ADP Lyric HCM, The Next-Gen HR Platform Many Have Waited ForJosh Bersin 写文章介绍了ADP的 Lyric HCM,给予了高度评价。ADP于2018年启动了一项秘密项目,目标是开发下一代企业人力资源管理平台。这个项目最终被命名为ADP Lyric HCM,它的设计旨在应对当代灵活多变的工作环境。Lyric HCM基于高度可扩展的微服务架构,能够处理包括全职、兼职、临时工、自由职业者等多种员工类型,同时支持多重管理结构。该平台具有灵活性,可帮助企业快速适应组织重组、兼并收购等变化,且能够实现全球薪资和税务管理,提供符合各地法律法规的自定义规则。
Lyric HCM的设计不仅注重系统的灵活性,还融入了大量的AI功能,使其在用户体验上更加智能化和易用。通过ADP Assist这一AI工具,用户可以通过自然语言与系统互动,轻松进行复杂的HR操作。此外,Lyric HCM还提供实时的行业基准数据,帮助企业根据最新的薪酬和岗位信息做出决策。该系统的“人本位”架构使其更具灵活性,相比传统以职位为基础的系统,它可以更好地满足当代企业多重任务、多角色管理的需求。
Lyric HCM不仅支持多种HR功能,如招聘、绩效管理、培训和发展,还拥有一个统一的员工体验平台,员工可以通过简单的查询完成例如婚假申请等事务。此外,ADP还建立了强大的全球服务团队,确保客户获得定制化的实施和长期支持。
自上线以来,ADP Lyric HCM已经吸引了超过120个大型客户,证明了其系统的稳定性和可扩展性。其核心市场定位是为全球化、分布式的企业提供服务,尤其是在零售、医疗保健、餐饮等行业。作为一款融合AI技术的全新平台,Lyric HCM展示了未来人力资源管理系统的潜力,并成为Workday、Oracle、SAP等主要HCM供应商的有力竞争对手。
In the Spring of 2018 I attended a confidential meeting in New York City to learn about a project called Lifion. ADP had hired a new team of engineers convened in a secret mission to build the “next-generation platform” for ADP’s offerings in the enterprise market.
This new system, designed ten years after the release of Workday, was intended to be a highly scalable, configurable, micro-services based system, capable of managing payroll, HR processes, and all talent applications for any category of employee. The system had to support dynamic teams, many worker modalities (full-time, part-time, hourly, gig, contract), and enable a company to manage many organization structures within its corporate function, each with different business rules and overlapping employees.
It was designed, in a sense, for the highly flexible, dynamic companies of the post-pandemic era.
In addition to this flexible architecture, the system was designed to support workers with multiple managers (and multiple time sheets), dynamic reconfiguration for M&A or new business entities, and global payroll and tax services with custom business rules that might be variable across the company. It needed to include a recruiting module, a variety of options for goals and performance management, tools for onboarding and development, excellent reporting, and an easy-to-use narrative interface that let any employee, manager, or HR professional use, configure, or run reports on the system.
In my initial meeting I walked away impressed, and I wrote an article describing this project. Today, almost six years later, this product has a name (ADP Lyric HCM) and it has reached general availability for ADP customers with 1,000 customers or more.
Today ADP has 120+ large accounts so the system is proven. And since its inception Lyric HCM has been infused with extensive AI features (ADP Assist is on par with SAP Joule as a true AI interface) and benchmark information from ADP’s data cloud.
In other words, this system has the potential to be a “The Next Generation” HCM platform in the market.
What Is ADP Announcing And Offering
The core HR system has to do a lot of things. Not only does it have to manage payroll, benefits, and tax rules (in a global, constantly changing regulatory environment), it has to be flexible, easy to configure, and filled with easy-to-use interfaces for employees and HR. And by “flexible” I mean the system has to make it easy to open a new org structure, move employees around, and create multiple modes for a “manager” or supervisor.
Almost all traditional HCM providers, Workday, Oracle, and SAP, were not designed to work this way. These vendors built contract work add-ons but in most cases when you want to flatten your organization, merge with another company, or reorganize roles it’s difficult. Flattening the organization often means “re-implementing” your HRMS. Most companies only do it once a decade.
ADP Lyric HCM is designed to fix this. Imagine a company like Gold’s Gym where the company is constantly opening new Gyms and hiring new managers, with employees dual reporting to multiple managers.
I talked with Gold’s Gym and as you can imagine the company went through a transformation during the pandemic. Started as a Southern California fitness company, Gold’s was acquired and is now a global organization branching into many new offerings. Facilities were consolidated and each local fitness center operates with a lot of management independence.
For example, an employee who is a trainer in one gym with one manager may also be a trainer or support staff in another gym with another manager. This type of “work-centric” (as opposed to “job-centric”) operation is becoming very common. Lyric HCM supports these multi-manager work models, including features for performance management, time tracking, and contract workers.
Think about any retailer, healthcare company, or other highly distributed operation. One Gold’s Gym may pay overtime in one way, another in a different way. You can imagine the permutations. Every company has situations like this.
I was recently at Rolls-Royce where they are centralizing engineering teams away from product groups, making 30 to 40% of their engineers “floaters.” Rolls has enormous contracts with government and commercial customers, each with different financial models. They need a system like this just like a gym, restaurant chain, or elder care network.
There’s more. In addition to these HRMS and global payroll features, ADP has built an employee experience platform, employee communications system, and learning and development system. You simply type a query like “I’m getting married” and the system shows a page that consolidates tasks and resources in one place. If an HR manager wants to “pay a bonus” the system asks what organization, shows a list of people, and lets the manager define the bonus without hunting for menus and panels.
Highlights Of The Next Gen Approach
Since this system was architected in the age of AI, it has some very unique capabilities out of the box.
First, in the area of flexibility, this is a “person-based” architecture, as opposed to a “role-based” architecture. That feature alone enables all these features to be possible.
Second, in the area of usability, the system is among the most “AI-enabled” interfaces I’ve seen. While most HCMs are building assistants to speed through transactions, Lyric HCM literally “learns” what you’re trying to do and prompts you through the process. Remember these HCM systems are complex (Workday’s “Users Guide” is 2500 pages long), so we want the system to feel approachable not intimidating.
As you can see from this slide, ADP also offers embedded benchmarks as well as a nudge engine. The benchmarks come from ADP’s data cloud, giving companies up to date salary ranges and other metrics by job title and job level (no other HCM platforms do this). The nudge engine is used for Lyric HCM’s onboarding and development system, reminding users of tasks or activities they need to perform.
ADP Assist, the company’s Gen AI tool, lets you ask questions about any employee or group, legal and tax issues, and payroll or financial data. It’s quite powerful and I would say it rivals Joule as a conversational interface for HCM.
Third, the system has a novel and approachable interface for employees. Rather than offer people a variety of “centers” or “portals” to find things, the system is smart enough to give employees exactly what it thinks they need. Typical HR transactions like changing your family status or address, or looking at benefits or pay are simple. Persona-based dashboards are designed for payroll or tax managers. And any HR professional can customize the interface for their use.
Because the system is so dynamic, users can set up smart reports and other views to pinpoint the data and organizational unit they’re interested in. And ADP has built a management development tool (to take newly promoted supervisors through development), an onboarding system, and many features for performance and goal management.
Where Will This Go? ADP Services
When we think about ADP’s platforms we have to remember that ADP is not just a cloud software company. Most of the company’s revenue comes from services: payroll, PEO, and license fees around those offerings. This means ADP’s sales and service organization is very service-centric and highly trained in all areas of HR. (Most HR software sales teams are not HR domain experts.)
To support Lyric HCM the company put together a global service team combined with dedicated client success executives to make sure each customer has a personalized, outcome-based implementation plan. This means ADP Lyric HCM is not just a great platform, but a set of people to help with configuration, utilization, integration, and long-term planning. ADP is starting to work with integrators, but likely will handle most of their customer implementations themselves.
Impact On The Market.
At this point Lyric HCM is positioned as an offering for mid to large companies headquartered in the United States with global workforces. This means Lyric HCM is directly positioned to compete with UKG, Ceridian, Workday, Oracle, SAP, and vendors like Darwinbox, HiBob (which is going upmarket), Lattice, and others. The “Pay” companies (Paychex, Paycor, Paycom) are focused primarily on smaller companies, but as they grow their offering they may compete as well.
That is not to say ADP can solve every client need. These platforms mature over many years and each vendor has different industry and focus features. At this point I believe ADP will most likely win in industries like retail, hospitality, health care, and other distributed, hourly workforce companies. And given ADP’s focus on small and medium business, it will take time for ADP to reach large companies.
