A session focusing on the future of work and the impact that technology will have on the future of HR

1. Webinar - HR: Standing Still Isn’t An Option Anymore!
Dave Millner, Executive Consulting Partner & HR Futurist, Watson Talent & IBM Kenexa
@HRCurator October 2017

2. Future of Work + What It Means for HR
Future of HR + Role of Technology
Evidenced Based HR: Driving a Commercial
HR Function
2
Agenda: HR: Standing Still Isn’t An Option Anymore!

3. 3
The world will never
be this slow
again

4. 4
BUSINESS DISRUPTION
TALENT DISRUPTION
EXPERIENCE DISRUPTION
The Paradox We Face

5. NEW TECHNOLOGIES
“DIGITAL TRANSFORMATION”
NEW ORGANIZATIONAL STRUCTURES
“NEW BUSINESS MODELS”
JOB DE-CONSTRUCTION
“NEW SKILL DEMANDS”
TAILORED EMPLOYEE
EXPERIENCES
“MAKING WORK PERSONAL”
DISRUPTION & CHANGE
“THE NEW NORMAL”
INFORMATION OVERLOAD,
“THE OVERWHELMED EMPLOYEE”
BIG DATA & ANALYTICS
“NEW DECISION MAKING MODELS”
VUCA (R)
WORLD
OF WORK
FUTURE OF WORK IS PEOPLE IN
PARTNERSHIP WITH TECHNOLOGY!
FUTURE OF WORK CONTEXT

6. 6
ORGANIZATIONAL RESPONSES
AUTOMATION
• AI, IoT & Robotics
• Cognitive: Tech that Understands,
Reasons, Learns & Interacts
• Process & Procedure Level
DIGITAL JOURNEY
• Improving the Customer
Experience
• Cultural Shift
• ‘Tech” Won’t Solve
Underlying Issues
EMPLOYEE EXPERIENCE
• More than Engagement
• Personal Connection
• Want Employees to Stay for
Longer than 2.7 years!
…AND THE HR CHALLENGE IS TO RETAIN THE ‘HUMAN TOUCH’ IN
AN INCREASINGLY TECHNOLOGICAL WORLD

7. IMPACT ON THE WORKFORCE
CHANGING EXPECTATIONS OF
EMPLOYEES
• Constant new learning
• Empowerment and re-framing
accountability for performance and
improvement
• Less career progression opportunities
NEW WORK PRACTICES
• Impact of automation on processes
and re-shaped roles
• Boundaryless teams
• Job descriptions?
NEW CAPABILITIES
• Shift from Knowledge Worker to a
Learning Worker
• Change responsiveness
Relationships
The Work Workplace
…ABOUT CREATING A NEW EMPLOYEE EXPERIENCE
FOR YOUR WORKFORCE!

8. EMPLOYEE EXPERIENCE
INDIVIDUAL
• BELONGING: part of a team
• PURPOSE: job that is important
• ACHIEVEMENT: feeling of
accomplishment
• HAPPINESS: feel good about job
• ENERGY: enthusiastic at work
HR
• Aligned Talent Practices to
Maximize Everyone’s Potential
and Capability
• Personalized for Every Employee
• Analytics That Drive New Insights
• Career/Job Pathways
ORGANIZATION
• Design Meaningful Jobs & Work
Structures
• Organizational Trust
• Empowerment & Voice
• Leaders as Talent Magnets
• Recognition, Feedback & Growth
FUTURE
WORKPLACE

9. 9
HR IS STILL BASICALLY
OPERATING AS IT WAS 5 TO 10
YEARS AGO & YET EXPECTS
DIFFERENT RESULTS!
HR CAN’T USE AN OLD MAP TO
FIND A NEW ROUTE TO THE
FUTURE!
THE 6 C’S ARE HOLDING HR
BACK!
TOMORROW’S HR
HR HAS TO FOCUS ON
CREATING AND DELIVERING
BUSINESS VALUE

10. 10
CREDIBILITY
COMMERCIAL CONFIDENCE
COURAGE
CAPABILITY
CONNECTED
THE 6 C’s

11. 11
CREATE EXPERIENCES
Employee experiences are as
important as customer experiences
Use analytics to understand
employees insights better
Focus on touchpoints where
employee experience drives
productivity etc.
TOMORROW’S HR CHALLENGES
ENABLE THE WORKFORCE
Constant rhythm of feedback/
insights to drive engagement
Game changing approaches to
employee input
Personalized just in time learning
Create an empowered workplace
VALUE BASED HR
HR has to shift from being a “cost
centre” to being a “profit centre”
Show real time insights/trends
through talent & business based
analytics
Drive fact-based decisions for
tangible value to the business.

