Capturing HR trends helps business leaders gain a broader perspective on workforce changes in the new era, the age of technology.
Human resources have always been a core element of every organization and business, crucial in all eras. Chief Human Resources Officers (CHROs), HR professionals, play an essential role in developing quality human resources for companies. To do this well, HR leaders must have a broader vision of new HR trends in the technology age. Right below, Navigos Search will unveil 10 predicted HR trends that will rise in the near future.
1. Current Changes in HR Trends
Current HR management trends are undergoing changes:
Recruitment Models
A significant challenge for recruiters is addressing the shortage of potential candidates. Businesses need to change their recruitment models to align with the current situation to attract candidates.
The HR recruitment model in the Industry 4.0 era will involve: using media tools for recruitment, employing AI-powered machine learning to find candidates, conducting online interviews, having more versatile staff, and attracting potential candidates through the work environment.
Performance Evaluation Model Differences for Employees
Performance evaluation KPIs will no longer be manually managed but will be set up in software using AI technology. These tools will track, score, and automatically evaluate employees' task completion. Thanks to management software and AI technology, resource management becomes easier and more objective.
Impact of Internal Communication Strategies
Internal communication strengthens employee engagement within the company, thereby enhancing work performance and attracting and retaining employees. In the digital era, internal communication strategies are consistently emphasized by companies to maximize its usefulness.
Digitalization of Document Storage
Digitizing forms and records is always a top priority for businesses. The development of technology leads to the gradual replacement of paper-based records. Clear evidence of this change is the swift transition of paper-based office records and documents onto the internet platform.
Changes in HR Trends
2. Prominent Current HR Trends
Soft Skills Play an Important Role
Soft skills encompass emotional intelligence, empathy, creativity, collaboration, communication, problem-solving, and more. Although not widely taught in the education system, soft skills are increasingly asserting their importance. This is because success is challenging without supportive soft skills, even with expertise.
Soft skills are difficult to detect and evaluate during the recruitment process. Typically, recruiters only discover whether candidates possess soft skills after they officially start their jobs.
Assessing candidates' soft skills is a headache for many recruiters. The most common approach HR professionals use is focusing on communication gestures during interviews. However, this method is effective only when candidates are not affected by nervousness, excitement, and when their external displays truly align with their inner selves. Therefore, recruiters must be capable of accurately assessing candidates' soft skills through their gestures and actions.
In the future, the assessment of candidates' soft skills might be facilitated through artificial intelligence. Specifically, HR will list desired skills and use AI-integrated tools to analyze whether candidates meet the specified requirements.
Flexible Workspace, Remote Work Management
With technological advancement, the trend of remote work and working from home is becoming more popular. From email and messaging apps to online conference services and social media platforms for jobs, connecting people has become extremely easy.
Another testament is that since the powerful outbreak of the COVID-19 pandemic, remote work seems to have replaced a substantial portion of offline work. It's easy to understand why the workplace is no longer as central as it used to be for businesses. Allowing employees to work from home also reduces living costs and office rental expenses for companies.
Additionally, the notion of an individual doing only one job for their entire life seems to no longer exist. Most people desire a flexible, balanced, and diverse lifestyle.
Particularly, remote workforce management is a prevalent HR trend in the Industry 4.0 era. According to McKinsey's research, after the first wave of the Covid pandemic, around 85% of businesses in the US allowed employees to work remotely. For instance, Google allowed 5,000 employees to work from home until July 2021, while Facebook enabled remote work for its employees until the end of 2020.
After the Covid pandemic, businesses will have the opportunity to embrace remote work models. It seems that employees also desire remote work due to its flexibility in terms of time and location.
Emphasis on Building a Healthy Company Culture
Company culture is the core value of every organization and business. Company culture is also the foundation that helps companies stand out in their business activities and recruitment results. Therefore, effective company culture is a necessary factor for every present-day business.
In the age of technology, particularly with the robust development of social media, if a company manages to cultivate a healthy culture, it can establish a reputable brand image, gaining recognition from a wide audience.
Emphasis on Building Company Culture
Policies of Transparent and Open Salary Payment
In certain businesses, delayed or unpaid salaries still remain an issue. Moreover, many employees believe that the compensation they receive doesn't match their capabilities and the value they bring, leading them to consider leaving.
In this era of rapid information dissemination, such practices can lead to loss of credibility for businesses, making it difficult to attract, retain, and maintain talented individuals. As a result, the trend in human resources is undoubtedly moving towards transparent and openly disclosed salary policies.
