The past decade has seen the world change in irreversible ways, impacting many aspects of our lives. This inevitably altered the way we work and what we expect from our careers and management. Think remote working, the revolution of digital nomads, or gens Y and Z entering the workforce and shifting the paradigm. Or the rise of tech, leading to the creation of new jobs we once could not have imagined would one day exist, like SEO managers, Head of Ethics (regarding AI essentially) or pentesters.
More than ever, research and discussions around company culture, new ways of working, leadership and social impact has shunned the light on the importance of having the right people to execute company strategies. The ability to hire and retain the right talent is now regarded as one of the greatest predictors of organizational success, giving HR managers a front line role.
In recent years, the profession, and expectations around it, has evolve. From a support and service-oriented department, it is shifting to a more strategic organizational asset. This new strategic role is crucial, cannot be outsourced, and requires in-house expertise. According to Human Capital Consulting, “HR Professionals will likely transition into HR Business Professionals who not only understand HR implications but also business operations and strategy.” This may even lead to the creation of new job titles for HR.
To take on their new role, HR professionals will need to rethink their tasks and focus on two key points:
1. Driving growth
According to an Economist Intelligence Unit report, C-suite executives need to partner with HR to drive growth. HR needs to increase its strategic value to the business. The ability to make accurate projections based on understanding the goals of the business and using the right metrics are at the center of what will be expected of HR professionals. Which leads us to our next point.
2. Embracing big data
The rise of HR softwares and analytics tools, and the overall digitization of the profession, has turned the understanding and accurate analysis of “big data” into another key skill that will be increasingly expected from HR managers to become strategic leaders in their companies.
While many organizations recognize this shift in thought, not all of them are correctly measuring success with updated HR key performance indicators (KPIs). These KPIs can help understand whether a team is accomplishing its HR objectives in a way that is in line with the company strategy. A few examples of KPIs are:
- Compensation KPIs (benefits satisfaction, employee productivity rate etc.)
- Company culture KPIs (net promoter score, employee satisfaction index etc.)
- Employment KPIs (number of full-time employees, termination rate, average time to fill a job vacancy etc.)
- Performance KPIs (performance of new hires, internal promotion rate…)
One could define KPIs as the red thread to guide them on the road to growth and success. They should be tailored to each company and their objectives, and defined in partnership with teams and hierarchies.
We've recorded a webinar presenting some of the most common KPIs, mixing qualitative and quantitative features. Learn more about the best practices to implement to optimize your recruitment process, with concrete examples.