12. SYSTEMS OF RECORD ERA
COGNITIVE ERA
Re-engineering Big Data &
Analytics
Outsourcing
Cognitive
Cloud
Mobile
Social
IT’S ABOUT BUILDING A MORE
PERSONALIZED EMPLOYEE EXPERIENCE
(Personal, Co-created, Engaging)
IT’S TIME TO RE-THINK HR STRATEGIES AND
SYSTEMS THAT WERE DESIGNED FOR ANOTHER ERA
TOMORROWS HR TECHNOLOGY
Technology is changing the HR landscape:
• By focusing on making any organization
“future ready”.
• By providing a technology enabled way of
working that can make HR transactions and
decisions intuitive, informed and inspiring to
enable greater organizational effectiveness.
• By integrating HR activities into organizations
with a real time and business impact basis.

13. 13
66%
of CEOs recognize that
cognitive will drive
significant value
in HR1
37%
of CEOs expect to
adopt cognitive
computing in the HR
function in the next 3
years2
CEO PERSPECTIVE
55%
of HR executives
believe cognitive will
be a disruptive force
in the next 3 years1
CHRO PERSPECTIVE
CHRO’s believed that this technology can support:
• Transformation skill development
• Simplify complex HR processes
• Maximize HR labour costs
• Maximize responsiveness to change
• Improve employee responsiveness to enquiries
RECENT IBM STUDY…..

14. 14
CANDIDATE
SELECTION
PERSONAL
COACHING
BENEFITS
OPTIMIZATION
TEAM
TRAINING
ONBOARDING
KEY QUESTIONS WE EXPLORE
Do employees make the same decisions when advised by cognitive systems versus traditional HR professionals?
Do employees feel as well informed by cognitive solutions as traditional HR approaches?
To what extent do workers trust information from cognitive systems versus traditional HR sources?
Would employees be happy to reuse the cognitive system in the future?
8,694 EMPLOYEES SAID:
1. They are able to glean appropriate information from cognitive systems.
2. Cognitive offers an informational advantage to employees.
3. In less personal situations, cognitive approaches are equally trusted by employees. (still some work to do when
personal situations are involved)
4. Expect a short employee learning curve with cognitive systems.
THE WORKFORCE IS READY FOR IT…..

15. 15
HR MARKET IS GOING COGNITIVE
HR Call Centre Advice:
Equip & empower HR
advisors to provide more
streamlined and accurate
information
Analytics: Provide
insights that drive
investigation & better
understanding
Engagement
Support: Create
enabling employee
experiences
Coaching & Learning
Advice: Personalized
recommendations for
learning & career
management
Recruitment: Tap into
multiple data sources that
reveal new insights &
enable better informed
decisions about prospective
employees
Onboarding: Utilizes hiring
data to create a unified
employee experience from
Day 1
Transform Talent
Acquisition
Transform Talent
Development &
Engagement
Optimize HR
Operations
20% Improvement in
Employee Satisfaction with HR
25% Reduction in HR
Service Call Re-open Rates
Improved Employee &
Advisor Experience
30,000 Learner Transactions
Daily
30+ Trusted Sources of
Internal and External Data
Integrated Analytics Links
Usage & Business Impact

16. 16
“A growing number of boards,
CEOs, and CHROs
understand that by applying
data-driven solutions to
improve decisions about
talent, they can improve
revenues and profits”
Harvard Business Review
“Just as customer feedback
has transformed the customer
experience, employee
feedback is transforming the
employee experience”
Josh Bersin
ANALYTICS PAYS BACK $13.01 FOR EVERY DOLLAR SPENT
VALUE ADD HR

17. 17
ORGANIZATIONS WITH MATURE PEOPLE ANALYTICS FUNCTIONS…
2 X
2 X
2 X
3 X
2.5 X
higher employee engagement
more likely to improve their
recruiting efforts
more likely to improve their
leadership pipelines
more likely to realize cost
reductions/efficiency gains
more likely to improve mobility;
right people, right jobs
The share prices
of organizations
with mature people
analytics capability
outpaced the S&P
500 by 30% over a
three year period

18. 18
EVIDENCE THROUGH ANALYTICS

19. 19
FUTURE OF: GET NUMBERS SMART
I don’t understand
38%: Lack of understanding how to use analytics to improve the
business
I don’t have the skills
28%: Lack of skills internally in the line of business
I don’t have the time
34%: Lack of bandwidth due to competing priorities
Source: Analytics: The New Path to Value, a joint MIT Sloan Management Review and IBM Institute for Business Value study. Copyright ©
Massachusetts Institute of Technology
IT”S ABOUT USING HR & PEOPLE DATA TO DRIVE BETTER BUSINESS & EMPLOYEE OUTCOMES!

20. 20
VALUE OF ANALYTICS
• There’s a lot of exploitation in companies – FOW could mean that increasing
• People analytics can help to expose issues and demonstrate what is bad for business and what can help to
make people’s lives better at work all through evidence based HR.
• Intuition isn’t good enough anymore.
Need to focus on:
• What is the business problem you are trying to solve?
• What people and business data is available?
• What is the hypothesis you want to assess/understand?
• What type of insights are you after?
• What are the implementation challenges that will need to be addressed?