Designing the Organization Model of the Future
Given the rapid pace of change and the challenges in the era of Industry 4.0, HR professionals recognize the need to build organizational models for the future. Businesses must adapt and redesign their structures to accommodate a professional and trend-aligned workforce that suits the modern era.
Employees as Partners, Not Tools
To create optimal work motivation for the workforce and to truly transform them into valuable assets on the balance sheet, businesses must provide a sense of partnership and equitable opportunities for employees to become partners in the company's success.
Skilled leaders always manage to make employees feel like business partners. Why? When employees feel they own something, they actively seek opportunities to improve, protect, and invest their energy into it. This results in a high-quality workforce for the company, enhancing its competitive position in the market.
Delegating Authority, Narrowing Realistic Gaps
One of the current HR trends is for businesses to foster a culture of delegation. Many companies have moved away from traditional hierarchical management. Instead, they grant authority to capable individuals, particularly the younger generation with potential, to drive business transformation in line with the digital age.
A fair, reasonable, and comprehensively innovative work environment is highly valued. Diversified strategies, along with a focus on individual responsibilities and transparency, are essential aspects within the business.
Software Integration into Work
The integration of software into HR management has enabled businesses to evolve their workforce management practices professionally, modernly, and in sync with digital transformation trends. HR directors need a fresh perspective to keep pace with the fast-paced, complex market.
The Fourth Industrial Revolution has had a positive impact on HR management trends, helping unleash talent and fostering workforce cohesion. Software application has helped businesses save time and simplify HR management tasks, making them more convenient and efficient.
Collaboration with Freelancers
Collaborating with freelancers is also a human resources trend in the era of Industry 4.0. Nowadays, businesses engage both fixed and freelance labor. In the near future, the labor force, along with software and machinery, will all see an increase, leading to the reconstruction of various job roles.
Changing Recruitment Mindsets
To ensure recruiting the right person for the right job, businesses should focus on what an individual "can do" rather than what "credentials" an applicant holds. An applicant's experiences indeed bring value to an organization. Recruitment, aided by various tools such as social media and HR management software, helps identify individuals with potential and true compatibility.
Changing Recruitment Mindset
3. What Should Businesses Equip Themselves with for HR Trends?
In the face of current HR trends, businesses must possess a rational strategy. Some fundamental aspects that businesses should equip themselves with include:
Embrace the Technological Boom of Industry 4.0
Businesses should utilize online communication tools for internal communication, recruitment, and employee engagement, such as recruitment software, social media platforms, forums, etc. Make an effort to fully exploit the functionalities of technological applications and effectively connect them with the workforce within the organization.
Digitize Manual Work Processes
Traditional manual work methods are becoming less suitable in the digital age. Therefore, businesses should gradually transform their work processes, starting with modern task management software.
Strengthen Internal Communication
An effective way to build a brand without incurring advertising or marketing costs is by establishing a corporate culture. A positive and healthy corporate culture can remarkably attract and retain valuable talents.
Develop Strategies for Attracting and Retaining Talents
Businesses should devise strategies for attracting and retaining talent. This should be executed through recruitment strategies, internal communication, fostering team spirit, enhancing employee benefits, and ensuring a balance between workload and income received.
Develop strategies to attract and retain talent
To recruit talent, businesses can choose a recruitment service at Navigos Search - Vietnam's leading mid- and high-level talent hunting brand.
The great advantage of Navigos Search is that it owns 375,000+ high-level candidate profiles, 85,000+ senior management candidate profiles for headhunters to assist businesses in recruiting talent in any field or industry.
Besides, a team of dedicated consultants will always stand by your business from the time of recruitment needs to the time of receiving candidates. All of our consultants have extensive knowledge and experience and a methodical recruitment process, ensuring the search and selection of bright candidates for your business within a certain time.
Over 20 years of experience in the field of "hunting" for middle and high-level talent, Navigos Search is proud to have supported and brought successful recruitment solutions to hundreds of thousands of businesses and multinational corporations across Vietnam.
Navigos Search is the number one talent hunting unit in Vietnam
Every month, the number of potential CVs sent to us is huge. Therefore, if your business is looking for talent for any other mid-level or senior-level positions, please contact Navigos Search with the information below:
Website: navigossearch.com
Fanpage: facebook.com/NavigosSearchVietnam
Navigos Search - leading mid-to high level recruitment company in Vietnam.