Nevertheless, it’s time for change in HCM. Designed for agility and infused with AI, ADP Lyric HCM shows us a future we’ve been looking for.
performance management
2024年09月23日
performance management
Cornerstone Galaxy: Acquisition Of SkyHive Could Pay OffCornerstone在人力资源技术领域长期以来一直是学习管理系统(LMS)的领导者。公司最近推出了Galaxy,这是一个集成了人工智能的全新人才管理平台。这一重大进展是在一系列收购之后实现的,尤其是最近收购了SkyHive,显著增强了公司的数据处理能力。Galaxy平台通过提供全面的技能发展、绩效管理和员工晋升系统,为HR技术空间树立了新标准。
Galaxy区别于市场上其他基于技能的或智能平台,例如Eightfold主要从人才获取开始,而Gloat着眼于人才流动性。Galaxy则从另一个角度出发,即员工发展,这是由Cornerstone在学习与发展(L&D)领域深厚的背景所支撑的。Galaxy系统内置了完整的用户界面,能够推断技能,让员工标记和评估自己的技能,帮助员工找到并完成各种学习形式,管理合规性和认证程序,通过任务、评估或管理辅导提升技能。
通过整合性能管理、发展计划、继任计划,以及招聘过程,Galaxy使公司能够通过绩效管理推动技能发展。在收购SkyHive之前,Cornerstone试图仅使用其LMS信息的数据集来实现这一目标,但这些数据并不足以构建完整的人工智能语料库。通过这次收购,Cornerstone获得了一个完整的劳动力市场数据系统、一个公司中立的职位架构以及大量行业技能,使Galaxy能够与其他主要的人才智能和人才市场供应商直接竞争。
Cornerstone spent the last decade acquiring LMS and talent software companies, all in a goal to build an integrated skills platform. Finally, after years of hard work and integration, the company introduces Galaxy, an advanced offering in the world of AI-powered HR systems.
Before I explain Galaxy, the history is important. Founded in 1999, Cornerstone started as an e-learning platform company (CyberU). The company established a foothold in the emerging LMS market and grew through strong marketing, sales, and product innovation. Since then the company has gone public, reached a $5.2 billion valuation, and was then acquired by a private equity firm (Aug. 2021, three years ago).
The new management team continued to acquire companies (EdCast, SumTotal, Talespin, and most recently SkyHive) and has now stitched these systems together into a unified platform called Galaxy. Galaxy, as I show below, is a skills-powered integrated talent management platform, built around the core of learning management. And this is what makes it unique.
The other talent intelligence or skills-based platforms started elsewhere. Eightfold started in talent acquisition; Gloat started in talent mobility; SeekOut started in recruiting; Beamery started in CRM; and players like Retrain.ai and NeoBrain started in more vertical domains. Each of these companies use large-scale profile data to infer skills, give companies tools to find and match candidates, and eventually to deliver learning.
Cornerstone, with deep background in L&D, is coming at this from another direction: employee development. The Galaxy system, which is built into a complete user interface, infers skills, lets employees tag and assess their skills, helps employees find and complete many forms of learning, manage compliance and certification programs, and advance skills through gigs, assignments, assessments, or management coaching. And since Cornerstone is an integrated talent suite, the system lets companies drive skills through performance management, development planning, succession planning, and also recruiting.
Before the acquisition of SkyHive, Cornerstone was trying to do this with its own data set of LMS information. This data, which includes billions of learning records, was simply not sufficient to build out the entire AI corpus. By acquiring SkyHive, Cornerstone gained an entire labor market system of data, a company-neutral job architecture, and lots of industry skills. This brings Galaxy into direct competition with the other major talent intelligence and talent marketplace vendors.
I have not yet talked with Galaxy customers, but the user experience is integrated and shows the sophistication of thinking under the covers. Remember that Cornerstone acquired Evolv, Clustree, and EdCast before acquiring SkyHive, so the team has been building AI capabilities and use-cases for several years. And now that Cornerstone has a VR platform for learning, more use-cases are coming.
While I don’t know Cornerstone’s revenues, the leadership team assures me that the company is growing and the profitability is high. This means the company has long-term sustainability and despite its many acquisitions, is likely to evolve to “Oracle-like” status. (Oracle has acquired hundreds of companies over the years and now looks at M&A as one of its core strengths).
Here’s the major play in the market. With 7,000+ customers, Cornerstone has many customers shopping for new tools. If Galaxy is as solid as it looked in the demos, some percentage of these buyers could upgrade to Galaxy and avoid the purchase of Gloat, Eightfold, or another LMS. While we cannot be sure where Galaxy will play, for companies that want to deploy a skills architecture across all talent practices, it looks like a solid option.
Cornerstone Vision:
Cornerstone User Experience
Cornerstone Career and Talent Marketplace
Cornerstone Performance Management
Skills in Goal Management
Why Cornerstone Still Matters
Cornerstone has a massive customer base. The users of Cornerstone, Saba, SumTotal, Lumesse, and Halogen include many of the world’s largest companies and thousands of mid-market organizations as well. These organizations have invested billions of dollars into learning infrastructure, content, and user portals to reach employees. If Cornerstone Galaxy delivers on its promise, the company can help many of these organizations avoid buying lots of standalone new tools. And given Cornerstone’s size, the company could become, as I mentioned above, the “Oracle” of the space.
And note, by the way, that a recent survey by HR.com found that the top rated HR tech issue to address is L&D infrastructure, so this issue is on everyone’s mind.
While the market is highly competitive and there are many skills-based tools in the market, Cornerstone’s focus on L&D is unique. None of the other major LMS vendors have the skills infrastructure of Cornerstone today.
If your skills strategy is focused on building skills, Galaxy may be the answer.
More to come as we talk with more Galaxy customers.
Additional Information
performance management
2024年09月03日
performance management
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.
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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.
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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.
performance management
2024年09月03日
performance management
David Green:The best HR & People Analytics articles of June 2024
David Green整理了最近的HR和PA的文章,其实最近也不仅仅是这方面的内容了,推荐大家可以了解看看,文章谈到了一些内容可以简单了解下:
Justin Taylor, Keith Sonderling, Guru Sethupathy的演讲
总结: 讨论了人员分析生态系统的最新进展和未来趋势。
Insight222研究报告《构建人员分析生态系统:运营模式v2.0》预览
总结: 探讨了如何构建和优化人员分析的运营模式。
TechWolf完成4275万美元B轮融资
总结: 该融资将进一步推动其在AI和人员分析领域的发展。
Mercer和MIT发布的《技能策略指南》
总结: 解释了为什么技能应成为重新思考工作的首要任务,以及如何在AI时代克服挑战。
关于混合工作模式对员工保留和生产力的影响研究
总结: 混合工作提高了员工满意度并减少了离职率。
组织网络分析(ONA)的应用
总结: ONA能够揭示传统组织图中缺失的协作和决策影响,有助于优化工作场所策略。
Insight222的网络研讨会《HR和人员分析中的AI应用》
总结: 探讨了AI在HR和人员分析中的应用及其影响。
McKinsey关于生成式AI的研究
总结: 生成式AI的采用激增,为组织带来了可衡量的业务价值。
Mark Mortensen和Amy Edmondson关于重新定义办公室返工对话的文章
总结: 提供了领导者如何通过重新定义对话来平衡面临面的工作和灵活工作的策略。
Rashleen Kaur Arora关于制定平衡组织和员工需求的返工策略的文章
总结: 提供了如何通过证据和员工反馈制定有效的返工策略的案例。
Pietro Mazzoleni关于HR中生成式AI的应用
总结: 讨论了根据数据成熟度做出明智选择的重要性。
Greg Newman关于AI聊天机器人的员工旅程
总结: 阐述了如何通过使用员工旅程语言来最大化数字工人的价值。
Martijn Wiertz关于生成式AI重新定义工作设计的文章
总结: 提出了一个愿景,即生成式AI帮助我们重新定义工作设计,创造更多时间用于重要任务。
Max Blumberg关于AI时代的人员分析职业的文章
总结: 探讨了在AI时代保持相关性的技能需求及其透明性。
Scott Latham和Beth Humberd关于自动化对工作的四种影响的文章
总结: 讨论了基于价值类型和交付方式的工作响应自动化的四种方式。
Deloitte团队关于组织网络分析(ONA)的文章
总结: 讨论了ONA在测量员工绩效和优化工作场所策略中的应用。
Dave Hodges关于基于研究的HR决策的文章
总结: 强调了基于证据的HR决策的重要性。
Henrik Håkansson关于人员分析中的“错失恐惧症”的文章
总结: 将“错失恐惧症”概念应用于人员分析领域。
Amit Mohindra关于“72法则”的文章
总结: 提供了一个解释增长率的关键参数的简单方法。
Louise Baird关于机器学习及其在人员分析中的应用
总结: 解释了监督学习和非监督学习在人员分析中的应用。
Martha Curioni关于将可解释的AI引入HR流程的文章
总结: 提供了在招聘、预测离职和评估晋升准备度等HR流程中应用可解释AI的例子。
Nick Jesteadt和Erin Fleming关于人员分析领域前沿问题的文章
总结: 强调了生产力、技能和产品化等人员分析中的常见主题。
Christopher Rosett关于人员分析立方体的文章
总结: 介绍了人员分析立方体的概念及其应用。
Willis Jensen关于寻找人员分析工作的文章
总结: 分享了关于如何成功过渡到新角色的见解和策略。
Gregory Vial, Julien Crowe和Patrick Mesana关于高级分析中的数据隐私风险管理的文章
总结: 介绍了五种数据隐私保护方法及其对数据可用性的影响。
Cathy O’Neil, Jake Appel和Sam Tyner-Monroe关于算法风险审计的文章
