern HR. CRAIG STARBUCK – Understanding the Build vs. Buy Dilemma in People Analytics and HR Tech – Craig Starbuck, PhD reflects on his decade long journey in the field and provides insights on aligning people analytics with business priorities, build vs. buy, ONA use cases, partnering with finance, and building data literacy in HR professionals. DAVID GREEN - How can HR use people analytics to revolutionise the workplace experience? – A round-up of Series 38 of the Digital HR Leaders podcast, with insights from Nickle LaMoreaux, Cole Nussbaumer Knaflic, Catherine Coppinger, Loren I. Shuster and Craig Starbuck, PhD. DAISY AUGER-DOMINGUEZ - Four Steps Towards Building a More Diverse and Inclusive Company Culture – Daisy Auger-Dominguez (she/her/ella) joins me to share insights from her book, Inclusion Revolution, including her four-step model (Reflect, Vision, Act, Persist) and how these principles can be practically applied to instigate meaningful change. KATE BRAVERY AND ILYA BONIC - Navigating the Future of Work: AI, Skills, and Trust in the Modern Workforce – Kate Bravery and Ilya Bonic of Mercer, two of the authors – along with Kai Anderson – of Work Different: 10 Truths for Winning in the People Age join me for a discussion on how AI and skills are shaping the future of work, workforce and workplace, and how organisations that prioritise trust and transparency will ultimately win. DAVID GREEN - Five Ways HR Creates a Thriving Organisational Culture – An article inspired by Series 37 of the Digital HR Leaders podcast, where we dug in to the anchors of culture to identify five ways in which HR can support a thriving organisational culture. These include employee listening, continuous learning, and empowering line managers. The article features insights from episodes with Rebecca Thielen, Didier Elzinga, Rob Briner, and Louise Millar / Olivia Edwards. LOOKING FOR A NEW ROLE IN PEOPLE ANALYTICS OR HR TECH? I’d like to highlight once again the wonderful resource created by Richard Rosenow and the One Model team of open roles in people analytics and HR technology, which now numbers over 525 roles. THANK YOU Amit Mohindra for including me in his post about people analytics and power, and for calling out Jeremy Shapiro’s seminal 2010 Harvard Business Review article, Competing on Talent Analytics, which was co-authored by Tom Davenport and Jeanne Harris. Paul David and the team at Literal Humans for including me in their list of The Top 43 HR Tech influencers to help promote your product. Anastasia Mizitova, SHRM-SCP, CPCC for endorsing Excellence in People Analytics. Sanja Licina, Ph.D. for her post about Excellence in People Analytics. Olimpiusz Papiez for sharing his key learnings on storytelling in people analytics, inspired by the recent Digital HR Leaders podcast episode with Cole Nussbaumer Knaflic: Mastering Storytelling for HR Transformation. Christopher Cerasoli for posting about the Digital HR Leaders podcast episode with Craig Starbuck, and highlighting the need for HR to speak the language of finance. Helena Turpin for including the Digital HR Leaders podcast in her six recommended podcasts for learning. Charlotte Chandler for also including the Digital HR Leaders podcast in her list of five recommended podcasts for HR professionals. Similarly, Mirro.io for including the Digital HR Leaders podcast in their list of 13 top HR podcasts Thomas Kohler for including the April edition in his round-up of recommended HR resources. Julia Reis for also including the Data Driven HR Monthly in her list of resources for HR professionals Juliette Matharan for including the podcast episode with Louise Millar and Olivia Edwards in her five podcasts of the month Qandle for including me in their list of Top 25 HR Influencers and Leaders to follow ABOUT THE AUTHOR David Green ?? is a globally respected author, speaker, conference chair, and executive consultant on people analytics, data-driven HR and the future of work. As Managing Partner and Executive Director at Insight222, he has overall responsibility for the delivery of the Insight222 People Analytics Program, which supports the advancement of people analytics in over 90 global organisations. Prior to co-founding Insight222, David accumulated over 20 years experience in the human resources and people analytics fields, including as Global Director of People Analytics Solutions at IBM. As such, David has extensive experience in helping organisations increase value, impact and focus from the wise and ethical use of people analytics. David also hosts the Digital HR Leaders Podcast and is an instructor for Insight222's myHRfuture Academy. His book, co-authored with Jonathan Ferrar, Excellence in People Analytics: How to use Workforce Data to Create Business Value was published in the summer of 2021. SEE ME AT THESE EVENTS I'll be speaking about people analytics, the future of work, and data driven HR at a number of upcoming events in 2024: June 4-5 - Insight222 European Peer Meeting (hosted by Nestlé in Vevey, Switzerland) - exclusively for member organisations of the Insight222 People Analytics Program June 25-26 - Insight222 North American Peer Meeting (Minneapolis, US) - exclusively for member organisations of the Insight222 People Analytics Program September 16-19 - Workday Rising (Las Vegas) September 24-26 - Insight222 Global Executive Retreat (Colorado, US) - exclusively for member organisations of the Insight222 People Analytics Program October 16-17 - UNLEASH World (Paris) October 22-23 - Insight222 North American Peer Meeting (hosted by Workday in Pleasanton, CA) - exclusively for member organisations of the Insight222 People Analytics Program November 12-14 - Workday Rising EMEA (London) November 19-20 - Insight222 European Peer Meeting (hosted by Merck in Darmstadt, Germany) - exclusively for member organisations of the Insight222 People Analytics Program
    McKinsey
    2024年06月03日
  • McKinsey
    The best HR & People Analytics articles of January 2024 2024年对HR专业人士来说是充满挑战和机遇的一年。经济不确定性、地缘政治紧张和技术进步是主要的挑战。文章强调了生产力的重要性,以及来自PwC、麦肯锡和埃森哲的洞察。利物浦经理朱尔根·克洛普的离职案例展示了领导力和文化的重要性。文章还强调了人力资源分析的重要性,提供了来自领先公司的见解。 2024年的HR趋势和预测涵盖了人工智能的影响和向基于技能的组织的转变。工作场所的心理安全、多样性、平等、包容和归属感仍然是重要议题。这篇文章为HR专业人士提供了全面的指导,帮助他们在未来一年中导航复杂性。 2024 is set to be a momentous year. With economic uncertainty, rising geopolitical conflict, and rapid advances in technology, it is also set to be a stormy 12 months for the world, for organisations, and for HR professionals too. Perhaps this explains the slew of insightful resources in January, which has made compiling this month’s collection as challenging as it has been enjoyable. One of the key focuses has been on ‘productivity’, and I’ve brought together a number of resources on this topic. There are also new studies from the likes of PwC, McKinsey, Glassdoor, Accenture, and Deloitte as well as articles featuring practitioners from companies including Spotify, Microsoft, Ericsson, Lloyds Banking Group, and Standard Chartered. There’s lots to enjoy and learn from. Join me for a webinar on February 21 to discover how Leading Companies shift People Analytics from insight to impact Are you an HR or People Analytics Leader seeking to transform your organisation’s People Analytics from mere insights to impactful business outcomes? If so, I invite you to join me for a webinar that Insight222 is hosting on February 21. Naomi Verghese and I will walk through the findings from the Insight222 People Analytics Trends research, unveiling the distinctive characteristics of ABCD Teams that propel organisations to new heights. Naomi and I will be joined by Alan Susi, VP and Global Head of Organisational Analytics and People Insights at S&P Global. Alan will share insights into how S&P Global successfully elevated their approach to people analytics, turning data into tangible business outcomes. You can register for the webinar here – or by clicking the image below. Jürgen Klopp – a study in leadership, culture, and analytics As a fervent supporter, I’m still processing the totally unexpected news that Jürgen Klopp will be leaving his post as the manager of Liverpool at the end of the current football season. In his press conference on taking the reins at Anfield in October 2015, Klopp stated his goal was to turn Liverpool from “doubters to believers.” He has done this with some aplomb amassing a haul of seven trophies (to date) including the Champions League in 2019 and then, the following year, the Holy Grail of Liverpool’s first league title in 30 years. But Klopp is more than a brilliant football manager. He is the epitome of an empathetic leader. His emotional intelligence and natural humility not only endears Klopp to his players, but to supporters too for whom he is adored. The reaction to the news reduced many Liverpool supporters to tears. I’m still hoping – probably forlornly - that like Alex Ferguson in 2002, Klopp will change his mind and stay. In the likely event that he does depart, I’m sure that multiple studies will be made on Klopp’s time at Anfield, and that his leadership skills, use of data and analytics, and ability to build an inclusive winning culture will be deservedly celebrated. YNWA. Looking for a new role in people analytics or HR tech? Before we get to this month’s collection of resources, I’d like to highlight once again the wonderful resource created by Richard Rosenow and the One Model team of open roles in people analytics and HR technology, which now numbers over 500 roles. Looking for a people analytics event to attend in 2024? Richard Rosenow has also been busy compiling a study of People Analytics Conferences to attend in 2024 with the data collected from practitioners themselves. Society for Industrial and Organizational Psychology (SIOP), People Analytics World and the Wharton People Analytics Conference all come out well as does the Insight222 Global Executive Retreat. Thanks to Richard for putting this together. Share the love! Enjoy reading the collection of resources for January and, if you do, please share some data driven HR love with your colleagues and networks. Thanks to the many of you who liked, shared and/or commented on December’s compendium (including those in the Comments below). If you enjoy a weekly dose of curated learning (and the Digital HR Leaders podcast), the Insight222 newsletter: Digital HR Leaders newsletter is published every Tuesday – subscribe here. THE QUEST FOR PRODUCTIVITY MCKINSEY - 2024 and beyond: Will it be economic stagnation or the advent of productivity-driven abundance? | PwC - 27th Annual Global CEO Survey: Thriving in an age of continuous reinvention | JOSH BERSIN - HR Predictions for 2024: The Global Search For Productivity | ERIK BRYNJOLFSSON - How AI Will Transform Productivity | BEN WABER AND NATHANAEL J. FAST - Is GenAI’s Impact on Productivity Overblown? When I talk with CHROs and People Analytics Leaders at the companies we work with at Insight222, one of the words I’m hearing most at the moment is ‘productivity’. Continuing economic and geopolitical uncertainty, the promise of AI, and challenging talent demographics are all fuelling the demand for productivity from CEOs. Here are five resources that can be filed under the ‘productivity’ umbrella: (1) McKinsey’s Ezra Greenberg, Asutosh Padhi, and Sven Smit present a model for businesses to capture the three-sided productivity opportunity (see FIG 1). (2) Amongst a ton of takeaways, the standout theme from the annual PwC CEO survey is that the vast majority of participating companies are already taking some steps towards reinvention, while CEOs believe that 40% of their work is wasted productivity (see FIG 2). (3) Josh Bersin draws from the PwC survey in his 2024 predictions, where he outlines The Productivity Advantage where “If you can help your company move faster (productivity implies speed, not only profit), you can reinvent faster than your competition.” (4) Stanford professor Erik Brynjolfsson offers leaders an overview of how AI will transform productivity. (5) Finally, Ben Waber and Nathanael Fast’s absorbing essay in Harvard Business Review cautions leaders on leaning into the hype on GAI’s supposed positive impact on productivity too heavily. The authors break down two of the key challenges with LLMs: a) their persistent ability to produce convincing falsities and b) the likely long-term negative effects of using LLMs on employees and internal processes. FIG 1: The three-side productivity opportunity (Source: McKinsey) FIG 2: CEOs estimate administrative inefficiency at 40% (Source: PwC) GERGELY OROSZ AND ABI NODA - Measuring Developer Productivity: Real-World Examples Continuing the productivity theme, this is an invaluable resource by Gergely Orosz and Abi Noda in The Pragmatic Engineer newsletter. It provides detail on developer productivity metrics at 17 tech companies including Google, Microsoft, Spotify, and Uber (see summary in FIG 3). FIG 3: Developer productivity metrics at 17 tech companies (Source: Pragmatic Engineer) 2024 HR TRENDS AND PREDICTIONS JASMINE PANAYIDES - Nine Ways to Put HR Trends and Predictions into Practice in 2024 There has been a flood of articles advising what the key HR trends, predictions, and opportunities for 2024 are, but how are HR professionals supposed to make sense of these? In her article for the myHRfuture blog, Jasmine Panayides provides actionable tips on how HR professionals can apply the trends, predictions and opportunities to their work, and their organisations so they can deliver value to the company and the workforce. Jasmine also helpfully summarises the trends/predictions from a variety of sources into one table (see FIG 4), including from: Visier Inc., Gartner, Bernard Marr, UNLEASH, Mercer, and Culture Amp as well as my own 12 Opportunities for HR in 2024 article. FIG 4: Analysis of HR Trends and Predictions for 2024 (Source: myHRfuture) KATARINA BERG - HR Trends for 2024 | GARTNER - 9 Future of Work Trends for 2024 | GLASSDOOR – 2024 Workforce Trends | HUNG LEE - Forecasting 2024 in Recruitment Part 1, Part 2, Part 3, and Part 4 | KEVIN WHEELER - What Does 2024 Hold in Store for Us? | STACIA GARR AND DANI JOHNSON – 2024 Mega Trends and how people leaders should respond (Webinar) The deluge of commentators offering their HR trends and opportunities continued in January. As such, it is a challenge to sort the wheat from the chaff but in addition to those I highlighted in this compendium in December, and in Jasmine’s article above, I recommend diving into the following: (1) Spotify’s chief people officer, Katarina Berg, highlights ten trends with the common theme being each trend is a bridge, connecting the past with the future, and HR professionals are