The new HR series: HR new skills, new roles, employee experience, people analytics & more

If we wanted to give HR a superhero role, Professor Charles Xavier, also known as Professor X from the X-Men series, comes to our mind. 

Although your employees are definitely not mutants, they are unique. Like Professor X, human resources play a crucial role in identifying these talents with their and unique abilities or skills. And as he runs a school to help young mutants hone their powers, HR helps their employees train and develop their skills. HR leaders now strategize for long-term talent management and organizational growth, similar to how Professor X has a clear vision for the future of mutants. 

That can define the new role of HR in the 2020s. 

In this series, we'll explore these key areas, providing practical strategies and actionable insights to help HR professionals navigate the complexities of the modern workplace: HR new skills, new roles, and its impact on organizational goals.

From mastering new technologies to enhancing the employee experience and driving tangible business outcomes, embark on a journey with us to unlock HR's full potential!

From 2020 to 2022, HR played an essential role in adapting to the changing landscape. During this time, numerous organizations showcased their adaptability and strength in modifying their operations to navigate the challenges posed by the COVID-19 crisis. This period also witnessed employees demonstrating their creativity and untapped potential as they adjusted to remote work setups.

Before the pandemic, HR was mainly considered a financial and administrative function. However, the crisis helped HR show its human-centric side, as it needed to develop new ways of collaborative work, a new employee engagement approach, new well-being initiatives as employees were working remotely, and digital development for its organization. 

This led HR to be propelled by technological advancements, changes in workforce demographics, and the emergence of new best practices and talent strategies. 

Human Resources are now the protectors and spreaders of employees' well-being and safety at work, organizational culture leaders, workforce agility promoters, and performance enhancers. 

Post-pandemic, the Great Resignation left a volatile talent market with recruitment job postings outnumbering job seekers as organizations battle in a hyper-competitive job market. To avoid being left behind in the talent war, while HR’s role transitionsi, they will need to increase their efforts in talent acquisition and retention, creating a corporate image and company culture that is appealing to both new and current employees.

In 2024, the HR landscape is still evolving. People wonder if we will revert to previous behaviors or move from flexibility to change. And while businesses still deal with post-pandemic and talent war adjustments, the HR trends of 2024 focus on reshaping the workplace and influencing the future of work.

To stay ahead of the curve, HR professionals must continually update their skill sets to navigate these shifts effectively. Whether it's mastering the intricacies of AI-powered talent management systems or understanding the nuances of remote work policies, adaptability is critical to success in the modern world of work.

Beyond administrative functions, HR now plays a pivotal role in shaping the employee experience. This factor profoundly influences organizational culture, engagement levels, and overall productivity, from seamless onboarding processes that set the standard for long-term success to robust career development initiatives that empower employees to reach their full potential. Every interaction with HR contributes to shaping a positive workplace culture and fostering a sense of belonging.

However, HR's impact extends far beyond the confines of the HR department. Strategies such as talent management, employee retention, and organizational performance directly influence business outcomes. 

Keep reading as we examine their new skills, functions, and impact on the whole organization and business. 

As the world of work progresses, the demand for new sets of skills has emerged, supplementing traditional HR competencies with those tailored to meet the challenges of the experience, digital, AI, and data ages.

Overview of traditional HR skills

Traditionally, HR professionals have been valued for their recruitment, employee relations, and compliance expertise. These foundational skills remain essential, providing the framework for modern HR practices. From conducting compelling interviews to navigating complex labor laws, managing the fundamental aspects of human resources forms the cornerstone of HR proficiency. 

From 2021, the basic skills Human Resources managers should have were:

1. Communication and influencing skills

2. Employment law knowledge

3. Organizational skills

4. Digital skills

5. Agility

6. Emotional intelligence and people skills

7. Administrative and payment skills

Emerging skills required in modern HR

In addition to traditional HR competencies, digital transformation has ushered in a new era of HR, characterized by the need for a diverse skill set that spans technology, data analysis, and strategic thinking. Emerging skills such as data analytics and digital literacy have become indispensable as HR professionals seek to harness the power of technology to drive informed decision-making and enhance the employee experience. 