总结: 提供了帮助组织评估其AI工具和算法的简单框架。
Öykü Işık, Amit Joshi和Lazaros Goutas关于生成式AI风险管理的文章
总结: 提供了管理四种生成式AI风险的蓝图。
Josh Bersin关于首席人力官(CHRO)角色演变的文章
总结: 强调了CHRO在C-suite中的重要性及其角色的多学科性。
Jeanne Meister关于未来HR工作角色的文章
总结: 介绍了未来十年HR领域的十三个新兴工作角色。
Naomi Verghese关于HR技能提升的文章
总结: 分享了HR专业人员在数据咨询和沟通方面所需的关键技能。
MIT和Mercer关于技能驱动型组织的报告
总结: 探讨了在AI时代,技能驱动型组织的重要性及其益处。
Business Roundtable关于基于技能的内部流动白皮书
总结: 提供了推动技能验证和连接人员与机会的战略。
Microsoft关于混合工作环境中新员工入职的研究
总结: 强调了角色职责、反馈和资源对新员工成功的重要性。
Dave Ulrich关于绩效管理的文章
总结: 提出了一个四步流程来改善绩效管理系统。
Erin Meyer关于构建有效企业文化的文章
总结: 提供了六条指导原则,帮助管理者应对文化建设的挑战。
Rob Cross和Katheryn Brekken关于团队网络效应的研究
总结: 发现80%的团队未能达到其生产力潜力,并提供了提高团队绩效的六种策略。
Shujaat Ahmad关于AI对生产力和繁荣的影响的文章
总结: 提倡从生产力优先转向繁荣优先的AI模型,以促进公平和可持续发展。
BCG关于女性技术领导者在生成式AI中的领先地位的研究
总结: 发现高级女性技术领导者在生成式AI的采用方面领先于男性同行。
Richard Rosenow关于人员分析新兴趋势的文章
总结: 分享了人员分析领域的六大新兴趋势。
Alicia Roach关于战略性劳动力规划的文章
总结: 讨论了战略性劳动力规划在业务成功中的重要性。
Annie Dean关于团队状态的报告
总结: 发现使用AI的团队在协作方面表现更好。
Shay David关于HR技术从自动化到增强的演变的文章
总结: 解释了HR技术如何增强人类能力和丰富员工体验。
I’m putting the finishing touches to June’s Data Driven HR Monthly in the airport lounge at Minneapolis-St Paul after a successful peer meeting for more than 50 North American members of the Insight222 People Analytics Program. The two-day peer meeting featured speakers including: Justin Taylor Keith Sonderling Guru Sethupathy and a collaboration between Bennet Voorhees and Eunice Ok. We also previewed the soon-to-be-published Insight222 research study: Building the People Analytics Ecosystem: Operating Model v 2.0 (click on the link to register to receive a copy).
Other highlights in June included:
We also ran a peer meeting for European members of the Insight222 People Analytics Program, which was hosted by Nestlé and featured sessions run by Nataliya Filonenko Michael Cox Alex Browne Thomas Tchako Nowe Piyush Mathur Jack Liu and Martin Janhuba.
We delivered an Insight222 webinar on AI in HR and People Analytics, which featured Andrew Elston Justin Shemeley and Jasdeep Kareer, PhD (née Bhambra). Watch the recording here.
In the HR Tech space, TechWolf announced a new $42.75m round of Series B funding. Congrats to Andreas De Neve ? Mikaël Wornoo? Jeroen Van Hautte ? and the team.
Welcome to the more than 2000 new subscribers to the Data Driven HR Monthly newsletter, who joined in the last month.
This edition of the Data Driven HR Monthly is sponsored by our friends at Mercer
Strategic Shift: Skills-Powered Organizations in the Age of AI
Forty-four percent of workers’ skills will be disrupted by technology in the next five years.*
To thrive through this disruption, businesses must adapt their operating models to perpetually reinvent themselves as demand for skills ebbs and flows with greater velocity and volatility.
The next-generation organization will be at the forefront of this strategic shift toward making skills the currency of work, cultivating a culture of talent sharing, automating work to take mundane tasks off employees’ hands, augmenting human creativity with AI, and reshaping the entire talent life cycle.
Find out how to make the shift to a skills-powered organization
The new Skills Strategy Guide from Mercer and MIT SMR Connections explores:
Why skills should be a top priority in rethinking work in the age of AI
The obstacles that stand in the way
Practical steps to overcome challenges and reap the rewards
Learnings from Standard Chartered Bank’s skills journey
How to build a skills-powered approach to work
Read the Strategy Guide
*Source: The World Economic Forum’s 2023 Future of Jobs report
To sponsor an edition of the Data Driven HR Monthly, and share your brand with close to 130,000 Data Driven HR Monthly subscribers, send an email to dgreen@zandel.org.
Heartfelt thanks to Richard Rosenow
It’s ten years since I published the first edition of the Data Driven HR Monthly (which featured pioneers like Luk Smeyers Andrew Marritt Ian OKeefe Jonathan Ferrar and Greta Roberts). Unbeknown to me, Richard Rosenow organised a wonderful surprise – see here. It’s such a kind gesture - thank you Richard and the One Model team for creating this and the 100 people - friends, colleagues, clients, and peers - many of whom have inspired me in my journey in the wonderful world of people analytics. Thank you too to my colleagues at Insight222 - and everyone who has contributed to the Data Driven HR Monthly over the last decade.
Share the love!
Enjoy reading the collection of resources for June 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 May’s compendium (see Thank You section at the end of this issue).
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
MCKINSEY - The state of AI in early 2024: Gen AI adoption spikes and starts to generate value
If 2023 was the year the world discovered generative AI, 2024 is the year organizations truly began using—and deriving business value from—this new technology.
New research from McKinsey highlights that adoption of AI – and GenAI – has surged in the last 12 months, that organisations are reporting measurable benefits, that there is increased mitigation of the risk of inaccuracy, and that there are a small group of high-performers leading the way. From a HR perspective, the study finds: (1) 12% of respondents are regularly using GenAI in HR. (2) Organisations most often see meaningful cost reductions from GenAI use in HR (see FIG 1). (3) HR functions are most often able to put their GenAI capabilities to use within one to four months. (4) Talent is one of six areas of best practice where high-performers are leading with GenAI (see FIG 2). (Authors: Alex Singla Alexander Sukharevsky Lareina Yee and Michael Chui with Bryce Hall)
FIG 1: Organizations most often see meaningful cost reductions from generative AI use in HR and revenue increases in supply chain management (Source: McKinsey)
FIG 2: Organizations seeing the largest returns from generative AI are more likely than others to follow a range of best practices (Source: McKinsey)
MARK MORTENSEN AND AMY EDMONDSON - Leaders Need to Reframe the Return-to-Office Conversation
Framing refers to how an issue is presented; it’s the meaning layered onto an issue or situation that shapes how people think about its objective facts. More precisely, it’s about re-framing: deliberately replacing taken-for-granted cognitive frames with more helpful ones.
Mark Mortensen and Amy Edmondson discuss the concept of ‘framing’ and its role for leaders in engaging in dialogue with employees about the balance between in-person and flexible working. They offer a three-step process to communicate flexible work policies: (1) Acknowledge the bind and be patient. (2) Focus on mutual value, not just organisational benefits. (3) Approach the process as data-driven, co-created, iterative learning. For more on this topic, listen to Mark in conversation with me on the Digital HR Leaders podcast: How to Foster Collaboration Within Hybrid Working Teams.
RASHLEEN ARORA - Design a Return-to-Office Strategy That Balances Organizational and Employee Needs
It’s becoming increasingly evident that rigid return-to-office (RTO) mandates can backfire by antagonising employees and impacting retention. Rashleen Kaur Arora presents Gartner research that outlines how HR leaders can craft a RTO strategy that balances organisational objectives with employee buy-in. The article includes a powerful case study on how Scotiabank implemented an evidence-based hybrid RTO model (see FIG 3).
FIG 3: Scotiabank’s role aligned hybrid personas (Source: Gartner)
PIETRO MAZZOLENI - Generative AI in HR: making smart choices depending on your data maturity | GREG NEWMAN - What's the employee journey of an AI chatbot? | MARTIJN WIERTZ - How will we use GenAI to redefine our Work Design: Creating Great Places to Be | MAX BLUMBERG - Saving your People Analytics Career in the Face of AI | SCOTT LATHAM AND BETH HUMBERD - Four Ways Jobs Will Respond to Automation
Organizations which provide an environment where the needs of the workforce are aligned with the outlines of the future will have the competitive advantage.