the architects crafting these vital links – including “Staying Human in the Age of AI – The Humanity Bridge”. (2) Gartner’s Jordan Turner and Emily Rose McRae highlight nine future of work trends for the year ahead (see FIG 5). (3) Aaron Terrazas and Daniel Zhao identify eight workforce trends based on Glassdoor’s data on workplace satisfaction, culture, and conversations. (4) Hung Lee is at the cutting edge of recruiting and HR tech, so his four-part series on recruiting in 2024 is definitely worth checking out – two examples include: “Multi-generational replaces neurodiversity as DEIB hot topic” and “Capital Allocation Shifts from Sourcing & Engagement to Assessment & Verification Tech”. (5) Futurist Kevin Wheeler offers seven insights and predictions together with his self-assessed certainty rating including “Generative AI will dominate, and every product will attempt to incorporate AI. 90% certainty” and “More firms will embrace a four-day workweek 50% certainty”. (6) Finally, I strongly recommend viewing the 2024 Mega Trends webinar hosted by Stacia Sherman Garr and Dani Johnson for RedThread Research, which breaks down the key macro factors impacting the world of work and how HR can respond. FIG 5: 9 Future of Work Trends for 2024 (Source: Gartner) GREG NEWMAN - 10 important topics that HR will likely ignore in 2024 Greg Newman takes an alternative, wry and contrarian approach by focusing his list of “predictions” on ten things most HR teams will continue to ignore in 2024. My favourite three are: (1) speaking the language of the business, (2) focusing AI conversations on ethics before technology, and (3) learning that good data is required to realise the dreams of AI and analytics. By aligning HR language with business terminology, we can more effectively demonstrate the value of our initiatives in a way that resonates with business stakeholders. GENERATIVE AI AND THE FUTURE OF WORK ELLYN SHOOK AND PAUL DAUGHERTY - Work, workforce, workers: Reinvented in the age of generative AI A new study from Accenture, co-authored by Ellyn Shook and Paul Daugherty, on how generative AI is impacting work, provides guidance on how leaders can: “Set and guide a vision to reinvent work, reshape the workforce and prepare workers for a generative AI world, while building a resilient culture to navigate continuous waves of change.” The report reveals a trust gap between workers and leaders on key elements related to GAI’s impact on work, the workforce, and workers. The authors also highlight four accelerators for leaders to navigate the journey ahead: (1) Lead and learn in new ways, (2) Reinvent work, (3) Reshape the workforce (see example in FIG 6), and (4) Prepare workers. FIG 6: Illustrative example of how work and roles can be reallocated in a GAI future (Source: Accenture) ROGER W. HOERL AND THOMAS C. REDMAN - What Managers Should Ask About AI Models and Data Sets The decision on whether to deploy AI models within an organisation ultimately lies with business leaders who may not be qualified to identify risks and weaknesses related to AI models and data sets. In their article, Roger Hoerl and Tom Redman provide (1) A framework (see FIG 7) designed to equip leaders with context and based on their concept of the right data. (2) A set of six questions for leaders to ask their AI model developers before and during modelling work and deployment. (3) Guidance for leaders on how to assess AI model developers’ answers to those six questions. FIG 7: The Right Data Framework (Source: Roger W. Hoerl and Thomas C. Redman) PEOPLE ANALYTICS STEVE HATFIELD, SUE CANTRELL, AND BRAD KREIT - Beyond the quick fix: How workforce data can drive deeper organizational problem-solving The premise of this thoughtful article by Steve Hatfield, Susan Cantrell, and Brad Kreit is that without the right context, even simple measurements can undermine efforts to convert people data into value. They then explore several examples – in the workforce, in the workplace, and in the work – where organisations might be limiting their analysis to the surface level and how deeper analysis can reveal systemic issues that lead to opportunities for transformation. Guidance on three actions leaders can take to help ensure they are not missing important context in their data analysis are provided: (1) Bring data from different domains and sources together for analysis. (2) Make sure you’re measuring what you should—not just what you can. (3) Identify potential biases in data collection algorithms. If organizations want to move beyond quick fixes and use work and workforce data to drive deeper—and often more challenging—problem-solving, it is important that they look at the data in context. NAOMI VERGHESE - How to Measure the Value of People Analytics My Insight222 colleague Naomi Verghese digs how to measure the commercial value of people analytics, highlighting a powerful case study from Jaesun HA and LG Electronics. Naomi provides detail on four key areas where people analytics adds value (business performance, workforce experiences, driving an analytics culture and societal benefit) as well as providing data on the characteristics of companies that ARE creating commercial value from people analytics (see FIG 8). FIG 8: Characteristics of people analytics that disclosed and measured commercial value of people analytics solutions (Source: Insight222 People Analytics Trends, 2023) ANDRÉS GARCIA AYALA - 5 Change Drivers Impacting People Analytics & How To Thrive In Them | WILLIS JENSEN - Attrition versus Retention: Which Should I Use? | KEITH McNULTY – Regression Modeling in People Analytics: Survival Analysis | LYDIA WU - The Market Sucks and You are Looking for a Job, Now What? | SEBASTIAN SZACHNOWSKI - 16 HR Metrics for IT | ERIN FLEMING AND NICK JESTEADT - People Analytics Perspectives from the Fringe: Current Priorities and a View on Optimized Teams in 2024 January saw a slew of articles from current and recent people analytics leaders, which typically act as a spur and inspiration for the field. Six are highlighted here: (1) Andrés García Ayala highlights some of the key change drivers impacting people analytics and ways to incorporate them into our work. (2) Willis Jensen builds on the recent primer on attrition metrics by Ben Teusch that I highlighted in December’s edition. He explains why we should be using attrition and retention as separate terms that lead to distinct metrics with different objectives (see also FIG 9). (3) Keith McNulty provides another indispensable practical guide for people analysts with a step-by-step tutorial to conducting survival analysis in R. (4) The prolific Lydia Wu turns her attention to providing some handy guidance for those looking for their next people analytics / HR tech role. (5) Sebastian Szachnowski provides a useful breakdown of 16 HR metrics for technology companies. (6) Last but definitely not least, Erin Fleming and Nick Jesteadt provide insights from their survey of fellow people analytics practitioners. Insights include a) 41% of respondents (n=49) operate as a one-person people analytics team, and ii) the main current focus areas of work include employee turnover, cultural engagement, return to office, and restructuring. FIG 9: When to use Attrition and Retention (Source: Willis Jensen) MAX BLUMBERG - The Big List of GPTs to Revolutionize Your People Processes | JOHANNES SUNDLO - GenAI for People Analytics Two articles addressing the opportunity for generative AI in the people space. (1) Max Blumberg (JA) ?? sets out 93 potential ways to upgrade your People Processes with AI and GPTs across four categories – workforce planning and strategy, recruitment, learning and development, and employee wellbeing. (2) Johannes Sundlo provides examples of companies using GAI in their people analytics work to support analyses on engagement data, skills, and tailoring training recommendations. GPTs are an amazing tool for scenario planning, forecasting future workforce needs, identifying talent gaps, and developing integrated talent strategies. THE EVOLUTION OF HR AND DATA DRIVEN CULTURE DAVE ULRICH, NORM SMALLWOOD, AND JOE GROCHOWSKI - Why and How to Move HR to an Outside-In Approach When asked the question, “What is the biggest challenge in your job today?” HR professionals will typically provide answers such as: “Build a skills-based organisation” or “Help our employees have a better experience”. As Dave Ulrich, Norm Smallwood, and Joe Grochowski write, these answers would be far more powerful when a “so that” is applied e.g. “Help employees have a better experience so that customer experience improves.” The article demonstrates that greater value is created with an outside-in approach that starts with the needs of external stakeholders (customers, investors, community) and then figuring out the implications inside the company for meeting those needs. Dave, Norm, and Joe also present their Human Capability Framework and a tool that provides an assessment of an organisation’s outside-in performance (see FIG 10). FIG 10: Human capability from the outside-in - diagnostic questions (Source: Dave Ulrich et al) WORKFORCE PLANNING, ORG DESIGN, AND SKILLS-BASED ORGANISATIONS AMY WEBB - Bringing True Strategic Foresight Back to Business In her article for Harvard Business Review, Amy Webb defines strategic foresight as “a disciplined and systematic approach to identify where to play, how to win in the future, and how to ensure organizational resiliency in the face of unforeseen disruption.” Her article also advocates for the integration of strategic foresight as a core competency in every organisation, regardless of size. Moreover, Amy provides guidance on how to operationalise strategic foresight by unveiling a ten-step process. Read alongside another article authored by Amy for HBR: How to Do Strategic Planning Like a Futurist, which includes Amy’s Futurist’s Framework for Strategic Planning (see FIG 11). FIG 11: A Futurist’s Framework for Strategic Planning (Source: Amy Webb) WORLD ECONOMIC FORUM AND PwC - Putting Skills First: Opportunities for Building Efficient and Equitable Labour Markets As the introduction to this compelling collaboration between the World Economic Forum and PwC begins: “Skills and talent shortages are critical challenges facing societies and economies today. The absence of relevant skills impedes business growth, hinders economic prosperity, and inhibits individuals from realizing their full potential.” The report identifies five specific opportunities for intervention where the gains from skills-first solutions are most likely for employers and workers alike (see ‘Skills-first Framework’ in FIG 12). Additionally, the report also showcases 13 Skills First “Lighthouses”, including IBM, Siemens, Standard Chartered and Sanofi. It concludes by offering key takeaways regarding six success factors in implementing skills-first approaches including (1) Sponsorship from leadership, (2) Alignment with business needs, and (3) Data and evaluation for iteration. (Authors: Genesis Elhussein, Mark Rayner, Aarushi Singhania, Saadia Zahidi, Peter Brown MBE, Miral Mir, and Bhushan Sethi). A cultural shift to skills-first approaches needs both sponsorship from executives and governance from human-resources professionals FIG 12: Skills-first Framework (Source: World Economic Forum PETER SHEPPARD - Learning from our Skills Journey | BEN AUTY - What are the new skills people will need for the future of work? | TANUJ KAPILASHRAMI - How Standard Chartered is Unlocking the Power of Skills in the Workplace Many of the organisations we work with at Insight222 have embarked on the road to becoming a skills-based organisation. It is not an easy journey, so it is helpful to learn from other companies who are treading this path. Three of these are Ericsson, Lloyds Banking Group, and Standard Chartered. (1) In his article, Peter Sheppard shares learnings from Ericsson’s skills journey including a) it’s not jobs or skills; it’s skills and jobs, b) it’s a whole organisation activity, c) Less is more with skills, and d) Data drives value. (2) Ben Auty shares insights as to why Lloyds Banking Group is developing a learning culture to build the workforce of the future at the bank, the main skills they are focusing on, and the central role the recently established Reskilling Team is playing. (3) Tanuj Kapilashrami shares how Standard Chartered catalysed their work on skills by identifying adjacencies between ‘sunset’ and ‘sunrise’ roles. We looked at skills adjacencies between ‘sunset’ jobs and ‘sunrise’ jobs: so, what are the jobs that are going to go away? What are the skills that help employees get reskilled into some of these sunrise jobs? We ran five proofs of concept, we showed some real redeployment opportunities and started making the skills narrative real. EMPLOYEE LISTENING, EMPLOYEE EXPERIENCE, AND EMPLOYEE WELLBEING JENNIFER E. SIGLER WITH STEPHANIE DENINO - So Many Stakeholders, So Little Time: State of EX 2023-2024 The fifth annual State of EX study authored by Jennifer E. Sigler, PhD on behalf of The EXchange, Inc, TI PEOPLE and FOUNT Global, Inc. is a treasure chest of insights on the fast-evolving practice of employee experience. It highlights the top four priorities for EX as: (1) Redesigning experiences, (2) Getting broader buy-in for EX work across the organisation, (3) Building an EX roadmap for the organisation, and (4) Getting more / better data. One other standout finding from the study suggests that senior leaders are increasingly focused on EX with a majority of respondents (63%) saying their organisation’s senior leaders view EX as equal to or even more important than other corporate priorities. This bodes well for the future of EX. Thanks to Stephanie Denino and Volker Jacobs for highlighting the study. FIG 13: EX Team Priorities YOY Change (Source: The EXchange, TI People and FOUNT Global, Inc) LEADERSHIP AND CULTURE NADJIA YOUSIF, ASHLEY DARTNELL, GRETCHEN MAY, AND ELIZABETH KNARR - Psychological Safety Levels the Playing Field for Employees | PETER CAPPELLI AND LIAT ELDOR - Can Workplaces Have Too Much Psychological Safety? Two perspectives on psychological safety in the workplace. In the first article, Nadjia Yousif, Ashley Dartnell, Gretchen May, and Elizabeth Knarr present the findings of Boston Consulting Group (BCG) research, which finds how psychological safety benefits inclusion, reduces attrition in diverse groups and effectively acts as an equaliser - enabling diverse and disadvantaged employee groups to achieve the same levels of workplace satisfaction as their more advantaged colleagues. The study also highlights the direct relationship between empathetic leadership and feelings