Furthermore, the rise of remote work and the gig economy, has underscored the importance of virtual collaboration, adaptability, and emotional intelligence, which enable HR to effectively navigate the complexities of a dispersed workforce. 

Here’s a non-exhaustive skills list from the AIHR for HR professionals to start developing today:

1. Change management and change consulting 

2. Risk management

3. People analytics

4. Stakeholder management

5. Management of strategic deals and alliances

6. Integrating cultural differences

7. Ethics and data privacy

8. Critical and systems thinking

9. Negotiation skills

10. Interdepartmental collaboration

11. Resilience and being SAFE

12. Project management

13. Organizational design

Dive into the full article of People Managing People and learn more about the 24+ key HR skills for 2024.

Training and development needs

Recognizing the shifting demands of the modern HR role, organizations must prioritize training and development initiatives to equip HR professionals with the skills needed to succeed in today's dynamic environment. This includes investing in targeted programs that provide hands-on experience with HR technology platforms and offering opportunities for ongoing learning and upskilling. Also fostering innovation and experimentation can empower HR teams to explore new approaches and adapt to changing circumstances, ensuring they remain at the forefront of industry trends and best practices.

In the next section, we'll explore in greater detail the specific skills and competencies shaping the future of HR, providing insights into how organizations can effectively prepare their HR teams for success in the digital age.

• Change management and readiness: Organizational change has become a constant in today's companies. It can take many forms, such as implementing a new technology or leading a new impactful project, undertaking a structural or cultural transformation in the organization, or creating new processes or practices… HR can become the lead for organizational readiness and address key gaps regarding culture, skills, and priorities. 
• People analytics and data analysis: Although Human Resources Leaders don’t have to be people analytics specialists, they need to better understand the value of these figures. Data literacy skills show the importance of people’s data and HR strategy, enabling HR to support their results with concrete information and make data-driven decisions.
• Strategic Workforce Planning: Staying one step ahead in talent planning gives companies the competitive edge they need. Thanks to the data collected, they can plan accordingly to better prepare for actual and future market changes for every role and employee.
• Employee Experience Crafting: Shaping a stellar employee journey is key to keeping talent happy and on board. HR will need strong project management skills to lead important projects and provide a complete employee experience.
• Diversity, Equity, and Inclusion (DEI): Building a diverse workplace isn't just the right thing to do—it's a boon for creativity and reaching new markets.

You can develop those skills with reskilling or upskilling programs your company offers. However, you can also start on your own and grow continuous learning by subscribing to must-have HR newsletters like Data-Driven HR Monthly or AIHR, reading resources, or following courses for each skill set with your learning and development app. 

Check out our newsletter to get the latest insights into talent and skills management trends! 

HR professionals are increasingly called upon to navigate the complexities of a dynamic workforce landscape. Focusing on strategic talent management, they leverage AI-powered insights to foster a work environment ripe for growth and innovation. But this is not just about understanding the nuances of skills-based hiring; it's about mastering the art of empowerment and personalized development paths for every employee.

One critical area where HR can make a significant impact is through skills-first matching, referring to the alignment of individual capabilities with organizational needs. By harnessing data-driven strategies, HR can uncover unparalleled visibility into the skills landscape, enabling them to assemble dream teams that drive transformation and strategic success. To deepen our understanding of these strategies, the insightful article "The new possible: How HR can help build the organization of the future" from McKinsey & Company offers valuable perspectives.

Moreover, the HR role is becoming more innovative and insight-driven, shifting towards a skills-centric approach that inspires loyalty and increases retention. HR leaders are now expected to chart a course that not only meets the current demands but also anticipates the future skills necessary for organizational resilience.

