THE STATE OF THE SOCIETY REPORT November 2017

A LETTER FROM OUR PRESIDENT AND CEO In 2017, our Society is thriving and growing. Amid the myriad economic, political and social changes the world is undergoing, SHRM has built a solid foundation that will enable the HR professional and the profession to guide organizations through a whirlwind of change today and tomorrow. I believe there has never been a more exciting and rewarding moment to be a part of this profession. HR professionals are in the right place at the right time, leading and preparing our organizations for an unpredictable future. But more importantly, we are the force that is shaping the new world of work for years, and even decades, to come. Serving your professional and individual needs is a responsibility that SHRM takes very seriously, and we are determined to deliver all that you need to perform at the highest levels. As this year’s analysis of our activities shows, we are setting high expectations and meeting them. We are expanding our influence as thought leaders and advocating for pragmatic, people-centered policies that work for employers and employees. We are growing our global engagement and influence. And we are educating and supporting HR professionals at all stages of their careers with competency-based knowledge and resources, including our highly valued SHRM-SCP and SHRM-CP certifications. What is most important to SHRM now is to develop HR leaders who can take charge, guiding their organizations into an undefined and dynamic future. That is because the most pressing issues our organizations face today are people issues, and most workplaces today struggle with a dire shortage of critical leadership skills, especially in the areas of people management, coalition-building and a 21st-century understanding of global and cultural effectiveness. That is what you do best. It should come as no surprise that experienced HR professionals are now being positioned to take the top jobs in business—including CEO. Across the U.S. and the globe, enterprises view HR’s expertise in acquiring and engaging a workforce as the most critical factor in driving business success. I am pleased to present SHRM’s 2017 State of the Society Report, which highlights and quantifies the story of how we are delivering on our commitments to the HR profession and serving the HR leaders of the 21st century workplace. I am confident that 2018 will bring even more achievements we can all be proud of.

DEVELOPING The skills HR professionals need today. In the new world of work, it isn’t enough for HR professionals to be people experts—they must be business experts. That’s why we developed SHRM’s competency-based certification. And in the past year, we reached the critical milestone of more than 100,000 HR professionals holding SHRM-SCP or SHRM-CP designations. And employers are looking for the SHRM-SCP and SHRM-CP in the HR professionals they hire. Last year alone, more 53,000 HR job postings listed it as a preference. Our certification exam was also accredited through the Buros Center for Testing, which accredits some of the best-known professional exams. According to Buros, SHRM certifications meet the highest standards in testing and support our mission to advance the HR profession. We also continue to advance and develop our competency-based tools, and SHRM now offers over 1,200 pieces of competency-based content to keep our practitioners sharp and up to date on their skills.

DEVELOPING The skills HR professionals need today. SHRM seminars and conferences are another way we continue to develop the profession. “ Successful people and companies aren’t the ones who are great at simply adapting to change or managing it. They are the ones who are great at preparing for and leading change. – SHRM President and CEO Hank Jackson The 13 conferences we hosted this year— including our second-largest Annual Conference in SHRM history—have allowed the profession to come together, make valuable connections and exchange ideas and best practices. When we come together as a profession, we lead change. ”

CONNECTING A global network of HR professionals with access to the most trusted HR resources. SHRM is the world’s largest association dedicated to the HR profession. 290,000 Members 571 Chapters 51 State Councils Our membership network is nearly 290,000 strong. With 571 Chapters and 51 State Councils across the nation, and with global forums around the world, there are few places on the globe where our members aren’t actively working to build the profession and transform the workforce. Our Chapters and State Councils are the backbone of SHRM, allowing us to serve local HR communities for over 60 years. We are continually evaluating our affiliate relationship to better serve the profession. Additionally, when local professionals have a need to connect, SHRM ensures we meet that need. For example, in January we took the opportunity to start a new chapter in Northern California to support and connect the Bay Area’s 36,000 HR professionals with each other, and with services tailored to the state’s special HR needs.