of psychological safety in the workforce, giving leaders a clear directive to be empathetic and thereby engender psychological safety. The second article by Peter Cappelli and Liat Eldor presents research that found that when you move from average to high levels of psychological safety, performance in routine jobs actually declined. FIG 14: Psychological safety has an outsize impact on retention for diversity groups (Source: BCG) RASMUS HOUGAARD, JACQUELINE CARTER, AND ROB STEMBRIDGE - The Best Leaders Can’t Be Replaced by AI While there are some areas where AI is already surpassing or will surpass human capabilities, there are several it cannot replace. Based on their research into employees’ comfort with AI in management, as well as their decades of research on the qualities of effective leadership, Rasmus Hougaard, Jacqueline Carter, and Robert Stembridge identify the promise (and perils) of AI-enabled management (see FIG 15), as well as the three uniquely human capabilities leaders need to focus on honing, especially as AI begins to figure more in management: (1) awareness, (2) compassion, and (3) wisdom. For more from Rasmus, I recommend listening to his podcast discussion with me: How To Be a More Compassionate Leader. Leaders who deepen their ability to lead with humanity will win at attracting, retaining, developing, and motivating top talent. FIG 15: AI versus Human: A matric of leadership activities (Source: Potential Project) DIVERSITY, EQUITY, INCLUSION, AND BELONGING JULIE COFFMAN, ALEX NOETHER, BIANCA BAX, CASSY REICHERT, AND KRYSTLE JIANG - The Business of Belonging: Why making everyone feel included is smart strategy Revealing data from a Bain survey of 6,000+ employees across four countries, which finds employees who have seen their companies intentionally invest in inclusion since 2020 are three times more likely to feel fully included than employees who have not seen such investment from their employers. Other findings include (1) Combining diversity and inclusion maximises a company’s capacity (by 4x) to innovate, and (2) Employees with inclusive leadership are 9x more likely to feel fully included at work (see FIG 16). (Authors: Julie Coffman, Alex Noether, Bianca Bax, Cassy Reichert, and Krystle Jiang). FIG 16: Employees with inclusive leadership are 9x more likely to feel fully included at work (Source: Bain) SHUJAAT AHMAD - DEIB Is At A Crossroads—It’s Time for Bold Action and Clear Metrics Given recent developments it’s reasonable to say that Diversity, Equity, Inclusion, and Belonging (DEIB) is at an existential crossroads. As Shujaat Ahmad writes in his excellent article for Round: “Boards, leadership teams, and investors hold the power to set the tone, shape the policies, and allocate the resources to support DEIB initiatives: for DEIB to work effectively, they must shift from well-intentioned wordsmiths to committed drivers that hold the organization accountable for outcomes and positive change.” Shujaat then unveils his blueprint to help leaders assess progress and drive meaningful change, clarifying the ‘why’ before diving into the ‘how’ covering measuring what matters and interventions (see FIG 17). For more from Shujaat, I recommend visiting Belong and Lead. FIG 17: Source – Shujaat Ahmad HR TECH VOICES Much of the innovation in the field continues to be driven by the vendor community, and I’ve picked out a few resources from January that I recommend readers delve into: ERNEST NG - If the Pitch is Too Smooth, It Probably Is: Why AI in HR is Difficult – Part 2 of an insightful essay from Ernest Ng, PhD of HiredScore (see also Part 1 on disclosures here) where he cuts through the hype to assess how we should be implementing AI in HR. LOUJAINA ABDELWAHED - A Tale of Two Cultures - In One Company - Loujaina Abdelwahed, PhD from Revelio Labs highlights the growing disparity between junior and senior employees (see FIG 18) and identifies the factors causing this malaise. Thanks to Ben Zweig for highlighting. FIG 18: The growing disparity in sentiment between junior and senior employees (Source: Revelio Labs) JEREMIE BRECHEISEN - Where Employees Think Companies’ DEIB Efforts Are Failing – Jeremie K Brecheisen presents findings from Gallup that reveals a disconnect between how well employees and HR leaders believe their organisations are doing when it comes to diversity, equity, inclusion, and belonging: 84% of CHROs say their organisations are increasing investment in DEIB, while only 31% of employees say their organisation is committed to improving racial justice or equity in their workplace (see FIG 19). The article then outlines ten needs employees say are not being met and then offers strategies to help organisations address the disconnect. FIG 19: How employees and HR leaders differ on perceptions of DEIB progress (Source: Gallup) FRANCISCO MARIN - Navigating the ONA Landscape: Trends and Challenges for 2024 - Another good read from Cognitive Talent Solutions, as Francisco Marin explores the key trends and challenges shaping the ONA space in 2024. IAN WHITE - The three C’s of effective performance management – Ian White, CEO at ChartHop, presents the three C’s of performance management — continuous, contextual and cultural — designed to help companies understand their employees more holistically. CHRISTINA JANZER - The surprising connection between after-hours work and decreased productivity – Christina Janzer presents findings from Slack’s Workforce Index, which identifies findings on how to structure the workday to maximise employee productivity, well-being and satisfaction – including the connection between after hours work and decreased productivity. FIG 20: Source – Slack PODCASTS OF THE MONTH In another month of high-quality podcasts, I’ve selected five gems for your aural pleasure: (you can also check out the latest episodes of the Digital HR Leaders Podcast – see ‘From My Desk’ below): AMY EDMONDSON AND LAURIE RUETTIMANN – Right Kind of Failure – Amy Edmondson joins Laurie Ruettimann on the brilliantly named Punk Rock HR to explore the essential role of failure in our professional and personal growth. STACIA GARR, COLE NAPPER, AND SCOTT HINES - People Analytics & HR Tech Research by Industry Analysts – Stacia Sherman Garr, one of the industry’s top analysts, joins Cole Napper and Scott Hines, PhD on the Directionally Correct podcast to discuss the research Stacia and her team at RedThread Research do in the people analytics and HR technology space. RICHARD ROSENOW, MADDIE GRANT, AND SANJA LICINA - How to Build an Integrated Framework for Workforce Listening – In an episode of the Empowering Workplaces podcast, Richard Rosenow joins hosts Maddie Grant and Sanja Licina, Ph.D. to talk about The Three Channels of Workforce Information: conversations (“what people say”), surveys (“what people say they do”) and systems (“what people do”) as a way to build a comprehensive understanding of your workforce. McKINSEY - The shape of talent in 2023 and 2024 - In this episode of McKinsey Talks Talent, Bryan Hancock, Brooke Weddle and host Lucia Rahilly highlight the trends that shaped last year’s talent landscape—and those poised to ‘redefine its contours’ yet again in 2024. MATTHEW BIDWELL AND DAN LONEY – Forecasting 2024 Workplace Trends – Wharton Professor and convenor of the Wharton People Analytics Conference, Matthew Bidwell, joins host of the Wharton Business Daily Dan Loney to look at the year ahead in the workplace. VIDEO OF THE MONTH CHRIS LOUIE, TOMAS CHAMORRO-PREMUZIC, TERRI HORTON, AND LINDSEY SHINTANI - Power a dynamic workforce by embracing AI An enlightening panel discussion from the recent LinkedIn Talent Connect where Chris Louie, Dr Tomas Chamorro-Premuzic, Terri Horton, EdD, MBA, MA, SHRM-CP, PHR, and Lindsey Shintani discuss how AI is changing learning and career paths. They provide guidance on how to overcome AI anxiety and empower impactful futures. BOOK OF THE MONTH KEVIN WHEELER AND BAS VAN DE HATERD – Talent Acquisition Excellence An excellent new book published by Kogan Page and authored by Kevin Wheeler and Bas van de Haterd (He/His/Him). It provides an insightful and detailed analysis of how technologies such as artificial intelligence and machine learning in combination with analytics can improve talent acquisition and recruitment. RESEARCH REPORT OF THE MONTH YUYE DING AND MARK (SHUAI) MA - Return-to-Office Mandates A huge thank you to Nick Bloom for bringing my attention to this paper from Yuye Ding and Mark Ma, which studied the impact of 137 Return to Office mandates on the performance of S&P500 firms from 2020-2023. The key findings, as summarised by Nick, are illuminating: (1) RTO mandates are more likely in firms with poor recent stock performance, and in those with powerful male CEOs. (2) Glassdoor data finds RTO mandates significantly reduce employee ratings for job satisfaction, work-life balance, and senior management. (3) There is no significant impact of RTO mandates on either firm profitability or firm stock-returns. FIG 21: Distribution of firms’ RTO mandates (Source: Yuye Ding and Mark Ma) FROM MY DESK January saw the first three episodes of Series 36 of the Digital HR Leaders podcast, sponsored by our friends at ScreenCloud. Thank you to Luke Farrugia. DAVID GREEN - The best 60 HR & People Analytics articles of 2023 Part 1 | Part 2 – My tenth annual collection of HR and people analytics resources is spread across two articles and ten themes. Part 1 covers i) the future of work and people strategy, ii) workplace design and strategy, iii) AI and the world of work, iv) people analytics, and v) employee experience, listening and wellbeing. Part 2 covers: vi) the evolution of HR, HR operating models and the CHRO, vii) building a data driven culture in HR, viii) workforce planning, skills, and talent marketplace, ix) leadership and culture, and x) diversity, equity, inclusion and belonging. THOMAS RASMUSSEN, DAWN KLINGHOFFER, AND JEREMY SHAPIRO - HR in 2024: The Impact of People Analytics, AI & ML – In a special episode of the Digital HR Leaders podcast to kick off 2024, I was joined by Thomas Rasmussen, Dawn Klinghoffer, and Jeremy Shapiro to discuss the outlook for HR and people analytics in the coming 12 months. SERENA HUANG - How to Enhance Your Career in People Analytics - Serena H. Huang, Ph.D., who has led people analytics functions at companies including GE, PayPal and Kraft Heinz, joins me to discuss the common career paths observed in the people analytics field and how they have evolved over the years. KAZ HASSAN AND LUKE FARUGGIA - How to Bridge the Gap Between Customer and Employee Experience - What can HR learn from marketing's journey in using data, analytics and technology to understand and personalise the customer experience? How can we leverage these insights in HR to boost our employee experience initiatives? Kaz Hassan and Luke Faruggia join me to discuss these topics and more. THANK YOU Finally, this month I’d like to thank: Recruit CRM for nominating me as ‘The People Analytics Pioneer’ in their list of 50 Recruitment Influencers to Follow in 2024 Likewise, a huge thank you to 365Talents for including me as one of the Top 50 HR Influencers to Follow in 2024 Similarly, thanks to HRCap, Inc. for including me in their list of 10 HR Influencers who Provide Remarkable Insights The Social Craft (here) and The Talent Games (here) for also including me in their lists of HR and HR Tech leaders to follow. HRDConnect for quoting me in their article Data Literacy: A must-have for HR professionals in 2024. Gianni Giacomelli for including the Data Driven HR monthly in his list of seven must-read newsletters. HR Geckos for including Excellence in People Analytics as a book recommendation in their HR Bytes Newsletter for January 2024. Sebastian Szachnowski for including Excellence in People Analytics in his list of books to get better at people analytics. Leapsome for including the Digital HR Leaders podcast as one of its Top 10 HR Podcasts for 2024. Similarly, Alexandre Darbois for also including the Digital HR Leaders podcast as one of his 5 HR Podcasts. Melissa Meredith for using my 12 Opportunities for HR in 2024 article to highlight the importance of the HR-Finance partnership in building a thriving company. Bill Brown for also highlighting my 12 Opportunities for HR in 2024 article in his Eleven Trends Transforming the Future of Work in 2024. Mirro.io for including me as a contributor in their list of 15 HR Trends for 2024. Dhanesh K for including as one of his 10 Top HR Leaders to Follow. Lanteria HR for recommending me as one of their HR Experts to Follow in 2024. Semos Cloud for including my 12 Opportunities for HR in 2024 as part of their round-up of HR insights. Thomas Kohler for including my Best HR and People Analytics Articles of 2023 in their collection of HR resources to read. Thinkers360 for including me in their Top Voices EMEA 2023. ABOUT THE AUTHOR David Green ?? is a globally respected author, speaker, conference chair, and executive consultant on people analytics, data-driven HR and the future of work. As Managing Partner and Executive Director at Insight222, he has overall responsibility for the delivery of the Insight222 People Analytics Program, which supports the advancement of people analytics in over 90 global organisations. Prior to co-founding Insight222, David accumulated over 20 years experience in the human resources and people analytics fields, including as Global Director of People Analytics Solutions at IBM. As such, David has extensive experience in helping organisations increase value, impact and focus from the wise and ethical use of people analytics. David also hosts the Digital HR Leaders Podcast and is an instructor for Insight222's myHRfuture Academy. His book, co-authored with Jonathan Ferrar, Excellence in People Analytics: How to use Workforce Data to Create Business Value was published in the summer of 2021. SEE ME AT THESE EVENTS I'll be speaking about people analytics, the future of work, and data driven HR at a number of upcoming events in 2024: Feb 21 - Discover how Leading Companies shift People Analytics from insight to impact (Webinar) Feb 28 - People Analytics World 2024: Exploring the Potential of Analytics and AI in Employee Experience (Zurich) March 4-6 - Gloat Live! (New York) March 14-15 - Wharton People Analytics Conference (Philadelphia) April 24-25 - People Analytics World (London) May 7-9 - UNLEASH America (Las Vegas) September 24-26 - Insight222 Global Executive Retreat (Colorado, US) - exclusively for member organisations of the Insight222 People Analytics Program October 16-17 - UNLEASH World (Paris) More events will be added as they are confirmed.