June saw a plethora of insightful reads about the impact of AI on HR and people analytics, so I’ve gathered five together here along with a prescient piece from 2018 on the professions most susceptible to automation. (1) Pietro Mazzoleni examines the importance of data maturity when it comes to the successful adoption of GenAI solutions in HR. (2) Greg Newman outlines why using the language of the employee journey will help your organisation maximise the value you gain from digital workers. (3) Martijn Wiertz presents a compelling vision where GenAI helps redefine our work design, creating time we can utilise for doing the work, care and training we need as a community – from great places to work to great places to be (see FIG 4). (4) Max Blumberg (JA) ?? explores how people analytics roles may evolve in the age of AI, the skills needed to remain relevant, and the importance of transparency in these issues within the people analytics community. (5) Finally, and thanks to Hung Lee for featuring it in a recent edition of Recruiting Brainfood, let’s revisit an article by Scott Latham and Beth Humberd that outlines four ways in which jobs will respond to automation based on two factors: the type of value provided and how it’s delivered (see FIG 5).
FIG 4: Source – Martijn Wiertz
FIG 5: Which Professions Are Most Vulnerable to Automation? (Source: Latham and Humberd)
PEOPLE ANALYTICS
MAYA BODAN, DON MILLER, SUE CANTRELL, GARY PARILLIS, AND CARISSA KILGOUR - Harnessing organization network analysis (ONA): Measure workforce performance and optimize strategies
ONA reveals insights absent in traditional organizational charts—such as how people collaborate, who influences decision-making and/or operates in silos, and sentiments surrounding trust and influence.
A helpful primer on how to use Organisational Network Analysis (ONA) from the Deloitte team of Maya Bodan Don Miller Susan Cantrell Gary Parilis and Carissa Kilgour. Their article discusses the myriad of use cases ONA can be used for, including to: (1) Measure workforce performance, (2) Understand individual workforce performance, and (3) Optimise workplace strategies.
FIG 6: ONA can help uncover collaboration within an organisation (Source: Deloitte)
DAVE HODGES - Facts Over Fads: HR Decisions Grounded in Research |HENRIK HÅKANSSON - People Analytics: The fear of missing out | AMIT MOHINDRA - The "Rule of 72": A Gentle Reminder | LOUISE BAIRD - Machine Learning and its Applications in People Analytics | MARTHA CURIONI - Building Explainable AI Into HR Processes | NICK JESTEADT AND ERIN FLEMING - People Analytics Frontiers aka Why are We Asking the Same Questions Again? | CHRISTOPHER ROSETT - The People Analytics Cube
If you’re not practising evidence-based HR, what type of HR are you practising?
In recent editions of the Data Driven HR Monthly, I’ve featured a collection of articles by people analytics leaders. These act as a spur and inspiration to the field. Seven are highlighted here. (1) David Hodges takes inspiration from Rob Briner’s research to make the case for evidence-based HR. As Dave asks: “If you’re not practising evidence-based HR, what type of HR are you practising?” (see FIG 7). (2) Henrik Håkansson applies the popular concept of “fear of missing out” to people analytics in his astute article. (3) Amit Mohindra provides a handy explanation of the ‘Rule of 72”, which can be used to extract a key parameter from a growth rate. (4) Louise Baird breaks down the two different types of machine learning – supervised and unsupervised – and how it can be applied to people analytics. (5) Martha Curioni provides examples of building explainable AI into a range of HR processes including: hiring, predicting attrition, and assessing promotion readiness. (6) Based on their survey of people analytics practitioners, Nick Jesteadt and Erin Fleming highlight three common yet seemingly elusive themes in the field: productivity, skills and productisation. (7) Christopher Rosett breaks down the People Analytics Cube (see FIG 8) in his LinkedIn post with a nod to Alexis Fink.
FIG 7: What is being used in HR instead of evidence? (Source: Evidence Based HR: A New Paradigm by Rob Briner, Corporate Research Forum)
FIG 8: People Analytics Cube (Source: Christopher Rosett)
WILLIS JENSEN - Finding a People Analytics Job
One of the features of the people analytics field is that it is pretty fluid with many that work within it moving roles in the last 12-18 months – as evidenced by the invaluable People Analytics Job Board that Richard Rosenow oversees. In his article, Willis Jensen shares insights from his recent transition to a new role including: (1) Being very clear about what you want in your next job. (2) Don’t write an AI-generated cover letter. (3) Use a resume tool to help you tailor your resume for each job. (4) Do not use a shotgun approach of applying for hundreds of jobs. (5) Use LinkedIn as a job-hunting tool. For more on people analytics careers, listen to Serena H. Huang, Ph.D. in discussion with me on the Digital HR Leaders podcast: How to Enhance Your Career in People Analytics.
ETHICS AND PRIVACY SPECIAL
GREGORY VIAL, JULIEN CROWE, AND PATRICK MESANA - Managing Data Privacy Risk in Advanced Analytics | CATHY O’NEIL, JAKE APPEL AND SAM TYNER-MONROE - Auditing Algorithmic Risk | ÖYKÜ ISIK, AMIT JOSHI, AND LAZAROS GOUTAS - 4 Types of Gen AI Risk and How to Mitigate Them
Three articles covering ethics, risk and privacy with regards to advanced analytics and AI, which should be invaluable to people analytics professionals and HR technologists alike. (1) Gregory Vial Julien Crowe and Patrick Mesana present five approaches to measuring data privacy and how each approach impacts on data usability (see FIG 9) before discussing mitigation strategies. (2) Cathy O’Neil Jacob Appel and Sam Tyner-Monroe, Ph.D. lay out a set of simple frameworks (see example in FIG 10) designed to help organisations evaluate that their AI tools and algorithms are fair and working as intended. (3) Öykü Işık Amit Joshi and Lazaros Goutas outline a blueprint for managing four types of generative AI risk (see FIG 11).
FIG 9: Five Approaches to Preserving Data Privacy (Source: Vial, Crowe and Mesana)
FIG 10: A Simplified Ethical Matrix (Source: O’Neil, Appel, and Tyner-Monroe)
FIG 11: Four types of AI risk (Source: Isik, Joshi, and Goutas)
THE EVOLUTION OF HR, LEARNING, AND DATA DRIVEN CULTURE
JOSH BERSIN - The Ever Expanding Role Of The Chief HR Officer (CHRO)
The CHRO must transform the HR team, moving from the “service delivery” model to an HR team of consultants, problem-solvers, and analysts.
Josh Bersin lays out a compelling case for the CHRO being the most important role of all in the c-suite now. He highlights factors such as the abundance of people challenges, labour shortages, organisation redesign, and globalisation. Josh also introduces his initial findings from a study of 47,000 CHROs: (1) There is a major increase in the C-level importance of the CHRO. (2) The CHRO job is multi-disciplinary, and more difficult than it looks. (3) The CHRO role is expanding. (4) Strong CHROs are now transforming the HR function. (5) The HR function is not developing itself - 80% of high-performing CHROs are external hires.
FIG 12: The two roles of the CHRO (Source: Josh Bersin)
JEANNE MEISTER – 13 HR jobs of the future
In HR, this is our Promethean moment as we navigate a complex future, one with limitless possibilities in how we work, where we work, who we work with and what we expect in our workplace.
Based on her conversations with HR leaders, Jeanne C M. presents 13 HR jobs of the future, which will emerge between now and 2030 (see FIG 13). Jeanne then explains how each of these roles “embody five core workplace themes enabling leaders to embrace reinvention as a strategy where humans and machines collaborate to deliver in which to the organization.” The five themes are: (1) Building GenAI literacy, (2) Working from anywhere, (3) Building human-machine partnerships, (4) Driving innovation and wellbeing in the workplace, (5) Creating a personalised employee experience.
FIG 13: 13 HR Jobs of the Future (Source: Jeanne Meister)
NAOMI VERGHESE - Investing in the Right Approach to Upskilling HR
When the CHRO and HRLT role-model the use of people data and analytics in their day-to-day job, then other HR professionals also use people data and analytics in their work.
Naomi Verghese shares the key findings from research she led at Insight222 to identify the key skills HR professionals need to consult and communicate effectively with data. The study, Upskilling the HR Profession: Building Data Literacy at Scale, identified five essential skills for HR professionals: (1) Consulting, (2) Influencing Stakeholders, (3) Data Interpretation, (4) Building Recommendations from Insights, (5) Storytelling. The study also identified the importance of role-modelling by the CHRO and HR leadership team with regards to data literacy (see FIG 14, and above quote).
FIG 14: (Source: Insight222, Upskilling the HR Profession: Building Data Literacy at Scale)
WORKFORCE PLANNING, ORG DESIGN, AND SKILLS-BASED ORGANISATIONS
MIT SMR CONNECTIONS AND MERCER - Strategic Shift: Skills-Powered Organizations in the Age of AI
By making skills the backbone of their talent practices, organizations can better allocate people to projects, help employees explore different career paths, and gain the flexibility to allocate their capital more effectively as their needs change.