HR Employee Experience Function

Definition and purpose of employee experience

Employee Experience (EX) is the total of all employee interactions with their organization, from the initial recruitment process to their departure. It includes every aspect of an employee's journey, such as the physical workspace, technology, and cultural environment. EX focuses on establishing a positive, engaging, and satisfying work environment that aligns with the employees' needs and the organizational goals. This comprehensive approach aims to improve employee satisfaction and engagement, productivity, and overall organizational success.

What is HR's role in employee experience?

Human Resources (HR) is pivotal in shaping and nurturing the employee experience (EX). As the custodian of organizational culture, policies, and employee welfare, HR is at the forefront of creating environments where employees can thrive. HR contributes to each aspect of the employee experience:

1. Designing and implementing a strategic Employee Experience framework: HR’s role begins with designing a strategic framework for EX that aligns with the organization’s goals and values.

2. Cultivating a positive organizational culture: HR is responsible for fostering a culture that  supports development, motivates employees, and encourages inclusivity and diversity.

3. Enhancing onboarding and integration: A smooth onboarding process is crucial for setting the tone of the employee experience.

4. Optimizing work environment and resources: HR ensures that the physical and digital work environments support employees’ productivity and well-being by providing the tools needed for success and a safe workplace.

5. Promoting employee development and career growth: HR is critical in facilitating continuous learning and career progression by offering personalized career development opportunities and new paths.

6. Driving employee engagement and recognition: HR keeps employees motivated and engaged with different methods like recognition, benefits, training, opportunities, etc, throughout their entire experience.

7. Ensuring work-life balance and wellbeing: HR is instrumental in promoting policies and practices that support employees’ work-life balance and overall well being through flexible work arrangements or supporting their mental health.

8. Utilizing technology and analytics: HR can leverage technology by implementing HR solutions and tools to analyze the collected data in order to enhance plans and personalize strategies.

9. Facilitating smooth exits and Alumni engagement: As employees leave the organization, HR manages the offboarding processes to maintain a positive exit and encourage a constructive word of mouth of Alumni experiences. 

The employee experience is key to talent attraction and retention

A positive employee experience is crucial in shaping an organization's employer brand. When potential employees evaluate a workplace, they often consider more than just the job description and salary. A solid reputation for providing a positive employee experience can attract top-tier talent searching for work environments that are both professionally fulfilling and supportive.

Employees with a positive experience tend to be more likely to remain with an organization. This sense of loyalty is nurtured through personal and professional satisfaction, ample growth opportunities, and a supportive and inclusive culture. It reduces turnover results in cost savings and ensures cohesion and stability within teams, contributing to overall organizational success.

When Hi Bob and 3Sixty Insights asked, “What do you wish you had known when you were starting as a CHRO?” 41% of respondents answered “Greater depth in HR data and analytics.” Many of them can see the importance of people analytics in skills and roles.

People Analytics refers to HR's data-driven approach to understand and optimize various aspects of the workforce, including employee experience (EX). By leveraging data, HR can gain insights into employee behaviors, trends, and outcomes, ultimately driving more informed decision-making. 

Definition and Purpose of HR People Analytics

People Analytics systematically evaluates workforce data to understand and improve organizational performance and employee experience. Its purpose is to move beyond intuition and anecdotal evidence, providing actionable insights that can enhance decision-making processes, predict future trends, and measure the impact of HR initiatives.