    McKinsey
    2024年03月02日
  • McKinsey
    推荐阅读:关于成为技能型组织的问题 https://talentstrategygroup.com/is-the-juice-worth-the-squeeze/ 本文深入探讨了基于技能的组织架构的概念,这一趋势由咨询和技术供应商所推广。报告从多个角度审视了将组织转型为基于技能的模式的必要性、优势以及所面临的挑战。通过对Deloitte、Korn Ferry、PwC、McKinsey和Accenture等知名咨询公司发布的报告进行批判性分析,本文揭示了在推进技能为中心的组织结构转型过程中存在的一系列问题和疑问。 首先,报告指出了对于“技能”定义的普遍缺乏共识,这种模糊不清的定义为组织实施基于技能的转型带来了困难。 其次,尽管咨询和技术公司对于基于技能的组织转型充满热情,但他们通常未能提供足够的证据来支持这一做法能够带来的具体好处,特别是在组织效率和员工满意度方面。 此外,报告还质疑了基于技能的转型对于组织结构、人员配置、培训、薪酬等方面的深远影响,指出这种大规模转型的成本和风险可能远远超过其潜在的好处。 同时,报告强调了现有简单有效的解决方案,如调整职位描述,以减少对大规模组织重组的需求。 通过提出17个关于基于技能组织的问题并给出回答,报告为读者提供了一个全面、客观的视角,帮助他们在面对每天涌现的关于可能帮助企业发展的产品和服务信息时,能够做出更为谨慎的选择。 总之,本报告建议在考虑向基于技能的组织转型之前,组织应更加深入地分析和评估这一做法的实际效益和潜在风险,确保决策基于充分的信息和理性的考量。在追求创新和改革的同时,保持对传统组织结构和管理方式的适当尊重和利用,可能是更为稳妥和高效的道路。 推荐给大家!    
    McKinsey
    2024年02月18日
  • McKinsey
    The best HR & People Analytics articles of January 2024 2024 is set to be a momentous year. With economic uncertainty, rising geopolitical conflict, and rapid advances in technology, it is also set to be a stormy 12 months for the world, for organisations, and for HR professionals too. Perhaps this explains the slew of insightful resources in January, which has made compiling this month’s collection as challenging as it has been enjoyable. One of the key focuses has been on ‘productivity’, and I’ve brought together a number of resources on this topic. There are also new studies from the likes of PwC, McKinsey, Glassdoor, Accenture, and Deloitte as well as articles featuring practitioners from companies including Spotify, Microsoft, Ericsson, Lloyds Banking Group, and Standard Chartered. There’s lots to enjoy and learn from. Join me for a webinar on February 21 to discover how Leading Companies shift People Analytics from insight to impact Are you an HR or People Analytics Leader seeking to transform your organisation’s People Analytics from mere insights to impactful business outcomes? If so, I invite you to join me for a webinar that Insight222 is hosting on February 21. Naomi Verghese and I will walk through the findings from the Insight222 People Analytics Trends research, unveiling the distinctive characteristics of ABCD Teams that propel organisations to new heights. Naomi and I will be joined by Alan Susi, VP and Global Head of Organisational Analytics and People Insights at S&P Global. Alan will share insights into how S&P Global successfully elevated their approach to people analytics, turning data into tangible business outcomes. You can register for the webinar here – or by clicking the image below. Jürgen Klopp – a study in leadership, culture, and analytics As a fervent supporter, I’m still processing the totally unexpected news that Jürgen Klopp will be leaving his post as the manager of Liverpool at the end of the current football season. In his press conference on taking the reins at Anfield in October 2015, Klopp stated his goal was to turn Liverpool from “doubters to believers.” He has done this with some aplomb amassing a haul of seven trophies (to date) including the Champions League in 2019 and then, the following year, the Holy Grail of Liverpool’s first league title in 30 years. But Klopp is more than a brilliant football manager. He is the epitome of an empathetic leader. His emotional intelligence and natural humility not only endears Klopp to his players, but to supporters too for whom he is adored. The reaction to the news reduced many Liverpool supporters to tears. I’m still hoping – probably forlornly - that like Alex Ferguson in 2002, Klopp will change his mind and stay. In the likely event that he does depart, I’m sure that multiple studies will be made on Klopp’s time at Anfield, and that his leadership skills, use of data and analytics, and ability to build an inclusive winning culture will be deservedly celebrated. YNWA. Looking for a new role in people analytics or HR tech? Before we get to this month’s collection of resources, I’d like to highlight once again the wonderful resource created by Richard Rosenow and the One Model team of open roles in people analytics and HR technology, which now numbers over 500 roles. Looking for a people analytics event to attend in 2024? Richard Rosenow has also been busy compiling a study of People Analytics Conferences to attend in 2024 with the data collected from practitioners themselves. Society for Industrial and Organizational Psychology (SIOP), People Analytics World and the Wharton People Analytics Conference all come out well as does the Insight222 Global Executive Retreat. Thanks to Richard for putting this together. Share the love! Enjoy reading the collection of resources for January and, if you do, please share some data driven HR love with your colleagues and networks. Thanks to the many of you who liked, shared and/or commented on December’s compendium (including those in the Comments below). If you enjoy a weekly dose of curated learning (and the Digital HR Leaders podcast), the Insight222 newsletter: Digital HR Leaders newsletter is published every Tuesday – subscribe here. THE QUEST FOR PRODUCTIVITY MCKINSEY - 2024 and beyond: Will it be economic stagnation or the advent of productivity-driven abundance? | PwC - 27th Annual Global CEO Survey: Thriving in an age of continuous reinvention | JOSH BERSIN - HR Predictions for 2024: The Global Search For Productivity | ERIK BRYNJOLFSSON - How AI Will Transform Productivity | BEN WABER AND NATHANAEL J. FAST - Is GenAI’s Impact on Productivity Overblown? When I talk with CHROs and People Analytics Leaders at the companies we work with at Insight222, one of the words I’m hearing most at the moment is ‘productivity’. Continuing economic and geopolitical uncertainty, the promise of AI, and challenging talent demographics are all fuelling the demand for productivity from CEOs. Here are five resources that can be filed under the ‘productivity’ umbrella: (1) McKinsey’s Ezra Greenberg, Asutosh Padhi, and Sven Smit present a model for businesses to capture the three-sided productivity opportunity (see FIG 1). (2) Amongst a ton of takeaways, the standout theme from the annual PwC CEO survey is that the vast majority of participating companies are already taking some steps towards reinvention, while CEOs believe that 40% of their work is wasted productivity (see FIG 2). (3) Josh Bersin draws from the PwC survey in his 2024 predictions, where he outlines The Productivity Advantage where “If you can help your company move faster (productivity implies speed, not only profit), you can reinvent faster than your competition.” (4) Stanford professor Erik Brynjolfsson offers leaders an overview of how AI will transform productivity. (5) Finally, Ben Waber and Nathanael Fast’s absorbing essay in Harvard Business Review cautions leaders on leaning into the hype on GAI’s supposed positive impact on productivity too heavily. The authors break down two of the key challenges with LLMs: a) their persistent ability to produce convincing falsities and b) the likely long-term negative effects of using LLMs on employees and internal processes. FIG 1: The three-side productivity opportunity (Source: McKinsey) FIG 2: CEOs estimate administrative inefficiency at 40% (Source: PwC) GERGELY OROSZ AND ABI NODA - Measuring Developer Productivity: Real-World Examples Continuing the productivity theme, this is an invaluable resource by Gergely Orosz and Abi Noda in The Pragmatic Engineer newsletter. It provides detail on developer productivity metrics at 17 tech companies including Google, Microsoft, Spotify, and Uber (see summary in FIG 3). FIG 3: Developer productivity metrics at 17 tech companies (Source: Pragmatic Engineer) 2024 HR TRENDS AND PREDICTIONS JASMINE PANAYIDES - Nine Ways to Put HR Trends and Predictions into Practice in 2024 There has been a flood of articles advising what the key HR trends, predictions, and opportunities for 2024 are, but how are HR professionals supposed to make sense of these? In her article for the myHRfuture blog, Jasmine Panayides provides actionable tips on how HR professionals can apply the trends, predictions and opportunities to their work, and their organisations so they can deliver value to the company and the workforce. Jasmine also helpfully summarises the trends/predictions from a variety of sources into one table (see FIG 4), including from: Visier Inc., Gartner, Bernard Marr, UNLEASH, Mercer, and Culture Amp as well as my own 12 Opportunities for HR in 2024 article. FIG 4: Analysis of HR Trends and Predictions for 2024 (Source: myHRfuture) KATARINA BERG - HR Trends for 2024 | GARTNER - 9 Future of Work Trends for 2024 | GLASSDOOR – 2024 Workforce Trends | HUNG LEE - Forecasting 2024 in Recruitment Part 1, Part 2, Part 3, and Part 4 | KEVIN WHEELER - What Does 2024 Hold in Store for Us? | STACIA GARR AND DANI JOHNSON – 2024 Mega Trends and how people leaders should respond (Webinar) The deluge of commentators offering their HR trends and opportunities continued in January. As such, it is a challenge to sort the wheat from the chaff but in addition to those I highlighted in this compendium in December, and in Jasmine’s article above, I recommend diving into the following: (1) Spotify’s chief people officer, Katarina Berg, highlights ten trends with the common theme being each trend is a bridge, connecting the past with the future, and HR professionals are the architects crafting these vital links – including “Staying Human in the Age of AI – The Humanity Bridge”. (2) Gartner’s Jordan Turner and Emily Rose McRae highlight nine future of work trends for the year ahead (see FIG 5). (3) Aaron Terrazas and Daniel Zhao identify eight workforce trends based on Glassdoor’s data on workplace satisfaction, culture, and conversations. (4) Hung Lee is at the cutting edge of recruiting and HR tech, so his four-part series on recruiting in 2024 is definitely worth checking out – two examples include: “Multi-generational replaces neurodiversity as DEIB hot topic” and “Capital Allocation Shifts from Sourcing & Engagement to Assessment & Verification Tech”. (5) Futurist Kevin Wheeler offers seven insights and predictions together with his self-assessed certainty rating including “Generative AI will dominate, and every product will attempt to incorporate AI. 90% certainty” and “More firms will embrace a four-day workweek 50% certainty”. (6) Finally, I strongly recommend viewing the 2024 Mega Trends webinar hosted by Stacia Sherman Garr and Dani Johnson for RedThread Research, which breaks down the key macro factors impacting the world of work and how HR can respond. FIG 5: 9 Future of Work Trends for 2024 (Source: Gartner) GREG NEWMAN - 10 important topics that HR will likely ignore in 2024 Greg Newman takes an alternative, wry and contrarian approach by focusing his list of “predictions” on ten things most HR teams will continue to ignore in 2024. My favourite three are: (1) speaking the language of the business, (2) focusing AI conversations on ethics before technology, and (3) learning that good data is required to realise the dreams of AI and analytics. By aligning HR language with business terminology, we can more effectively demonstrate the value of our initiatives in a way that resonates with business stakeholders. GENERATIVE AI AND THE FUTURE OF WORK ELLYN SHOOK AND PAUL DAUGHERTY - Work, workforce, workers: Reinvented in the age of generative AI A new study from Accenture, co-authored by Ellyn Shook and Paul Daugherty, on how generative AI is impacting work, provides guidance on how leaders can: “Set and guide a vision to reinvent work, reshape the workforce and prepare workers for a generative AI world, while building a resilient culture to navigate continuous waves of change.” The report reveals a trust gap between workers and leaders on key elements related to GAI’s impact on work, the workforce, and workers. The authors also highlight four accelerators for leaders to navigate the journey ahead: (1) Lead and learn in new ways, (2) Reinvent work, (3) Reshape the workforce (see example in FIG 6), and (4) Prepare workers. FIG 6: Illustrative example of how work and roles can be reallocated in a GAI future (Source: Accenture) ROGER W. HOERL AND THOMAS C. REDMAN - What Managers Should Ask About AI Models and Data Sets The decision on whether to deploy AI models within an organisation ultimately lies with business leaders who may not be qualified to identify risks and weaknesses related to AI models and data sets. In their article, Roger Hoerl and Tom Redman provide (1) A framework (see FIG 7) designed to equip leaders with context and based on their concept of the right data. (2) A set of six questions for leaders to ask their AI model developers before and during modelling work and deployment. (3) Guidance for leaders on how to assess AI model developers’ answers to those six questions. FIG 7: The Right Data Framework (Source: Roger W. Hoerl and Thomas C. Redman) PEOPLE ANALYTICS STEVE HATFIELD, SUE