As part of the preparation for PeopleHackfest’16, we reached out to the greater HR community and asked for your vote on the HR challenges you are facing today. The result?
Employer Branding, recruiting the right talent, and developing a strong leadership pipeline throughout the entire organization are the biggest HR challenges you are facing now. Not a big surprise to us as this is very much in line with what we hear from our clients, but great to see the larger HR community reinforcing that message.
But it's one thing that you know these are the pressing issues HR faces, and another to convince senior management to take these challenges seriously, and give you the support you need to do something about them. We want to give you the arguments and data you need to show them why it is so important to take these topics seriously – the positive impact it can have on you organization is huge.
HR challenges 1 & 2: Recruiting the Right Talent & Employer Branding
These two are so closely linked that we’ll take a look at the top two HR challenges together. A strong employer brand will directly influence an organization’s capacity to recruit the right talent. You’re more likely to attract people who are aligned to your culture and values if these elements are widely known and identified with your brand – and are attractive to potential employees, of course.
A strong employer brand is one of the top objectives for HR decision makers everywhere and it’s something that must be built as part of a long-term corporate strategy. It cannot belong to HR alone. An employer brand communicates the employee experience at your organization – it communicates your culture, values and beliefs. Nothing you don’t already know, you say? My problem is that leadership thinks this is fluff and not a core business issue. We beg to differ, and the facts speak for themselves.
69% of employers said their companies were adversely affected by a bad hire on the previous year, according to a study by CareerBuilder;
35% of businesses enjoy reductions in turnover as a direct result of employer branding initiatives, according to a study by TMP Worldwide;
45% attribute increased engagement in part to their employer brand;
Employer brand has helped 58% of HR decision makers to have a better understanding of how they’re perceived externally;
56% say they’ve experienced an increase in referrals (which is a great way to keep the recruitment pipeline full).
Nevertheless, only 40% of businesses declare having a defined Employee Value Proposition (EVP) – that’s a fancy name for the sum of the culture, values and experience at your organization. The EVP is key in your recruitment process since it serves as a clear and well-defined recruitment positioning statement, which is at the core of the employer brand.
To attract and retain employees, brands must interact with potential employees and current employees alike, in a way that’s relevant to them. At Talmundo, we believe that this is the key point: your employer branding efforts shouldn’t be forgotten after your new hire signs the contract.
To guarantee your organization lives up to the promises made during the recruiting process, it is essential to invest on a structured onboarding program. Done well, onboarding can make people feel more satisfied with their job and help them to perform better – faster. They will be more likely to demonstrate a greater commitment to the organization and have less intent to quit. All helpful stuff when you've spent valuable time, money and effort finding and signing them in the first place. We’ve got some great insights into how you can get started on creating an awesome onboarding program you can check out too.
HR challenge 3: Developing leaders at all levels
What leadership means is shifting in our society. More than ever we hear words like authenticity, integrity, and empathy used to describe what people look for in leaders today. And while this is important for CEOs and other senior leaders, these are characteristics that we would like to see in our employees beyond the boardroom. Leadership is not just about managing teams, and it should be happening at every level of the organization. Every employee should feel committed and prepared to take the lead, even when they are not in a conventional people management position.
And not only are companies not developing enough leaders, they are also not equipping those they are creating with the critical people management skills they need to succeed as leaders. According to the Global Human Capital Trends (2014) report, leadership “remains the No. 1 talent issue facing organizations around the world,” with 86% of respondents to the survey rating it “urgent” or “important.” However, the fact that only 13% say they do an excellent job of developing leaders at all levels means that this area has the largest “readiness gap” in the survey.
A few facts might clarify why this happens:
New leaders typically need 18 months before feeling fully comfortable in a new role, while for those in the mid-level the period is more likely to be two to three years;
66% of HR executives believe they are “weak” in their ability to develop Millennial leaders, while only 5% rate themselves as “excellent”;
Over half of HR executives have little confidence in their ability to maintain clear, consistent succession programs.
It’s worrying that HR executives don’t seem confident about their ability to champion meaningful leadership development. While it may be a daunting challenge, we’ve got six concrete steps you can take now to equipt your existing and new managers with the people skills they need.
So now you’ve got the business arguments about your biggest HR challenges to take to senior management at your organization, so where does the solution look like. We’re not going to pretend to have a magic solution for it all, but remember that generational gap in the workplace we keep hearing about? Made even more critical because of how technology is quickly evolving, what it means to the way we work, and how each generation interacts with technology.
So what do we suggest? Embrace technology! Take advantage of the power of the incredible machines we carry in our pockets and give your employees the tools they need, right when they need them. Teaching an employee how to be a better people manager (and leader) is in the end, just another kind of onboarding process, and you should treat it just as carefully as you would when onboarding a new hire.
Want to download the entire infographic on HR challenges to use or share? Go ahead and right click the image below and save it ;-)