CONNECTING A global network of HR professionals with access to the most trusted HR resources. SHRM continues to create new ways for members to unite and connect. Last year, we launched our Member2Member website, where HR professionals all over the world can share best practices, challenges and ideas with one another. Our SHRMConnect platform also continues to grow, attracting participants every day from diverse geographical locations to discuss innovations and creative solutions that will advance the profession. At the other end of the career spectrum, SHRM’s Executive Network, HR People and Strategy, hosted thoughtfully designed events for top HR leaders and developed new ways to empower them to be more effective in their work and to define the future of our profession. We serve and engage HR professionals along the entire career continuum. This year, more than 22,000 student members were among SHRM’s ranks. In 2017, we have attracted over 19,000 new users of the platform.

CONNECTING A global network of HR professionals with access to the most trusted HR resources. Globally, SHRM is influencing the agenda for HR as the permanent Secretariat of the World Federation of People Management Associations, which represents more than 90 countries. Our 35 international educational partners help SHRM provide professional development all over the world by offering certification preparation classes and materials outside of the U.S. Additionally, SHRM India continues to grow, hosting two of their largest-ever conferences this year—the SHRM India Tech Conference and The SHRM India Annual Conference. This entire region of the world is now engaged with SHRM India on people issues.

solving Human Resource challenges on every front. As HR professionals, we are called to be problem solvers. Organizations and employees bring new and unprecedented situations to HR every day. That is why we ensure SHRM HR Knowledge Advisors are available to our members by phone and email. To date in 2017, they have responded to over 45,000 questions and inquiries from HR professionals in organizations of all sizes. Editorial offerings such as HR Magazine also illuminate and explore the issues and challenges our profession faces. Newsletters on a variety of HR topics keep our members up to date, and they remain highly popular, with over 1 million subscribers who look to these newsletters as among their most valuable go-to resources.

solving Human Resource challenges on every front. Our published research reports take high- level research and turn it into real-world solutions for business today. For example, this year’s Job Satisfaction Survey and 2017 Employee Benefits Survey Report enable practitioners to hone in on what employees want and need, making their organizations even more capable of attracting and retaining top talent. And in order to continue to develop the current and next generation of HR business leaders, we recently launched an online career development space at SHRM.org/careers. It provides a central location for members to access new, interactive, personalized tools to start and navigate their careers, focusing on the competencies they need most and delivering the resources to get there.

shaping The new workplace as the voice of and for the HR Profession. In Washington D.C., SHRM is the go-to knowledge source for Congress and government agencies, whohave turned to SHRM nearly 140 times so far this year for knowledge and perspectives on issues such as workplace flexibility, healthcare, immigration and much more. In November this year, a piece of legislation SHRM helped develop was introduced in the U.S. Congress. The “Workflex in the 21st Century Act” is about rethinking how, when and where people do their best work. It reflects a workplace shaped by shifting demographics, emerging technologies and other societal trends. The new workplace cannot thrive with the same old rules, and the SHRM- developed Workflex bill is a critical component in our effort to shape a 21st century workplace that is innovative, fair and competitive. It is a win-win for employees and employers. Serving as the voice of and for the profession is one of SHRM’s most enduring missions. SHRM expert opinion and research is sought out by the most reputable media outlets and has appeared in nearly 7,000 news articles and broadcasts to date in 2017. At this moment in time, workforce and people management issues are making international headlines. The success of our organizations—and the economy as a whole—depend on practices that attract and keep the best talent in uncertain times.

shaping The new workplace as the voice of and for the HR Profession. SHRM also uses its influence to convene the HR profession around the issues and causes that matter most to practitioners and their organizations. In 2017, the SHRM Foundation shifted its focus to work toward building knowledge-based HR solutions to challenging inclusion issues. In the first of a three-year initiative, the Foundation is focusing on veteran employment. Additionally, it has awarded over 300 scholarships this year to help HR professionals continue to develop. Our affiliate, the Council for Global Immigration, has spent 2017 serving as the voice of employer-based immigration in what is an intense, ever-changing immigration discussion worldwide.

Our Society is strong, growing and expanding its influence, because people management expertise is needed now more than ever. The Society continues to prepare HR professionals at every stage to advance their careers and guide their organizations into an ever-changing and exciting future.