CANTRELL, AND BRAD KREIT - Beyond the quick fix: How workforce data can drive deeper organizational problem-solving The premise of this thoughtful article by Steve Hatfield, Susan Cantrell, and Brad Kreit is that without the right context, even simple measurements can undermine efforts to convert people data into value. They then explore several examples – in the workforce, in the workplace, and in the work – where organisations might be limiting their analysis to the surface level and how deeper analysis can reveal systemic issues that lead to opportunities for transformation. Guidance on three actions leaders can take to help ensure they are not missing important context in their data analysis are provided: (1) Bring data from different domains and sources together for analysis. (2) Make sure you’re measuring what you should—not just what you can. (3) Identify potential biases in data collection algorithms. If organizations want to move beyond quick fixes and use work and workforce data to drive deeper—and often more challenging—problem-solving, it is important that they look at the data in context. NAOMI VERGHESE - How to Measure the Value of People Analytics My Insight222 colleague Naomi Verghese digs how to measure the commercial value of people analytics, highlighting a powerful case study from Jaesun HA and LG Electronics. Naomi provides detail on four key areas where people analytics adds value (business performance, workforce experiences, driving an analytics culture and societal benefit) as well as providing data on the characteristics of companies that ARE creating commercial value from people analytics (see FIG 8). FIG 8: Characteristics of people analytics that disclosed and measured commercial value of people analytics solutions (Source: Insight222 People Analytics Trends, 2023) ANDRÉS GARCIA AYALA - 5 Change Drivers Impacting People Analytics & How To Thrive In Them | WILLIS JENSEN - Attrition versus Retention: Which Should I Use? | KEITH McNULTY – Regression Modeling in People Analytics: Survival Analysis | LYDIA WU - The Market Sucks and You are Looking for a Job, Now What? | SEBASTIAN SZACHNOWSKI - 16 HR Metrics for IT | ERIN FLEMING AND NICK JESTEADT - People Analytics Perspectives from the Fringe: Current Priorities and a View on Optimized Teams in 2024 January saw a slew of articles from current and recent people analytics leaders, which typically act as a spur and inspiration for the field. Six are highlighted here: (1) Andrés García Ayala highlights some of the key change drivers impacting people analytics and ways to incorporate them into our work. (2) Willis Jensen builds on the recent primer on attrition metrics by Ben Teusch that I highlighted in December’s edition. He explains why we should be using attrition and retention as separate terms that lead to distinct metrics with different objectives (see also FIG 9). (3) Keith McNulty provides another indispensable practical guide for people analysts with a step-by-step tutorial to conducting survival analysis in R. (4) The prolific Lydia Wu turns her attention to providing some handy guidance for those looking for their next people analytics / HR tech role. (5) Sebastian Szachnowski provides a useful breakdown of 16 HR metrics for technology companies. (6) Last but definitely not least, Erin Fleming and Nick Jesteadt provide insights from their survey of fellow people analytics practitioners. Insights include a) 41% of respondents (n=49) operate as a one-person people analytics team, and ii) the main current focus areas of work include employee turnover, cultural engagement, return to office, and restructuring. FIG 9: When to use Attrition and Retention (Source: Willis Jensen) MAX BLUMBERG - The Big List of GPTs to Revolutionize Your People Processes | JOHANNES SUNDLO - GenAI for People Analytics Two articles addressing the opportunity for generative AI in the people space. (1) Max Blumberg (JA) ?? sets out 93 potential ways to upgrade your People Processes with AI and GPTs across four categories – workforce planning and strategy, recruitment, learning and development, and employee wellbeing. (2) Johannes Sundlo provides examples of companies using GAI in their people analytics work to support analyses on engagement data, skills, and tailoring training recommendations. GPTs are an amazing tool for scenario planning, forecasting future workforce needs, identifying talent gaps, and developing integrated talent strategies. THE EVOLUTION OF HR AND DATA DRIVEN CULTURE DAVE ULRICH, NORM SMALLWOOD, AND JOE GROCHOWSKI - Why and How to Move HR to an Outside-In Approach When asked the question, “What is the biggest challenge in your job today?” HR professionals will typically provide answers such as: “Build a skills-based organisation” or “Help our employees have a better experience”. As Dave Ulrich, Norm Smallwood, and Joe Grochowski write, these answers would be far more powerful when a “so that” is applied e.g. “Help employees have a better experience so that customer experience improves.” The article demonstrates that greater value is created with an outside-in approach that starts with the needs of external stakeholders (customers, investors, community) and then figuring out the implications inside the company for meeting those needs. Dave, Norm, and Joe also present their Human Capability Framework and a tool that provides an assessment of an organisation’s outside-in performance (see FIG 10). FIG 10: Human capability from the outside-in - diagnostic questions (Source: Dave Ulrich et al) WORKFORCE PLANNING, ORG DESIGN, AND SKILLS-BASED ORGANISATIONS AMY WEBB - Bringing True Strategic Foresight Back to Business In her article for Harvard Business Review, Amy Webb defines strategic foresight as “a disciplined and systematic approach to identify where to play, how to win in the future, and how to ensure organizational resiliency in the face of unforeseen disruption.” Her article also advocates for the integration of strategic foresight as a core competency in every organisation, regardless of size. Moreover, Amy provides guidance on how to operationalise strategic foresight by unveiling a ten-step process. Read alongside another article authored by Amy for HBR: How to Do Strategic Planning Like a Futurist, which includes Amy’s Futurist’s Framework for Strategic Planning (see FIG 11). FIG 11: A Futurist’s Framework for Strategic Planning (Source: Amy Webb) WORLD ECONOMIC FORUM AND PwC - Putting Skills First: Opportunities for Building Efficient and Equitable Labour Markets As the introduction to this compelling collaboration between the World Economic Forum and PwC begins: “Skills and talent shortages are critical challenges facing societies and economies today. The absence of relevant skills impedes business growth, hinders economic prosperity, and inhibits individuals from realizing their full potential.” The report identifies five specific opportunities for intervention where the gains from skills-first solutions are most likely for employers and workers alike (see ‘Skills-first Framework’ in FIG 12). Additionally, the report also showcases 13 Skills First “Lighthouses”, including IBM, Siemens, Standard Chartered and Sanofi. It concludes by offering key takeaways regarding six success factors in implementing skills-first approaches including (1) Sponsorship from leadership, (2) Alignment with business needs, and (3) Data and evaluation for iteration. (Authors: Genesis Elhussein, Mark Rayner, Aarushi Singhania, Saadia Zahidi, Peter Brown MBE, Miral Mir, and Bhushan Sethi). A cultural shift to skills-first approaches needs both sponsorship from executives and governance from human-resources professionals FIG 12: Skills-first Framework (Source: World Economic Forum PETER SHEPPARD - Learning from our Skills Journey | BEN AUTY - What are the new skills people will need for the future of work? | TANUJ KAPILASHRAMI - How Standard Chartered is Unlocking the Power of Skills in the Workplace Many of the organisations we work with at Insight222 have embarked on the road to becoming a skills-based organisation. It is not an easy journey, so it is helpful to learn from other companies who are treading this path. Three of these are Ericsson, Lloyds Banking Group, and Standard Chartered. (1) In his article, Peter Sheppard shares learnings from Ericsson’s skills journey including a) it’s not jobs or skills; it’s skills and jobs, b) it’s a whole organisation activity, c) Less is more with skills, and d) Data drives value. (2) Ben Auty shares insights as to why Lloyds Banking Group is developing a learning culture to build the workforce of the future at the bank, the main skills they are focusing on, and the central role the recently established Reskilling Team is playing. (3) Tanuj Kapilashrami shares how Standard Chartered catalysed their work on skills by identifying adjacencies between ‘sunset’ and ‘sunrise’ roles. We looked at skills adjacencies between ‘sunset’ jobs and ‘sunrise’ jobs: so, what are the jobs that are going to go away? What are the skills that help employees get reskilled into some of these sunrise jobs? We ran five proofs of concept, we showed some real redeployment opportunities and started making the skills narrative real. EMPLOYEE LISTENING, EMPLOYEE EXPERIENCE, AND EMPLOYEE WELLBEING JENNIFER E. SIGLER WITH STEPHANIE DENINO - So Many Stakeholders, So Little Time: State of EX 2023-2024 The fifth annual State of EX study authored by Jennifer E. Sigler, PhD on behalf of The EXchange, Inc, TI PEOPLE and FOUNT Global, Inc. is a treasure chest of insights on the fast-evolving practice of employee experience. It highlights the top four priorities for EX as: (1) Redesigning experiences, (2) Getting broader buy-in for EX work across the organisation, (3) Building an EX roadmap for the organisation, and (4) Getting more / better data. One other standout finding from the study suggests that senior leaders are increasingly focused on EX with a majority of respondents (63%) saying their organisation’s senior leaders view EX as equal to or even more important than other corporate priorities. This bodes well for the future of EX. Thanks to Stephanie Denino and Volker Jacobs for highlighting the study. FIG 13: EX Team Priorities YOY Change (Source: The EXchange, TI People and FOUNT Global, Inc) LEADERSHIP AND CULTURE NADJIA YOUSIF, ASHLEY DARTNELL, GRETCHEN MAY, AND ELIZABETH KNARR - Psychological Safety Levels the Playing Field for Employees | PETER CAPPELLI AND LIAT ELDOR - Can Workplaces Have Too Much Psychological Safety? Two perspectives on psychological safety in the workplace. In the first article, Nadjia Yousif, Ashley Dartnell, Gretchen May, and Elizabeth Knarr present the findings of Boston Consulting Group (BCG) research, which finds how psychological safety benefits inclusion, reduces attrition in diverse groups and effectively acts as an equaliser - enabling diverse and disadvantaged employee groups to achieve the same levels of workplace satisfaction as their more advantaged colleagues. The study also highlights the direct relationship between empathetic leadership and feelings of psychological safety in the workforce, giving leaders a clear directive to be empathetic and thereby engender psychological safety. The second article by Peter Cappelli and Liat Eldor presents research that found that when you move from average to high levels of psychological safety, performance in routine jobs actually declined. FIG 14: Psychological safety has an outsize impact on retention for diversity groups (Source: BCG) RASMUS HOUGAARD, JACQUELINE CARTER, AND ROB STEMBRIDGE - The Best Leaders Can’t Be Replaced by AI While there are some areas where AI is already surpassing or will surpass human capabilities, there are several it cannot replace. Based on their research into employees’ comfort with AI in management, as well as their decades of research on the qualities of effective leadership, Rasmus Hougaard, Jacqueline Carter, and Robert Stembridge identify the promise (and perils) of AI-enabled management (see FIG 15), as well as the three uniquely human capabilities leaders need to focus on honing, especially as AI begins to figure more in management: (1) awareness, (2) compassion, and (3) wisdom. For more from Rasmus, I recommend listening to his podcast discussion with me: How To Be a More Compassionate Leader. Leaders who deepen their ability to lead with humanity will win at attracting, retaining, developing, and motivating top talent. FIG 15: AI versus Human: A matric of leadership activities (Source: Potential Project) DIVERSITY, EQUITY, INCLUSION, AND BELONGING JULIE COFFMAN, ALEX NOETHER, BIANCA BAX, CASSY REICHERT, AND KRYSTLE JIANG - The Business of Belonging: Why making everyone feel included is smart strategy Revealing data from a Bain survey of 6,000+ employees across four countries, which finds employees who have seen their companies intentionally