Rewriting the rules for the digital age 2017 Deloitte Global Human Capital Trends Start exploring with an augmented reality journey Get a new perspective on the 10 Global Human Capital Trends for 2017 by downloading the free Aurasma app from your preferred app store. Once you have downloaded the app, launch your AR journey by holding your tablet or phone over the report cover. COVER AND CHAPTER ILLUSTRATIONS BY LUCIE RICE Deloitte’s Human Capital professionals leverage research, analytics, and industry insights to help design and execute the HR, talent, leadership, organization, and change programs that enable business performance through people performance. Visit the Human Capital area of www.deloitte.com to learn more. Rewriting the rules for the digital age PREFACE W ELCOME to Deloitte’s fifth annual Global Human Capital Trends report and survey. This year’s report takes stock of the challenges ahead for business and HR leaders in a dramatically changing digital, economic, demographic, and social landscape. In an age of disruption, business and HR leaders are being pressed to rewrite the rules for how they organize, recruit, develop, manage, and engage the 21st-century workforce. This workforce is changing. It’s more digital, more global, diverse, automation-savvy, and social mediaproficient. At the same time, business expectations, needs, and demands are evolving faster than ever before. While some view this as a challenge, we see it as an opportunity. An opportunity to reimagine HR, talent, and organizational practices. An opportunity to create platforms, processes, and tools that will continue to evolve and sustain their value over time. An opportunity to take the lead in what will likely be among the most significant changes to the workforce that we have seen. Hence, our call for new rules for HR in the digital age. The 2017 report began last summer with us reaching out to hundreds of organizations, academics, and practitioners around the world. This year, it includes a survey of more than 10,000 HR and business leaders across 140 countries. The report reveals how leaders are turning to new organizational models that highlight the networked nature of today’s world of work; innovation-based HR platforms; learning and career programs driven by social and cognitive technologies; and employee experience strategies that put the workforce at the center. The report closes with a discussion of the future of work amid the changes being driven by advances in automation and an expanded definition of the workforce. We are pleased to present this year’s Global Human Capital Trends report and survey and look forward to your comments. 2017 is positioned to be a year of change as we all manage new levels of transformation and disruption. The only question now is: Are you ready? Brett Walsh Global leader, Human Capital Deloitte LLP Erica Volini US leader, Human Capital Deloitte Consulting LLP 2017 Deloitte Global Human Capital Trends CONTENTS Introduction: 5HZULWLQJWKHUXOHVIRUWKHGLJLWDODJHɅ_Ʌ 7KHRUJDQL]DWLRQRIWKHIXWXUH$UULYLQJQRZɅ_Ʌ &DUHHUVDQGOHDUQLQJ5HDOWLPHDOOWKHWLPHɅ_Ʌ 7DOHQWDFTXLVLWLRQ(QWHUWKHFRJQLWLYHUHFUXLWHUɅ_Ʌ 7KHHPSOR\HHH[SHULHQFH&XOWXUHHQJDJHPHQWDQGEH\RQGɅ_Ʌ 3HUIRUPDQFHPDQDJHPHQW3OD\DZLQQLQJKDQGɅ_Ʌ /HDGHUVKLSGLVUXSWHG3XVKLQJWKHERXQGDULHVɅ_Ʌ 'LJLWDO+53ODWIRUPVSHRSOHDQGZRUNɅ_Ʌ 3HRSOHDQDO\WLFV5HFDOFXODWLQJWKHURXWHɅ_Ʌ 'LYHUVLW\DQGLQFOXVLRQ7KHUHDOLW\JDSɅ_Ʌ 7KHIXWXUHRIZRUN7KHDXJPHQWHGZRUNIRUFHɅ_Ʌ Rewriting the rules for the digital age Introduction Rewriting the rules for the digital age The 2017 Deloitte Global Human Capital Trends UHSRUWUHȵHFWVVHLVPLFFKDQJHVLQWKHZRUOG of business. This new era, often called the Fourth Industrial Revolution1—or, as we have earlier labeled it, the Big Shift2— has fundamentally transformed business, the broader economy, and society. 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What appears to be happening Rate of change Technology change • Mobile, sensors, AI, cognitive computing • Access to technology by consumers globally ȏ7HFKQRORJ\LQȴOWUDWHVKRPHDQGSROLWLFDOOLIH Gap in business performance potential Business productivity Time Deloitte University Press | dupress.deloitte.com Rewriting the rules for the digital age Figure 2. What is really happening Technology Individuals Rate of change HR’s opportunity is to help close the gaps among technology, individuals, businesses, and society and governments. 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Twenty-two percent of respondents were from large companies (more than 10,000 employees), 29 percent from medium-sized companies (1,000–10,000 employees), and 49 percent from small companies (fewer than 1,000 employees). Respondents from the Americas accounted for 31 percent of the total; Europe, Middle East, and Africa contributed 51 SHUFHQWDQG$VLD3DFLȴFSHUFHQW5HVSRQGHQWVUHSUHVHQWHGDEURDGFURVVVHFWLRQ RILQGXVWULHVLQFOXGLQJȴQDQFLDOVHUYLFHVFRQVXPHUEXVLQHVVWHFKQRORJ\PHGLDDQG telecommunications; and manufacturing. Sixty-three percent of the respondents were HR professionals, with other business executives comprising 37 percent. C-level executives accounted for 30 percent (more than 3,100) of the respondents. The appendix contains additional details on respondent demographics. The 10 human capital trends RAPID AND DISRUPTIVE CHANGE IS NOT NEW 7KHWUHQGVLQWKLV\HDU¶VUHSRUWLGHQWLI\DUHDVLQ ZKLFK RUJDQL]DWLRQV ZLOO QHHG WR FORVH WKH JDS EHWZHHQWKHSDFHRIFKDQJHDQGWKHFKDOOHQJHVRIZRUN DQGWDOHQWPDQDJHPHQW¿JXUH 7KHFXUUHQWXQHDVLQHVVZLWKWKHSDFHRIWHFKQRORJLFDOFKDQJHLVQRWQHZ7KHVIRULQVWDQFHVDZ DUDSLGULVHLQFRPSXWLQJSRZHUWKDWUHVXOWHGLQDXWRPDWHGWHOOHUPDFKLQHVRQOLQHV\VWHPVDQGWKH,7 LQGXVWU\¶VUDSLGJURZWK7KHZRUOGDGDSWHGZHOODV SHRSOHJDLQHGQHZVNLOOVDQGQHZMREV TREND 1. 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The 2017 trends by importance Percentage of total responses Organization of the future 12% Careers and learning 17% Talent acquisition 19% Employee experience 21% 79% Performance management 22% 78% Leadership 22% 78% Digital HR 27% People analytics 29% Diversity and inclusion 31% The augmented workforce 37% Robotics, cognitive computing, and AI 60% Not/somewhat important 88% 83% 81% 73% 71% 69% 63% 40% Important/very important Note: Ratings for “The augmented workforce” and “Robotics, cognitive computing, and AI” both relate to the broader trend on “The future of work” discussed in this report. Deloitte University Press | dupress.deloitte.com TREND 2. CAREERS AND LEARNING: REAL TIME, ALL THE TIME TREND 3. 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Rewriting the rules for the digital age 2017 Deloitte Human Capital Trends How we redesign the organization and its leadership for the future How we build a new management system to empower and engage the teams ms TREND 1 The organization n of the future: Arriving now TREND 5 T Pe Performance management: Play a m winning hand w TREND 6 Leadership disrupted: Pushing the boundaries TREND 9 Diversity and inclusion: The reality gap How we design the employee experience for engagement, productivity, and growth How we build a culture of continuous learning, adaptability, growth, and personal development TREND 4 The employee experience: Culture, engagement, and beyond TREND 2 Careers and learning: Real time, all the time How we leverage digital technology to design and improve work, the workplace, and the workforce rce How we leverage data, cognitive technologies, and AI to improve the organization and its teams TREND 7 Digital HR: Platforms, people, e, and work TREND T 3 Talent acquisition: T Enter the cognitive E rrecruiter TREND 10 The future of work: The augmented workforce TREND 8 T People analytics: P Recalculating the R route ro Deloitte University Press | dupress.deloitte.com 2017 Deloitte Global Human Capital Trends New game, new rules TREND 10. THE FUTURE OF WORK: THE AUGMENTED WORKFORCE 7KH JDPH KDV FKDQJHG DQG VR KDYH WKH UXOHV ,Q WKLV \HDU¶V Global Human Capital Trends UHSRUW ZHVXSSOHPHQWHDFKFKDSWHUZLWKDWDEOHKLJKOLJKWLQJWKHVKLIWIURPROGUXOHVZKLFKGRPLQDWHGSDVW WKLQNLQJDERXWKRZWRUXQDQRUJDQL]DWLRQWRDVHW RIQHZUXOHVZKLFKGH¿QHKRZOHDGLQJFRPSDQLHV QRZWKLQNDQGRSHUDWH7KHVHQHZUXOHVUHÀHFWQRW RQO\ LQVLJKWV IURP RXU VXUYH\ EXW DOVR RXU ZRUN ZLWK FRPSDQLHV DURXQG WKH ZRUOG WKDW DUH VHWWLQJ WKHEDUIRUSHUIRUPDQFHLQWRGD\¶VJOREDOHFRQRP\ 7KH\DUHWKHUHVXOWRI\HDUVRIWKRXJKWDQGSUDFWLFH DVZHOODVRXUREVHUYDWLRQVRIOHDGLQJFRPSDQLHVLQ HYHU\LQGXVWU\JHRJUDSK\DQGVL]H 5RERWLFV $, VHQVRUV DQG FRJQLWLYH FRPSXWLQJ KDYHJRQHPDLQVWUHDPDORQJZLWKWKHRSHQWDOHQW HFRQRP\ &RPSDQLHV FDQ QR ORQJHU FRQVLGHU WKHLU ZRUNIRUFHWREHRQO\WKHHPSOR\HHVRQWKHLUEDODQFH VKHHW EXW PXVW LQFOXGH IUHHODQFHUV ³JLJ HFRQRP\´ ZRUNHUV DQG FURZGV 7KHVH RQ DQG R̆EDODQFH VKHHWZRUNHUVDUHEHLQJDXJPHQWHGZLWKPDFKLQHV DQG VRIWZDUH 7RJHWKHU WKHVH WUHQGV ZLOO UHVXOW LQ WKH UHGHVLJQ RI DOPRVW HYHU\ MRE DV ZHOO DV D QHZ ZD\RIWKLQNLQJDERXWZRUNIRUFHSODQQLQJDQGWKH QDWXUH RI ZRUN &KDQJH LV DOUHDG\ WDNLQJ SODFH ,Q WKLV \HDU¶V VXUYH\ SHUFHQW RI RXU UHVSRQGHQWV KDYH HLWKHU IXOO\ LPSOHPHQWHG RU PDGH VLJQL¿FDQW SURFHVV LQ DGRSWLQJ FRJQLWLYH DQG $, WHFKQRORJLHV DQGDQRWKHUSHUFHQWUHSRUWSLORWSURJUDPV Figure 5. HR performance scorecard, 2015–2017 GPA (grade) 2015 2016 2017 2.0 (C) 2.1 (C+) 2.0 (C) 40% 35% 32% 32% 30% 25% 34% 31% 33% 30% 22% 21% 21% 20% 15% 10% 10% 9% 9% 5% 6% 5% 5% 0% Underperforming Getting by Adequate 2015 2016 Good Excellent 2017 The proportion of respondents rating their HR capabilities as “Getting by” and “Adequate” has marginally increased, and that rating their capabilities as “Good” has marginally decreased, since 2016 Scale used: Excellent (4), Good (3), Adequate (2), Getting by (1), Underperforming (0) Deloitte University Press | dupress.deloitte.com Rewriting the rules for the digital age Figure 6. 2017 HR scorecard by job function Non-HR (GPA: 1.8) 5% 25% HR (GPA: 2.1) Excellent 5% 33% Good Adequate 33% 23% 35% 20% Getting by 14% Underperforming 7% Deloitte University Press | dupress.deloitte.com ULHQFHHPSOR\HHSURGXFWLYLW\DQGWKHHQWLUHUHDOP RI ZRUN MRE DQG VWUXFWXUDO GHVLJQ 7KH QHZ UXOHV SURYLGH D PDQGDWH IRU PDQ\ +5 RUJDQL]DWLRQV WR UHRULHQW WKHPVHOYHV DQG IRFXV WKHLU SHRSOH RQ WKH FKDQJLQJKXPDQFDSLWDOLVVXHVWKHLUFRPSDQLHVIDFH 3XWGLUHFWO\$Q\RUJDQL]DWLRQWKDWLVQRWSOD\LQJE\ WKHQHZUXOHVZLOOOLNHO\IDOOEHKLQG:HKRSHWKHVH LQVLJKWVFDQVHUYHDVDVWUDWHJLFURDGPDSWRKHOSRUJDQL]DWLRQVWRQRWVLPSO\DGDSWEXWWRWKULYHLQWKH HPHUJLQJEXVLQHVVHQYLURQPHQW +5OHDGHUVDUHFOHDUO\EHLQJDVNHGWRVWHSXSWRWKH FKDOOHQJH 7KH SURIHVVLRQ LV OLJKWLQJ XS ZLWK QHZ LGHDVDQG+5WHDPVDUHUDSLGO\XVLQJWKHQHZUXOHV LQVRPHRIWKHPRVWLQQRYDWLYHZD\VZHKDYHVHHQ LQ\HDUV HR scorecard: How well is HR keeping up? 