Key Roles of HR People Analytics

HR People Analytics transforms how organizations understand and enhance their workforce. It plays a pivotal role in several areas:

• Recruitment and talent acquisition: People Analytics improves recruitment by using predictive models to identify traits of successful hires plus optimizing hiring channels and processes to reduce time-to-hire.
• Employee engagement and retention: Analytics helps HR measure and boost engagement by tracking metrics like satisfaction and turnover patterns, enabling proactive strategies to retain talent.
• Performance management: People Analytics identifies high performers and areas needing improvement, aligns employee goals with organizational objectives, and refines performance review processes.
• Learning and development: People Analytics identifies skills gaps and personalizes learning programs, aligning them with business needs and evaluating the impact of training on performance.
• Workforce planning and management: Analytics supports workforce planning by forecasting future needs, optimizing team structures, and aiding in succession planning.
• Organizational change and transformation: During changes, People Analytics assesses readiness and impact, monitors employee adaptation, and provides feedback loops to maintain engagement.
• Diversity, Equity, and Inclusion (DEI): People Analytics measures diversity, tracks DEI progress, and assesses inclusion and equity while promoting fairness across the organization.
• Employee well-being: Analytics helps HR understand and improve employee well-being by monitoring health, stress, and work-life balance and identifying absenteeism and absenteeism patterns.

Strategic Impact on Employee Experience

People Analytics empowers HR with data-driven insights to align strategies with business goals, enhancing decision-making and personalizing the employee experience. It fosters transparency, reduces turnover, and drives innovation, positioning HR as a key strategic partner in improving organizational performance and employee satisfaction.

Diversity and Inclusion (D&I) are crucial elements in creating a workplace where all employees feel valued and respected. They encompass strategies and practices to foster a diverse workforce and an inclusive environment.

Definition and Purpose of the D&I Function

Diversity represents different organizational groups, including various races, ethnicities, genders, ages, sexual orientations, abilities, and cultural backgrounds. It’s about recognizing and appreciating these differences as assets to the organization.

Inclusion is about creating an environment where all individuals feel they belong, are respected, and have equal access to opportunities. It ensures that everyone can participate and contribute to their fullest potential, regardless of their diverse backgrounds.

The purpose of D&I is to cultivate a workplace where diverse perspectives are valued and every employee feels empowered and supported. This has numerous benefits, including enhanced creativity, better decision-making, higher employee engagement, and a positive reputation as an employer of choice.

Key Functions of Diversity and Inclusion

Promoting a diverse workforce: Embracing diverse backgrounds and perspectives is vital in fostering an inclusive and innovative work environment, creating meaningful pathways for career growth and success by implementing strategies to attract and retain diverse talent.

Fostering an inclusive culture: Inclusion is about creating a work environment where differences are respected and valued, ensuring every employee feels a sense of belonging and can fully participate, regardless of their background.

Ensuring equity: Equity involves creating fair access to opportunities and resources. It’s about recognizing that different individuals may need other support to achieve similar outcomes and addressing systemic barriers that may disadvantage certain groups.

Supporting employee resource groups (ERGs): Diversity and inclusion functions often have a vital role in facilitating Employee Resource Groups (ERGs). These ERGs are employee-led groups created to provide support, advocacy, and a sense of community for employees with common identities or interests.

Training and awareness programs: Education promotes understanding and reduces biases. D&I functions often lead initiatives to train employees on diversity, equity, and inclusion topics, raising awareness and fostering a more inclusive mindset.

Measuring and reporting progress: Effective D&I strategies are data-driven. This involves setting measurable goals, tracking progress through metrics, and regularly reporting on D&I initiatives' impact to stakeholders.

By embedding D&I into its core functions, HR helps create a more equitable and inclusive workplace, driving significant strategic benefits for the organization. Their role is vital to engaging and retaining employees who feel valued and included, improving innovation by having diverse teams and perspectives and strengthening the employer brand with a strong D&I strategy to attract top talent and help achieve better financial performance. 

Nowadays, it is imperative for HR practices to be closely aligned with the organization's broader strategic goals. By fostering a culture of continuous learning, implementing targeted retention strategies, and leveraging data-driven insights, HR professionals can drive tangible results that contribute to the business's overall success.

Definition and purpose of HR functions in business

Human Resources manages the company's most valuable asset: its people. HR addresses various employee needs, providing support and guidance in career development, conflict resolution, and performance management. By taking on the lion’s share of administrative responsibilities, HR frees other employees to concentrate on their core job functions and responsibilities.