In their collaborative study, MIT and Mercer break down why skills should be a priority in rethinking work and people management in the age of AI. The report highlights the benefits for employees and employers of a skills-based approach (see FIG 15), provides practical guidance on how to overcome challenges, and provides powerful learnings from Standard Chartered’s skills journey. Features contributions from experts including Peter Cappelli Tanuj Kapilashrami Ravin Jesuthasan, CFA, FRSA Brad Bell Joseph Fuller Tom Kochan and Audrey Mickahail.
FIG 15: Benefits of a skills-powered approach (Source: MIT and Mercer)
LINKEDIN LIVE: Skills-Powered Organizations in the Age of AI | JULY 24, 2024
Register to join Tanuj Kapilashrami, Ravin Jesuthasan and David Green for a LinkedIn Live discussion on Skills-Powered Organizations in the Age of AI on July 24 at 10.00am EST.
BUSINESS ROUNDTABLE - Skills-Based Internal Mobility Playbook Summary | White Paper
Skills are five times more predictive of a person’s future performance than their education
An excellent playbook compiled by the Business Roundtable on skills-based internal mobility, which is organised into five chapters covering critical areas such as stakeholder engagement, skills assessment and validation (see FIG 16), how to connect people with opportunities, how to measure success, and enabling technologies. Features examples from a myriad of companies including: Walmart, Chevron, Workday and Vistra. Thanks to Brian Heger for highlighting this resource in his excellent weekly Talent Edge newsletter.
FIG 16: Skill validation characteristics (Source: Business Roundtable)
EMPLOYEE LISTENING, EMPLOYEE EXPERIENCE, AND EMPLOYEE WELLBEING
DAWN KLINGHOFFER, KAREN KOCHER, AND NATALIE LUNA - Onboarding New Employees in a Hybrid Workplace
New hires who are provided with clarity about their role responsibilities, feedback on how they are doing, and resources to help them answer questions are three to four times more likely to contribute to their team’s success during the first 90 days.
Now we are in the era of hybrid work, what’s the ideal way to onboard new employees today? That was one question that the people analytics team at Microsoft sought to answer in a recent study, along with: How can we ensure that new hires thrive while also supporting flexibility? The findings confirmed that onboarding to a new role, team, or company is a key moment for building connections with the new manager and team and doing so a few days in person provides unique benefits. But just requiring newcomers to be onsite full time doesn’t guarantee success. In their article, Dawn Klinghoffer Karen Kocher and Natalie Luna explain and provide examples of how onboarding that truly helps new employees thrive in the modern workplace is less about face time and more about intention, structure, and resources. For example, the study found that the top factors that make the most difference in onboarding new employees are clarity about role responsibilities, feedback on how they are doing, and resources to help them answer questions. New hires who are successfully set up with these three elements are three to four times more likely to contribute to their team’s success during the first 90 days. For more on Microsoft’s approach to employee thriving, which they define as: being energized and empowered to do meaningful work, listen to Dawn in conversation with me on the Digital HR Leaders podcast: How Microsoft Created A Thriving Workforce By Going Beyond Employee Engagement.
LEADERSHIP, CULTURE, AND LEARNING
DAVE ULRICH - Reflections on Performance Management: How to Make Meaningful Progress
In May’s Data Driven HR Monthly, I featured a McKinsey article on a performance management system that puts people first. In his recent article, Dave Ulrich cites a number of sources highlighting that pretty much all stakeholders (including employees, executives and HR leaders) are unhappy with their performance management systems. Ulrich lays out a four-step process for performance management (see FIG 17) comprising: (1) Clarifying expectations with meaningful goals. (2) Measuring and tracking performance. (3) Allocating financial and non-financial rewards. (4) Having positive coaching conversations. Dave then highlights the recently launched Manifesto for Flourishing at Work, a collaboration of practitioners, consultants, and academics to reinvent performance management. He highlights three critical topics from the manifesto:
First, align performance and purpose by making sure that performance encourages progress towards a company’s purpose that includes all stakeholders. Second, manage the complex system of performance by focusing both on individuals within the system and also the system itself. Third, ensure that leaders are secure enough in themselves to use their power to empower others and to allow employees to contribute to their own improvement.
FIG 17: Performance management process – four steps (Source: Dave Ulrich)
ERIN MEYER - Build a Corporate Culture That Works
If you hire people whose personalities don’t align with your culture, no matter what else you get right, you are unlikely to get the desired behaviors.
Ever since Peter Drucker’s infamous assertion that “culture eats strategy for breakfast,” it has been widely acknowledged that managing corporate culture is the key to business success. Yet the link between ‘values’ and ‘behaviours’ is often stark. As INSEAD professor Erin Meyer asks in her latest Harvard Business Review article: “If culture eats strategy for breakfast, how should you be cooking it?” Erin blends in examples from the likes of Amazon, Netflix, Airbnb, Pixar and others and presents six guidelines to help managers who are confronting the challenges of culture building: (1) Build Your Culture Based on Real-World Dilemmas. (2) Move Your Culture from Abstraction to Action. (3) Paint Your Culture in Full Colour. (4) Hire the Right People, and They Will Build the Right Culture. (5) Make Sure that Culture Drives Strategy. (6) Don’t Be a Purist. An absolute must-read. At Insight222, we’re delighted that Erin Meyer will be speaking at our Global Executive Retreat in Amsterdam in September. The Retreat is exclusively for member companies of the Insight222 People Analytics Program. Click on this link to find out more.
ROB CROSS AND KATHERYN BREKKEN | I4CP - The Team Network Effect™: How Precision Collaboration Unleashes Productivity
A new study of 1,400 organisations on team effectiveness, led by Rob Cross and Katheryn Brekken, Ph.D. for The Institute for Corporate Productivity (i4cp), finds that 80% of teams fall short of reaching their full productivity potential due to corporate dysfunction. The study identifies six snares that stifle team performance (see FIG 18), and provides powerful examples including from Roche, which found that efforts to increase geographic and cross-functional collaboration across teams in 89 countries reaped a direct revenue impact of $500 million in less than two years.
FIG 18: How companies rank against the six dysfunctions that stifle team performance (Source: i4CP)
DIVERSITY, EQUITY, INCLUSION, AND BELONGING
SHUJAAT AHMAD - From Productivity to Prosperity: The AI Shift Leaders Must Embrace
The jobs most at risk from AI automation are jobs occupied by women and minority racial groups. In his compelling essay, Shujaat Ahmad argues that this calls for a shift from the current focus on a productivity-only AI model (with an emphasises on cutting costs at the expense of worker well-being and creativity) to a prosperity-first AI model, championing AI's potential to improve human life, promote fairness, and ensure sustainable progress alongside economic growth. Shujaat then breaks down the differences between the two models in four scenarios: software development, product management, go-to market, and recruitment (see FIG 19), as well as outlining three steps for leaders seeking to build a prosperity-first AI strategy: (1) Adopt a Prosperity-First True North and Accountability Measures for AI Adoption. (2) Put Employees in the Pilot Seat. (3) Commit to Responsible AI Development; Integrate AI Ethically and Inclusively.
FIG 19: Productivity Only vs. Prosperity First AI – Recruitment (Source: Shujaat Ahmad)
BCG - Women Leaders in Tech Are Paving the Way in GenAI
A recent BCG study finds that that senior women in technical functions are ahead of their male peers in adopting GenAI—but junior women are lagging behind (see FIG 20). The study identifies three key attributes that correlate with gender disparities in GenAI adoption: (1) Awareness of GenAI’s criticality to job success. (2) Confidence in GenAI skills. (3) Risk tolerance for using GenAI prior to having a company policy. The authors (Maria Barisano Neveen Awad Adriana Dahik Julie Bedard Uche M. Gunjan Mundhra and Katherine Lou) conclude that if the number of senior and junior women with GenAI skills increases, then it’s likely that women’s representation in tech leadership will grow, and call for highly targeted upskilling programs, leadership advocacy and change management.
FIG 20: Women leaders in tech are ahead in GenAI adoption (Source: BCG)
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 June that I recommend readers delve into:
RICHARD ROSENOW - 6 Emerging People Analytics Trends for a People-Focused Future – Richard Rosenow of One Model shares his observations on shifts in the people analytics field including related to regulation, team structure and focus, and the people data supply chain (see FIG 21). Definitely worth a read.
FIG 21: The People Data Supply Chain (Source: One Model)
ALICIA ROACH - Want Better Business Planning? Budgeting? Recruiting? Read This! – Alicia Roach of eQ8 provides a treatise on the rising importance of strategic workforce planning: “SWP is a business planning and forecasting process that just happens to be grounded in people.”
FIG 22: Source – eQ8
ANNIE DEAN – State of Teams 2024 – Annie Dean presents Atlassian’s newly published report on the State of Teams, which has a plethora of insights including that teams and leaders who use AI are better at collaborating.
FIG 23: Team that use AI on a regular basis (Source: Atlassian)
SHAY DAVID - From Automation To Augmentation: The Evolution Of HR Tech – Shay David of retrain.ai explains how leveraging HR technology to enhance human capabilities and enrich the employee experience is transforming the workplace.
