In brief
- HR professionals feel unprepared for emerging challenges driven by artificial intelligence, sustainability, skills shortages, and digital adoption, but still remain optimistic about the future of HR.
- Using research that surveyed 19,000 HR professionals, and interviews conducted with HR leaders and expert engagements, we have developed the HR Success Blueprint to serve as a guide for HR professionals to navigate this future.
- This Blueprint is clustered into five categories: Skill Set, Toolset, Mindset, Heartset and Professional Identity.
Many HR professionals feel unprepared for upcoming challenges driven by artificial intelligence, sustainability, skills shortages, and digital adoption. A recent study highlighted that almost 60% of HR professionals believe they need to catch up in digital and data development and that only 21% possess the core skills required for the future of work.
But it is not all doom and gloom; 90% of HR professionals* are optimistic about the future opportunities for HR and acknowledge that HR will play a critical role in equipping businesses for the future.
This article uses insights from surveys of over 19,000 HR professionals collected over three years, semi-structured interviews with HR leaders, and expert engagements. These insights have helped inform our HR Success Blueprint (HSB), which describes the mindset, skillset, toolset, and heartset required for HR professionals to succeed.
HR meeting modern workplace demands
Since the early 1900s, the expectations from HR have changed as organizations have adapted to the working conditions of the time. Working conditions are impacted by external factors, changes within organizations, and the composition of its workforce.
Let’s consider the evolution of HR in five distinct eras, each with its own set of conditions, resulting in specific expectations from HR and changing contributions from HR teams and professionals.
As we enter the digital-human era of work, HR needs to respond again to meet the demands of the environment. For HR professionals, adapting isn’t just about staying relevant; it’s about seizing opportunities in the new world of work.
Additionally, our data indicates that for too long, we have focused on developing HR professionals in a fragmented and siloed manner, leading to professionals that master one skill or tool without the necessary behaviors to execute it successfully. For example, data literacy without understanding context and strategy; people advocacy without self-belief and courage.
A more robust discussion is needed that considers skills as part of a holistic blueprint for HR success. Below, we present a perspective of what such a blueprint could entail.
Unlocking potential: The HR Success Blueprint
Based on our research, we have clustered the HR Success Blueprint into five categories that outline what is required for success:
1. Skill set
To drive success and lead their organization into a bright future, HR professionals need to:
- Understand the business they operate in
- Effectively apply data in decision-making
- Leverage technology for impact
- Advocate for organizational culture and values, anden
- Execute in line with organizational priorities and strategy.
Achieving this requires having specific competencies. At AIHR, we believe that the competencies of the HR professional will be T-shaped. Our T-Shaped HR Competency Model describes the five core competencies we believe to be critical to all HR professionals regardless of role or level, complemented by specialist and leadership skills whose relevance will be determined by the position and context of the individual involved.
Core Competencies
- Business Acumen: Business Acumen refers to the ability to interpret external business trends, comprehend organizational factors, understand financial requirements, and co-create business strategies. This multifaceted skill set empowers HR professionals to align priorities with broader organizational goals, driving overall success.
- Data Literacy: HR professionals need to harness the power of data. Data literacy is about harnessing the power of data to gain actionable insights, inform decision-making and HR strategies, and contribute to organizational success.
- Digital Agility: Digital Agility refers to the capacity to leverage technology to create efficient, scalable, and impactful HR solutions and prepare the organization for the adoption of digital practices.
- People Advocacy: People Advocacy emphasizes the multifaceted role of HR in shaping organizational culture, values, and well-being while driving business productivity.
- Execution Excellence: Execution Excellence underscores HR professionals’ ability to plan, implement strategies, manage resources, communicate effectively, and collaborate seamlessly. HR must leverage this competency to work across traditional boundaries, extending its reach beyond organizational borders.
The Specialist and Leadership Competencies
The core competencies are complemented by specialized knowledge in areas such as talent acquisition, organizational development, and other relevant domains tailored to the organization’s specific needs and the HR professional’s role.
Lastly, we acknowledge the importance of HR professionals as people leaders. Increasingly, we see HR professionals leading teams and being responsible for people management. Being an HR leader involves setting an inspiring vision, leading with empathy, building resilience, and effectively navigating conflicts. In the past, the assumption that HR knows how to lead their teams is no longer good enough. HR leaders need to be developed with the same rigor and investment level as the leadership community.
The HR professional skills and competencies will be characterized by:
- Business Acumen
- Data Literacy
- Digital Agility
- People Advocacy
- Execution Excellence
- Specialist Skills
- Leadership Skills
Reflection questions
1. How can I become more aware of the external trends that influence my organization and the people’s agenda?
2. How do I use data to influence business decision-making?
3. Am I leveraging technology to its full extent to drive digital transformation?
4. How do I ensure that I execute with impact?
5. Where do I need more in-depth knowledge across the HR Value chain?
6. How can I develop my leadership skills to lead, inspire, and motivate others?
2. Toolset
The toolset of the future HR professional is undergoing a significant transformation, shaped by the rapid integration of digital technologies, generative AI, virtual reality, and automation. While these cutting-edge tools reshape the HR landscape, face-to-face engagements remain pivotal for building human connections and trust.
