I wrote recently about the importance of nudging as one way of creating change (in the article I spoke about shifting the debate with my CEO from working mothers to one of inclusivity).
HR Professionals often complain that they are not invited to the top table and/or their opinions do not really count. (I have always maintained that the HR professional gets the client they deserve, even though, for many, I understand this might be over simplistic). The issue is that HR Directors are frequently working with Senior Leaders where egos are both large and fragile. Influencing styles and abilities, therefore need to be varied, subtle and sophisticated in order to navigate increasingly complex corporate cultures and challenges.
The competitive landscape, consumer behaviours, shareholder activism and disruptive technology, are all changing so rapidly that organisational change has to become a core organisational capability. This undoubtedly is uncomfortable for many executives, who have reached their current level of success with a set of capabilities which are increasingly redundant. Some leaders are clearly embracing this new VUCA reality and trying to adapt, whilst others are working harder with their current set of capabilities, trying to remain relevant.
HR Directors need to ensure that:
- The organisation builds change readiness and change capabilities into the organisations DNA (e.g. training budget; promotion criteria; hiring criteria; performance management process).
- They invest in digital innovation and technology. The capabilities required in this landscape are and will remain for a while, in short supply, so organisations and educational institutions need to invest a lot more in this space.
- Executive Leaders are given additional support in order to help them make the shift required (e.g. additional training; coaches; reverse mentoring).
- Collaboration becomes more important than traditional hierarchies. In the new world, silos destroy value. Value is created through collaboration and agility.
- Organisations become skilled at seeking and managing multiple partnerships as partnerships with external parties have become much more important in the emerging world of work.
As long as HR directors are fighting to respond to the myriad of transactional issues and regulatory pressures they are unlikely to feel compelled to deal with the aforementioned opportunities to future proof the organisation.
I previously quoted Deloitte and AMP Capital 2013 in my article titled “seldom has so much been spent on so little”. A new set of leadership capabilities may require a new development path, and it will certainly be demanding of the individual on a day to day basis, creating workplaces that support the high value-add activities of collaboration, communication and innovation, and respond to the individual needs of top talent is our pathway back to the workplace of the future: “We should be worried however that HR Directors, focused on the wrong things, continue to fuel what is currently a multi-billion dollar industry” ($14bn in the US alone according to McKinsey 3 years ago).
For more on Nudge theory: https://www.peoplemanagement.co.uk/long-reads/articles/nudge-theory-change-employees-behaviour-without-realising
This article is exclusive to The Business Transformation Network.