HR role in driving business strategy

According to Open HRMS, over two-thirds of business leaders expect their HR teams to actively participate in shaping business strategy. This statistic shows the expanding role of HR in today’s corporate landscape. HR business impact can be seen in 6 different categories:

1) HR integrates new hires: When executed effectively by HR, new hire orientation aligns new hires with the company's mission, values, and expectations and includes mentorship to foster quick integration and engagement. This strategic approach accelerates productivity, reduces turnover, and ensures new employees are aligned with the company's goals, driving overall business success.

2) HR keeps executives focused: The company's mission statement is crucial for strategic decisions and organizational culture. HR ensures that executives are aligned with this mission through consistent communication and mission-focused training, fostering trust and motivation among leaders and employees and driving the company toward its long-term goals.

3) HR focuses on the whole company: Human Resources is the backbone of the corporate world, with a scope that spans the entire organization. HR manages and optimizes the company’s most valuable asset—its people—by recruiting talent, fostering development, resolving conflicts, and shaping policies. Acting as the glue, HR ensures all departments work together cohesively.

4) HR knows the law: HR ensures the company adheres to essential workplace laws like FLSA, FMLA, ADA, OSHA, Title VII, and the equivalent laws in Europe and other countries, safeguarding against legal issues and promoting a fair and safe environment. This commitment to compliance fosters trust, engagement, and a high-performance culture among employees.

5) HR promotes employee development: To foster a high-performance culture, HR champions employee development through personalized growth plans and continuous learning opportunities. These development plans, created with employees, set clear, measurable objectives and are supported by regular performance reviews. HR also provides various training options to enhance skills, showing a commitment to employee growth. Investing in development builds a skilled workforce while attracting and retaining top talent, reducing turnover and boosting team stability and performance.

6) HR solves conflicts: HR resolves conflicts and fosters a respectful work environment through active listening, mediation, and proactive policies. This approach enhances employee satisfaction, retention, and collaboration, supporting a high-performance culture.

HR's role has evolved into a pivotal driver of business strategy, cultivating high-performance cultures. From aligning executives with the company mission and guiding new hires to ensuring legal compliance and managing conflicts, HR is transforming the work landscape.

Today's HR leaders are not just administrators but pioneers, steering towards an innovative and insight-centric horizon. They're adopting a skills-focused lens that fosters commitment and boosts retention. The expectation is to navigate the present while preemptively gearing up for the future's skill requirements – an actual test of an organization's agility and foresight.

Looking ahead, the role of AI-powered talent management platforms like 365Talents will be instrumental in shaping this new landscape. These platforms are the allies of HR professionals, equipping them with the tools to orchestrate a skills-forward playbook that is both strategic and tailored – a blueprint for cultivating a workforce that thrives on skill diversity.

To truly make a mark, HR practitioners must embrace these emerging skills and technologies. It's about championing a culture of continuous learning and agile adaptation. With this mindset, the HR domain is poised to chart a course filled with empowerment, strategic talent management, and tactical insights—a beacon for the modern enterprise.

In this dynamic era of workforce development, leveraging advanced talent management strategies is more crucial than ever. HR professionals are increasingly seeking innovative solutions for skill-set enhancement and workforce planning. Embracing technologies that support skills-first talent initiatives can significantly impact an organization's adaptability and competitive edge in the talent marketplace. For a deeper dive into these strategies, McKinsey & Company's "The new Possible: How HR can help build the Organization of the future" offers a treasure trove of knowledge.

Moreover, HR departments are expanding their skill sets to include proficiency in data analysis, employee engagement techniques, and strategic workforce planning. These new skills in human resources are becoming indispensable as companies navigate the complexities of employee retention and talent acquisition in today's fast-paced business environment. Harvard Business Review's article "How the Best Managers Identify and Develop Talent" is an excellent resource for insights on developing these skills.