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):
REID HOFFMAN - Gen AI: A cognitive industrial revolution - In this episode of At the Edge, Reid Hoffman speaks with McKinsey’s Lareina Yee about the generative AI revolution and how it can teach users to understand and harness its power.
PATRICK COOLEN – The Evolution of People Analytics – In a fascinating episode of the Talent Intelligence Collective podcast, Patrick Coolen joins hosts Toby Culshaw Alan Walker and Alison Ettridge to discuss all things people analytics and the factors that drive success.
MARCO BURELLI – Shaking Up Silos – Marco Burelli joins the HR Visionaries podcast to walk through the HR transformation journey at TomTom including breaking down old silos to create a more unified and dynamic team structure.
JOSH BERSIN - A New, Transformed Role For The HR Business Partner – Josh Bersinoutlines some of his latest research in relation to the new and transformed role of the HR Business Partner, which as Josh says has become pivotal to a company’s successful people strategy.
SHUBA GOPAL - Computational Biology Helps People Analytics with Small Samples & More – In another must-listen episode of the Directionally Correct podcast, Shuba Gopal joins hosts Cole Napper and Scott Hines, PhD to discuss how techniques gleaned from computational biology can help in people analytics.
VIDEO OF THE MONTH
PRASAD SETTY – Tech It Up a Notch: GenAI for HR Leaders
In his keynote at the i4CP Next Practices Now Conference, Prasad Setty, formerly Head of People Analytics at Google, breaks down the opportunities and challenges of GenAI in organisations and posits a path forward for HR leaders to champion humanity in the workplace. At Insight222, we’re delighted that Prasad will be speaking at our Global Executive Retreat in Amsterdam in September. The Retreat is exclusively for member companies of the Insight222 People Analytics Program. Click on this link to find out more.
BOOK OF THE MONTH
SHARNA WIBLEN - Rethinking Talent Decisions: A Tale of Complexity, Technology and Subjectivity
In ReThinking Talent Decisions, Sharna Wiblen, presents an uncomfortable truth: Talent decisions are always subjective. Drawing on examples from business, sports, movies and everyday interactions, Sharna emphasises the importance of understanding complexity and encourages deliberate, intentional, and informed decisions and conversations around talent. For a teaser from the book, read my expert interview with Sharna: Rethinking Talent Decisions and Navigating Subjectivity in HR.
RESEARCH REPORT OF THE MONTH
NICHOLAS BLOOM, RUOBING HAN, AND JAMES LIANG - Hybrid working from home improves retention without damaging performance
There are a lot of opinions about the impact of hybrid work and some executives argue that it damages productivity, innovation and career development. But what does the data say? In their study, Nick Bloom Ruobing Han and James Liang find that hybrid working improved job satisfaction and reduced quit rates by one-third. The reduction in quit rates was significant for non-managers, female employees and those with long commutes (see FIG 24). For more from on this topic, listen to Nick Bloom in conversation with me on the Digital HR Leaders podcast: Unmasking Common Myths Around Remote Work.
FIG 24: WFH cut attrition by 33% overall, and had a particularly strong effect for non-managers, women and those with longer commutes (Source: Bloom et al)
FROM MY DESK
June saw the final three episodes of series 39 of the Digital HR Leaders podcast, which was kindly sponsored by our friends at Crunchr. Thank you to Ralf Bovers and Dirk Jonker for your partnership and support. Also included are two articles inspired by series 38 and 39 of the podcast respectively.
DIRK JONKER – Driving Business Transformation with Advanced People Analytics - Dirk Jonker, one of the most knowledgeable and passionate leaders in the people analytics field, joins me to discuss how people analytics is enabling HR to play a more active role in business transformation and strategy.
ARMAND SOHET - Painting the Future of HR with AI, Analytics and Curiosity - Armand Sohet, Chief Sustainability, HR, and Communications Officer, joins me to discuss how a data-driven approach to HR has led to substantial cost savings and efficiency gains at AkzoNobel.
ERIN GERBEC – How Cardinal Health Transformed Their People Analytics Function – Erin Gerbec, Ph.D. shares insights from her three-year journey of transforming the people analytics operating model at Cardinal Health, and how they shifted from a build to a buy strategy for its people analytics platform.
DAVID GREEN - Revolutionising Workplace Experience through Employee Insights and Analytics – In this article for myHRfuture, I look at how people analytics and AI is reshaping the employee experience through the eyes of recent guests on the Digital HR Leaders podcast including Loren I. Shuster Nickle LaMoreaux and Craig Starbuck, PhD.
DAVID GREEN - How can HR leaders use people analytics to uncover and address inclusivity gaps? – A round up of series 39 of the Digital HR Leaders podcast, with insights from Daisy Auger-Domínguez (she/her/ella), Kate Bravery, and Ilya Bonic as well as Dirk, Armand, and Erin.
PETER SCHULZ-RITTICH AND DAVID GREEN – D as in Data Analytics – In June, I also had the pleasure of joining Dr. Peter Schulz-Rittich Caroline Amalie Allard and Christina May on ISS’s A People and Culture Podcast to discuss the power of people analytics within HR, where we are today – and where we are going.
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 500 roles.
THANK YOU
Thomas Kohler for including the May edition of Data Driven HR Monthly in his round-up of resources for HR professionals
Amit Mohindra (here), Oliver Kasper (here) and Michelle Deneau (here) for sharing details on the Insight222 People Analytics Trends survey for 2024
Neeru Monga (here), Agostina Verni (here), and Tristan Hack (here) for sharing takeaways from the recent Insight222 webinar on Transforming HR and People Analytics with AI.
Sharon Saldanha for sharing her key learnings on the Digital HR Leaders podcast episode with Kate Bravery and Ilya Bonic on the importance of skills and trust
Similarly, Olimpiusz Papiez also highlighted the relationship between trust and employee engagement, productivity and retention, which Ilya, Kate and I discussed in the Digital HR Leaders podcast episode: Navigating the Future of Work: AI, Skills, and Trust in the Modern Workforce.
Marcela Niemeyer for recommending and sharing her key learnings on the Digital HR Leaders podcast episode with Nickle Lamoreaux on How IBM uses AI to transform HR.
Harisenin.com for including me in their list of 12 people to follow for HR professionals on LinkedIn.
Aurélie Crégut for sharing her key takeaways (here) from the Digital HR Leaders podcast episode with Dirk Jonker: Driving Business Transformation with Advanced People Analytics
Alicia Roach for posting about the fifth anniversary of the Digital HR Leaders podcast (see here), which included her episode, How Strategic Workforce Planning Contributes to Business Success, ranking in the top 10 most listened to episodes!
Sonali Kumar for sharing her learnings on the Digital HR Leaders podcast episode with Piyush Mehta, How to Create Personalised Employee Experiences.
Thank you to everyone that contributed to the amazing video celebrating ten years of the Data Driven HR monthly: Sue, Jeremy. Eden, Kalifa, Lexy, Greg, Adam, Dawn, Chris, John, Jonathon, Kris, Greg, Paul, Anna, Cole, Shannon, Al, Toby, Thomas, Dirk, Antony, Alan, Michael, Ian, Chris, Craig, Andrew, Alexis, Patrick, Sanja, Dan, Mark, Ben, Sukumaran, Stela, David, Christopher, Daisy, Serena, Tony, Chad, Pietro, Kathi, Casey, Gabe, Lydia, Mark, Allen, Nicole, Nicholas, Stephanie, Andrew, Ramesh, Hallie, Dave, Roxanne, Matt, Max, Stacia, Travis, Jordan, Kelly, Ethan, Bethany, Rob, Anthony, Meg, Shawn, RJ, Jordan, Justin, Tanmay, Jon, Christine, Nick, Madhura, Brian, Raja, Henrik, Ben, Ben, Prasad, Maja, Stacey, Courtney, Buddy, Kristin, Shujaat, Gary, Alicia, Fabian, Philipp, Irene, Nick, Ryan Hammond, Amit Mohindra Gregor Teusch and of course Richard Rosenow.
