There are five key trends and actions that support digital transformation and the development of HR, according to a recent IDC whitepaper.
It is the responsibility of HR to address and deliver key elements of digital transformation, as well as transforming the HR function itself.
Key to this process is understanding the steps involved in delivery roadmaps for realising these key transformation objectives, according to IDC, which developed the HR Transformation: Delivery Roadmaps whitepaper in conjunction with SAP SuccessFactors.
This process needs to follow a logical 5-step approach to delivery change:
- Empowering HR across the business
- Impactful HR decision making
- Managing a flexible workforce
- Continuous employee engagement
- Social and collaborative learning
The first critical stage in creating a HR transformation delivery roadmap involves empowering HR across the business.
By empowering managers and employees with self-service HR tools, organisations can streamline processes and free up HR resources to focus on transformation.
This first stage requires a 4-phase approach; the first of which involves understanding your company needs.
The most common scenario for companies in terms of their current status often sees line of business managers having to interface with HR to get information on everything: from KPIs to training programs to time off.
This causes an issue as HR departments don’t have time or resources to micromanage the workforce.
However, the ideal scenario would see line of business managers empowered with real-time control and an overview of their workforce.
This would also enable HR to focus on long-term challenges and drive cultural change, while the HR department would help future-proof the business for the C-Suite and employees would have access to self-service and more control over their HR tasks.
The second phase involves the formation of a working group for change, and this comprises a 4-step approach: ensuring C-suite and IT support; creating task groups to lead key elements; explaining and communicate change; and determining investment to meet goals.
“An ideal scenario would see line of business managers empowered with analytics for optimal role assignment and the design of recruitment policy”
The third phase involves defining the HR applications needed to empower HR across the business.
These tools need to provide an easy-to-use interface with social interaction capabilities, be delivered via a browser across all devices and at any time, provide dashboards, team views, data comparisons and analytics, while being easy to export and easy to disseminate with no-hassle reporting and auditing.
The fourth phase involves understanding progress and delivering results, and in this phase HR should collect frequent and consistent feedback, ensuring C-suite and line of business managers, as well as IT, provide constant inputs, while ensuring employees and HR itself are given the opportunity to feedback on progress, on what’s working well and what is not.
Also important in this phase is communicating regularly with stakeholders, and HR should publicise wins and the achievements of the change program and what they are delivering to the business – while setting realistic and continuous goals and showing where and how these were met.
This phase also provides HR with an opportunity to reshape and recalibrate HR metrics, bringing engagement and satisfaction to the top of the measurement pile in the process, while demonstrating productivity as a key outcome of HR transformation.
The second critical stage in creating a HR transformation delivery roadmap involves impactful HR decision-making, and the IDC/SAP SuccessFactors whitepaper observed that this involves the use of analytics throughout the employee life cycle which enables organisations to identify issues and improve productivity and engagement.
The first phase of this stage again involves understanding company needs, and in most organisations, IDC said that line of business managers have limited visibility on KPIs, goals, progress, and team data – while role assignment is often intuitive.
Furthermore, HR departments often do not have data-driven insights into the workforce, performance and objectives, while leadership lacks access to centralised HR data and struggle to make decisions – which results in a limited ability to foster long-term planning.
However, an ideal scenario would see line of business managers empowered with analytics for optimal role assignment and the design of recruitment policy.
“HR can create workforce planning and workforce projection outcomes, to show actionable results to LOB and senior management”
There would also be increased transparency across pockets of disengagement, attrition and performance issues, while senior managers are provided with deep analytics to identify risks associated with succession planning and specific skill retention.
The second phrase of this stage also involves forming a working group for change, and this comprises four steps, including demonstrating the business outcomes of analytics, interfacing with IT to ensure access to data; determining requirements for line of business and HR, and investing in a tool that makes HR more impactful.
The third phase of this stage focuses on defining the HR applications needed, and the whitepaper observed that impactful HR decision making requires HR tools that should interface with existing databases with ease, extract data, and offer fast insights.
They should also deliver easy-to-use analytics tools, with custom views and dashboards, integrate with workforce performance management, compensation and learning and development, and export in different formats while providing smart recommendations based on data insights.
The fourth and final phase of this stage involves understanding progress and delivering results, and in this step, HR should compare and contrast insights with the past.
This involves collecting all insight between line of business and employees, including past data, and these results should both provide insight to HR and also roll up to line of business management and the C-suite.
It is also important to apply analysis-based recommendations in this phase, through focusing on succession planning and attrition as a key starting point and where maximum value can be created early.
As part of this, HR can create workforce planning and workforce projection outcomes, to show actionable results to LOB and senior management.
The final step in this phase involves establishing a common starting point and frame of reference, which requires the preparation, planning and execution of a longer-term HR strategy with greater access to insights and trends.
This stage can also be used to streamline HR resources across departments and divisions and demonstrate efficiency gains to the board.
To learn about the above stages of delivery change in more detail, as well as the remaining 3 stages of successful HR transformation delivery roadmaps, please download the full IDC/SAP SuccessFactors HR Transformation: Delivery Roadmaps whitepaper.