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Rewriting the rules for the digital age )LJXUH7UHQGLPSRUWDQFHUDWLQJVE\LQGXVWU\ Global Consumer business Energy & resources Financial services Life sciences & health care Manufacturing Professional services Public sector Real estate Technology, media, & telecommunications Organization of the future 88 85 92 87 83 90 85 81 94 Careers and learning 81 80 83 82 82 86 73 81 84 Talent acquisition 82 76 82 82 82 84 76 83 84 Employee experience 79 77 79 80 76 83 72 79 83 Performance management 81 80 80 77 81 77 68 83 80 Leadership 75 74 82 74 75 80 73 74 85 Digital HR 74 75 74 75 72 75 72 68 76 People analytics 72 69 71 75 68 72 67 67 74 Diversity and inclusion 69 70 71 69 68 70 68 65 67 The augmented workforce 59 63 61 63 59 73 63 62 62 Robotics, cognitive computing, and AI 34 37 41 38 44 45 34 28 46 Trend in order of global importance Higher % 'HORLWWH8QLYHUVLW\3UHVV_GXSUHVVGHORLWWHFRP Lower % Note: Figures represent the percentage of respondents rating each trend “important” or “very important.” Ratings for “The augmented workforce” and “Robotics, cognitive computing, and AI” both relate to the broader trend on “The future of work” discussed in this report. 2017 Deloitte Global Human Capital Trends )LJXUH7UHQGLPSRUWDQFHUDQNLQJVE\RUJDQL]DWLRQVL]H Global Large (10,000+) Medium (1,001 to 10,000) Small (1 to 1,000) Organization of the future Careers and learning Talent acquisition Employee experience Performance management Leadership Digital HR People analytics Diversity and inclusion The augmented workforce Robotics, cognitive computing, and AI Trend in order of global importance Higher % 'HORLWWH8QLYHUVLW\3UHVV_GXSUHVVGHORLWWHFRP Lower % Note: Figures represent the percentage of respondents rating each trend “important” or “very important.” Ratings for “The augmented workforce” and “Robotics, cognitive computing, and AI” both relate to the broader trend on “The future of work” discussed in this report. Rewriting the rules for the digital age Figure 10. Survey demographics Our survey includes data from 10,447 business and HR leaders Industry Region Western Europe 25% Latin & South America 17% Asia 15% North America Oceania Middle East 13% Consumer business 13% Belgium India Norway China Canada France South Africa Mexico Costa Rica Colombia Spain Germany United Kingdom Japan Australia Ireland Poland Finland Kenya Brazil Russia Netherlands Greece Peru Uruguay Switzerland Portugal Denmark Ecuador Austria Turkey 1,115 779 616 379 351 318 299 295 281 262 245 235 229 215 205 197 196 188 182 181 159 156 142 136 136 134 126 123 111 101 98 97 11% 8% Energy & resources 7% 7% Life sciences & health care 3% Real estate 2% 6% 1% Other Country United States 12% Public sector 8% Nordic countries Financial services Manufacturing 10% Central & Eastern Europe 16% Technology, media, & telecommunications 14% Africa Professional services Singapore Nigeria Guatemala Argentina Serbia United Arab Emirates New Zealand Ukraine El Salvador Italy Tunisia Chile Romania Cyprus Luxembourg Malaysia Indonesia Angola Senegal Namibia Ivory Coast Zimbabwe Czech Republic Ethiopia Hong Kong Thailand Dutch Caribbean Panama Venezuela Korea Sweden All others 94 89 88 78 78 77 76 74 72 72 72 68 68 58 53 53 52 48 48 47 46 46 45 45 42 42 34 33 31 30 30 371 12% Organization size (employees) Large (10,001+) 22% 49% Small (1 to 1,000) 29% Medium (1,001 to 10,000) Respondent job function Non-HR 37% 63% HR Respondent job level Individual contributor 20% 51% C-suite Mid-level 30% Deloitte University Press | dupress.deloitte.com 2017 Deloitte Global Human Capital Trends ENDNOTES 1. Klaus Schwab, The Fourth Industrial Revolution (World Economic Forum, 2016). 2. John Hagel, John Seely Brown, and Lang Davison, “The Big Shift: Measuring the forces of change,” Harvard Business Review, July–August 2009. 3. -H6FKZDUW]HWDOThe overwhelmed employee: Simplify the work environment, Deloitte University Press, March 7, 2014, https://dupress.deloitte.com/dup-us-en/focus/human-capital-trends/2014/hc-trends-2014-overwhelmedHPSOR\HHKWPO"LG J[HOGFGXSFRQVDZDKFWDFFHVVHG-DQXDU\ 4. Bureau of Labor Statistics, “Labor productivity and costs,” https://www.bls.gov/lpc/prodybar.htm, accessed January 13, 2017. 5. Thomas L. Friedman, Thank You for Being Late (Farrar, Straus & Gioux, 2016), pp. 213–219. 6. 'HORLWWHȊ'HORLWWHVXUYH\$PHULFDQVORRNDWWKHLUVPDUWSKRQHVLQWKHDJJUHJDWHPRUHWKDQELOOLRQWLPHVGDLO\ȋ PRNewswire, December 9, 2015, http://www.prnewswire.com/news-releases/deloitte-survey-americans-lookDWWKHLUVPDUWSKRQHVLQWKHDJJUHJDWHPRUHWKDQELOOLRQWLPHVGDLO\KWPO DFFHVVHG -DQXDU\ 2017. 7. Lynda Gratton and Andrew Scott, The 100-Year Life (Bloomsbury, 2016). Rewriting the rules for the digital age AUTHORS Josh Bersin, Bersin by Deloitte, Deloitte Consulting LLP | [email protected] Josh Bersin founded Bersin & Associates, now Bersin by Deloitte, in 2001 to provide research and advisory services focused on corporate learning. He is a frequent speaker at industry events and a popular blogger. Bersin spent 25 years in product development, product management, marketing, and sales of e-learning and other enterprise technologies. He has a BS in engineering from Cornell, an MS in engineering from Stanford, and an MBA from the Haas School of Business at the University of California, Berkeley. Bill Pelster, Deloitte Consulting LLP | [email protected] Bill Pelster has more than 25 years of industry and consulting experience. In his current role, Pelster is responsible for leading the Bersin by Deloitte Research and Products practice and is a senior advisor to the Integrated Talent Management practice. A well-respected speaker and author, he has recently led, supported, or authored key research pieces including Talent 2020, Global Human Capital Trends, and The Leadership Premium. In his previous role as 'HORLWWHȇVFKLHIOHDUQLQJRɝFHU3HOVWHUZDVUHVSRQVLEOHIRUWKHWRWDOGHYHORSPHQWH[SHULHQFH of Deloitte professionals, and was one of the key architects of Deloitte University, Deloitte’s $300 million learning facility outside Dallas. Pelster is a former US board member for Deloitte Consulting LLP. -H6FKZDUW]'HORLWWH&RQVXOWLQJ//3_MHVFKZDUW]#GHORLWWHFRP -H6FKZDUW]LVWKHJOREDOOHDGHUIRU+XPDQ&DSLWDO0DUNHWLQJ(PLQHQFHDQG%UDQG+H is an advisor to senior business leaders in global companies, focusing on organization, HR, WDOHQWDQGOHDGHUVKLS6FKZDUW]LVWKHVHQLRUDGYLVRUIRUWKHȴUPȇV+XPDQ&DSLWDOFRQVXOWLQJ SUDFWLFHLQΖQGLDDQGDOVRWKHIRXQGLQJDQG86PDQDJLQJSULQFLSDOIRUWKHȴUPȇVΖQQRYDWLRQ Tech Terminal (ITT) connecting US and global companies with the Israeli start-up ecosystem. He is a frequent speaker and writer on issues at the nexus of talent, human resources, global business challenges, and the “future of work.” In 2011, Schwartz led the launch of Deloitte’s Global Human Capital Trends survey and report series and continues to serve as one of the executive editors. Bernard van der Vyver, Deloitte Consulting BV | [email protected] Bernard van der Vyver is a leading advisor on human capital matters, focusing on learning DQGGHYHORSPHQW%\PHUJLQJKLVEDFNJURXQGLQWHFKQRORJ\DQGLWVHHFWLYHXVHZLWK the development of people, van der Vyver brings a unique strength to the HR domain. As Deloitte’s global Learning Solutions leader, he aspires to grow and strengthen the global learning community by leveraging the organization’s knowledge and expertise to deliver learning solutions that create unique value for clients. CONTRIBUTORS David Mallon, Julie May, Jen Stempel Rewriting the rules for the digital age 2017 Deloitte Global Human Capital Trends The organization of the future Arriving now High-performing organizations operate as empowered networks, coordinated through culture, information systems, and talent mobility. Companies are focused on redesigning the organization itself, with nearly half actively studying and developing new models. And many organizations are not only designing but also building this new organization. As networks and ecosystems replace organizational hierarchies, the traditional question “For whom do you work?” has been replaced by “With whom do you work?” • )XOO\SHUFHQWRIWKLV\HDUȇVVXUYH\UHVSRQGHQWVEHOLHYHWKDWEXLOGLQJWKHRUJDQLzation of the future is an important or very important issue. • 0RUHWKDQWKUHHLQȴYHSHUFHQWVD\WKHLVVXHLVYHU\LPSRUWDQWȃDSHUFHQW increase from last year. • Yet challenges remain: Only 11 percent of survey respondents believe they understand how to build the organization of the future. 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Organization of the future: Percentage of respondents rating this trend “important” or “very important” Percentages in selected countries: Higher % Canada 87 Lower % 85 Netherlands 91 90 Mexico 89 Italy 89 China 89 France 89 China United Kingdom 88 United States 87 Germany 90 70 Japan Spain 91 Mexico 89 Italy 89 96 India 95 Brazil 74 South Africa Latin & South America Canada 87 85 Australia 84 Belgium 82 South Africa 74 Japan 70 Lower % Americas 92 88 Netherlands 84 Australia Percentages by region: Higher % 94 Spain UK 88 France 88 96 Germany Belgium 82 USA 87 India Brazil 87 North America 87 Africa Europe, Middle East, and Africa 83 83 90 Central & Middle East Eastern Europe Nordic countries 87 Western Europe $VLD3DFLȴF 89 85 Asia Oceania Deloitte University Press | dupress.deloitte.com THE POWER OF NETWORKS OF TEAMS FKDOOHQJH WKH SD\R̆ FDQ EH LPPHQVH LQ WHUPV RI ¿QDQFLDO SHUIRUPDQFH SURGXFWLYLW\ HPSOR\HH HQJDJHPHQWDQGDKRVWRIRWKHUEHQH¿WV $QLPSRUWDQWSDUWRIGHVLJQLQJIRUDGDSWDELOLW\LVD VKLIW DZD\ IURP KLHUDUFKLFDO RUJDQL]DWLRQDO VWUXFWXUHVWRZDUGPRGHOVZKHUHZRUNLVDFFRPSOLVKHGLQ WHDPV,QGHHGRQO\SHUFHQWRIH[HFXWLYHVEHOLHYH WKDW WKH WUDGLWLRQDO RUJDQL]DWLRQDO PRGHO²ZLWK KLHUDUFKLFDO MRE OHYHOV EDVHG RQ H[SHUWLVH LQ D VSHFL¿FDUHD²PDNHVWKHLURUJDQL]DWLRQKLJKO\H̆HFWLYH ,QVWHDG OHDGLQJ FRPSDQLHV DUH SXVKLQJ WRZDUG D PRUHÀH[LEOHWHDPFHQWULFPRGHO ORGANIZING FOR SPEED, AGILITY, AND ADAPTABILITY ,Q WKH SDVW PRVW RUJDQL]DWLRQV ZHUH GHVLJQHG IRU ḢFLHQF\DQGH̆HFWLYHQHVVOHDGLQJWRFRPSOLFDWHG DQG VLORHG RUJDQL]DWLRQV 7KH UHVXOWLQJ EXVLQHVV PRGHOV ZKLFK ZHUH EDVHG RQ SUHGLFWDEOH FRPPHUFLDO SDWWHUQV DUH XQVXLWHG WR DQ HUD RI XQSUHGLFWDELOLW\ DQG GLVUXSWLRQ ,QVWHDG RI PHUH ḢFLHQF\ VXFFHVVIXORUJDQL]DWLRQVPXVWEHGHVLJQHGIRUVSHHG DJLOLW\DQGDGDSWDELOLW\WRHQDEOHWKHPWRFRPSHWH DQGZLQLQWRGD\¶VJOREDOEXVLQHVVHQYLURQPHQW $VRUJDQL]DWLRQVPDNHWKLVWUDQVLWLRQWKH\¿QGWKDW VPDOOHUWHDPVDUHDQDWXUDOZD\IRUKXPDQVWRZRUN 5HVHDUFKVKRZVWKDWZHVSHQGWZRRUGHUVRIPDJQLWXGHPRUHWLPHZLWKSHRSOHQHDURXUGHVNWKDQZLWK WKRVH PRUH WKDQ PHWHUV DZD\1 :KDWHYHU D KL- 2017 Deloitte Global Human Capital Trends 5HFHQWO\DOHDGLQJ1RUWK$PHULFDQEDQNXQGHUWRRN DQLQLWLDWLYHWRGHVLJQDQHZZD\RIZRUNLQJWRGHOLYHUVROXWLRQVIDVWHUZKLOHFRPSHWLQJZLWK¿QWHFKV DQG RWKHU XQFRQYHQWLRQDO SOD\HUV WKDW FRPSHWH EDVHG RQ FXVWRPHU H[SHULHQFH GLJLWDO LQWHUIDFHV DQG UDSLG WLPH WR PDUNHW LQ SURGXFW GHOLYHU\ 7KH SURSRVHG RSHUDWLQJ PRGHO IRFXVHG RQ HPEHGGLQJ DJLOHSUDFWLFHVDQGXVLQJQHWZRUNHGFURVVIXQFWLRQDO WHDPV RI GHYHORSHUV FRGHUV EXVLQHVV DQDO\VWV DQGXVHUGHVLJQH[SHUWVIRFXVHGRQDVSHFL¿FSURGXFWRXWFRPH$IWHU¿QLVKLQJZRUNLQRQHDUHDWHDPV ZRXOGEHUHGLVWULEXWHGDQGWKHQH[WSURMHFWEHJXQ ,QLQLWLDOSLORWVWKHEDQNSURYHGWKDWWKLVW\SHRIRUJDQL]DWLRQDO DSSURDFK FRXOG UDGLFDOO\ LQFUHDVH WKH VSHHGRIWKHGHYHORSPHQWF\FOHLWSODQVWRVFDOHWKH PRGHODFURVVWKHRUJDQL]DWLRQRYHUWLPH HUDUFKLFDORUJDQL]DWLRQFKDUWVD\VUHDOGD\WRGD\ ZRUN JHWV GRQH LQ QHWZRUNV 7KLV LV ZK\ WKH RUJDQL]DWLRQ RI WKH IXWXUH LV D ³QHWZRUN RI WHDPV´ VHH ¿JXUH 7RS FRPSDQLHV DUH EXLOW DURXQG V\VWHPV WKDW HQFRXUDJH WHDPV DQG LQGLYLGXDOV WR PHHW HDFK RWKHU VKDUH LQIRUPDWLRQ WUDQVSDUHQWO\ DQG PRYH IURP WHDP WR WHDP GHSHQGLQJ RQ WKH LVVXH WR EH DGGUHVVHG 'L̆HUHQW QHWZRUNV FDQ KDYH GL̆HUHQW VSHFLDOWLHVVXFKDVLQQRYDWLRQRUJHWWLQJWRPDUNHW TXLFNO\EXWWKHSULQFLSOHLVWKHVDPH )RUDFRPSDQ\WRVWD\DJLOHWHDPVPXVWEHIRUPHG DQG GLVEDQGHG TXLFNO\ +LJKSHUIRUPLQJ FRPSDQLHVWRGD\PD\EXLOGD³GLJLWDOFXVWRPHUH[SHULHQFH´ JURXSVHOHFWLQGLYLGXDOVIRUWKHWHDPDQGDVNWKHP WR GHVLJQ DQG EXLOG D QHZ SURGXFW RU VHUYLFH LQ D \HDURUWZR$IWHUZDUGWKHWHDPGLVSHUVHVDVWHDP PHPEHUV PRYH RQ WR QHZ SURMHFWV 7KLV DELOLW\ WR PRYHEHWZHHQWHDPVZLWKRXWULVNLVDFULWLFDODWWULEXWHRIWRGD\¶VKLJKSHUIRUPLQJFRPSDQLHV STARTING AT THE EDGE 1HDUO\DOOVXUYH\HGFRPSDQLHVSHUFHQWUHSRUW WKDW ³DJLOLW\ DQG FROODERUDWLRQ´ DUH FULWLFDO WR WKHLU RUJDQL]DWLRQ¶V VXFFHVV \HW RQO\ SHUFHQW VD\ WKDW Figure 2. 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business, and dynamism will become an organizational hallmark. Building and VXSSRUWLQJWHDPVZLOOEHOHDGHUVȇSULQFLSDOWDVNV6RIWZDUHWRKHOSFRPSDQLHVEHQHȴW from teaming may also become standard. /HDGLQJRUJDQL]DWLRQVZLOORHUG\QDPLFGHYHORSPHQWDORSSRUWXQLWLHVIRUHPSOR\HHV to build their careers, while companies that continue to operate in the old manner will likely struggle to keep up. In this new world, more nimble organizations will have certain advantages, but successful large organizations will keep pace by building stronger ecosystems and partnerships that broaden their workforces and capabilities. )LJXUH7KHRUJDQL]DWLRQRIWKHIXWXUH2OGUXOHVYVQHZUXOHV Old rules New rules 2UJDQL]HGIRUHɝFLHQF\DQGHHFWLYHQHVV Organized for learning, innovation, and customer impact Company viewed as a hierarchy, with hierarchical decision rights, structure, and leadership progression Company viewed as an agile network, empowered by team leaders and fueled by collaboration and knowledge-sharing Structure based on business function with functional leaders and global functional groups Structure based on work and projects, with teams focused on products, customers, and services Advancement through promotion upward with many levels to progress through Advancement through many assignments, diverse experiences, and multifunctional leadership assignments People “become leaders” through promotion 3HRSOHȊFUHDWHIROORZHUVȋWRJURZLQLQȵXHQFHDQG authority Lead by direction Lead by orchestration Culture ruled by fear of failure and perceptions of others Culture of safety, abundance, and importance of risktaking and innovation Rules-based Playbook-based 5ROHVDQGMREWLWOHVFOHDUO\GHȴQHG 7HDPVDQGUHVSRQVLELOLWLHVFOHDUO\GHȴQHGEXWUROHV and job titles change regularly Process-based Project-based 'HORLWWH8QLYHUVLW\3UHVV_GXSUHVVGHORLWWHFRP Rewriting the rules for the digital age ENDNOTES 1. 7LDQ\0F'RZHOO'LPSOH$JDUZDO'RQ0LOOHU7VXWRPX2NDPRWRDQG7UHYRU3DJHȊ2UJDQL]DWLRQDOGHVLJQ7KH rise of teams,” Deloitte Global Human Capital Trends 2016, February 29, 2016, https://dupress.deloitte.com/dupus-en/focus/human-capital-trends/2016/organizational-models-network-of-teams.html, accessed December 21, 2016. 2. 7UHYRU3DJH$PLU5DKQHPD7DUD0XUSK\DQG7LDQ\0F'RZHOO8QORFNLQJWKHȵH[LEOHRUJDQL]DWLRQ2UJDQL]Dtional design for an uncertain future, Deloitte, 2016, https://www2.deloitte.com/content/dam/Deloitte/global/ 'RFXPHQWV+XPDQ&DSLWDOJ[KFXQORFNLQJȵH[LEOHRUJDQL]DWLRQSGIDFFHVVHG'HFHPEHU 3. Report by Rob Cross, http://www.robcross.org/consortia.htm. 4. Josh Bersin, HR technology disruptions for 2017: Nine trends reinventing the HR software market, Bersin by Deloitte, 2016. 5. Quentin Hardy, “The new workplace is agile, and nonstop. Can you keep up?” New York Times, November 25, 2016, http://www.nytimes.com/2016/11/25/technology/the-new-workplace-is-agile-and-nonstop-can-you-keepup.html, accessed December 21, 2016. 6. Andrea Derler, High-impact leadership: The new leadership maturity model, Bersin by Deloitte, 2016. 7. Conversation with the CEO of the Asian telecommunications company, August 2016. Deloitte, A new global HR software solution supports HR transformation and drives innovation at Philips, https:// www2.deloitte.com/content/dam/Deloitte/uk/Documents/consultancy/deloitte-uk-consulting-philips-hr-digital. pdf, accessed February 12, 2017. 9. /7&:LOOLDP73HOVWHU86$)UHWLUHGLQFRQYHUVDWLRQZLWKWKHDXWKRUV-DQXDU\ 2017 Deloitte Global Human Capital Trends AUTHORS Josh Bersin, Bersin by Deloitte, Deloitte Consulting LLP | [email protected] Josh Bersin founded Bersin & Associates, now Bersin by Deloitte, in 2001 to provide research and advisory services focused on corporate learning. He is a frequent speaker at industry events and a popular blogger. Bersin spent 25 years in product development, product management, marketing, and sales of e-learning and other enterprise technologies. He has a BS in engineering from Cornell, an MS in engineering from Stanford, and an MBA from the Haas School of Business at the University of California, Berkeley. 7LDQ\0F'RZHOO'HORLWWH&RQVXOWLQJ//[email protected] 7LDQ\0F'RZHOOLVWKH86OHDGHUIRU'HORLWWHȇV2UJDQL]DWLRQ6WUDWHJLHVSUDFWLFH6KHKDV years of business and consulting experience, delivering operating model, organization design, talent strategy, decision optimization, and change management solutions. Her focus is on KHOSLQJH[HFXWLYHVLQKHDOWKFDUHHHFWLYHO\OHDGWKHLURUJDQL]DWLRQVWKURXJKWUDQVIRUPDWLRQ McDowell holds an MBA and a doctorate in industrial/organizational psychology. Amir Rahnema, Deloitte Canada | [email protected] Amir Rahnema is Deloitte’s global leader for Organization Design services. He focuses on working with both private- and public-sector clients to drive large-scale organizational UHVWUXFWXULQJHRUWVW\SLFDOO\WLHGWRPHUJHUVDQGDFTXLVLWLRQVVKLIWVLQVWUDWHJ\QHZ technology implementations, and complex workforce transitions. His work has spanned reorganizations in numerous industries, including banks, regulatory agencies, consumer EXVLQHVVFRPSDQLHVPHGLDFRPSDQLHVDQGHQHUJ\ȴUPV Yves van Durme, Deloitte Consulting | [email protected] Yves van Durme is a partner with Deloitte’s Belgian consulting practice and the global leader of Deloitte’s Strategic Change practice. He specializes in leadership and organizational development and talent and HR strategy in business transformation contexts. Van Durme has nearly 20 years of experience as a consultant, project manager, and program developer RQKXPDQFDSLWDOSURMHFWVIRUPXOWLSOH(XURSHDQ-DSDQHVH$PHULFDQDQG%HOJLDQ multinationals, family businesses, and small and medium enterprises. His experience ZLWKKLJKSHUIRUPDQFHFRDFKLQJLQVSRUWVJLYHVKLPDVSHFLDODɝQLW\IRUOHDGHUVKLSDQG organizational development work, focusing on the balance between processes, structures, and systems on the one hand and cultural and people-related elements on the other. CONTRIBUTORS Garth Andrus, David Mallon, Phil Neal Rewriting the rules for the digital age 2017 Deloitte Global Human Capital Trends Careers and learning Real time, all the time The concept of career is being shaken to its core. Employees now enjoy the prospect of 60-year careers. Yet at the same time, the half-life of skills is rapidly falling. These new realities are forcing companies to rethink the way they manage careers and deliver always-on learning and development (L&D) opportunities. Leading companies are moving to overhaul their career models and L&D infrastructure for the digital age, though most organizations are still in the early stages of this transformation. • This year, the issue of improving employee careers and transforming corporate OHDUQLQJHPHUJHGDVWKHVHFRQGPRVWLPSRUWDQWWUHQGLQRXUVXUYH\XSIURPȴIWK last year. • Learning technology is changing rapidly. Traditional learning management systems are being complemented with and replaced by a wide range of new technologies for content curation, delivery, video distribution, and mobile use. • This upheaval in learning and careers has become a catalyst for radical change. Nearly half of our surveyed executives (45 percent) cite this problem as urgent or YHU\LPSRUWDQWDQLQFUHDVHRYHUODVW\HDU$VFDSDELOLWLHVIDOOEHKLQGFRPSDQLHVȇ DELOLW\ WR NHHS XS ZLWK HPSOR\HHVȇ GHPDQGV IRU OHDUQLQJ DQG FDUHHU JURZWK KDV dropped by 5 percent. W WHAT EMPLOYEES EXPECT FROM THE 100-YEAR LIFE1 HAT GRHV LW PHDQ WR KDYH D FDUHHU WRGD\"0RUHVSHFL¿FDOO\ZKDWGRHVLWPHDQ LQ D ZRUOG ZKHUH FDUHHUV VSDQ \HDUV HYHQ DV WKH KDOIOLIH RI OHDUQHG VNLOOV FRQWLQXHV WR IDOOWRRQO\DERXW¿YH\HDUV",QWKHSDVWHPSOR\HHV OHDUQHG WR JDLQ VNLOOV IRU D FDUHHU QRZ WKH FDUHHU LWVHOILVDMRXUQH\RIOHDUQLQJ ,QPDQ\LQVWDQFHVHPSOR\HHVWKHPVHOYHVDUHSXVKLQJIRUFRQWLQXRXVVNLOOGHYHORSPHQWDQGG\QDPLF FDUHHUV *ODVVGRRU GDWD UHYHDO WKDW DPRQJ 0LOOHQQLDOVWKH³DELOLW\WROHDUQDQGSURJUHVV´LVQRZWKH SULQFLSDOGULYHURIDFRPSDQ\¶VHPSOR\PHQWEUDQG2 <HWRQO\RQHWKLUGRI0LOOHQQLDOVEHOLHYHWKHLURUJDQL]DWLRQVDUHXVLQJWKHLUVNLOOVZHOODQGSHUFHQW VD\ WKH\ DUH OLNHO\ WR OHDYH EHFDXVH WKH\ DUH QRW OHDUQLQJIDVWHQRXJK3 $V FRPSDQLHV EXLOG WKH RUJDQL]DWLRQ RI WKH IXWXUH FRQWLQXRXVOHDUQLQJLVFULWLFDOIRUEXVLQHVVVXFFHVV )RUWRGD\¶VGLJLWDORUJDQL]DWLRQVWKHQHZUXOHVFDOO IRU D OHDUQLQJ DQG GHYHORSPHQW RUJDQL]DWLRQ WKDW FDQ GHOLYHU OHDUQLQJ WKDW LV DOZD\V RQ DQG DOZD\V DYDLODEOHRYHUDUDQJHRIPRELOHSODWIRUPV Rewriting the rules for the digital age Figure 1. The changing nature of a career Length of career Average tenure in a job 60 to 70 years 4.5 years Half-life of a learned skill 5 years Sources: Lynda Gratton and Andrew Scott, The 100-Year Life: Living and Working in an Age of Longevity (Bloomsbury, 2016); Douglas Thomas and John Seely Brown, A New Culture of Learning: Cultivating the Imagination for a World of Constant Change (CreateSpace, January 4, 2011). 