Finally, a huge thank you to the following selection of people who shared the May edition of Data Driven HR Monthly. It's much appreciated: Viktoriia Kriukova (Вікторія Крюкова) Juan Antonio Vega Davina Erasmus Dan Riley Danielle Farrell, MA Ugur Zel (Prof. / ACC) Veronika Birkheim Chris Louie Jaqueline Oliveira-Cella Ganchimeg Gantulga EDLIGO Talent Analytics and Learning Analytics Ken Oehler Nick Lynn Sohil Varshney Jackson Roatch Graham Tollit RADICL Adam Tombor (Wojciechowski) Reshma Mawji Jeremy Carpenter, M.S., MPA Terri Horton, EdD, MBA, MA, SHRM-CP, PHR Bilal Laouah Catriona Lindsay Ayomide Ebietomiye Irada Sadykhova Caroline Arora Lawson Iduku German Arciniegas Brandon Merritt Johnson Jim de Vries Dave Millner Aravind Warrier Terrance Edwards David Simmonds FCIPD Stefano Di Lauro Francesca Caroleo, SHRM-SCP, ICF-ACC Emmanuel Dominick Chris Long Cedric Borzee Maria Alice Jovinski Aurélien GOZET Aizhan Tursunbayeva, PhD, GRP Susan Knolla Markus Graf Matt Elk Robert Newry Anil Saxena Fresia Jackson Conor Gilligan Alexandra Nawrat Hanadi El Sayyed Kannu Priya Arora Patrick Svensson Phil Inskip Jennifer Moore John Gunawan Ann-Marie Clayton Johnson Roshaunda Green, MBA, CDSP, Phenom Certified Recruiter Rebecca Thielen Shilpa Shah Tom Morehead PCC,MBA,SPHR David Balls (FCIPD) Meghan M. Biro Sebastian Kolberg Olivier Bougarel Catherine Coppinger Aimee Wilkinson Andrew Bamber Matt Higgs MBA FCIPD Chandresh Natu David Duewel Nicola Wood Andrew Pitts Kerrian Soong Andrés García Ayala Sanja Licina, Ph.D. Jeremy Shapiro Chris Lovato Tatu Westling Ken Clar Brandon Roberts David van Lochem Placid Jover Ohad Geron Carly Fordham Tobias W. Goers ツ Dave Fineman Laura Thurston Higor Gomes Kirandeep Chakrabarti Stephen Hickey Liz Mackay Lina Makneviciute David McLean
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:
June 25-26 - Insight222 North American Peer Meeting (Minneapolis, US) - exclusively for member organisations of the Insight222 People Analytics Program
July 24 - LinkedIn Live - Skills-powered organizations in the Age of AI, with Ravin Jesuthasan and Tanuj Kapilashrami
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.
performance management
2024年07月03日
performance management
How to Build Your HR Technology Stack for 2024In the AI age, you should use HR technology to ensure seamless integration and compatibility with your overall HR strategy for 2024. These are what Beqom is aiming for.
Jan.17,2024 As organizations navigate the complexities of the evolving workforce in 2024, the strategic use of technology in Human Resources (HR) has become critical. This blog explores the crucial role of HR systems to deliver on corporate objectives, automate and streamline processes, improve the employee user experience, and reduce the administrative burden on HR.
We also take a look at essential criteria for HR when evaluating technology solutions and delve into the nuanced landscape of trying to rely on HR suites versus a best-of-breed approach.
What is an HR tech stack?
The term "HR tech stack" refers to the comprehensive suite of tools and software applications that HR professionals use to manage various aspects of human resources. Just as a chef carefully selects and organizes different ingredients and methods to create a masterpiece, HR leaders curate and integrate diverse solutions to optimize HR processes, enhance employee engagement, and contribute strategically to business success.
An HR tech stack typically includes a combination of software for recruitment, onboarding, performance management, learning and development, employee engagement, compensation management, and more. These tools work synergistically to streamline HR workflows, drive efficiency, and enable data-driven decision-making. The selection of tools depends on the unique needs and objectives of the organization, reflecting its high-level philosophy for HR technology adoption.
The evolution of HR tech stack in modern businesses
The journey of HR tech stacks has undergone a significant evolution in tandem with the changing of the modern workplace. In the early stages, HR systems primarily focused on automating administrative tasks and maintaining employee records. However, as organizations recognized the strategic importance of HR in achieving business objectives, the HR tech stack evolved into a dynamic ecosystem designed to address complex challenges and leverage opportunities.
Key phases in the evolution have included:
Automation of administrative tasks
Early 2000s: The initial phase saw the adoption of HR information systems (HRIS) to automate routine administrative tasks, such as payroll processing and time tracking. Basic Applicant Tracking Systems (ATS) emerged to simplify recruitment processes.
Introduction of integrated suites
Mid-2000s to early 2010s: Integrated HR suites gained prominence, offering a unified platform for various HR functions. These suites aimed to streamline processes and enhance data consistency by providing a centralized platform for HR activities.
Focus on employee experience and engagement
Late 2010s: With the increasing emphasis on the employee experience, HR tech stacks expanded to include tools for talent management (recruiting, onboarding, learning, etc.), compensation and benefits, performance management, and employee engagement. Mobile applications and self-service portals became integral to fostering a positive workplace culture.
Rise of specialized best-of-breed solutions
Present day: The current phase witnesses a shift towards specialized best-of-breed software. Businesses are recognizing the value of choosing tools that excel in specific HR functions, providing depth and flexibility in their HR tech stacks, while delivering an improved employee experience.
Significance of the evolution
The evolution of HR tech stacks mirrors the broader transformation in HR's role—from a predominantly administrative function to a strategic partner driving company success. Modern HR tech stacks are not just about automation; they represent a strategic investment in technologies that empower HR professionals to make informed decisions, enhance employee engagement, and contribute meaningfully to achieving business objectives.
Crafting a high-level philosophy for HR technology
As organizations embark on the journey of leveraging technology in their Human Resources (HR) functions in 2024, it's helpful first to establish a high-level philosophy to guide your choices. As with most business decisions, it’s best to start with the "why" and articulate the overarching goals HR seeks to achieve for the company.
Aim for strategic alignment
Why do it? Your high-level systems philosophy must align seamlessly with the organization's overall strategic objectives. HR digital solutions should not be implemented in isolation but as a strategic enabler, contributing to the achievement of broader business goals like diversity, profit margin, market share, and so on.
How to do it. HR leaders should collaboratively engage with organizational leadership to understand key business objectives and challenges. The technology philosophy should then be crafted to align with and support these goals.
Enhance the employee experience
Why do it? A key focus of HR technology should be on enhancing the overall employee experience. By delivering value to employees, providing user-friendly interfaces, fostering collaboration, and enabling self-service capabilities, HR can create an environment where employees thrive.
How to do it. Conducting regular employee feedback surveys, analyzing pain points in HR processes, and understanding employee needs will inform the technology approach. The goal is to implement solutions that make work more meaningful and enjoyable for employees.
Drive efficiency and agility
Why do it? HR technology should be a catalyst for operational efficiency and agility. By automating repetitive tasks, streamlining workflows, and providing real-time insights, HR contributes to the organization's ability to adapt swiftly to changing market dynamics.
How to do it. Assessing current HR processes, identifying bottlenecks, and evaluating the capability and adaptability of existing systems will guide the decision-making process. The aim is to implement an HR platform that not only addresses current needs but also scales as the organization evolves.
Enable data-driven decision-making
Why do it? A high-level philosophy should emphasize the importance of leveraging data for informed decision-making. HR technology should provide the tools and analytics necessary to transform raw data into actionable insights, empowering HR professionals to make strategic decisions.
How to do it. Assessing the company's data maturity, identifying critical HR metrics, and understanding the capabilities of offerings in the market to support strategic decision-making at all levels will guide the choice of technology that aligns with this philosophy.
Cultivate a culture of continuous improvement
Why do it? The philosophy behind HR technology should embrace a culture of continuous improvement. Solutions should not be static but evolve to meet changing organizational needs, staying abreast of industry trends and workplace regulations, and driving innovation.
How to do it. Regularly evaluating the effectiveness of existing technology, staying informed about emerging HR tech trends, and fostering a culture of innovation within the HR team contribute to a philosophy that embraces ongoing improvement.
In essence, the high-level philosophy behind the HR tech stack should be a strategic roadmap, guiding the business towards success. It is the articulation of what HR aims to achieve and why technology is a critical enabler in achieving those objectives. Crafting this philosophy involves aligning with corporate goals, prioritizing employees, driving efficiency and agility, leveraging data, and fostering a culture of continuous improvement. As companies embark on the transformative journey of HR technology adoption, a well-defined and thoughtfully considered high-level philosophy will serve as the North Star, ensuring that technology becomes a powerful ally in achieving organizational excellence.
The growing importance of technology in HR
As Josh Bersin has framed it, we are now entering a post industrial economy. The industrial revolution over the last 150 years has created massive amounts of automation and productivity-enhancing advancements. The result is that employees no longer are just replaceable commodities, needed for menial tasks. They are more skilled and specialized than ever before, and that trend is only going to continue with the blossoming of artificial intelligence. Now, says Bersin, “every company is in the people business.” HR is more important than ever, and the HR tech stack plays a key role in shaping today’s high performing organization in many ways, including:
Efficiency and productivity
In the fast-paced business environment of 2024, efficiency is key. Technology enables HR professionals to automate repetitive tasks and streamline complex processes. Whether in recruiting (resume screening, scheduling interviews, managing employee records), compensation (salary planning, merit increases, pay equity) or performance management (goal-setting, collecting feedback, performance reviews)—to name a few examples—the use of technology not only saves time but also allows HR teams to focus on strategic initiatives that contribute to the overall productivity of the organization.
