Innovative HR for the 21st Century Presented to S P Jain Institute and Academy of HR Development Mumbai 13 January, 2012
Today’s Agenda • The Need for Innovative HR Management • Transformation #1: From Transaction Processor to Strategic Advisor • Transformation #2: From Authority to Collaborator • Transformation #3: From Manager to Leader
Innovative HR Management for the 21st Century The Need for Innovative HR Management
It’s a New World X • What worked in the past may not work in the future.
Innovation is Required • What worked in the past WILL NOT work in the future. • Those who do not change will be supplanted by those who adopt and invent new, better practices.
Future Work Skills Report: Findings Six Drivers of Change • Extreme Longevity • Rise of Smart Machines and Systems • Computational World • New Media Ecology • Superstructured Organizations • Globally Connected World Source: Institute For the Future’s 2011 report on Future Work Skills 2020.
Rapid and Massive Changes in HR • Recruitment • Retention • Employee engagement • Grievances • Labor relations • Succession planning • Employee communications • Organizational development • Training and development • Performance management
Innovative HR Management for the 21st Century TRANSFORMATION #1:Transaction processor to strategic advisor
Insight #1 • A computer is faster and more accurate than you, and it has a better memory.
Human Resources Transformation • Pitney Bowes, 2003 • Online job applications • Online time and pay recording • Online leave management • Online performance reviews • Online employee services • Up-front cost • Long-term savings • COMING SOON TO A COMPANY NEAR YOU!!!!!!!
Your mission, should you choose… • You CAN DEVELOP better judgment than a computer.
The Case of the Adverse Market • High-Tech Company in NCR, 2011 • Production capacity too large for order volume • Manufacturing labor force too large for sales volume • Customers want low price AND fast turnaround (no advance capacity planning) • What should they do?
The Case of the Adverse Market, cont. TRADITIONAL • Employment law • Contract labor management • Labor relations • Direct HR costs 21st CENTURY • Manufacturing economics • Shareholder and stakeholder relations • Corporate strategy
Innovative HR Management for the 21st Century TRANSFORMATION #2:authority to Collaborator
Insight #2 Indians are becoming more individualistic Individual USA INDIA Group
Traditional vs. Leading-Edge Innovation TRADITIONAL • Someone will get an idea • The experts know best • Build, then test • I think it will be successful • Hunches, guesses and assumptions LEADING-EDGE • Assign people to innovate • The customer knows best • Test, then build • Validate benefits prior to launch • Facts, insights and verification
The Democratic Workplace • Relationships are adult-to-adult, not parent-to-child. • Leadership happens at every level of the organization, not just at the top. • You're paid for the value you bring to the organization, not your job title. • Everyone knows to whom and for what they're accountable. • Transparency isn't considered scary. • Formality and polices are avoided in favor of informality and principles. • Humor and having fun is actually encouraged. • You can access real-time financial information about your organization's performance anytime you want. • Change = life, not death. • The employee manual can be summed up in one sentence: "Use common sense!“ • You look forward to meetings where you can collaborate and share ideas. • There's a spirit of ownership in every project in which you're involved. • You either helped create or strongly share in the organization's purpose and vision statements. • Incentives aren't used to motivate employees - meaningful work is. • You never have to ask to go to the bathroom. • Your life outside of work is as valued as your life at work. • You receive real-time, ongoing constructive feedback from your co-workers, and you're often publicly acknowledged for excellent work. • Failure is seen as a right-of-passage to success. • Thinking differently and challenging assumptions is encouraged. • Alignment comes from a shared sense of purpose, not automatic agreement. • Your job is one of your favorite places to be. Source: WorldBlu.com
Recommended Reading • Leadership Divided by Ron Carucci • The Brookreme Dream • A balanced organization • An honest organization • An empowering organization
Innovative HR Management for the 21st Century TRANSFORMATION #3:Manager to Leader
Insight #3 • 53% of Indian MDs/CEOs regard their chief HR officer as a strategic partner and resource!
High-Value Human Resources • What value can you add? High Leadership Planning Training Support Communications Low Transactions
Management vs. Leadership MANAGEMENT • Getting people who are under your control to do what you want them to do. LEADERSHIP • Getting people who are under your control to do what you want them to do.
Management vs. Leadership MANAGEMENT • Getting people who are under your control to do what you want them to do. LEADERSHIP • Getting people who are NOT under your control to do what you want them to do.
Leadership Through HRD TRADITIONAL TRAINING • Check-box • Mandated • Reward travel • Instructor centered • C-Sat survey 21st CENTURY TRAINING • Outcome driven • Self-selected • Location immaterial • Learner centered • Application
Leadership Through Recruiting • What are humans uniquely good at (compared to machines)? • How can we produce and create value in an evolving world? Top Ten Skills for the Future • Sense-Making • Social Intelligence • Novel and Adaptive Thinking • Cross-Cultural Competency • Computation Thinking • New-Media Literacy • Trandisciplinarity • Design Mindset • Cognitive Load Management • Virtual Collaboration Source: Institute For the Future’s 2011 report on Future Work Skills 2020.
Leadership Through Influence • Strategic Advisor => Leader • Walk the Walk before you Talk the Talk
Key Take-Aways • HR management is changing in response to rapid and massive environmental changes. Innovation will be required to succeed. • HR transaction processors are headed for obsolescence. Become a Strategic Advisor to build a successful career. • In the future, HR managers won’t make authoritarian decrees. Learn to collaborate to co-create. • To rise to the pinnacle of your organization, go beyond good management. Learn to lead!
Thank you the innovation workgroup world-class innovation Your feedback and enquiries are welcome David Wittenberg, CEO Telephone +91 98718 23569 E-mail email@example.com