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IRUFURVVIXQFWLRQDOWHDPVFRQWLQXHVWRULVHPRELOLW\ZLOORQO\JURZLQLPSRUWDQFH6WXG\H[LVWLQJSDWWHUQVRIFDUHHUPRELOLW\DQGEHJLQPRUH DJJUHVVLYH SURJUDPV LQFOXGLQJ GHYHORSPHQWDO DQG URWDWLRQDO DVVLJQPHQWV DQG SURIHVVLRQDO GHYHORSPHQWSURJUDPV • Rethink the entire L&D technology infrastructure:)RUPDQ\FRPSDQLHVWKLVZLOOPHDQ PRYLQJ DZD\ IURP /06 WRZDUG D OHDUQLQJFHQWULF PRGHO ZKLFK PD\ LQYROYH UHSODFLQJ FRUH /06ZLWKQHZOHDUQLQJH[SHULHQFHVRIWZDUH • Rethink the corporate university:,QYHVWLQ D SODFH WR EULQJ SHRSOH WRJHWKHU IRU FURVVIXQFWLRQDO DQG LQWHUGLVFLSOLQDU\ SURJUDPV LQ DGGLWLRQWRJUHDWOHDUQLQJ • Review the organization’s job architecture: %H VXUH LW LV DV QLPEOH DQG VWUHDPOLQHG DVSRVVLEOHWRVXSSRUWWKHQHZFDUHHUPRGHOVRI WKHIXWXUH • Manage the employment brand:7RROVVXFK DV*ODVVGRRUNHHSPHWULFVRQZKHWKHUDFRPSDQ\SURYLGHVRSSRUWXQLWLHVIRUFDUHHUJURZWK3RWHQWLDOFDQGLGDWHVFDQHYDOXDWHWKHVHUDWLQJVDQG PD\DYRLGRUJDQL]DWLRQVWKDWGRQRWFRQVLVWHQWO\ R̆HURSSRUWXQLWLHV • Build a culture of hiring from within:+ROG PDQDJHUVDFFRXQWDEOHIRUWUDLQLQJDQGVXSSRUWLQJLQWHUQDOFDQGLGDWHVLQQHZUROHV • Track learning metrics:(PHUJLQJWHFKQRORJLHVR̆HUQHZPHDVXUHVRIGHYHORSPHQWVXFKDV WKHQXPEHURIKRXUVHPSOR\HHVVSHQGRQOHDUQLQJ SODWIRUPV )RUZDUGORRNLQJ FRPSDQLHV DUH FROOHFWLQJDQGOHYHUDJLQJWKLVGDWD FAST FORWARD The impact of the fourth industrial revolution is fundamentally changing the nature of work and the meaning of career, and making it imperative to constantly refresh RQHȇVVNLOOV8QOLNHVRPHRIWKLV\HDUȇVWUHQGVZKHUHWKHRUJDQL]DWLRQFDQKHOSGULYH ZKDWQHHGVWREHGRQHZKHQLWFRPHVWROHDUQLQJWKHRUJDQL]DWLRQȇVUROHLVWR create the environment and systems to allow employees to constantly learn and relearn. The explosion of free content means that the learning organization should seamlessly integrate internal and external content into its platforms. 2017 Deloitte Global Human Capital Trends )LJXUH&DUHHUVDQGOHDUQLQJ2OGUXOHVYVQHZUXOHV Old rules New rules Employees are told what to learn by their managers or the career model Employees decide what to learn based on their WHDPȇVQHHGVDQGLQGLYLGXDOFDUHHUJRDOV Careers go “up or out” Careers go in every direction Managers direct careers for people 3HRSOHȴQGWKHLUFDUHHUGLUHFWLRQZLWKKHOSIURP leaders and others Corporate L&D owns development and training Corporate L&D curates development and creates a useful learning experience People learn in the classroom and, sometimes, online People learn all the time, in micro-learning, courses, classrooms, and groups The corporate university is a training center The corporate university is a “corporate commons,” bringing leaders and cross-functional groups together Learning technology focuses on compliance and course catalog Learning technology creates an always-on, collaborative, curated learning experience Learning content is provided by L&D and experts Learning content is provided by everyone in the organization, and curated by employees as well as HR Credentials are provided by universities and DFFUHGLWHGLQVWLWXWLRQVVNLOOVDUHRQO\FHUWLȴHG through credentials Credentials come in the form of “unbundled FUHGHQWLDOVȋZKHUHSHRSOHREWDLQFHUWLȴFDWHVLQ many ways 'HORLWWH8QLYHUVLW\3UHVV_GXSUHVVGHORLWWHFRP Rewriting the rules for the digital age ENDNOTES 1. Lynda Gratton and Andrew Scott, The 100-Year Life: Living and Working in an Age of Longevity (Bloomsbury, 2016). 2. Bersin by Deloitte proprietary research with Glassdoor. 3. Christie Smith and Stephanie Turner, The Millennial majority is transforming your culture, Deloitte, 2016, pp. 1–15, https://www2.deloitte.com/content/dam/Deloitte/us/Documents/about-deloitte/us-millennial-majority-willtransform-your-culture.pdf, accessed December 21, 2016. 4. Dani Johnson, The career management framework, Bersin by Deloitte, 2016; Dani Johnson, Applying the career management framework, Bersin by Deloitte, 2016. 5. Gratton and Scott, The 100-Year Life. 6. Gerald C. Kane, Doug Palmer, Anh Nguyen Phillips, David Kiron, and Natasha Buckley, $OLJQLQJWKHRUJDQL]DWLRQ for its digital future, MIT Sloan Management Review and Deloitte University Press, July 25, 2016, https://dupress. deloitte.com/dup-us-en/topics/emerging-technologies/mit-smr-deloitte-digital-transformation-strategy.html. 7. GitHub, https://github.com/. 0DQL*RSDODNULVKQDQFKLHIOHDUQLQJRɝFHU*(LQGLVFXVVLRQZLWKWKHDXWKRUVVSULQJ 9. Stacey Harris and Erin Spencer, Sierra-Cedar 2016–2017 HR systems survey, 19th annual edition, Sierra-Cedar, 2016. 10. Thomas L. Friedman, Thank You for Being Late (Farrar, Straus & Giroux, 2016), pp. 213–219. 11. -RKQ'RQRYDQDQG&DWK\%HQNRȊ$77ȇVWDOHQWRYHUKDXOȋHarvard Business Review, October, 2016, https://hbr. org/2016/10/atts-talent-overhaul, accessed October 3, 2016. 12. Ibid. 13. Ibid. 14. Michael Quirk (provost, University of Southern California), in discussion with the authors, October 2016. 15. Ibid. 16. Dr. Erica Muhl (dean of the Roski School of Art and Design, University of Southern California), in discussion with the authors, fall 2016. 17. Executive conversations with the authors. 2017 Deloitte Global Human Capital Trends AUTHORS Bill Pelster, Deloitte Consulting LLP | [email protected] Bill Pelster has more than 25 years of industry and consulting experience. In his current role, Pelster is responsible for leading the Bersin by Deloitte Research and Products practice and is a senior advisor to the Integrated Talent Management practice. A well-respected speaker and author, he has recently led, supported, or authored key research pieces including Talent 2020, Global Human Capital Trends, and The Leadership Premium. In his previous role as 'HORLWWHȇVFKLHIOHDUQLQJRɝFHU3HOVWHUZDVUHVSRQVLEOHIRUWKHWRWDOGHYHORSPHQWH[SHULHQFH of Deloitte professionals, and was one of the key architects of Deloitte University, Deloitte’s $300 million learning facility outside Dallas. Pelster is a former US board member for Deloitte Consulting LLP. Dani Johnson, Bersin by Deloitte, Deloitte Consulting LLP [email protected] Dani Johnson has spent the majority of her career writing about, conducting research in, designing, and consulting on human capital practices. Johnson led the Human Resource Competency Study with the University of Michigan and six other professional organizations around the world, and co-authored the resulting book, HR Competencies: Mastery at the Intersection of People and Business (Society for Human Resource Management, 2008). Jen Stempel, Deloitte Consulting LLP | [email protected] Jen Stempel has more than 20 years of experience in corporate learning. She leads Deloitte’s Americas Learning Solutions practice and the US Learning Advisory practice, working with large, complex, global companies to help them optimize their learning functions and realize YDOXHIURPWKHLUOHDUQLQJVSHQGE\LPSURYLQJSURJUDPHHFWLYHQHVVRSHUDWLRQDOHɝFLHQF\ and business strategy alignment. Stempel is a frequent writer and speaker on learning and talent topics. Bernard van der Vyver, Deloitte Consulting BV | [email protected] Bernard van der Vyver is a leading advisor on human capital matters, focusing on learning DQGGHYHORSPHQW%\PHUJLQJKLVEDFNJURXQGLQWHFKQRORJ\DQGLWVHHFWLYHXVHZLWK the development of people, van der Vyver brings a unique strength to the HR domain. As Deloitte’s global Learning Solutions leader, he aspires to grow and strengthen the global learning community by leveraging the organization’s knowledge and expertise to deliver learning solutions that create unique value for clients. CONTRIBUTORS Jason Galea, Greg Stoskopf Rewriting the rules for the digital age 2017 Deloitte Global Human Capital Trends Talent acquisition (QWHUWKHFRJQLWLYHUHFUXLWHU Talent sourcing and recruitment face tremendous pressure. Talent and skill shortages are widespread. Employees are demanding new careers and career models. And WHFKQRORJLHV DQG LQQRYDWLRQVȃLQFOXGLQJ FRJQLWLYH DUWLȴFLDO LQWHOOLJHQFH VRFLDO FROlaboration, crowds, and the sharing economy—are reshaping the workforce. Leading companies are turning the open talent economy into an opportunity by embracing WHFKQRORJLHVDQGGHYHORSLQJQHZPRGHOVWKDWPDNHLQQRYDWLYHXVHRIRQDQGR balance-sheet talent sources. • Attracting skilled resources is no longer simply the responsibility of HR. It now stands as a top concern of business leaders, ranking third in our survey this year. • 0RUH WKDQ LQ SHUFHQW H[HFXWLYHV VD\ WDOHQW DFTXLVLWLRQ LV LPSRUWDQW RU very important. 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SHUKDSVOHDGLQJWKHSDFNDPRQJWKHUHVWRI+5 SURFHVVHV²DV FDQGLGDWHV FRPH WR H[SHFW FRQ- 44 2017 Deloitte Global Human Capital Trends YHQLHQFH DQG PRELOH H[SHULHQFHV ([SORUH WKH YDOXH RI FRJQLWLYH WRROV YLGHR DQG JDPLQJ HVSHFLDOO\ZKHQWKH\EXLOGRQVRFLDOQHWZRUNVDQG WKHFORXG • Broaden and expand sourcing channels: 2SHQ XS WDOHQW SLSHOLQHV WR QRQWUDGLWLRQDO VRXUFHV7KLQNDERXWKRZEHVWWRVRXUFHDQGUHFUXLWIRUWKHPDQ\W\SHVRIWDOHQWQHHGHGERWK RQDQGR̆WKHEDODQFHVKHHWLQFOXGLQJIXOODQG SDUWWLPH HPSOR\HHV IUHHODQFHUV JLJ ZRUNHUV DQGFURZGV • Build a digital employment brand: (YHU\WKLQJDQRUJDQL]DWLRQGRHVLQWKHGLJLWDODQGVRFLDOO\ QHWZRUNHG ZRUOG D̆HFWV FDQGLGDWHV¶ GHFLVLRQWRZRUNWKHUH%HVXUHWRPRQLWRUDQGDOLJQ PHVVDJLQJDFURVVVLWHVDQGH[SHULHQFHV • Integrate sourcing:7DOHQWDFTXLVLWLRQVRXUFLQJ VKRXOG EH FRQQHFWHG DFURVV +5 EXVLQHVV SURFXUHPHQW ,7 DQG RWKHU IXQFWLRQV 0RYH EH\RQGVLORVWRZDUGFRRUGLQDWHGWDOHQWVRXUFLQJ FKDQQHOV • Create a compelling candidate experience: 3XW \RXUVHOI LQWR WKH FDQGLGDWHV¶ VKRHV :KDWLVXQLTXHDERXW\RXURUJDQL]DWLRQWKDWFDQ DGGULFKQHVVWRWKHFDQGLGDWHH[SHULHQFH":KDW TXDOLWLHVERWKVHW\RXUFRPSDQ\DSDUWDQGPDNH LWPRUHDWWUDFWLYHWRFDQGLGDWHV" Rewriting the rules for the digital age FAST FORWARD Accelerating digital, video, and cognitive technologies and ever-increasing transparency DUHTXLFNO\FKDQJLQJKRZUHFUXLWHUVȴQGDQGFRXUWVNLOOHGHPSOR\HHV5DWKHUWKDQ continuing to focus on sourcing and selection, recruiters are now relationship builders and managers. They are looking to enable a positive candidate experience for new employees—a task that requires both new responsibilities and new skills. Savvy recruiters will continue to embrace new TA technologies and hone their relationship-building skills. Indeed, this is the promise of cognitive recruiting. As AI and other technologies take over the basic, time-consuming tasks