Data-driven decision-making
Technology provides HR with tools to collect, analyze, and interpret data, and to make predictions. This data-driven approach enables HR professionals to make informed decisions regarding talent acquisition, employee engagement, compensation strategy, and workforce planning. Harnessing the power of workforce analytics can lead to more effective strategies and better outcomes for the business.
Remote work and collaboration
With the rise of remote work, HR technology facilitates seamless collaboration between dispersed teams. Virtual onboarding processes, digital communication tools, feedback platforms, self-service tools, and remotely administered systems are among the essential components that enable HR to adapt to the changing dynamics of the modern workplace.
Impact of technology on different areas of HR
Virtually every aspect of HR can be improved and accelerated through the use of digital solutions. It is up to HR leaders to determine what areas can have the most impact on the organization’s success and prioritize accordingly.
Recruitment and talent acquisition
Technology streamlines the recruitment process by leveraging artificial intelligence (AI) for resume screening and predictive analytics for identifying top talent. Applicant Tracking Systems (ATS) automate the hiring pipeline, reducing time-to-fill and ensuring a more efficient recruitment process.
Learning and development
HR software facilitates personalized learning experiences through e-learning platforms and Learning Management Systems (LMS). This not only enhances employee skills but also ensures that training programs align with organizational goals and industry trends.
Compensation management and pay equity
Technology can play a pivotal role in transforming compensation management, which is a critical core function. These solutions empower HR professionals to create transparent pay structures, conduct market analysis, design flexible compensation strategies, support data-driven pay decisions at all levels, and administer rewards efficiently. Advanced pay equity tools can ensure ongoing fair pay and legal compliance.
Collaboration and coaching
Integrated collaboration platforms facilitate seamless communication among dispersed teams, enhancing the employee experience and contributing to increased productivity. Support for manager coaching takes collaboration one step further and aids in employee-manager alignment.
Goal-setting and tracking
Software provides automation for setting and tracking individual and team goals, speeding up the cascading of high level goals throughout the organization, fostering real-time evaluation and progress tracking, and promoting a more dynamic performance management process.
Continuous feedback and recognition
Automated feedback and recognition tools contribute to a positive workplace culture by ensuring timely acknowledgment of employee achievements, fostering a sense of appreciation and motivation, as well as supporting continuous improvement.
360-degree feedback
Performance management tools enable the automation of 360-degree feedback processes, providing a holistic view of employee performance from various perspectives within the enterprise.
Performance appraisal and calibration
Automation in performance appraisal processes, including calibration features, ensures consistency and fairness in evaluating employee performance across the organization, and saves enormous amounts of time.
Impact on the business, employees, and HR staff
HR technology has something to benefit everyone in the organization.
Business impact
Implementing HR technology positively affects the bottom line. Improved efficiency, better talent management, and data-driven decision-making contribute to overall business success. The adaptability of HR tech to changing market demands ensures that businesses stay competitive and agile, and attract and retain needed talent.
Employee experience
From recruitment to retirement, HR technology enhances the employee experience. Self-service portals, mobile applications, and digital communication tools empower employees, providing them with the tools they need to thrive in the workplace. This, in turn, contributes to a positive workplace culture, motivation, productivity, and loyalty.
HR department and staff
HR professionals benefit from technology by automating administrative tasks, allowing them to focus on strategic HR functions. Access to real-time data also equips HR staff with the insights needed to make informed decisions. This shift from transactional to strategic roles enhances the value HR brings to the organization.
Risks of not embracing technology in HR
Conversely, failure to keep up with the advances in HR technology can put your company at a competitive disadvantage. Organizations that fail to embrace HR digital solutions risk falling behind competitors who leverage these tools for strategic advantage. The ability to attract and retain top talent often hinges on the adoption of modern HR practices and technology. Employees want to work for a company with efficient processes, and increasingly, for companies that practice transparency and workplace equity.
Manual processes are prone to errors and inefficiencies, both of which are costly. Without the aid of technology, HR departments may struggle with accuracy in record-keeping, compliance issues, and inefficient workflows, hindering the overall effectiveness of HR operations.
Building a tech stack for HR
So how to best approach technology adoption for HR?
Assess organizational needs. Before implementing an HR solution, HR executives should conduct a thorough assessment of the organization's needs. Understanding specific pain points, goals, and desired outcomes is essential for choosing the right solutions. What are the company’s objectives and what would be needed to accomplish them?
Identify critical areas. These are areas where you can gain the most strategic benefit, and where you therefore do not want to compromise on functionality. What is mission critical, what is core to realizing your strategy and achieving your goals? In other words, what is most worthy of investment?
Consider integration and scalability. A well-rounded tech stack should be easily integrable with existing systems and scalable to accommodate future growth. Seamless integration ensures data consistency and avoids silos, while scalability future-proofs the technology against evolving organizational needs.
Criteria for evaluating HR technology solutions
Here are some key areas to consider when evaluating technology solutions.
Functional coverage
First and foremost, technology solutions should be able to do what you need done. You should not have to compromise on your strategy to conform to system limitations. If a solution cannot really handle your needs, scan the market to see if there is an alternative that is a better fit for your needs.
Integration capabilities
Seamless integration with existing systems is crucial for data consistency and efficient workflows. HR professionals should prioritize technology solutions that support interoperability.
Scalability and global compatibility
Large organizations must choose solutions that are scalable to accommodate their size and adaptable to meet global complexities and diverse compliance requirements. Global compatibility supports consistency in HR practices across different regions.
User experience and accessibility
A user-friendly interface and accessibility across devices are critical considerations. HR technology should be intuitive for users globally, promoting widespread adoption and engagement. And remember that part of the user experience is delivering real value to the end users.
Data security and compliance
Given the sensitivity of HR data, security features and compliance with data protection regulations should be paramount. Robust security measures safeguard against data breaches and ensure confidentiality.
Vendor expertise and support
Every solution has people behind it who create, implement, update, and support it. Even the most intuitive systems need support to keep the technology improving and advancing, look for expertise and a commitment to innovation.
Comparing HR suites and best-of-breed solutions
It is often tempting to try to rely on your core HR suite to handle most or all of your HR software needs. However, the benefit of a single source supplier is limited compared to the possible benefits of a best-of-breed approach.
Limitations of HR suites
Some of the common problems encountered when trying to stretch an HR suite to cover every need include:
Lack of specialization. Comprehensive HR suites often provide a generalist approach, attempting to cover a broad spectrum of HR functions. While this may be suitable for some organizations, it can result in a lack of depth for specialized functions like compensation management and performance management.
Slower innovation. The sheer size and complexity of comprehensive suites can sometimes lead to slower adaptation to emerging technologies and industry trends. The bureaucratic processes involved may hinder the swift integration of innovative solutions that could benefit the organization.
Complex implementation. Implementing extensive HR suites can be intricate and resource-intensive, requiring substantial time and effort. The complexity of these systems may lead to challenges in user adoption and ongoing maintenance.
Advantages of a best-of-breed HR tech approach
What is driving companies to seek best-of-breed solutions within their HR tech stack? Some reasons include:
Specialization. Best-of-breed solutions excel in specific HR functions, providing advanced features and customization options tailored to the organization's unique needs. This specialization ensures that each component of the HR tech stack is functionally rich and optimized for maximum efficiency.
Faster innovation. Specialized providers often innovate more rapidly, adapting to industry trends and technological advancements with agility. This proactive approach allows organizations to stay at the forefront of HR technology, driving continuous improvement.
Flexibility and integration. Best-of-breed solutions offer flexibility and can be seamlessly integrated with other systems. This allows organizations to build a tailored tech stack that aligns precisely with their requirements, avoiding the constraints of a one-size-fits-all solution.
A best-of-breed HR technology success story
One large multinational bank was facing an increasingly complex and competitive landscape including new non-traditional players, increasing regulation, artificial intelligence, and automation. These challenges made it crucial for them to attract, retain, and leverage their human capital to its fullest potential.
They wanted to give employees and line managers a uniform and engaging experience, and establish a culture of continuous improvement, and so were seeking best of breed solutions for key HR processes to complement their core SAP HCM solution.
beqom enabled crowdsourced real-time continuous feedback, regular check-ins, and agile goal setting, supporting managers in providing timely and helpful coaching. With pulse surveys, structured 360 feedback and insightful analytics, the solution measures the entire employee experience at every touchpoint.
With beqom they can align personalized rewards with real-time performance data, as well as with feedback, skills, behavior, and goals, to provide meaningful and effective rewards. The bank was able to consolidate all compensation processes, including salary and promotion increases, short and long-term incentives, and cash awards, across more than 30 countries.
And, their compensation budget can be continuously monitored as performance ratings are submitted and their cost impact calculated. All in all, it’s a real success story that shows the power of HR technology to transform an organization.
Moving forward with your HR technology stack
In today’s dynamic workplace, technology solutions will play a pivotal role in empowering HR professionals to deliver value for the organization. To find out how best-of-breed solutions can transform your HR processes and help you build a high-performing organization, take a positive first step and contact us at beqom.
SOURCE Beqom