invest in inclusion since 2020 are three times more likely to feel fully included than employees who have not seen such investment from their employers. Other findings include (1) Combining diversity and inclusion maximises a company’s capacity (by 4x) to innovate, and (2) Employees with inclusive leadership are 9x more likely to feel fully included at work (see FIG 16). (Authors: Julie Coffman, Alex Noether, Bianca Bax, Cassy Reichert, and Krystle Jiang). FIG 16: Employees with inclusive leadership are 9x more likely to feel fully included at work (Source: Bain) SHUJAAT AHMAD - DEIB Is At A Crossroads—It’s Time for Bold Action and Clear Metrics Given recent developments it’s reasonable to say that Diversity, Equity, Inclusion, and Belonging (DEIB) is at an existential crossroads. As Shujaat Ahmad writes in his excellent article for Round: “Boards, leadership teams, and investors hold the power to set the tone, shape the policies, and allocate the resources to support DEIB initiatives: for DEIB to work effectively, they must shift from well-intentioned wordsmiths to committed drivers that hold the organization accountable for outcomes and positive change.” Shujaat then unveils his blueprint to help leaders assess progress and drive meaningful change, clarifying the ‘why’ before diving into the ‘how’ covering measuring what matters and interventions (see FIG 17). For more from Shujaat, I recommend visiting Belong and Lead. FIG 17: Source – Shujaat Ahmad HR TECH VOICES Much of the innovation in the field continues to be driven by the vendor community, and I’ve picked out a few resources from January that I recommend readers delve into: ERNEST NG - If the Pitch is Too Smooth, It Probably Is: Why AI in HR is Difficult – Part 2 of an insightful essay from Ernest Ng, PhD of HiredScore (see also Part 1 on disclosures here) where he cuts through the hype to assess how we should be implementing AI in HR. LOUJAINA ABDELWAHED - A Tale of Two Cultures - In One Company - Loujaina Abdelwahed, PhD from Revelio Labs highlights the growing disparity between junior and senior employees (see FIG 18) and identifies the factors causing this malaise. Thanks to Ben Zweig for highlighting. FIG 18: The growing disparity in sentiment between junior and senior employees (Source: Revelio Labs) JEREMIE BRECHEISEN - Where Employees Think Companies’ DEIB Efforts Are Failing – Jeremie K Brecheisen presents findings from Gallup that reveals a disconnect between how well employees and HR leaders believe their organisations are doing when it comes to diversity, equity, inclusion, and belonging: 84% of CHROs say their organisations are increasing investment in DEIB, while only 31% of employees say their organisation is committed to improving racial justice or equity in their workplace (see FIG 19). The article then outlines ten needs employees say are not being met and then offers strategies to help organisations address the disconnect. FIG 19: How employees and HR leaders differ on perceptions of DEIB progress (Source: Gallup) FRANCISCO MARIN - Navigating the ONA Landscape: Trends and Challenges for 2024 - Another good read from Cognitive Talent Solutions, as Francisco Marin explores the key trends and challenges shaping the ONA space in 2024. IAN WHITE - The three C’s of effective performance management – Ian White, CEO at ChartHop, presents the three C’s of performance management — continuous, contextual and cultural — designed to help companies understand their employees more holistically. CHRISTINA JANZER - The surprising connection between after-hours work and decreased productivity – Christina Janzer presents findings from Slack’s Workforce Index, which identifies findings on how to structure the workday to maximise employee productivity, well-being and satisfaction – including the connection between after hours work and decreased productivity. FIG 20: Source – Slack PODCASTS OF THE MONTH In another month of high-quality podcasts, I’ve selected five gems for your aural pleasure: (you can also check out the latest episodes of the Digital HR Leaders Podcast – see ‘From My Desk’ below): AMY EDMONDSON AND LAURIE RUETTIMANN – Right Kind of Failure – Amy Edmondson joins Laurie Ruettimann on the brilliantly named Punk Rock HR to explore the essential role of failure in our professional and personal growth. STACIA GARR, COLE NAPPER, AND SCOTT HINES - People Analytics & HR Tech Research by Industry Analysts – Stacia Sherman Garr, one of the industry’s top analysts, joins Cole Napper and Scott Hines, PhD on the Directionally Correct podcast to discuss the research Stacia and her team at RedThread Research do in the people analytics and HR technology space. RICHARD ROSENOW, MADDIE GRANT, AND SANJA LICINA - How to Build an Integrated Framework for Workforce Listening – In an episode of the Empowering Workplaces podcast, Richard Rosenow joins hosts Maddie Grant and Sanja Licina, Ph.D. to talk about The Three Channels of Workforce Information: conversations (“what people say”), surveys (“what people say they do”) and systems (“what people do”) as a way to build a comprehensive understanding of your workforce. McKINSEY - The shape of talent in 2023 and 2024 - In this episode of McKinsey Talks Talent, Bryan Hancock, Brooke Weddle and host Lucia Rahilly highlight the trends that shaped last year’s talent landscape—and those poised to ‘redefine its contours’ yet again in 2024. MATTHEW BIDWELL AND DAN LONEY – Forecasting 2024 Workplace Trends – Wharton Professor and convenor of the Wharton People Analytics Conference, Matthew Bidwell, joins host of the Wharton Business Daily Dan Loney to look at the year ahead in the workplace. VIDEO OF THE MONTH CHRIS LOUIE, TOMAS CHAMORRO-PREMUZIC, TERRI HORTON, AND LINDSEY SHINTANI - Power a dynamic workforce by embracing AI An enlightening panel discussion from the recent LinkedIn Talent Connect where Chris Louie, Dr Tomas Chamorro-Premuzic, Terri Horton, EdD, MBA, MA, SHRM-CP, PHR, and Lindsey Shintani discuss how AI is changing learning and career paths. They provide guidance on how to overcome AI anxiety and empower impactful futures. BOOK OF THE MONTH KEVIN WHEELER AND BAS VAN DE HATERD – Talent Acquisition Excellence An excellent new book published by Kogan Page and authored by Kevin Wheeler and Bas van de Haterd (He/His/Him). It provides an insightful and detailed analysis of how technologies such as artificial intelligence and machine learning in combination with analytics can improve talent acquisition and recruitment. RESEARCH REPORT OF THE MONTH YUYE DING AND MARK (SHUAI) MA - Return-to-Office Mandates A huge thank you to Nick Bloom for bringing my attention to this paper from Yuye Ding and Mark Ma, which studied the impact of 137 Return to Office mandates on the performance of S&P500 firms from 2020-2023. The key findings, as summarised by Nick, are illuminating: (1) RTO mandates are more likely in firms with poor recent stock performance, and in those with powerful male CEOs. (2) Glassdoor data finds RTO mandates significantly reduce employee ratings for job satisfaction, work-life balance, and senior management. (3) There is no significant impact of RTO mandates on either firm profitability or firm stock-returns. FIG 21: Distribution of firms’ RTO mandates (Source: Yuye Ding and Mark Ma) FROM MY DESK January saw the first three episodes of Series 36 of the Digital HR Leaders podcast, sponsored by our friends at ScreenCloud. Thank you to Luke Farrugia. DAVID GREEN - The best 60 HR & People Analytics articles of 2023 Part 1 | Part 2 – My tenth annual collection of HR and people analytics resources is spread across two articles and ten themes. Part 1 covers i) the future of work and people strategy, ii) workplace design and strategy, iii) AI and the world of work, iv) people analytics, and v) employee experience, listening and wellbeing. Part 2 covers: vi) the evolution of HR, HR operating models and the CHRO, vii) building a data driven culture in HR, viii) workforce planning, skills, and talent marketplace, ix) leadership and culture, and x) diversity, equity, inclusion and belonging. THOMAS RASMUSSEN, DAWN KLINGHOFFER, AND JEREMY SHAPIRO - HR in 2024: The Impact of People Analytics, AI & ML – In a special episode of the Digital HR Leaders podcast to kick off 2024, I was joined by Thomas Rasmussen, Dawn Klinghoffer, and Jeremy Shapiro to discuss the outlook for HR and people analytics in the coming 12 months. SERENA HUANG - How to Enhance Your Career in People Analytics - Serena H. Huang, Ph.D., who has led people analytics functions at companies including GE, PayPal and Kraft Heinz, joins me to discuss the common career paths observed in the people analytics field and how they have evolved over the years. KAZ HASSAN AND LUKE FARUGGIA - How to Bridge the Gap Between Customer and Employee Experience - What can HR learn from marketing's journey in using data, analytics and technology to understand and personalise the customer experience? How can we leverage these insights in HR to boost our employee experience initiatives? Kaz Hassan and Luke Faruggia join me to discuss these topics and more. THANK YOU Finally, this month I’d like to thank: Recruit CRM for nominating me as ‘The People Analytics Pioneer’ in their list of 50 Recruitment Influencers to Follow in 2024 Likewise, a huge thank you to 365Talents for including me as one of the Top 50 HR Influencers to Follow in 2024 Similarly, thanks to HRCap, Inc. for including me in their list of 10 HR Influencers who Provide Remarkable Insights The Social Craft (here) and The Talent Games (here) for also including me in their lists of HR and HR Tech leaders to follow. HRDConnect for quoting me in their article Data Literacy: A must-have for HR professionals in 2024. Gianni Giacomelli for including the Data Driven HR monthly in his list of seven must-read newsletters. HR Geckos for including Excellence in People Analytics as a book recommendation in their HR Bytes Newsletter for January 2024. Sebastian Szachnowski for including Excellence in People Analytics in his list of books to get better at people analytics. Leapsome for including the Digital HR Leaders podcast as one of its Top 10 HR Podcasts for 2024. Similarly, Alexandre Darbois for also including the Digital HR Leaders podcast as one of his 5 HR Podcasts. Melissa Meredith for using my 12 Opportunities for HR in 2024 article to highlight the importance of the HR-Finance partnership in building a thriving company. Bill Brown for also highlighting my 12 Opportunities for HR in 2024 article in his Eleven Trends Transforming the Future of Work in 2024. Mirro.io for including me as a contributor in their list of 15 HR Trends for 2024. Dhanesh K for including as one of his 10 Top HR Leaders to Follow. Lanteria HR for recommending me as one of their HR Experts to Follow in 2024. Semos Cloud for including my 12 Opportunities for HR in 2024 as part of their round-up of HR insights. Thomas Kohler for including my Best HR and People Analytics Articles of 2023 in their collection of HR resources to read. Thinkers360 for including me in their Top Voices EMEA 2023. ABOUT THE AUTHOR David Green ?? is a globally respected author, speaker, conference chair, and executive consultant on people analytics, data-driven HR and the future of work. As Managing Partner and Executive Director at Insight222, he has overall responsibility for the delivery of the Insight222 People Analytics Program, which supports the advancement of people analytics in over 90 global organisations. Prior to co-founding Insight222, David accumulated over 20 years experience in the human resources and people analytics fields, including as Global Director of People Analytics Solutions at IBM. As such, David has extensive experience in helping organisations increase value, impact and focus from the wise and ethical use of people analytics. David also hosts the Digital HR Leaders Podcast and is an instructor for Insight222's myHRfuture Academy. His book, co-authored with Jonathan Ferrar, Excellence in People Analytics: How to use Workforce Data to Create Business Value was published in the summer of 2021. SEE ME AT THESE EVENTS I'll be speaking about people analytics, the future of work, and data driven HR at a number of upcoming events in 2024: Feb 21 - Discover how Leading Companies shift People Analytics from insight to impact (Webinar) Feb 28 - People Analytics World 2024: Exploring the Potential of Analytics and AI in Employee Experience (Zurich) March 4-6 - Gloat Live! (New York) March 14-15 - Wharton People Analytics Conference (Philadelphia) April 24-25 - People Analytics World (London) May 7-9 - UNLEASH America (Las Vegas) September 24-26 - Insight222 Global Executive Retreat (Colorado, US) - exclusively for member organisations of the Insight222 People Analytics Program October 16-17 - UNLEASH World (Paris) More events will be added as they are confirmed.