of sourcing candidates, human jobs will shift. A recruiter in this new world can add value by building psychological and emotional connections with candidates and constantly strengthening the employment brand. Figure 4. Talent acquisition: Old rules vs. new rules Old rules New rules 5HFUXLWHUVXVHGΖQWHUQHWWRROVWRȴQGFDQGLGDWHV Recruiters continuously expand their use of social media sites for sourcing, including Twitter, Facebook, Glassdoor, Pinterest, and Quora, in addition to LinkedIn Employment brand is viewed as a marketing strategy Employment brand has a complete strategy, reaching into all possible candidate pools and channels Recruiters run the recruiting process Recruiters partner with hiring managers throughout the search process, leveraging their networks, cultural needs, and success criteria Job descriptions communicate what the organization demands from the potential employee Job descriptions focus on the needs of the candidates—a tactic that yields three times as many highly rated applicants* An applicant tracking system is the only required talent acquisition technology Companies have talent acquisition technology platforms that manage sourcing, video interviewing, interview management, candidate relationship management, and onboarding 7DOHQWDFTXLVLWLRQSURFHVVHVDUHEXLOWRQHɝFLHQF\ HHFWLYHQHVVDQGVSHHGRIKLUHLQDZD\WKDWZRUNV for the enterprise The candidate and hiring manager are front and center in talent acquisition processes, tailoring the candidate experience around the moments that matter in the talent acquisition journey with the organization * Andre Lavoie, “How to attract the best talent with your job descriptions,” Aberdeen Essentials, September 25, 2015, www.aberdeenessentials.com/hcm-essentials/how-to-attract-the-best-talent-with-your-job-descriptions/. 'HORLWWH8QLYHUVLW\3UHVV_GXSUHVVGHORLWWHFRP 2017 Deloitte Global Human Capital Trends ENDNOTES 1. 2. $QJHOD1DWLYLGDGȊ+HLQHNHQMXVWPDGHDQ+5FDPSDLJQWKDWȇVDVFRRODVDQ\FRQVXPHUDGVLWȇVGRQHȋAdWeek, 6HSWHPEHUKWWSDGZHHNLWF\J4 Robin Erickson and Denise Moulton, Reimagining talent attraction: Dell transforms its employment brand by going social, Bersin by Deloitte, November 9, 2016, http://bersinone.bersin.com/resources/research/?docid=20355. 3. Katherine Jones, Buyer’s guide to talent acquisition management and onboarding solutions 2013, Bersin by Deloitte, July 2013, www.bersin.com/Practice/Detail.aspx?docid=16724. 4. ATC Events and Media, “Chat bot interviews recruiter, recruiter gets smitten,” November 25, 2016, http://atchub. net/news/chat-bot-interviews-recruiter-recruiter-gets-smitten/. 5. Jonathan Nicholson (cofounder and managing director, PredictiveHire), in discussion with Robin Erickson, December 5, 2016. 6. Richard George, “Interview: How SAP is using cartoons, video games and more to change recruiting standards,” LinkedIn, September 19, 2016, https://business.linkedin.com/talent-solutions/blog/recruiting-strategy/2016/ interview-how-sap-is-using-cartoons-video-games-and-more-to-change-recruiting-standards. 7. PeopleScout, Innovative sourcing strategies for mastering the talent landscape: It’s a marathon, not a sprint, 2015, http://www.peoplescout.com/innovative-sourcing-strategies-for-mastering-the-talent-landscape/, accessed February 12, 2017. PR Newswire, “HireVue honors IBM, Hilton Worldwide, Vodafone, and ten other customers with 3rd annual ‘DigiWDO'LVUXSWRUȇDZDUGVȋSUHVVUHOHDVHIURP+LUH9XH-XQHKWWSZZZSUQHZVZLUHFRPQHZVUHOHDVHV hirevue-honors-ibm-hilton-worldwide-vodafone-and-ten-other-customers-with-3rd-annual-digital-disruptorDZDUGVKWPO 9. Curt Rice, “How blind auditions help orchestras to eliminate gender bias,” Guardian, October 14, 2013, www. theguardian.com/women-in-leadership/2013/oct/14/blind-auditions-orchestras-gender-bias. 10. 6NLOO6FRXWȊ6R\RXȇUHVWDUULQJLQDMREYLGHRȋKWWSZZZVNLOOVFRXWFRPMREYLGHRIDTKWPODFFHVVHG-DQXDU\ 31, 2017. 11. Robin Erickson, From the armed forces to the workforce: Why veteran hiring is both the right thing to do & a smart move to make, Bersin by Deloitte, May 2015, http://marketing.bersin.com/veteran-hiring.html. 12. Lisa Smith-Strother, “The role of social advocacy in diversity & inclusion recruiting,” presented at Glassdoor Summit, September 13, 2016, https://youtu.be/IdsqQMV4V_0. 13. Robin Erickson, Strategic talent sourcing: Improve blend of high-quality channels (part I), Bersin by Deloitte, 2017. 14. Talent Tech Labs, “Talent acquisition ecosystem #5,” https://talenttechlabs.com/ecosystem/, accessed December 16, 2016. 15. 8QLOHYHU Ȋ*DPH RQ 2XU JUDGXDWH UHFUXLWPHQW GULYHȇV JRQH GLJLWDOȋ 6HSWHPEHU ZZZXQLOHYHUFRP news/news-and-features/2016/game-on-our-graduate-recruitment-drives-gone-digital.html. 16. Ibid. 17. Erickson, Strategic talent sourcing8QLOHYHUȊ*DPHRQ2XUJUDGXDWHUHFUXLWPHQWGULYHȇVJRQHGLJLWDOȋ Rewriting the rules for the digital age AUTHORS Michael Stephan, Deloitte Consulting LLP | [email protected] Michael Stephan is the global leader for Deloitte’s HR Transformation practice. He develops and integrates HR service delivery models across the operations and technology spectrum, with a focus on optimizing HR service delivery around the world. His global consulting experience includes HR strategy, HR operating model design and implementation, HR business process outsourcing (BPO), global technology deployment, and enterprise transition management. David Brown, Deloitte Touche Tohmatsu | [email protected] David Brown leads the Human Capital practice in Australia. He has over 30 years’ experience in the human capital space in both corporate HR and advisory roles, including considerable LQWHUQDWLRQDOH[SHULHQFHLQ+5PDQDJHPHQWDFURVV1RUWK$PHULFD(XURSHDQG$VLD%URZQ specializes in HR strategy and execution, strategic change, workforce productivity and engagement, and talent management and development. Robin Erickson, Bersin by Deloitte, Deloitte Consulting LLP | [email protected] 5RELQ(ULFNVRQIRFXVHVRQWDOHQWDFTXLVLWLRQHQJDJHPHQWDQGUHWHQWLRQUHVHDUFKZKHUH she draws on her deep experience in talent strategies consulting and related research for 'HORLWWHȇV+XPDQ&DSLWDOSUDFWLFH(ULFNVRQKROGVDGRFWRUDWHIURP1RUWKZHVWHUQ8QLYHUVLW\ in organizational communication and change, a master’s degree in communication from Northwestern University, a master’s degree in theology from Northern Seminary, and a bachelor of arts degree from the University of Chicago. Rewriting the rules for the digital age 2017 Deloitte Global Human Capital Trends The employee experience Culture, engagement, and beyond ΖQ D GLJLWDO ZRUOG ZLWK LQFUHDVLQJ WUDQVSDUHQF\ DQG WKH JURZLQJ LQȵXHQFH RI Millennials, employees expect a productive, engaging, enjoyable work experience. Rather than focus narrowly on employee engagement and culture, organizations are developing an integrated focus on the entire employee experience, bringing together all the workplace, HR, and management practices that impact people on the job. A QHZPDUNHWSODFHRISXOVHIHHGEDFNWRROVZHOOQHVVDQGȴWQHVVDSSVDQGLQWHJUDWHG employee self-service tools is helping HR departments understand and improve this experience. Through new approaches such as design thinking and employee journey maps, HR departments are now focusing on understanding and improving this complete experience and using tools such as employee net promoter scores to measure employee satisfaction.1 • Organizational culture, engagement, and employee brand proposition remain top priorities in 2017; employee experience ranks as a major trend again this year. • 1HDUO\ SHUFHQW RI H[HFXWLYHV UDWHG HPSOR\HH H[SHULHQFH YHU\ LPSRUWDQW SHUFHQWRULPSRUWDQWSHUFHQWEXWRQO\SHUFHQWUHSRUWHGWKDWWKHLUFRPSDQLHVZHUHH[FHOOHQWDWEXLOGLQJDGLHUHQWLDWHGHPSOR\HHH[SHULHQFH • Fifty-nine percent of survey respondents reported they were not ready or only somewhat ready to address the employee experience challenge. A PRODUCTIVE, SRVLWLYHHPSOR\HHH[SHULHQFH KDV HPHUJHG DV WKH QHZ FRQWUDFW EHWZHHQ HPSOR\HU DQG HPSOR\HH -XVW DV PDUNHWLQJ DQG SURGXFW WHDPV KDYH PRYHG EH\RQG FXVWRPHU VDWLVIDFWLRQWRORRNDWWRWDOFXVWRPHUH[SHULHQFHVR LV +5 UHIRFXVLQJ LWV H̆RUWV RQ EXLOGLQJ SURJUDPV VWUDWHJLHVDQGWHDPVWKDWXQGHUVWDQGDQGFRQWLQXRXVO\LPSURYHWKHHQWLUHHPSOR\HHH[SHULHQFH2XU UHVHDUFKKDVLGHQWL¿HGHOHPHQWVWKDWEULQJWKLV WRJHWKHUHDFKRIZKLFKUHTXLUHVIRFXVDQGDWWHQWLRQ IURP+5DQGPDQDJHPHQW2 7KH SUREOHPV RI HPSOR\HH HQJDJHPHQW DQG SURGXFWLYLW\ FRQWLQXH WR JURZ 2YHUDOO HPSOR\HH HQJDJHPHQW PHDVXUHG E\ *ODVVGRRU GDWD DFURVV WKRXVDQGVRIFRPSDQLHVLVÀDW\HDURYHU\HDU37KLV 7KLV\HDU¶VGlobal Human Capital TrendsUHVHDUFK VKRZV WKDW RUJDQL]DWLRQV¶ DELOLW\ WR DGGUHVV WKHVH LVVXHV RI HQJDJHPHQW DQG FXOWXUH KDV GURSSHG E\ SHUFHQWVLQFHODVW\HDULOOXVWUDWLQJKRZFRPSOH[ WKH ZRUN HQYLURQPHQW KDV EHFRPH ,Q VHYHUDO LPSRUWDQW DUHDV WKHUH LV OLWWOH RU QR LPSURYHPHQW DW DOO6HH¿JXUH Rewriting the rules for the digital age )LJXUH3HUFHQWDJHRIFRPSDQLHVWKDWIHHOWKH\DUHH[FHOOHQWLQHDFKDUHD Change Helping employees balance personal and professional life/work demands 23% 19% 21% better Aligning employees and personal goals with corporate purpose 24% 23% 4% better Providing programs for younger, older, and a multi-generational workforce 11% 11% Flat Understanding and using design thinking as part of the employee experience 10% 13% 23% worse 'HORLWWH8QLYHUVLW\3UHVV_GXSUHVVGHORLWWHFRP Figure 2. Employee experience: Percentage of respondents rating this trend “important” or “very important” Percentages in selected countries: Canada 80 Higher % Lower % 76 Netherlands Belgium 63 Germany 70 France 64 Mexico 83 88 85 Australia 85 United Kingdom 84 88 China Italy 79 Mexico 83 South Africa 83 Canada 80 Italy 79 89 India 93 Brazil 83 South Africa 85 Australia Spain 77 Netherlands 76 Percentages by region: Higher % Latin & South America Japan 75 Germany 70 France 64 Belgium 63 Lower % Americas 85 89 China 75 Japan Spain 77 93 India United States UK 84 USA 85 Brazil 84 North America 82 Africa Europe, Middle East, and Africa 77 77 69 Central & Middle East Eastern Europe Nordic countries 71 Western Europe $VLD3DFLȴF 85 85 Asia Oceania Deloitte University Press | dupress.deloitte.com 2017 Deloitte Global Human Capital Trends • )RXUWK FRPSDQLHV QHHG WR XSGDWH WKHLU WRROV WRHQJDJHHPSOR\HHVRQDQRQJRLQJEDVLVZLWK SXOVHVXUYH\VDWOHDVWWRKHOS+5WHDPVDQGOLQH OHDGHUV XQGHUVWDQG PRUH IXOO\ ZKDW WKH WDOHQW WKH\ HPSOR\ H[SHFWV DQG YDOXHV $Q HPSOR\HH QHWSURPRWHUVFRUHLVDQRWKHULPSRUWDQWWRROLQ WKLVH̆RUW 7KLV\HDU¶VVXUYH\IRXQGERWKFKDOOHQJHVDQGRSSRUWXQLWLHV IRU LPSURYHPHQW DFURVV PXOWLSOH GLPHQVLRQVRIWKHHPSOR\HHH[SHULHQFH¿JXUH 6HYHUDO IDFWRUV