The Future of HR: From Static to Fluid
The workforce is changing in drastic ways. Gen Z and Millennials are challenging the status quo, and smart companies are moving in lockstep. These generations value personal time (having witnessed their parents losing long-term jobs), recognizing that there is more to life than the grind. They also want a voice at the table, along with transparency, fairness, diversity, serious development opportunities, work-life balance, meaningful work, feedback, and mentoring.
In response to the changing workforce, and specifically new professionals (early to mid-20s) entering the workforce, HR needs to demonstrate the utmost flexibility with a shift from gatekeeper to the individual work advisor. Jill Goldstein from Accenture put it this way:
"I think we're going to see HR positions [develop] in such a way that [they] will probably be one of the most sought-out professions in the enterprise," says Jill Goldstein, global practice lead for talent and HR operations at management consulting firm Accenture in the Miami area. "I can envision a future where HR professionals are no longer thinking that their job is to stay on top of current HR trends but to reposition [themselves] to become workforce advisors and I go a step further and suggest that HR leaders drive to focus on the well- being of each employee. Obviously, in a large corporation, this is difficult, but engaging managers and leaders in understanding each employee make it possible."
The change in HR is critical to support the expectations of these talented and informed young people entering the workforce. This group expects personalization, continuous development to grow and learn, such as training and project opportunities, meaningful work with a reputable and socially conscious company that goes beyond just checking the boxes, and a long term steady and stable career with commensurate financial rewards. Many companies are facing a challenge in how to hire and retain these resourceful members of this generation. In support of these young professionals, I propose 8 HR changes, including Agile for HR, impacting how these changes can evolve.
Eight HR Changes for the Future
Flexible Jobs Descriptions. Currently, we match an individual's skill set to a job description. Young professionals' (Gen Z and Millennials) focus on development opportunities in multiple roles. I propose finding out what young professionals are interested in and creating/modifying a job for them within the boundaries of what the company needs. The benefits are a smart, adaptable workforce who is capable, challenged, and flexible, fulfilling multiple roles over time with generous training and mentoring. This recommendation works best in larger organizations that have more roles.
Revamp the Performance Appraisal Process. The annual and semi-annual performance appraisals are an anachronism that doesn't fit today's workforce. The feedback is often shallow and inadequate because the goals from 6 months ago have changed, and there is a paucity of feedback in-between those months. Continuous Performance Management is a system combining data for frequent feedback sessions that satisfy the desire for routine and immediate feedback. This process follows agile, where there are fast short goals for feedback. Establish short weekly or monthly reviews, with regular feedback to lay the foundation for growth. My colleague, Megan Taylor, offers support in this area. https://taylorhrgroup.com/.
Identify and Hire the RIGHT Managers/Create Flexibility for Handling Issues. When are we going to solve the manager issues? Most people leave their jobs because of their managers. Managers need to be selected based on their interpersonal skills and less on technical skills. They should be well-trained and rewarded for low turnover and engaged employees. Also, when sticky issues come up, managers need to have immediate access to HR (even in a virtual setup) and get immediate attention to talk through the problems and respond to employees. You would be amazed how many issues come up that are an immediate "no" because “we don't do it that way”, or the manager doesn't know how to respond or handle it, and chooses to ignore it. Instead, HR needs to take the time to evaluate and make decisions based on individual needs. Many people won't leave their job immediately when they become frustrated with policies/personal needs/unfairness/door closings, but it is the beginning of the journey. The lifeline of a business is an engaged and talented workforce and strong management. Better managers will attract and retain capable Gen Z and Millennials.
Expand Training and Development Programs. Gen Z’s views on-going learning and skill development to be very important. Think about training programs that can fast track an employee from one skill set to another. For example, a marketing employee may want to learn more about data analytics to expand their understanding and value or a finance person wants to learn more about the ins and outs of procurement. This fulfills the need for personal development and growth, resulting in greater satisfaction, engagement, and loyalty with lower turnover.
Mentorship versus Bosses. For young professionals mentoring is the name of the game. They seek and expect this kind of assistance. Since they have a set of technical skills, others don't have, they can mentor leaders and others. Some Gen Zers are used to contributing to major family decisions, such as what car to buy or where to have the family vacation because of their talent with technology and research. They typically have had a seat at the table and they want to learn and develop skills. As a leader, instead of telling people what to do and expecting them to do it, approach your team members with the benefits, the why, the how, and the what regarding the task ahead. Plan regular check-ins and reviews, and encourage their input.
Interview Strategies to Increase Diversity. Shift from transactional interviewing to problem-solving to increase diversity. We all have biases, and they show up during the interview process. Instead, focus on problem-solving and how the candidate would implement the solutions. To get a fuller impression, you could have a candidate to solve several problems with multiple interviews.
For example, this could be a case study or a technical problem. Once the problem is solved, the interview starts with how they solved the problem, followed by implementing the solution in real-time. This process allows the interviewer to learn about individual competencies and their problem-solving abilities, their view towards teamwork and collaboration, and their communication skills. During this part of the interview, you can dig deeper into their thinking and address potential obstacles and how they would solve them.
Since inclusion is essential today, this approach is a fairer attempt to understand candidates, irrespective of their gender, color, or nationality. The old way is rife with inequities, prejudices, and exclusion. Using problem-solving, the organization would benefit from greater diversity. This approach also supports jobs that fit talents instead of focusing on skills matched to job descriptions.
Create a Culture of Mentoring, Transparency, and People Orientation, with Data Analytics and AI. Great leaders pay attention to culture and create great places to work and profitable business. Data Analytics promotes better decision-making and increases HR effectiveness concerning dashboards, trends, and creating better work environments and higher productivity. By creating a productive culture, a mentoring environment, with transparency around the company's inner workings, goals, and progress, with leaders and managers modeling these behaviors, you create a place where Gen Z and young Millennials want to work.
Invest in Your B Players. You would be surprised how many can turn into A players. In my work life, I have always wondered why B players receive so little attention. B-Players receive this label when they have significant responsibilities within the home, have firm and unchanging work hours due to other duties or preferences, and perfect a skill. These B players often play a critical role in tending to daily tasks, keeping the engine running with back and front office essential tasks.
What if you learned more about the desires of B players? What is missing for them? How can they add more value? For specific individuals, I have seen when their responsibilities grow (new project, new role, new material), they blossom. Another conundrum of B-Players is those who don't possess the outward characteristics of A-players, who typically are outgoing, take-charge types and outwardly driven to succeed. These B-players could turn out to be gems that are ready to blossom.
So, what does this have to do with Gen Z and young Millennials? Since they desire more balanced lifestyles, they may be perceived and treated like B-Players where their considerable talents are under-utilized.
Agile for HR. Using Agile in HR is a step towards a more customer-centric approach to the workforce. Agile is a mindset and behavior change. It requires the internalization of principles applied to all of the previous seven recommendations. For example, the functions listed at the beginning of this article are the what. Agile addresses the how.
In my next article, I will explore what, how, and why agile practices support the HR needs of Gen Z and Millennials.
Lesley Tracy
EMAIL: lesley@changingbehaviorsconsulting.com
WEBSITE: Changingbehaviorsconsulting.com