    McKinsey
    2024年02月01日
  • McKinsey
    The best HR & People Analytics articles of December 2023 The December edition of my monthly compendium is an opportunity to reflect on the year that has nearly passed and look forward to what lies ahead. 2023 has proved to be another challenging year full of geopolitical tension, economic uncertainty, and climate inaction. For HR and people analytics professionals, it has been a year dominated by generative AI, skills, and the continuing journey of HR from support function to strategic partner. HR’s elevation to being a strategic partner is the underlying theme of my recently published 12 Opportunities for HR in 2024 article (see FIG 1). If you’d like to contribute suggestions for opportunities 11 and 12, please click here and add your suggestion in the comments. FIG 1: 12 Opportunities for HR in 2024 (Source: David Green) Despite managing to catch Covid on the flight home, I thoroughly enjoyed my recent trip to India, at the end of November, where I spoke at the Indeed FutureWorks event in Bangalore. A huge thank you to Aarti Deoskar, Jessie Paul, Rittik Mondal, Rohan Sylvester, and the Indeed team for inviting me. Looking for a new role in people analytics or HR tech? Before we get to this month’s collection of resources, I’d like to once again highlight the wonderful resource created by Richard Rosenow and the One Model team of open roles in people analytics and HR technology, which now numbers nearly 500 roles. Happy Holidays! I wish all readers who are taking a break over the festive season Happy Holidays, and a prosperous and healthy 2024. Thank you to everyone who has supported Insight222, myHRfuture and the Digital HR Leaders Podcast in 2023. It’s much appreciated. Share the love! Enjoy reading the collection of resources for December and, if you do, please share some data driven HR love with your colleagues and networks. Thanks to the many of you who liked, shared and/or commented on November’s compendium (including those in the Comments below). If you enjoy a weekly dose of curated learning (and the Digital HR Leaders podcast), the Insight222 newsletter: Digital HR Leaders newsletter is published every Tuesday – subscribe here. 2023 HR RETROSPECTIVES AND 2024 PREDICTIONS DAVE ULRICH - The State of HR: Looking Back and Envisioning Forward | McKINSEY - What matters most? Eight CEO priorities for 2024 | CULTURE AMP - 7 trends that will define HR in 2024 | KEN OEHLER - RADICL People Predictions for 2024 | VISIER – The New Rules of HR: 10 Workforce Trends for 2024 | i4CP – 2024 Priorities and Predictions Putting my own 12 Opportunities for HR in 2024 to one side, there are a plethora of other trends and predictions being published. Six resources that I recommend digging deeper into come from Dave Ulrich, McKinsey, Culture Amp, RADICL, Visier Inc. and Institute for Corporate Productivity (i4cp). (1) Dave Ulrich looks back on the main themes in HR in 2023, declares “Now is the time for HR,” and outlines four areas where his firm, The RBL Group, will be conducting think tanks in 2024. (2) Homayoun Hatami and Liz Hilton Segel of McKinsey present eight CEO priorities for 2024 including Learn to love your middle managers. (3) Didier Elzinga and Damon Klotz co-opt contributions from Stacia Sherman Garr, Justin Angsuwat, Dr Kirstin Ferguson AM, and Hung Lee for their thoughtful seven trends that will define HR in 2024 including greater pay transparency, staying human as intelligent tech evolves, and regaining trust. (4) RADICL’s Ken Oehler presents five people predictions for 2024, with my favourite being #4 Attention Shifts to Solving Distributed Team Effectiveness (see FIG 2 for RADICL’s model of distributed team effectiveness: Coordination, Connection and Competence). (5) Visier collect trends from a number of industry luminaries and practitioners including Wendy Evesque, Michael Salva, Melissa Arronte, and Eric Bokelberg, with the lead trend being: The CHRO Leads From the Outside-In. (6) Last but not least, in his Foreword to i4CP’s annual look at priorities and predictions, Kevin Oakes highlights the dominance of AI and provides an illuminating insight on the direct correlation between the adoption of AI and business performance: “AI Innovators are more likely to have higher market performance, increased levels of innovation and productivity, and healthier cultures than those that have been slower to adopt AI.” Now is the time for HR FIG 2: The Collaboration Opportunity for distributed team effectiveness (Source: RADICL) PEOPLE ANALYTICS ROB BRINER - Evidence-based HR and people analytics are the same, right? Afraid not Rob Briner examines the relationship between people analytics and evidence-based HR, explaining each of them, outlining the differences (see FIG 3) and concluding that: “While people analytics is a welcome and necessary development within the HR profession and certainly goes some way to helping HR become more effective, it is not, on its own, enough.” Rob also highlights the three key principles of evidence-based HR: (1) Incorporate multiple sources and types of evidence and information. (2) Adopt a structured and explicit process of gathering and using evidence. (3) Focus on the most trustworthy and relevant evidence. FIG 3: Differences between people analytics and evidence-based HR (Source: Rob Briner) PATRICK COOLEN - Establishing people analytics as a common practice (part II) This article by Patrick Coolen, which follows up Part 1 where he presented his People Analytics FIT model, dovetails nicely with Rob Briner’s article as it focuses on the evidence-based HR services provided by people analytics functions. In the article, Patrick recommends that to establish people analytics as a common practice companies should not only focus on becoming more mature in the evidence-based HR services but in integrating these services too. Patrick provides a roadmap to achieving this (see FIG 4) as well as outlining three reasons for integration: (1) Integration leads to faster and higher-quality delivery. (2) Integration attracts experienced people analytics leaders. (3) Integration supports being a strategic advisor. High impact people analytics practices integrate various evidence-based HR services FIG 4: Road map strategies for people analytics practices (Source: Patrick Coolen) JAAP VELDKAMP AND HELEEN GOET - How to determine your success KPIs in HR This is a great article by Patrick Coolen’s erstwhile colleague and successor as Head of People Analytics at ABN Amro, Jaap Veldkamp. In the article, Jaap – together with Heleen Goet – outline the process followed at ABN Amro for establishing a clear link between each HR service and its impact on business outcomes. It outlines a ‘define your success’ workshop conducted between the people analytics team and HR at the bank to link each service to output and outcomes (see example in FIG 5). The article also outlines two benefits of this approach: (1) It leads to better collaboration between various teams in HR. (2) It magnifies the broader advisory role of people analytics. FIG 5: Source: Jaap Veldkamp and Heleen Goet NAOMI VERGHESE AND DAVID GREEN - The Importance of Ethics in People Analytics for Leading Companies Naomi Verghese and I explore the critical topic of ethics, which is one of the eight characteristics of Leading Companies in People Analytics identified in the recently published Insight222 People Analytics Trends study. In the article, Naomi and I outline three key practices on ethics adopted by Leading Companies in their people analytics work. (1) Strong Ethical Principles - including the development of an Ethics Charter, with an example from Jaap Veldkamp of ABN AMRO. (2) Open Communication – including the ‘Fair Exchange of Value’, with a contribution from Dawn Klinghoffer on the importance of communicating value to employees. (3) Ethics Oversight – including the institution of an ethics and privacy council (see FIG 6). The “Fair Exchange of Value” is a key mantra for people analytics teams. If employees understand how their data will be used and see the benefit, it is far more likely that they will contribute data. FIG 6: Ethics and Privacy council for people analytics (Source: Excellence in People Analytics by Jonathan Ferrar and David Green) TOM REDMAN AND TOM DAVENPORT - The Rise of Connector Roles in Data Science In our research at Insight222, one of the characteristics of Leading Companies is that they invest in three key skills in their people analytics team: consultants, data scientists and behavioural scientists. In their article, Tom Redman and Tom Davenport outline the role of connectors, who bridge the organisational gaps that often thwart success with data science projects, and whose key responsibilities mirror many of those attributed to the people analytics consultant in the Insight222 Operating Model. These include: (1) Framing the problem to be solved. (2) Translating between business and technical people. (3) Communicating requirements, progress, and issues within the team. (4) Keeping track of progress toward the overall goal of deployment and organisational change when nobody else sees the big picture. The article outlines how connectors close the gap, provides guidance on how to manage connectors, and provides examples of what companies are trying in this area. Connectors help senior business leaders understand both the potential and challenges of data science, help data science leaders understand the top problems facing the business, and establish a portfolio of data science projects that aligns with business needs. BEN TEUSCH - An incomplete starter's guide to attrition metrics | SARA TIEW - Thriving Together: A Year on UOB's Culture Transformation Journey | JACKSON ROATCH – Lessons from Sports Analytics | LYDIA WU - HR in 2024: A Practitioner’s View | MATTHEW HAMILTON - How data quality is like a DIY haircut November has seen a number of articles written by current and recent people analytics leaders, which typically act as a spur and inspiration for the field. Five are highlighted here: (1) Ben Teusch, part of Meta’s people analytics team, provides a helpful to attrition metrics (see FIG 7). (2) Sara Tiew provides insights from UOB’s culture transformation journey over the last 12 months. (3) Jackson Roatch draws four lessons from sports analytics that we could look to apply in the “less perfect world” of people analytics. (4) Lydia Wu continues her prolific ‘Oops, did I think that out loud’ series by looking into her crystal ball to see what is in store for HR and people analytics in 2024. (5) The nearly as prolific Matthew Hamilton explains why the maxim of people assuming that the better the data quality, the better the analysis is often not correct. FIG 7: Source: Ben Teusch GENERATIVE AI AND THE FUTURE OF WORK PLACID JOVER - The Future of Work is Flexible In this article, Placid Jover, Chief Talent and Reward Officer, presents three innovations Unilever is making to embrace a move from owning to accessing talent. (1) The Skills Passport (“As companies jostle to build a complete picture of what they need and how to get there, we’re fast learning that the real currency is skills”). (2) The Internal Talent Marketplace (“We have already seen a 40% increase in productivity and a significant reduction in attrition directly linked to Flex Experiences”). (3) The Pixelated Workforce (“Breaking down work into its core elements or “pixels”, then dividing those up between permanent staff and contractors, with the AI recommending teams or individuals for missions based on how they work with others as well as how they perform”). For more from Placid, I recommend listening to this episode of the Digital HR Leaders podcast: How Unilever is Creating New Ways of Working for Its Employees. As companies jostle to build a complete picture of what they need and how to get there, we’re fast learning that the real currency is skills RICHARD FLORIDA, VLADISLAV BOUTENKO, ANTOINE VERTRANO, AND SARA SALOO – Rethinking Corporate Location Strategy: The Rise of the Meta City In their Harvard Business Review article, Richard Florida, Vladislav Boutenko, Antoine Vetrano, and Sara Nasir Saloo outline the structure and logic in where and how businesses locate their offices and compete for talent. Their research identifies the rise of a new type of city, the ‘Meta City,’ which combines elements of physical clustering with digital connectivity (see FIG 8). They argue that this makes location strategy even more important including corporate headquarters, innovation centres, and satellite offices — and more significantly, talent attraction and retention. A must-read for those involved in talent intelligence, hybrid work strategy and strategic workforce planning. FIG 8: Ranking the world’s Meta Cities (Source: Florida et al) PETER JOHN LAMBERT, NICHOLAS BLOOM, STEVEN DAVIS, STEPHEN HANSEN, YABRA MUVDI, RAFFAELLA SADUN, AND BLEDI TASKA - Research: The Growing Inequality of Who Gets to Work from Home Data is increasingly showing that there is a large and growing divide in terms of who gets to work from home. In their Harvard Business Review article, Peter John Lambert, Nick Bloom, Steven J. Davis, Stephen Hansen, Yabra Muvdi, Raffaella Sadun, and Bledi Taska, Ph.D. present research on job postings, which finds that remote work is far more common for higher paid roles, for roles that require more experience, for full-time work, and for roles that require more education. Managers should be aware of this divide, as it has the potential to create toxic dynamics within teams and to sap morale. For more from Nick Bloom, tune in to his conversation with me on the Digital HR Leaders podcast: Unmasking Common Myths Around Remote Work. FIG 9: Work-from-home opportunities are more common for highly-paid jobs (Source: Lambert, Bloom et al) RYAN ROSLANSKY - Talent Management in the Age of AI | GIANNI GIACOMELLI - Learning and Talent Management in the Age of AI | TOMAS CHAMORRO-PREMUZIC - 4 science-backed reasons AI is better at predicting your potential in a job | DAVID L. SHRIER, JULIAN EMANUEL, AND, MARC HARRIS – Is Your Job AI Resilient? | NADA R. SANDERS AND JOHN D. WOOD - The Skills Your Employees Need to Work Effectively with AI A key opportunity for HR in 2024 will be to prepare the organisation and HR for the age of AI. Here are five articles that support this imperative. (1) LinkedIn CEO Ryan Roslansky highlights three big shifts to support success a) redefine jobs as a collection of a skills and tasks, not titles, b) bring skills and workforce learning to the centre of talent management, and c) embrace AI to focus teams on human-to-human collaboration, and shares examples from IBM, Genpact, Unilever as well as LinkedIn. (2) Gianni Giacomelli provides more detail on the Genpact example cited by Ryan in his article explaining how they have connected internal mobility, learning, engagement and collaboration (see FIG 10). (3) The brilliant Dr Tomas Chamorro-Premuzic digs into the science to present four ways that AI is better at predicting potential including how AI can increase fairness and diversity. (4) David Shrier, Julian Emanuel, and Marc Harris outline their research on which jobs will be most affected by AI, including which stand to benefit the most from augmentation by AI (see FIG 11). (5) Nada Sanders and John Wood present findings from their research, which highlights two key areas of investment in skills related to AI: a) effective interpersonal skills, and 2) domain knowledge that can help workers get the most — and make the best decisions — when working with AI tools. FIG 10: Source – Gianni Giacomelli, Genpact FIG 11: AI Proficiency relative to human by cognitive task (Source: Shrier et al) THE EVOLUTION OF HR AND DATA DRIVEN CULTURE MARIE NEICU, JOAN BEETS, FRANK VAN DEN BRINK, BEAU HOES, AND EDIS PAJIC – Humanized Growth and Multistakeholder Value Creation: Perspectives from Chief Human Resources Officers| McKINSEY - How is the CHRO role changing? Two resources exploring perspectives from chief human resource officers and how the role is changing. Firstly, the KennedyFitch team of Maria Neicu, Joan Beets, Frank van den Brink, Beau Hoes, and Edis Pajic share the findings from structured interviews with 30 CHROs including Janine Vos, Katarina Berg, Paulo Pisano (also see episode of the Digital HR Leaders podcast with Paulo below), Mala S., and Loren I. Shuster. The report is framed around the concept of humanised growth, which is defined as: “Humanized Growth addresses the needs of all shareholders, consumers, colleagues, community and the capital Markets.” It explores the role of the people function as a strategic partner, how to harness technology for impact, how to advance diversity, equity and inclusion, and why humanised growth starts with the employee experience. The second article from McKinsey examines the evolution of the HR operating model, how