Digital technologies are at the forefront of this transformation. AI-driven tools can streamline recruitment processes, predict employee turnover, and personalize learning and development programs. These technologies enable HR professionals to make data-driven decisions, enhancing efficiency and improving overall organizational performance.
However, amidst these technological advancements, traditional face-to-face engagements remain essential. In an environment where employee experience will be characterized by a combination of human and technology moments, HR should consider how the essence of human connection is celebrated rather than lost as we digitize.
3. Mindset
HR professionals need a mindset that embraces and seeks challenges. This requires identifying and anticipating patterns within complexity and change while honing a keen sense of sense-making. This demands applying a critical and analytical approach to problem-solving, challenging assumptions, and seeking alternative views. This can only be done when HR professionals strive to see the “bigger picture” and position HR in the context of what is happening in the business and the broader environment.
Importantly, this mindset will continuously develop and adapt, and HR requires an ingrained curiosity about the world around them. The desire to seek new knowledge, be inquisitive about new experiences, and show interest beyond the traditional HR topics will be paramount to the success of the future HR professional. This curiosity should extend beyond HR matters to encompass a broader interest in people, technology, and the world.
Curiosity fuels innovation and drives HR forward. The ever-expanding horizons of technology, workplace dynamics, and employee expectations demand inquisitive minds that explore new possibilities.
The HR professional mindset will be characterized by:
- Curiosity
- Paradoxical Thinking
- Problem-Solving
- Analytical Thinking
- Working with Complexity
Reflection questions
1. How curious am I about the world?
2. Can I explore two conflicting ideas to broaden my perspective?
3. How ingrained is learning into my life as a habit?
4. Heartset
To lead the way in this dynamic environment and make an impact, HR practitioners must embody courage, self-belief, and professional pride. We combine these factors in the “Heartset” of the HR professional.
HR has a critical role in driving change and transformation and advocating for the benefit of the organization, employees, and the societies they belong to. Challenging conventional norms will take courage, and HR professionals need the confidence to engage and make their voices heard. HR professionals must fearlessly champion diversity, inclusion, and equality, even when faced with resistance, knowing that this is essential for progress.
Believing in one’s capacity to make a difference is the catalyst for transformation. For HR to transform, we need to re-instill the pride within the profession and change the language about what we believe.
The HR professional heartset will be characterized by:
- Courage
- Self-Belief
- Professional Pride
- Openness to Experimentation
Reflection questions
1. How often do I stand up for what I believe in?
2. What changes am I championing through my voice and actions?
3. Do I see failure as a learning opportunity?
4. Do I believe in the impact that HR brings to employees and organizations?
5. Am I proud to be called an HR professional?
5. Professional Identity
At the center of our model lies the concept of HR professional Identity. Identity acts as the guiding force that ties together all the elements discussed in our blueprint, ultimately answering the question, “Who am I as an HR professional?”
In a world marked by intricate moral and ethical dilemmas, our identity serves as a moral compass, anchoring HR professionals in human-centered values like respect, honesty, and ethics while remaining attuned to inclusivity and the broader societal welfare.
We need to be prepared to do the deep-seated work of rediscovering how HR forms part of the world of work and address some of the old misperceptions.
Unfortunately, the HR professionals in many organizations are still associated with negative views and perceptions, impressions of incompetence, and, at times, seem to be “tolerated as a necessary evil.” The only way to change these beliefs would be to discover who we want to be as HR professionals and actively drive this pursuit.
The HR professional identity will be characterized by:
- Values
- Ethics
- Sense of purpose
Reflection questions
1. Who are you as an HR professional?
2. What do you stand for?
3. What are your non-negotiables?
Stepping into the new era
The future of HR shines brightly, and we have a pivotal role in reshaping the next phase of work. However, this demands that HR professionals embrace a new reality that involves adopting a new mindset, acquiring a broader skillset, and utilizing relevant tools that align with the evolving world of work. This transformation must be rooted in the bedrock of courage and self-belief—the unwavering heartset of an HR professional that is proud to be associated with the profession.
The future beckons HR to discover its true identity, amplify its voice, and extend its contribution beyond the present scope. HR is no longer limited to being merely an advocate for employees; it must transcend into the role of a Human Advocate.
In this new era, HR will champion not only the needs and rights of employees but also uphold the broader ideals of humanity within the workplace, shaping a more inclusive, compassionate, and forward-thinking work environment. The HR Success Blueprint serves as a guide towards this future – a compass for those willing to take up the call.