Rethinking the World Rethinking HR Lisbeth Claus, Ph.D., SPHR, GPHR, SHRM-SCP Professor of Global HR and Organizational Behavior June 2, 2015

Purpose Review the global trends impacting employment and talent management Predict the impact it will have on HR management Review a few 2015 HR disruptions (West coast pulse) Identify ‘must have’ HR competencies required for adding value in this new environment

Domestic HR=Global Global HR=Domestic HR disruption

(Global) HR is what (global) HR people are doing! HR disruption

What will you be doing in HR 5 years from now? HR disruption

Sources

Global trends in talent, workforce and HR management 1. Evolution of “work” and the “worker” 2. Engaging and integrating a global workforce 3. Use of talent analytics for competitive advantage Source: Critical themes that will shape the future of HR management. Thought Leadership Retreat, San Diego, CA, September 29-30, 2013, SHRM Foundation and Economist Intelligence Unit.

1. Evolution of “work” and the “worker” Work Changing nature of work Growth/deceleration of emerging vs. developed markets Burden of labor regulations Workers Changing profile of the talent pool Changing nature of work relations Changing patterns of labor sourcing and mobility

1. Evolution of “work” and the “worker” Work Changing nature of work Growth/deceleration of emerging vs. developed markets Burden of labor regulations Workers Changing profile of the talent pool Changing nature of work relations Changing patterns of labor sourcing and mobility

1. Evolution of “work” and the “worker” Work Changing nature of work Growth/deceleration of emerging vs. developed markets Burden of labor regulations Workers Changing profile of the talent pool Changing nature of work relations Changing patterns of labor sourcing and mobility

1. Evolution of “work” and the “worker” Work Changing nature of work Growth/deceleration of emerging vs. developed markets Burden of labor regulations Workers Changing profile of the talent pool Changing nature of work relations Changing patterns of labor sourcing and mobility

1. Evolution of “work” and the “worker” Work Changing nature of work Growth/deceleration of emerging vs. developed markets Burden of labor regulations Workers Changing profile of the talent pool Changing nature of work relations Changing patterns of labor sourcing and mobility

1. Evolution of “work” and the “worker” Work Changing nature of work Growth/deceleration of emerging vs. developed markets Burden of labor regulations Workers Changing profile of the talent pool Changing nature of work relations Changing patterns of labor sourcing and mobility

Globalization of business, changing demographics and changing patterns of mobility will continue to change the nature of work and the worker over the next five to 10 years. Trend 1 forecast: (Evolution of “work” and the “worker”) Source: Critical themes that will shape the future of HR management. Thought Leadership Retreat, San Diego, CA, September 29-30, 2013, SHRM Foundation and Economist Intelligence Unit.

2. Engaging and integrating a global workforce Talent skills gap Bifurcation of the workforce New educational models

Cultural integration and clashes/unrest will continue to grow globally at both the societal and corporate level over the next five to 10 years. Trend 2 forecast: (Engaging and integrating a global workforce) Source: Critical themes that will shape the future of HR management. Thought Leadership Retreat, San Diego, CA, September 29-30, 2013, SHRM Foundation and Economist Intelligence Unit.

3. Use of talent analytics for competitive advantage Existence of “big” data Growing access to real-time media and connectedness Proliferation and usage of ambient and self-reported data and evidence for decision-making Increased need for human capital risk management

HR analytics and evidenced-based management will drive HR decisions Trend 3 Forecast: (Use of talent analytics for competitive advantage ) Source: Critical themes that will shape the future of HR management. Thought Leadership Retreat, San Diego, CA, September 29-30, 2013, SHRM Foundation and Economist Intelligence Unit. HIGHLOW DATA & ANALYTIC CAPABILITIES OF ORGANIZATIONS

Global trends and forecast summarized TRENDS 1.Evolution of work and the worker 2.Engaging and integrating a global workforce 3.Use of talent analytics as competitive advantage FORECASTS 1.Nature of work and the worker will continue to change over the next 5-10 years 2.Cultural integration and clashes/unrest will continue to grow at the societal and corporate level over the next 5-10 years 3.HR analytics and evidence- based management will drive HR decisions Source: Critical themes that will shape the future of HR management. Thought Leadership Retreat, San Diego, CA, September 29-30, 2013, SHRM Foundation and Economist Intelligence Unit.

The challenges of (global)HR West coast U.S. talent management 2015 observations –5 DOTS HR competencies Concerns ●

Dot #1: Performance management Unconscious bias OKRs (Objectives & Key Results) Decoupling of PM and compensation ●

Dot #2: Work/worker Polarization of talent Unbundling of jobs Agile management Employee cost index On demand economy Human-robot relations HR apps ●

Dot #3: Talent management EVP and employer branding Social media recruiting Competencies + motivation Background checks Onboarding ●

Dot #4: Training & development Teaching moments Online bite learning Self-and internet-generated content Feedback and coaching Career-driven ●

Dot #5: HR analytics Ambient and self-reported/disclosed data Data mining Analytic piloting ●

Connecting the dots ● ● ● ● ● Performance management HR analytics Training & development Work/Worker Talent management Millennials Short term/real time ICT Data/evidence-based Instant feedback & coaching Transparency/visible Millennials Short term/real time ICT Data/evidence-based Instant feedback & coaching Transparency/visible ●

Concerns HR disruption HR malaise Where is the “H” in HR?

The challenges of (global)HR Perceptions of our role Strategic and tactical activities Global HR economics and analytics Proven competencies Lack of awareness of the potential of business (and HR) disruptions

(Global) HR competencies Abstract reasoning HR numeracy and analytics Creativity Interpersonal skills Integrative skills Global knowledge, skills and abilities Strategy-structure-people understanding Execution of transactional services Global deployment capabilities

Must haves COMPETENCIES SMART WORK PASSION NETWORKS APPETITE FOR RISK CREATIVITY INNOVATION INTEGRITY COMPASSION LUCK

PLEASE…DON’T SHOOT THE MESSENGER! 2015 Disruptive innovation has come to HR!

Questions and discussion Thank you and please stay in touch