CHROs are putting the ‘human’ back into human resources, how GenAI will affect the HR function, and how CHROs can build the leadership capabilities required for an agile transformation. WORKFORCE PLANNING, ORG DESIGN, AND SKILLS-BASED ORGANISATIONS RICHARD ROSENOW - The SOAPI Framework - A New Lens for Modern Workforce Planning Richard Rosenow is one of the best thinkers in our field and demonstrates it with his paper for One Model introducing his SOAPI framework for workforce planning. As he explains, it is a methodology that offers a structured method to break workforce planning into component parts. Each component represents a pillar, collectively forming the discipline of workforce planning. These are: (1) Strategy, (2) Operations (3) Analytics, (4) Planning, and (5) Intelligence. The paper breaks each of these down, and details what happens if one of these pillars is missing (see FIG 12). FIG 12: Source: Richard Rosenow, One Model SCOTT REIDA - Zero-based workforce planning with ChatGPT in Tableau A brilliant, practical, and open-source guide on zero-based workforce planning with inputs from ChatGPT and outputs in Tableau, which has been created by Scott Reida, a workforce strategist at AWS. Scott defines zero-based workforce planning as “A methodology that can shape how businesses align their human capital with organizational goals and enable a more cost-effective solution that gets closer to having the right people at the right time.” His article provides a step by step guide to creating a dashboard (available here) that utilises outputs from ChatGPT for demand and aligns them with the supply of FTEs, facilitating the understanding of capability gaps. FIG 13: Source: Scott Reida JEFF WILLIAMSON AND DONNCHA CARROLL - How to Start Smart With a Talent Marketplace Despite some of the hype, launching an internal talent marketplace can be a significant challenge for organisations. In this article, Jeffrey Williamson and Donncha Carroll share the journey to implementing a talent marketplace at Booz Allen and the key lessons learned with regards to user adoption and change management. The article outlines four lessons: (1) Bring on the gamification (gamifying learning and offering recognition and rewards to employees who invested in their own development). (2) Data goals must be relevant to individual career goals. (3) Even change management needs to change (see FIG 14). (4) Momentum, motivation, and measurement matter a great deal. FIG 14: Four Culture Challenges to Conquer with a Talent Marketplace (Source: Jeff Williamson and Donncha Carroll) BRIAN FISHER, MELBA GANT, VASILIS HATZOPOULOS, KATIE JENKINS, HEATHER RYAN, AND PETER STEVENSON - 2023/2024 skills snapshot survey report: Skills-powered practices, future pay and effectiveness Mercer’s fourth annual Skills Snapshot Survey has a wealth of insights and guidance that highlight the progress many companies are making to embrace platforms and data to action skills-based strategies. In the paper, the authors (Brian Fisher, Melba Gant, Vasilis Hatzopoulos, Katie Jenkins, ?Heather Ryan , and Peter Stevenson) outline the benefits of skills-based practices (see FIG 15), how to build a skills foundation, how to determine the frequency of skill assessment, how to tackle skills-based rewards programs, and provide five steps to building a skills-based talent strategy: (1) Build the business case. (2) Align the key performance indicators. (3) Design with the end in mind. (4) Prioritise change management. (5) Drive and sustain. Also features contributions from Amy Baxendale and Anshul Sheopuri. FIG 15: The benefits of skills-based practices (Source: Mercer) EMPLOYEE LISTENING, EMPLOYEE EXPERIENCE, AND EMPLOYEE WELLBEING NICK LYNN - Can you have high employee engagement and high turnover? Nick Lynn reveals that nearly 20% of companies have both high employee engagement and high turnover; and then provides a wealth of guidance on what you can do about it if that’s the case for your company. He breaks down employee engagement and although it can be related to retention, why it is different. Nick shares insightful research from the CIPD on the and WTW on the drivers of employee engagement and experience, with the latter providing analysis and guidance on the links between engagement, performance, and retention. The article highlights WTW research by angela paul and Stephen Young, where they segmented 350 companies according to both the level of employee engagement and the level of retention, comparing each to their respective industry average (see FIG 16), and how companies in the top right quadrant (‘Value Drive’) also have a performance advantage, delivering the best profits and growth (also see FIG 16). Finally, Nick outlines a three-step approach for companies in the Value Risk category: Understand — Prioritise — Spark Change. I also recommend subscribing to Nick’s equally insightful EX Leadership Newsletter. FIG 16: Source – WTW INDRANEEL BANERJEE, AVINASH CHANDRA DAS, JATIN PANT, AND SHIKHA SHARMA - Employee experience still matters: Talent retention at GCCs While focused on ways to improve employee retention at Global Capability Centres, the five actions to improve employee experience outlined by Indraneel 'Indy' Banerjee, Avinash Chandra Das, Jatin Pant, and Shikha Sharma in their article for McKinsey could be implemented in other business areas. The five actions are (1) Use personas and journeys to customise EX. (2) Reimagine the role of manager to emphasise coaching and mentorship (see FIG 17). (3) Find new ways to embed culture and values for a hybrid work environment. (4) Redesign the office for collaboration and connection. (5) Rethink the traditional workday. Executives should treat EX as seriously as CX by being more scientific and more tailored in their approach. FIG 17: The roles of manager need to be redesigned to focus more on coaching and mentoring (Source: McKinsey) LEADERSHIP AND CULTURE RAINER STRACK, SUSANNE DYRCHS, AND ALLISON BAILEY - Use Strategic Thinking to Create the Life You Want How can we apply the learnings from corporate strategy projects to our own lives? That’s the unlikely – but ultimately captivating – exam question tackled by BCG’s Rainer Strack, Dr. Susanne Dyrchs, and Allison Bailey in their absorbing Harvard Business Review article. The authors present the seven steps they typically use to conduct a corporate strategy project and show how these can be adapted to an individual (see FIG 18). They then describe each of the seven steps with insights and powerful visualisations, as well as demonstrating how to develop a personal life strategy and summarise it on a single page. File under must-read. FIG 18: From corporate strategy to life strategy (Source: Strack et al) MCKINSEY HEALTH INSTITUTE - Reframing employee health: Moving beyond burnout to holistic health Jacqui Brassey, PhD, MA, MAfN (née Schouten), Brad Herbig, Barbara Jeffery, and Drew Ungerman present the key findings from a recent McKinsey Health Institute study that offers insights into how leaders can help create a workplace that prioritises physical, mental, social, and spiritual health. Three standout findings are (1) Employees who had positive work experiences reported better holistic health, are more innovative at work, and have improved job performance. (2) For employees, good holistic health is most strongly predicted by workplace enablers, while burnout is strongly predicted by workplace demands (see FIG 19). (3) Organisational, team, job, and individual interventions that address demands and enablers can boost employee holistic health. FIG 19: Source: McKinsey Health Institute DIVERSITY, EQUITY, INCLUSION, AND BELONGING McKINSEY - Diversity matters even more: The case for holistic impact The fourth report in a McKinsey series stretching back to 2015, investigating the business case for diversity. The main takeaway is that the 2023 study finds that the business case is the strongest it has been yet with leadership diversity being convincingly associated with business performance, societal impact and employee experience (see FIG 20). The full 52 page report details case studies from the likes of IHG Hotels & Resorts, DHL Group, and Air New Zealand, as well as presenting five levers for change for moving from commitment to action. Kudos to the authors: Dame Vivian Hunt, Sundiatu Dixon-Fyle, Celia Huber, Maria del Mar Martinez, Sara Prince, and Ashley Thomas. FIG 20: The business case for diversity on executive teams and financial outperformance (Source: McKinsey) HR TECH VOICES Much of the innovation in the field continues to be driven by the vendor community, and I’ve picked out a few resources from December that I recommend readers delve into: ERNEST NG - What Matters Now: Embracing the New Era of Disclosures for All HR Technology Stakeholders – Ernest Ng, PhD of HiredScore explains why disclosure is a critical tool to maintain trust and legitimacy across four areas (1) Employer Disclosure with Candidates/Employees. (2) Solution Provider Disclosures to the Buyer. (3) Organisational Disclosures to the Government. (4) Industry Analysts with Consumers – the latter is one, I’d personally like to see more of us talking about as we head into 2024. JAMAL MAZYCK - How Employee Resource Groups help build a culture of belonging - Jamal Evan Mazyck, Ed.D provides insights from Atlassian’s journey in building Employee Resource Groups, and how they engender a sense of belonging: “It’s not enough to recruit talent from underrepresented groups and give them equal access to opportunities; once they’re in the door, these employees need to feel that they belong.” STEVE HUNT - The Skills Management Revolution: one-year, two-year, and three-year predictions – SAP’s Steve Hunt breaks down skills management in his article, which covers what it is, why it’s important, the three ontologies companies are building with skills management solutions (labour market, organisational and employee/candidate/contractor), and a one, two, and three year outlook on how these solutions will reshape the nature of work and organisations. FIG 21: Source – Steve Hunt FRANCISCO MARIN - Reducing Employee Attrition with ONA: A Case Study from a European IT Company - Francisco Marin from Cognitive Talent Solutions presents a case study of a European IT company to showcase how ONA can be used to help predict and mitigate attrition, ultimately leading to a more stable and productive workforce. PHIL ARKCOLL - Developer Experience: The Developer Centric Approach to Productivity - Another great read from Philip Arkcoll of Worklytics. This time Phil outlines how by using active and passive listening with the objective of working to improve the developer experience, organisations can get developer buy in, boost productivity and attract top technical talent. FIG 22: Source – Phil Arkcoll, Worklytics PODCASTS OF THE MONTH In another month of high-quality podcasts, I’ve selected four gems for your aural pleasure: (you can also check out the latest episodes of the Digital HR Leaders Podcast – see ‘From My Desk’ below): JASON AVERBOOK - Generative AI: Revolutionizing the Employee Experience - In this episode of the Mercer | Leapgen AI-volution: Redefining HR podcast, Jason Averbook explores the transformative power of generative AI in shaping the future of employee experience. AARON DE SMET, ANGELIKA REICH, ROBERTA FUSARO, AND LUCIA RAHILLY - Who is productive, and who isn’t? Here’s how to tell - In an episode of The McKinsey Podcast, Aaron De Smet and Angelika Reich talk to hosts Roberta Fusaro and Lucia Rahilly about their latest research on employee productivity. KAYE SLAY, VANDANA BHAGTANI, STACIA GARR, AND DANI JOHNSON - Narrowing Scope & Purpose to Ease the Transition to a Skills-Based Organization – Another great episode of RedThread Research’s Workplace Stories podcast where Vandana Bhagtani and Kaye Slay-Pruitt, UXC share with Stacia Sherman Garr and Dani Johnson how they’ve worked together to develop a strategy for transitioning Hewlett Packard Enterprise to a skills-based organisation. DOUG SHAGAM, COLE NAPPER, AND SCOTT HINES - People Analytics at J&J & Playing Drums – Doug Shagam joins Cole Napper and Scott Hines, PhD on the Directionally Correct podcast to discuss some of the great work the J&J team is doing in people analytics. VIDEO OF THE MONTH AMY EDMONDSON, ADAM GRANT, AND DES DEARLOVE - Decoding failure, debunking feedback, & harnessing learning for success A fascinating conversation with Amy Edmondson and Adam Grant, who have just been recognised as #1 and #2 respectively on the prestigious Thinkers50 list of management thinkers. In the discussion with Des Dearlove, Amy and Adam discuss how to manage (and maximise learning from) failure and how to unlock hidden potential (it’s not about where you start; it's how far you can go). BOOK OF THE MONTH KATE BRAVERY, ILYA BONIC, AND KAI ANDERSON - Work Different: 10 Truths for Winning in the People Age I'm currently reading the recently published book by Kate Bravery, Ilya Bonic, and Kai Anderson, which is based around 10 'truths' that are shaping the world of work. Three of the truths are: (1) Purpose rules and empathy wins. (2) Intelligence is getting amplified. (3) Skills are the real currency of work. Packed with insights, guidance, and examples, the book should be an indispensable resource for executives, managers, board members, human resources professionals, and other business leaders. FROM MY DESK December saw the final four episodes of Series 35 of the Digital HR Leaders podcast, sponsored by our friends at HiBob . Thank you to Louis Gordon . MADELINE LAURANO - How to Buy HR Tech and Use It Effectively – Top industry analyst Madeline Laurano joins me to discuss the key themes on HR Tech in 2023, and what lies ahead in 2024 (see video below). SARAH REYNOLDS - A CMO's Approach to Mastering Pay Transparency – HiBob’s Sarah Reynolds joins me to discuss the intersection of HR and marketing, the business benefits of pay transparency and its importance for DEIB. PAULO PISANO - Booking.com’s 360-Degree View of Employee Experience – In our conversation, Paulo Pisano, Chief People Officer, outlines how Booking leverages data to enhance employee experience, streamline talent management across its international operations, and ensure that its workforce strategies are both effective and adaptable in a constantly changing business environment. HEBBA YOUSSEF - Navigating HR Tech Triumphs & Avoiding Failures – Hebba Youssef, Chief People Officer at Workweek joins me to discuss the common pitfalls of implementing HR technology and strategies for success. THANK YOU Finally, this month I’d like to thank: Abhilash Bodanapu for hosting me for lunch during my trip to Bangalore (see here) – it was wonderful to learn more about the people analytics journey bat Capgemini Raja Sengupta (see here) for such a wonderful discussion on people analytics in Bangalore. It was wonderful to finally meet in person! Geraldine Woloch-Addamine for including me in her list of Four Inspiring Voices on LinkedIn – it is humbling to be included in the same list as Amy, Adam, and Dave Teamflect for including me in their list of 18 HR Influencers to Follow Lanteria HR for including in their list of 10 favourite HR leaders of 2023 Dariush Franczak for including the November edition of the Data Driven HR Monthly in his list of HR resources Thinkers360 for including the Digital HR Leaders podcast in their comprehensive list of 125 Podcasts from Thinkers360 Thought Leaders CollectiveHR for including the Digital HR Leaders podcast with Nick Dalton in one of their Content of the Week collections The prolific Esther Abraas for including the Digital HR Leaders podcast episode with Laura Wright Shubert in her collection of resources on strategic workforce planning ___________________________________________________________________ ABOUT THE AUTHOR David Green ?? is a globally respected author, speaker, conference chair, and executive consultant on people analytics, data-driven HR and the future of work. As Managing Partner and Executive Director at Insight222, he has overall responsibility for the delivery of the Insight222 People Analytics Program, which supports the advancement of people analytics in over 90 global organisations. Prior to co-founding Insight222, David accumulated over 20 years experience in the human resources and people analytics fields, including as Global Director of People Analytics Solutions at IBM. As such, David has extensive experience in helping organisations increase value, impact and focus from the wise and ethical use of people analytics. David also hosts the Digital HR Leaders Podcast and is an instructor for Insight222's myHRfuture Academy. His book, co-authored with Jonathan Ferrar, Excellence in People Analytics: How to use Workforce Data to Create Business Value was published in the summer of 2021.
    McKinsey
    2023年12月24日