PDNH HPSOR\HH H[SHULHQFH D FKDOOHQJHWRGD\ • )LUVW PDQ\ FRPSDQLHV KDYH QRW \HW PDGH HPSOR\HH H[SHULHQFH D SULRULW\ IRU +5 OHDGHUVRIWHQGHOHJDWLQJWKLVSUREOHPWRDQDQQXDO HQJDJHPHQWVXUYH\ • )LIWK PDQ\ FRPSDQLHV UHPDLQ IRFXVHG RQ ³SRLQWLQWLPH HQJDJHPHQW´ DQG KDYH QRW \HW SXOOHG WRJHWKHU WKH GLVFLSOLQHV RI SHUIRUPDQFH PDQDJHPHQW JRDO VHWWLQJ GLYHUVLW\ LQFOXVLRQ ZHOOQHVVZRUNSODFHGHVLJQDQGOHDGHUVKLSLQWR DQLQWHJUDWHGIUDPHZRUN • 6HFRQGZKLOHVRPHFRPSDQLHVKDYHFUHDWHGWKH &VXLWHUROHRIHPSOR\HHH[SHULHQFHṘFHUPRVW FRPSDQLHVKDYHQRWDVVLJQHGUHVSRQVLELOLW\WRD VHQLRU H[HFXWLYH RU WHDP WR GHVLJQ DQG GHOLYHU WKHHPSOR\HHH[SHULHQFH A GROWING CHALLENGE • 7KLUG VLORHG +5 GHSDUWPHQWV RIWHQ ¿QG LW GLI¿FXOWWRREWDLQWKHUHVRXUFHVQHHGHGWRDGGUHVV DQLQWHJUDWHGVHWRISULRULWLHVZKLFKUDQJHIURP PDQDJHPHQWSUDFWLFHVWRWKHZRUNSODFHWREHQH¿WVDQGRIWHQWKHZRUNFXOWXUHLWVHOI 8QGHUVWDQGLQJDQGLPSURYLQJWKHHPSOR\HHH[SHULHQFHLVFULWLFDOIRUFRPSDQLHVRSHUDWLQJLQDKLJKO\ FRPSHWLWLYH JOREDO HFRQRP\ 3URYLGLQJ DQ HQJDJLQJ H[SHULHQFH ZLOO KHOS FRPSDQLHV VXFFHHG LQ DW- Figure 3. Respondent ratings of sub-capabilities related to employee experience Percentage of total responses Understanding and using design thinking as part of the employee experience 48% Using design thinking in developing HR and talent programs 46% Providing programs for younger, older, and a multi-generational workforce 39% 49% 12% Considering diverse employee preferences when designing work 38% 49% 13% %XLOGLQJDVWURQJDQGGLHUHQWLDWHG employee experience brand 42% 43% 22% 57% Aligning employees and personal goals with corporate purpose 22% 55% Helping employees balance personal and professional life/work demands 23% Integrating social, community, and corporate programs 25% Weak Adequate 10% 11% 22% 23% 54% 23% 52% 23% Excellent Deloitte University Press | dupress.deloitte.com Rewriting the rules for the digital age Companies need a new approach—one that builds on the foundation of culture and engagement to focus on the employee experience holistically, considering all the contributors to worker satisfaction, engagement, wellness, and alignment. THE GROWING NEED FOR A HOLISTIC SOLUTION WUDFWLQJ DQG UHWDLQLQJ VNLOOHG HPSOR\HHV $ VWURQJ HPSOR\HHH[SHULHQFHDOVRGULYHVDVWURQJFXVWRPHU H[SHULHQFH4 7UDGLWLRQDOO\+5KDVDGGUHVVHGLVVXHVVXFKDVHPSOR\HHHQJDJHPHQWFXOWXUHUHZDUGVDQGOHDUQLQJ DQG FDUHHU GHYHORSPHQW DV VHSDUDWH LQGHSHQGHQW SURJUDPV LQ LQGLYLGXDO VLORV (DFK SURJUDP KDV D VHQLRU+5OHDGHUDVHWRIWRROVDQGGLDJQRVWLFVDQG VROXWLRQVWRGULYHDQGPHDVXUH FKDQJH $V RUJDQL]DWLRQV VKLIW WR D QHWZRUNHG WHDPEDVHG VWUXFWXUH WKH HPSOR\HH H[SHULHQFH EHFRPHV ERWK PRUH LPSRUWDQW DQG PRUH FRPSOH[ 3HRSOH WRGD\ RIWHQ KDYH PXOWLSOH UROHV ZLWK PXOWLSOH PDQDJHUV $UHFHQWVWXG\'HORLWWHFRPSOHWHG ZLWK )DFHERRN IRXQG WKDW RQO\ SHUFHQW RI FRPSDQLHV EHOLHYH WKHLU LQWHUQDO SURFHVVHV IRU FROODERUDWLRQ DQG GHFLVLRQ PDNLQJ DUH ZRUNLQJ ZHOO DQG SHUFHQW EHOLHYHHPDLOLVQRORQJHUDYLDEOH WRROIRUH̆HFWLYHFRPPXQLFDWLRQ5 7KH HPSOR\HH VHHV WKH SLFWXUH GL̆HUHQWO\6WDUWLQJDVSRWHQWLDO KLUHV DQG UHFUXLWV HPSOR\HHV ORRNDWHYHU\WKLQJWKDWKDSSHQV DW ZRUN DV DQ LQWHJUDWHG H[SHULHQFH WKDW LPSDFWV GDLO\ OLIH LQ DQG RXWVLGH WKH ZRUNSODFH LQFOXGLQJRYHUDOOSK\VLFDOHPRWLRQDO SURIHVVLRQDO DQG ¿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²RQH WKDW EXLOGV RQ WKH IRXQGDWLRQ RI FXOWXUH DQG HQJDJHPHQW WR IRFXV RQ WKH HPSOR\HH H[SHULHQFH KROLVWLFDOO\ FRQVLGHULQJDOOWKHFRQWULEXWRUVWRZRUNHUVDWLVIDFWLRQ HQJDJHPHQWZHOOQHVVDQGDOLJQPHQW 7KLV LQWHJUDWHG YLHZ LQFUHDVLQJO\ OHDGV WR HPSOR\HHVGHPDQGLQJDKROLVWLFHQGWRHQG²UHFUXLWPHQW WRUHWLUHPHQW²H[SHULHQFH IURP WKHLU HPSOR\HUV ZKHWKHU WKH\ DUH IXOOWLPH HPSOR\HHV FRQWLQJHQW ZRUNHUVRUHYHQFURZGVRXUFHGWDOHQW7KLVDOVRUHTXLUHVDUDGLFDOFKDQJHLQHPSKDVLVRQWKHSDUWRI HPSOR\HUV 2017 Deloitte Global Human Capital Trends Figure 4. Factors that contribute to a positive employee experience Simply Irresistible OrganizationTM model Meaningful work Supportive management Positive work environment Growth opportunity Trust in leadership Autonomy Clear and transparent goals Flexible work environment Training and support on the job Mission and purpose 6HOHFWWRȴW Coaching Humanistic workplace Facilitated talent mobility Continuous investment in people Small, empowered teams Investment in development of managers Culture of recognition Self-directed, dynamic learning Transparency and honesty Time for slack Agile performance management Fair, inclusive, diverse work environment High-impact learning culture Inspiration Cross-organization collaboration and communication 'HORLWWH8QLYHUVLW\3UHVV_GXSUHVVGHORLWWHFRP GHYHORSPHQWDQGVDOHVH[HFXWLYHVZKRDUHZRUNLQJ DORQJ VLPLODU OLQHV WR GHVLJQ LQWHJUDWHG FXVWRPHU H[SHULHQFHV +5DQGEXVLQHVVOHDGHUVIDFHERWKWKHGHPDQGDQG WKHRSSRUWXQLW\WRUHWKLQNWKHUROHVVWUXFWXUHWRROV DQG VWUDWHJ\ WKH\ XVH WR 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HPSOR\HH H[SHULHQFH WKURXJK JRDOV UHZDUGV DQG RWKHUSHUIRUPDQFHSURJUDPV • Elevate the employee experience and make it a priority: 5HFRJQL]H WKDW WKH LQWHJUDWHG HPSOR\HH H[SHULHQFH LV DV YDOXDEOH DQG FDQKDYHDVPXFKRUPRUHRIDQLPSDFWDVWKH FXVWRPHU H[SHULHQFH VWUDWHJ\ $UWLFXODWH D GLIIHUHQWLDWHG HPSOR\HH H[SHULHQFH DQG HQVXUH LW FRRUGLQDWHV DOO DVSHFWV RI WKH ZRUN ZRUNSODFH DQGZRUNIRUFHH[SHULHQFH,QFOXGHWKHFRQFHSWV RIZHOOQHVVDQGZHOOEHLQJLQ\RXUVWUDWHJ\ • Consider the impact of geography: (YHQ WKRXJKWKHWUHQGLVJOREDOVXFFHVVIXODSSURDFKHVZLOOYDU\E\JHRJUDSK\,QWHUQDWLRQDOFRPSDQLHV VKRXOG XQGHUVWDQG FXOWXUDO GL̆HUHQFHV LQ KRZ HPSOR\HHV SHUFHLYH WKH ZRUN H[SHULHQFH &XOWXUHV WKDW DUH PRUH FROOHFWLYH RU JURXSIRFXVHG UHTXLUH GL̆HUHQW HQJDJHPHQW SURJUDPV WKDQWKRVHWKDWDUHPRUHLQGLYLGXDOIRFXVHG • Designate a senior leader or team to own it: $VVLJQ D VHQLRU OHDGHU IRU HPSOR\HH H[SHULHQFH DQG RUFKHVWUDWH WKH IXQFWLRQV RI HQJDJHPHQW OHDUQLQJ FDUHHU GHYHORSPHQW RUJDQL]DWLRQDO GHVLJQ DQDO\WLFV DQG FXOWXUH LQWR D 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transparency (“What does Glassdoor say about us?”), and the rising demand for talented professionals and workers with fast-changing skills, employee experience will become an increasingly important dimension of competing for and engaging your workforce. Employee brand and reputation—the story that employees in the H[WHUQDOZRUOGWHOODERXW\RXUFRPSDQ\ȇVHPSOR\HHH[SHULHQFHȃZLOOEHDFULWLFDO FRPSHWLWLYHGLHUHQWLDWRU-XVWDVFRPSDQLHVQRZPHDVXUHFXVWRPHUH[SHULHQFH through net promoter tools, social media monitoring, and customer segmentation, so will HR rigorously monitor the health and productivity of its employees. Real-time feedback tools will explode as pulse surveys and always-on feedback systems become FRPPRQSODFHDQGWKHGHȴQLWLRQRIHPSOR\HHH[SDQGV:HZLOOGHVLJQDQGPRQLWRU the experience of contractors, contingent, and gig workers too. )LJXUH(PSOR\HHH[SHULHQFH2OGUXOHVYVQHZUXOHV Old rules New rules (PSOR\HHH[SHULHQFHGHȴQHGE\DQQXDOHQJDJHPHQW surveys (PSOR\HHH[SHULHQFHGHȴQHGDVDKROLVWLFYLHZRI life at work, requiring constant feedback, action, and monitoring Culture is a topic on the company website and SHUKDSVRQWKHZDOOEXWQRWPHDVXUHGRUGHȴQHG through behavior Company uses tools and behaviors to measure, align, and improve culture during change, M&A, and other major initiatives Companies have a series of HR leaders across recruiting, learning, rewards, engagement, and other HR services Companies have someone responsible for the complete employee experience, focused on employee journeys, experiences, engagement, and culture &RPSHQVDWLRQEHQHȴWVDQGUHZDUGVDUHPDQDJHG with a focus on benchmarking and fairness &RPSHQVDWLRQEHQHȴWVUHZDUGVDQGUHFRJQLWLRQ GHVLJQHGWRPDNHSHRSOHȇVOLIHEHWWHUDQGEDODQFH ȴQDQFLDODQGQRQȴQDQFLDOEHQHȴWV Wellness and health programs are focused on safety and managing insurance costs Companies have an integrated program for employee well-being focused on the employee, her family, and her entire experience at life and work Rewards are designed to cover salary, overtime, ERQXVEHQHȴWVDQGVWRFNRSWLRQV 5HZDUGVDOVRLQFOXGHQRQȴQDQFLDOUHZDUGVPHDOV OHDYHVYDFDWLRQSROLF\ȴWQHVVDQGZHOOQHVV programs Employee self-service is viewed as a technology platform that makes it easy to complete HR transactions and reports The employee experience platform is designed, mobile, and includes digital apps, prescriptive solutions based on employee journeys, and ongoing communications that support and inspire employees 'HORLWWH8QLYHUVLW\3UHVV_GXSUHVVGHORLWWHFRP 2017 Deloitte Global Human Capital Trends ENDNOTES 1. Wikipedia, “NetPromoter,” https://en.wikipedia.org/wiki/Net_Promoter. NetPromoter asks a simple question: “On a scale of zero to ten, how likely is it you would recommend this company as a place to work?” Using this question, organizations can sort employees into promoters, passives, and detractors, similar to the identical question used widely with customers. 2. Josh Bersin, “Becoming irresistible: A new model for employee engagement,” Deloitte Review 16, January 26, 2015, https://dupress.deloitte.com/dup-us-en/deloitte-review/issue-16/employee-engagement-strategies.html. 3. Bersin by Deloitte proprietary research with Glassdoor. 4. .DWH7D\ORUȊ&KLFNȴO$LVEHDWLQJHYHU\FRPSHWLWRUE\WUDLQLQJZRUNHUVWRVD\ȆSOHDVHȇDQGȆWKDQN\RXȇȋBusiness Insider2FWREHUZZZEXVLQHVVLQVLGHUFRPFKLFNȴODLVWKHPRVWSROLWHFKDLQ 5. Deloitte and Facebook, “Transitioning to the future of work and the workplace,” November 2016. 6. Bureau of Labor Statistics, “Overview of BLS productivity stats,” www.bls.gov/bls/productivity.htm, accessed December 21, 2016. 7. 3URMHFW7LPH2The state of American vacation 2016: How vacation became a casualty of our work culture, p. 6, ZZZSURMHFWWLPHRFRPVLWHVGHIDXOWȴOHV372B6R$9SHUFHQW5HSRUWB)Ζ1$/SGIDFFHVVHG2FWREHU Jeanne Meister, “Cisco HR breakathon: Reimagining the employee experience,” Forbes, March 10, 2016, www. forbes.com/sites/jeannemeister/2016/03/10/the-cisco-hr-breakathon/. 9. Executive conversations with authors. 10. Ben Whitter, “Bye, bye, human resources,” LinkedIn, July 27, 2015, UHVRXUFHVEHQZKLWWHU(&$&(%%%(% www.linkedin.com/pulse/bye-human- 11. Executive conversations with authors. 12. 7RGG&)UDQNHOȊ:KDWWKHVHSKRWRVRI)DFHERRNȇVQHZKHDGTXDUWHUVVD\DERXWWKHIXWXUHRIZRUNȋWashington Post, November 30, 2015, http://wpo.st/93cX2. 13. Executive conversations with authors. 14. Gensler, 86ZRUNSODFHVXUYH\.H\ȴQGLQJVZZZJHQVOHUFRPXSORDGVGRFXPHQWȴOHB86B Workplace_Survey_07_15_2013.pdf, accessed December 21, 2016. 15. Steelcase, Boosting employee engagement, November 12, 2014, www.steelcase.com/insights/articles/boostingemployee-engagement-place-matters/. 