Human Resource Management in the Times of Emerging Digital Economy
The emerging Digital Economy is redefining the workplace, transforming business models and disrupting HR strategy. HR leaders need to be prepared for this disruption and develop strategies that address it effectively.
One way to do this is by integrating digital technologies into their strategic HR practices. This approach has the potential to transform HR and help businesses move towards a more agile and effective work environment that benefits employees, managers, and the company as a whole.
Another way to do this is by enhancing the skills of their workforce through digital learning and development opportunities. This is especially important for organizations that have a large talent gap, as it can improve their bottom line by creating more productive and engaged teams.
These activities also have the potential to increase employee satisfaction and help reduce the number of turnovers. This is a key part of HR’s role in the future as the workforce shifts to a hybrid and remote model.
As the digital economy grows, there are many new opportunities for HR to become a leader in this space. Among these are:
According to Ken Hurley HR leaders can start by identifying the specific issues facing their employees and then developing the most relevant solutions to meet those needs. This can include offering flexible working options, improving health and wellness programs, or providing a safe and inclusive workplace.
With the rise of artificial intelligence, companies are starting to use big data for their HR functions. This has the potential to transform HR by allowing them to make more informed decisions about hiring, retention, and performance management.
Taking advantage of these tools can improve the effectiveness of their HR processes by enabling faster and more effective decision-making while also reducing the amount of time spent on administrative tasks. It can also allow them to focus on more strategic initiatives.
HR can leverage big data to analyze trends in employee performance, engagement, and productivity. This data can then be used to identify and address problems in a timely manner.
In the face of a global skills shortage, employers need to do all they can to attract and retain top talent. This includes promoting career development and ensuring that they offer competitive salaries and benefits packages.
This will also help them retain employees who are not happy at their current employer and may consider looking elsewhere if they can get more out of a job.
Employers can encourage and support this by incorporating training and mentoring into their remote and hybrid work policies. These can include on-the-job immersive experiences, leadership development programs, and talent rotation strategies.
Algorithmic management is also a great opportunity for HR to take ownership of the process, ensuring that fairness and equity are built into the system. This means preventing existing biases that are embedded in the system from becoming part of the algorithm.
As a result, it is critical for HR to reimagine its role as a driver of business success. This requires them to take an active role in managing a hybrid and remote workforce by developing the right skills, listening to employee feedback, and building a culture of empathy and accountability. This will not only ensure that HR continues to be a valued part of an organization, but it will also help to ensure that all of its employees feel like they are part of a team.
