Change in Business – Implications of HR Globally

The business has possibly undergone the most varied change in the recent times due to several factors which are unique and dynamic in nature. The five most important factors as identified by Prof Dave Ulrich are – Globalization, Technology, Demographics (Customer: inside and outside), Organization response and Implications of HR.

In case of Globalization some of the key indicators has been – Emerging Markets (India & China), More worry about security post (9/11), Concern about trade barriers, tariffs, exchanged rates and global information, last but not the least Global R&D, manufacturing, distribution, customers, marketing brands etc.

In terms of Technology the areas has been connectivity, accessibility, collaboration 24/7, direct channels for distribution, uncertain future. As for Demographics (inside) it is all about mobility, diversity, personalization, and aging population in west, increasing affluence in east.

For Demographics (outside) the literacy, attitude and values of customers, disposable income increasing, attitudes and expectation, value perception, “Feature Lead” upgrading and the biggest of all having greater choice.

The Organizational change has been through various factors like talent, accountability, change, service, innovation, Leadership brand, culture/shared mindset, strategy execution, integration, collaboration and speed.

With all the above changes in our business there has been a major implications on HR which are – HR is part of value equation, 80% of CEO’s role, collaborating Competence, Commitment and Contribution, transactional to transformational and thus being the only business differentiator.

The above changes have redefined the role and responsibility of HR in the over all business perspective. To be more precise the implications on HR are with the Practices, Department and Professional.

In terms of practices the key focus areas is to align HR with strategy in terms of customers and investors apart from helping in Integration and Innovation.

For HR department there are increased financial demands by investors for Organizational performance. Transaction work and Transactional work to the proportion required. To manage the above scope for practices and department the HR professionals require new competencies on a regular basis to be successful in various roles as – Credible Activist, Culture & Change Steward, Talent Manager, Strategy Architect, Operational Executor and Business Ally.

Contributed By:
Mr. Ranjan Sarkar
(Vice President-HR & Corporate Communication, Acclaris)