16. Leesman, Leesman_review KWWSRULJLQPLVFSDJHVXLWHFRPSGIGRZQORDGGDDDEH HHDDGSGIDFFHVVHG'HFHPEHU 17. .HUUL+XJKHVȊVWLPXODWLQJGHVLJQRɝFHVWRVWLUWKHVHQVHVȋCreative Bloq, February 19, 2016, www.creativeEORTFRPGHVLJQGHVLJQRɝFHVVHHDOVR-RKQ+DJHO-RKQ6HHO\%URZQDQG7DPDUD6DPR\ORYDWork environment redesign: Accelerate performance through talent, Deloitte University Press, June 3, 2013, https://dupress. deloitte.com/dup-us-en/topics/talent/work-environment-redesign.html. Fordpass, “Home,” www.fordpass.com/, accessed January 30, 2017. 19. .LUVWHQ.RURVHNȊ)RUGȇVSODQVWRGRPRUHWKDQMXVWVHOOFDUVȋFortune, January 12, 2016, http://for.tn/1mStuQp. 20. Conversations with Ford senior management, November 2016. Rewriting the rules for the digital age AUTHORS Josh Bersin, Bersin by Deloitte, Deloitte Consulting LLP | [email protected] Josh Bersin founded Bersin & Associates, now Bersin by Deloitte, in 2001 to provide research and advisory services focused on corporate learning. He is a frequent speaker at industry events and a popular blogger. Bersin spent 25 years in product development, product management, marketing, and sales of e-learning and other enterprise technologies. He has a BS in engineering from Cornell, an MS in engineering from Stanford, and an MBA from the Haas School of Business at the University of California, Berkeley. Jason Flynn, Deloitte Consulting LLP | MDVȵ\QQ#GHORLWWHFRP Jason Flynn leads Deloitte’s global Rewards practice. He has more than 20 years of consulting experience, helping multinational organizations design, deliver, communicate, and manage total rewards programs to support their business and talent strategies. Flynn’s broader HR consulting experience includes supporting talent management, HR transformation, and other human capital initiatives. Art Mazor, Deloitte Consulting LLP | [email protected] Art Mazor is Deloitte’s global leader for HR Service Delivery and a thought leader in HR transformation strategy. He collaborates with global clients to achieve business impact with a focus on transforming human capital strategies, programs, and services. With a balance of strategic planning, operating model and organization design, process transformation, technology deployment, governance, and change management, Mazor helps generate tangible results through innovative and pragmatic solutions. Verónica Melián, Deloitte SC | [email protected] Verónica Melián is the Human Capital practice leader for Deloitte LATCO and the global leader of Deloitte’s Culture practice. She has more than 20 years of consulting experience, specializing in large-scale global transformation projects. Melián’s work focuses primarily on culture change, leadership alignment, communication, HR, and talent strategies. CONTRIBUTORS David Brown, Alyson Daichendt, Robin Erickson, David Mallon, Yves van Durme Rewriting the rules for the digital age 2017 Deloitte Global Human Capital Trends Performance management Play a winning hand 2YHUWKHODVWȴYH\HDUVRUJDQL]DWLRQVKDYHUDGLFDOO\FKDQJHGWKHZD\WKH\PHDVXUH evaluate, and recognize employee performance. Today, with much initial experimentation, continuous performance management practices are being deployed on a wide scale. While not all the tools are in place at every organization, the new practices are EHFRPLQJFOHDUHUDQGPRUHVWDQGDUGL]HGDQGWKH\DUHGHȴQLWHO\ZRUNLQJ$JLOHJRDO management, check-ins, and continuous feedback are becoming common, and new models of evaluation and rewards are being adopted next. • The redesign of performance management is picking up speed: 79 percent of exHFXWLYHVUDWHLWDKLJKSULRULW\XSIURPSHUFHQWWKUHH\HDUVDJRZLWKSHUFHQW calling the problem “very important.” • Company capabilities to implement performance management have improved. Our research shows organizations are 10 percent more capable than they were in 2015, and most are heavily focused on retraining leaders to implement agile, developmental management approaches. • The impact of these new performance practices is high: 90 percent of companies that have redesigned performance management see direct improvements in enJDJHPHQWSHUFHQWVD\WKHSURFHVVHVDUHVLPSOHUDQGSHUFHQWVD\WKH\VHH the quality of conversations between employees and managers going up.1 T AS WORK SHIFTS, SO DOES PM HE SHUIRUPDQFH PDQDJHPHQW 30 UHYROXWLRQLVLQIXOOÀ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̆HFWLYH DQ\PRUH ,Q RXU Global Human Capital Trends UHVHDUFK VKRZHGWKDWSHUFHQWRIFRPSDQLHVUHSRUWHGWKDW SHUIRUPDQFHHYDOXDWLRQVZHUHQRWZRUWKWKHWLPH$ Rewriting the rules for the digital age Figure 1. Performance management: Percentage of respondents rating this trend “important” or “very important” Percentages in selected countries: Higher % Lower % Canada 71 India 91 Brazil 87 Mexico 86 China 85 Belgium 61 Spain 82 UK 77 Japan 80 Germany 73 South Africa 80 France 64 Netherlands 79 Italy 85 China United Kingdom 78 United States 75 Germany 73 79 Netherlands USA 75 80 Japan Spain 82 Mexico 86 Italy 78 91 India 87 Brazil 80 South Africa 71 Australia Percentages by region: Higher % Latin & South America Canada 71 Australia 71 France 64 Belgium 61 Lower % Americas 86 77 74 North America 85 Africa Europe, Middle East, and Africa 80 85 67 Central & Middle East Eastern Europe Nordic countries 71 Western Europe $VLD3DFLȴF 86 73 Asia Oceania Deloitte University Press | dupress.deloitte.com Capital Trends 2016 KDV GUDPDWLFDOO\ LPSURYHGFRPPXQLFDWLRQVDQGIHHGEDFNHQDEOLQJ PDQDJHUV WR WRXFK EDVH ZLWK HPSOR\HHV RQ D FRQWLQXRXVEDVLVXVLQJQHZWRROVDQGFKHFNLQV WKDWWDNHYHU\OLWWOHWLPH VHSDUDWH VWXG\ 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organizational needs: 7KH FRUH SULQFLSOHV RI FKHFNLQV DJLOH JRDOVHWWLQJDQGIUHTXHQWIHHGEDFNDUHEHFRPLQJ FRPPRQDURXQGWKHZRUOG%XWVRPHFRPSDQLHV VWLOO ZDQW IRUPDO UHYLHZV QXPHULF UDWLQJV DQG GHYHORSPHQWSODQV2UJDQL]DWLRQDOFXOWXUHWDNHV \HDUVWRFKDQJHVRFRPSDQLHVVKRXOGDGRSWQHZ SUDFWLFHVDWDVSHHGWKDWZRUNVIRUWKHEXVLQHVV • Identify a strategy and philosophy for PM::KDWLVWKHRUJDQL]DWLRQWU\LQJWRDFKLHYH WKURXJKDQHZ30V\VWHP"+RZFDQLWEHVWEH DOLJQHGZLWKEXVLQHVVVWUDWHJ\":KDWDSSURDFK ZLOOGHYHORSOHDGHUVPRVWH̆HFWLYHO\",QVWHDGRI FDVFDGHGJRDOVWKDWORFNHPSOR\HHVLQWRDVHWRI DFWLYLWLHV FRQVLGHU D PRUH ÀH[LEOH DJLOH WUDQVSDUHQWDSSURDFKWRJRDOVHWWLQJ • Upskill managers in coaching skills: &RQWLQXRXVIHHGEDFNIRUHPSOR\HHVLVDFULWLFDOIHDWXUHRIWKHQHZ30SDUDGLJP\HWPDQDJHUVRIWHQ QHHGKHOSOHDUQLQJKRZWREHIXOOWLPHFRDFKHV UDWKHU WKDQ SDUWWLPH HYDOXDWRUV &RPSDQLHV DGRSWLQJDQHZ30DSSURDFKVKRXOGIRFXVKHDYLO\ RQ OHDGHUVKLS GHYHORSPHQW EXLOGLQJ QHZ ³PXVFOHV´ LQ PDQDJHUV DQG FUHDWLQJ GLVFLSOLQH DURXQGIHHGEDFNFRDFKLQJDQGFROODERUDWLRQ • Look to peers: ,GHQWLI\ FRPSDQLHV LQ WKH LQGXVWU\ RU UHJLRQ WKDW DUH OHDGLQJ WKH 30 UHYROXWLRQ DQG WKDW IDFH FRPSDUDEOH FKDOOHQJHV G\QDPLFVDQGRSSRUWXQLWLHV • See what is working: $PRQJ SHHUV WKDW DUH H[SHULPHQWLQJZLWK30LGHQWLI\WKHGHVLJQHOHPHQWVWRROVDQGSURFHVVHVWKDWDUHPRVWH̆HFWLYHIRUWKHP,QWHUQDOO\VWXG\KLJKSHUIRUPLQJ LQGLYLGXDOV WHDPV DQG OHDGHUV WR ¿QG ZD\V WR LQFRUSRUDWH WKHLU SUDFWLFHV WKURXJKRXW WKH UHVW RIWKHRUJDQL]DWLRQ • Put it all together: 'HWHUPLQH KRZ FKDQJHV WR 30 ZLOO LQIRUP WKH RUJDQL]DWLRQ¶V UHZDUGV SURPRWLRQDQGVXFFHVVLRQSURFHVVHV$SSURDFK WKLVIURPWKHHPSOR\HHH[SHULHQFHSHUVSHFWLYH FAST FORWARD In the future, leading companies will create a continuous, highly agile process among employees and teams, as well as among employees and leaders. Many will take advantage of new software tools that integrate PM into daily work and use the greater quantity and richer quality of data now available. The dreaded end-of-year HYDOXDWLRQZLOOEHJRQHUHSODFHGE\FRQWLQXRXVIHHGEDFNȵRZLQJEHWZHHQHPSOR\HHV and managers. These changes are not merely new processes, but rather new organizational muscles. As such, they will take time to develop and need constant exercise to maintain. But RYHUWLPHWKH\ZLOOEHFRPHVWURQJHU30FKDQJHVWKDWVHHPGLɝFXOWLQWKHHDUO\ stages of transformation become more natural over time. As trust grows, feedback becomes more direct and constructive, and changes are accepted. Rewriting the rules for the digital age )LJXUH3HUIRUPDQFHPDQDJHPHQW2OGUXOHVYVQHZUXOHV Old rules New rules Performance appraisals and goal-setting conducted once per year Check-ins conducted quarterly or more frequently; regular goal-setting occurs in an open, collaborative process Feedback collected by manager at end of year Feedback collected continuously and easily reviewed at end of year (often through apps and mobile tools) *RDOVNHSWFRQȴGHQWLDOZLWKIRFXVRQLQGLYLGXDO achievement Goals made public and transparent with increased focus on team achievement Employees evaluated by their manager Managers also evaluated by their employees Employees force-ranked on a quantitative scale Employees rated on a qualitative scale; rankings considered, not forced &RPSHQVDWLRQNHSWFRQȴGHQWLDODQGIRFXVHGRQ equity; bands based on performance ratings Compensation levels more transparent, more frequently discussed, and focused more on pay for performance than on equity Managers focused on evaluating performance Managers focused on coaching and developing people One leader evaluates each individual in a qualitative, opinion-based process 0DQ\FRQWULEXWHWRDQLQGLYLGXDOȇVSHUIRUPDQFH evaluation; evaluation draws heavily on data Process considered to be a burden and waste of time Process is agile, faster, continuous, and lighter 'HORLWWH8QLYHUVLW\3UHVV_GXSUHVVGHORLWWHFRP 2017 Deloitte Global Human Capital Trends ENDNOTES 1. 2. David Rock, Beth Jones, and Camille Inge, Reengineering performance management: How companies are evolving PM beyond ratings, NeuroLeadership Institute, 2015. %ULDQ+RPDQ&KDUOHV(/DQFH%HWKDQ\%\QXPDQG:LOOLDP$*HQWU\Ȋ5DWHUVRXUFHHHFWVDUHDOLYHDQGZHOO after all,” Personnel Psychology 63, no. 1 (spring 2010): pp. 119–151. 3. -RVK %HUVLQ 7LDQ\ 0F'RZHOO $PLU 5DKQHPD DQG <YHV YDQ 'XUPH Ȋ7KH RUJDQL]DWLRQ RI WKH IXWXUH $UULYLQJ now,” 2017 Deloitte Global Human Capital Trends: Rewriting the rules for the digital age, Deloitte University Press, February 27, 2017. 4. Bill Pelster, Dani Johnson, Jen Stempel, and Bernard van der Vyver, “Careers and learning: Real time, all the time,” 2017 Deloitte Global Human Capital Trends: Rewriting the rules for the digital age, Deloitte University Press, February 27, 2017. 5. -H 6FKZDUW] /DXUHQFH &ROOLQV +HDWKHU 6WRFNWRQ 'DUU\O :DJQHU DQG %UHWW :DOVK Ȋ7KH IXWXUH RI ZRUN 7KH augmented workforce,” 2017 Deloitte Global Human Capital Trends: Rewriting the rules for the digital age, Deloitte University Press, February 27, 2017. 6. 