21. 21
All about better business outcomes. Learning from the application of
data analytics in Marketing: the insights companies are able to get
about customers and their preferences, motivation and values, helps
them personalise the consumer experience and ultimately improve
revenues. Similar approaches can be applied to people data.
• Recruitment, analytics can be used to find the best talent; identify
and predict high performers in your candidate pipeline.
• Retention: predict which employees are likely to leave your
organisation & what you need to do to retain them. IBM saved
• Engagement: Help identify the drivers of employee engagement that
have the biggest impact on customer loyalty, revenue and profitability.
• Learning: what's the most effective way of transferring learning in the
job? Data can tell you.
• Workforce Planning: . Analytics with strategic workforce planning
can give businesses visibility of employee skills and capabilities, and
their aptitude to learn new skills and capabilities. Do organisations
have the talent with the skills and capabilities they need to execute
the business strategy, where they can grow talent and where they
need to hire externally.
BENEFITS TO BUSINESS

22. 22
 People analytics can be used to improve employee
experience. (e.g: personalise on-boarding, and make it as
relevant as possible. Can examine data from FAQ’s from new
starters, and can pre-emptively push out answers in response to
questions typically asked on a certain day – so, if on day 8 of a
new job, new recruits typically ask about pensions, information
on pensions is sent to their email on the morning of day eight,
before they even ask for it).
 Analytics can be used to help identify burnout. Through an
analysis of how employees work and communicate, companies
can mitigate or even prevent burnout and severe exhaustion in
their teams.
 People analytics can be used to personalise training and
mentorship programmes. This is a cool one, and something
we’re already doing for IBM employees who opt in. Essentially,
IBM uses analytics to recommend relevant training courses and
internal job opportunities to the employees based on their skills
and capabilities as well as their career goals. It’s the 21st century
version of a “tap on the shoulder”! Not only does this help
employees progress their careers, but it also has helped IBM
increase retention, reduce hiring costs and improve time to
productivity.
BENEFITS TO EMPLOYEES

23. 23
Increasing the impact of HR and improving its perception in
the business.
• HR not had a great reputation for providing accurate and
useful data, but the insights that analytics offers can change
the game, and change the dynamic of the conversations at
every level.
• Nielsen and Attrition: every 1% of attrition was worth $5 million
to the company. Looking at a number of variables, they
realised that internal mobility was a huge factor in attrition, and
thus developed their ‘Ready to Rotate’ programme, allowing
employees to flag their profiles when they felt ‘ready’ to move
onto a new position or challenge. Within six months of ‘Ready
to Rotate’ being implemented, Nielsen reduced their attrition
rate to zero.
• AMC Outlier Program: assessed the difference between high
performing Outlet Managers and Ok Managers. Identified $
dollars difference in sales, repeat business, customer
satisfaction, employee experience at work etc. Revolutionised
the recruitment program – recruiting for high performers not
average anymore.
BENEFITS FOR HR

24. 24
ANALYTICS REQUIRES A CULTURAL SHIFT
THE SHIFT
HR MINDSET
SHIFT
(Commercial and
Talent Based)
DECISION
MAKING SHIFT
(Data Driven Not
Judgement Based –
Across the
Organization))
CULTURAL
SHIFT
(Collaboration, Ways
of Working)
CHANGE SHIFT
(Change program)

25. ALIGNED PEOPLE &
DIGITAL TECHNOLOGY
PRACTICES
HR CAPABILITY SHIFT
BUSINESS & HR THOUGHT
LEADERSHIP
HIGH PERFORMANCE
FOCUS
EMPLOYEE & CUSTOMER
CONNECTED
COMMERCIALLY DRIVEN
PEOPLE ANALYTICS
“FUTURE
PROOFED”
CRITICAL
HR
FOCUS
TOMORROWS HR FOCUS

26. 9%of HR Functions are
“Digital Ready”
9xgreater data
collected in last two
years than
previously collected
in all of humanity
90%of organisations
believe their
industries will be
totally disrupted by
digital trends
Sources: (l-r) Bersin by Deloitte, MIT/Deloitte, Korn Ferry
is added to Gross Domestic Product
(GDP) for every US dollar invested in
human capital
$11.39

27. 27
• Don’t Fear the Robots: it’s about augmentation not necessarily
replacement.
• Mindset just as much as technology matters in a digital age.
• It’s another level of automation that we have all lived with for
years (the focus this time is on Knowledge and Service Based
Workers).
• People skills will become even more important and valuable
than ever before in a digital world.
• Never forget the H in HR; Humanity!
HUMAN RESOURCES ---- HUMANS & ROBOTS

28. Dave Millner,
Executive Consulting Partner &
HR Futurist,
Watson Talent, IBM Kenexa
dave.millner@uk.ibm.com
Mobile: +44 (0) 7779 802830
Twitter: @HRCurator
Sage People: Top 10 Global Influencer 2017
@Nodexl: No 1 Most Influential Person on Twitter, People Analytics, HR Analytics 2017
Onalytica No 1 Twitter Brand: Future of Work 2017