7LDQ\0F'RZHOO'LPSOH$JDUZDO'RQ0LOOHU7VXWRPX2NDPRWRDQG7UHYRU3DJHȊ2UJDQL]DWLRQDOGHVLJQ7KH rise of teams,” in *OREDO+XPDQ&DSLWDO7UHQGV7KHQHZRUJDQL]DWLRQ'LHUHQWE\GHVLJQ, Deloitte University Press, February 29, 2016. 7. Schwartz et al., “Careers and learning: Real time, all the time.” Rock et al., Is transforming performance management worth it? 9. Executive conversations with the authors. 10. Executive conversations with the authors. 11. Amy Berg (Adidas), in discussion with the authors, November 2016. 12. Executive conversations with the authors. 13. GE executives, in discussion with the authors, January 2017. 14. Janice Semper (GE), in discussion with the authors, August 2016. 15. Amy Berg (Adidas), in discussion with the authors, November 2016. 16. Rock et al., Is transforming performance management worth it? 17. Josh Bersin, HR technology in 2017: Disruption ahead, Bersin by Deloitte, October 4, 2016, http://joshbersin. com/2016/10/hr-technology-in-2017-disruption-ahead/. OKR (Objective and Key Results) is a goal-setting approach originally developed at Intel. Also see Josh Bersin, “Becoming irresistible: A new model for employee engagement,” Deloitte Review 16, Deloitte University Press, January 26, 2015, https://dupress.deloitte.com/dupus-en/deloitte-review/issue-16/employee-engagement-strategies.html. Patagonia senior management, in discussion with the authors, November 2016. 19. Angela Szymusiak (senior talent development partner, Adobe), in discussion with the authors, December 2016. Rewriting the rules for the digital age AUTHORS Nathan Sloan, Deloitte Consulting LLP | [email protected] 1DWKDQ6ORDQOHDGV'HORLWWHȇV3HUIRUPDQFH0DQDJHPHQWVHUYLFHRHULQJLQWKH8QLWHG States, and oversees the US Organization Strategies, Talent Strategies, Strategic Change, and Functional Transformation practice areas. He works with global companies to determine the organizational structures, talent programs, and HR priorities required to implement their business strategies. He is also the US Human Capital leader for Retail and Wholesale Distribution. Dimple Agarwal, Deloitte MCS Limited | [email protected] Dimple Agarwal is the global leader of Organization Transformation and Talent for the Human Capital practice. She consults at the C-suite level on operating model and organizational design, HR and talent strategies, leadership strategies and development, merger integration, and major transformation programs. Her 20-plus years of consulting experience includes work in the United Kingdom, Netherlands, France, Switzerland, India, 0DOD\VLD1LJHULDDQGWKH8$( Stacia Sherman Garr, Bersin by Deloitte, Deloitte Consulting LLP [email protected] Stacia Sherman Garr is responsible for research on human resources, talent strategy, integrated talent management, performance management, career management, diversity and inclusion, employee recognition, competencies, and workforce planning. Garr holds an MBA from the University of California, Berkeley, a master’s degree from the London School RI(FRQRPLFVDQGEDFKHORUVȇGHJUHHVLQKLVWRU\DQGSROLWLFDOVFLHQFHIURP5DQGROSK0DFRQ Woman’s College. Karen Pastakia, Deloitte Canada | [email protected] Karen Pastakia has more than 20 years’ experience in HR and talent consulting. Currently, she leads Deloitte’s Human Capital practice in Toronto. She works with clients to ensure alignment between their HR and talent objectives and investments and the overall business strategy. Pastakia is also one of Deloitte Canada’s marketplace inclusion leaders and has been intimately involved in the evolution of Deloitte University globally. CONTRIBUTORS Maren Hauptmann Rewriting the rules for the digital age 2017 Deloitte Global Human Capital Trends Leadership disrupted Pushing the boundaries /HDGHUVKLS GHYHORSPHQW FRQWLQXHV WR EH D VLJQLȴFDQW FKDOOHQJH IRU FRPSDQLHV around the world, as the transition to the new digital organization creates even larger OHDGHUVKLS JDSV +LJKSHUIRUPLQJ OHDGHUV WRGD\ QHHG GLHUHQW VNLOOV DQG H[SHUWLVH than in generations past, yet most organizations have not moved rapidly enough to develop digital leaders, promote young leaders, and build new leadership models. • The leadership gap has become larger; organizational capabilities to address leadership dropped by 2 percent. • Forty-two percent of companies cite “leadership development” as very important. • The percentage of companies with strong or adequate experiential programs for leaders rose by 2 percent this year. 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Leadership: Percentage of respondents rating this trend “important” or “very important” Percentages in selected countries: Higher % Canada 79 Lower % 83 Netherlands Belgium 64 Germany 86 86 83 86 China Spain 78 Mexico 78 Italy 79 86 India 95 Brazil 76 South Africa 73 Australia Latin & South America 82 79 Italy 79 Japan 78 Spain 78 78 Mexico 78 South Africa 76 Australia 73 United States 72 France 65 Belgium 64 Lower % Americas 81 Brazil Canada United Kingdom Percentages by region: Higher % 86 India 78 Japan France 65 86 China Netherlands UK 78 USA 72 Germany 74 North America 78 Africa Europe, Middle East, and Africa 73 78 79 Central & Middle East Eastern Europe Nordic countries 74 Western Europe $VLD3DFLȴF 85 76 Asia Oceania Deloitte University Press | dupress.deloitte.com WULFDQGFRQQHFWHG7KHVHFKDQJHVUHTXLUHQRWMXVW QHZRSHUDWLQJPRGHOVEXWDGL̆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¿QH KLJKLPSDFW OHDGHUVKLS ,Q WKH ZRUGVRI0DUN=XFNHUEHUJ&(2RI)DFHERRN³7KH ELJJHVW ULVN LV QRW WDNLQJ DQ\ ULVN ,Q D ZRUOG WKDW LVFKDQJLQJUHDOO\TXLFNO\WKHRQO\VWUDWHJ\WKDWLV JXDUDQWHHGWRIDLOLVQRWWDNLQJULVNV´45LVNWDNLQJ KDVEHFRPHRQHRIWKHPRVWLPSRUWDQWGULYHUVRID KLJKSHUIRUPLQJOHDGHUVKLSFXOWXUH DEMOGRAPHICS AND LEADERSHIP DESTINY $ QDWXUDO FRUROODU\ RI WKLV LV WKDW OHDGHUV QHHG LQWHUGLVFLSOLQDU\ VNLOOV &RPSDQLHV VXFK DV *( ,%0 1HVWOp;HUR[DQG0DVWHUFDUGQRZEULQJOHDGHUVWRJHWKHUIRUFROODERUDWLYHGHVLJQDQGSUREOHPVROYLQJ H[HUFLVHVFKDOOHQJLQJWKHPWRXQGHUVWDQGKRZGLIIHUHQWEXVLQHVVIXQFWLRQVLQGXVWULHVDQGWHFKQROR- 'HPRJUDSKLF FKDQJHV DUH DOVR LQÀXHQFLQJ ZKDW LV UHTXLUHG IRU D OHDGHU WR EH VXFFHVVIXO 0LOOHQQLDOV H[SHFW WR EH GHYHORSHG WKURXJKRXW WKHLU ZRUN OLIH 2017 Deloitte Global Human Capital Trends )LJXUH/HDGHUVKLSFDSDELOLWLHVQHHGHGWRVXFFHHGLQDGLJLWDOZRUOG /HDGHUVQHHGWRWKLQNDFWDQGUHDFWGLHUHQWO\WRPDNH their organizations succeed in a digital world Cognitive transformation 7+Ζ1.GLHUHQWO\ Behavioral transformation $&7GLHUHQWO\ Emotional transformation 5($&7GLHUHQWO\ Conceptualizing possibilities in a virtual world Adapting to constantly shifting SRZHUDQGLQȵXHQFH Tolerating an environment of risk and ambiguity Handling ever-increasing cognitive complexity Collaborating with ease across PDQ\GLHUHQWWHDPV Showing resilience in the face of constant change Thinking divergently about new ways of doing things Valuing the contribution of new ZRUNSDUWQHUVDQGGLHUHQW interest groups Being brave in challenging how things are being done Investing huge amounts of energy into getting things right; 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Our research on digital leadership, based on studies done with MIT, shows a shift in leadership capabilities in three areas: how leaders must think, how leaders must act, and how leaders must react. 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EXLOGLQJOHDGHUVDVSDUWRIWKHEXVLQHVVVWUDWHJ\ • Promote younger people into leadership much faster: *LYH WKHP WKH RSSRUWXQLW\ WR OHDUQRQWKHMREDQGWKHÀH[LELOLW\WROHDGWHDPV DQG SURMHFWV ZLWK VXSSRUW IURP VHQLRU OHDGHUV 8VH WKHP DV UHYHUVH PHQWRUV WR KHOS VHQLRU H[HFXWLYHVOHDUQDERXWWHFKQRORJ\ZRUNSUDFWLFHV DQGWKHFXOWXUHRI\RXQJHUHPSOR\HHV 7R DFKLHYH WKHVH JRDOV WKH FRPSDQ\ GHYHORSHG D IUDPHZRUN IRU OHDGHUVKLS SRWHQWLDO WKDW RXWOLQHG WKH VSHFL¿F DWWULEXWHV PRVW SUHGLFWLYH RI OHDGHUVKLS VXFFHVV 7KH RUJDQL]DWLRQ UROOHG RXW WKH WRRO Rewriting the rules for the digital age • Foster risk-taking and experimentation through leadership strategy: /HDGHUVKLS SURJUDPVPXVWEHLQWHUGLVFLSOLQDU\DQGIRFXVRQ QHZSURGXFWDQGVHUYLFHLQQRYDWLRQVHQFRXUDJLQJ ULVNWDNLQJ DQG H[SHULPHQWDWLRQ DV SHRSOH GHYHORSQHZVNLOOV • Move beyond traditional leadership training: ,QVWHDG IRFXV RQ OHDGHUVKLS VWUDWHJ\ZLWKDQHPSKDVLVRQFXOWXUHHPSRZHUPHQW ULVNWDNLQJ NQRZOHGJH VKDULQJ H[SRVXUH PDWUL[PDQDJHPHQWDQGEXLOGLQJWDOHQWDVJXLGHV 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Now, they face even greater pressures as the speed of technology accelerates. The role that leaders play will continue to change, becoming even more digital-focused and teamcentric. A focus on organizational practice, including culture and organizational design, will become an ever-more important part of leadership development. Despite this more challenging environment, leaders will be asked to execute at a higher level—and ensure that their organizations do not lag behind in the digital transformation. 2017 Deloitte Global Human Capital Trends )LJXUH/HDGHUVKLS2OGUXOHVYVQHZUXOHV Old rules New rules /HDGHUVDUHLGHQWLȴHGDQGDVVHVVHGEDVHGRQ experience, tenure, and business performance Leaders are assessed early in their careers for agility, creativity, and ability to lead and connect teams Leaders must “pay their dues” to work their way up the leadership pipeline /HDGHUVDUHLGHQWLȴHGHDUO\DQGJLYHQHDUO\RXWVL]HG responsibility to test and develop their leadership skills Leaders are expected to know what to do and bring judgment and experience to new business challenges Leaders are expected to innovate, collaborate, and use client teams, crowdsourcing, and hackathons to ȴQGQHZVROXWLRQV Leadership development focuses on assessments, training, coaching, and 360-degree development programs Leadership development focuses on culture, context, knowledge-sharing, risk-taking, and exposure to others Leaders are assessed and developed based on behavior and style Leaders are assessed and developed based on thinking patterns and problem-solving ability Leaders are developed through training and professional development programs Leaders are developed through simulation, problem solving, and real-world projects Diversity of leadership is considered a goal and important benchmark to measure Leaders are assessed and trained to understand unconscious bias, inclusion, and diversity in their role /HDGHUVKLSLVFRQVLGHUHGDGLɝFXOWUROHDQGRQHWKDW is sacrosanct in the organization Leadership is considered a role that all play; everyone has opportunities to become a leader Leaders lead organizations and functions Leaders lead teams, projects, and networks of teams 'HORLWWH8QLYHUVLW\3UHVV_GXSUHVVGHORLWWHFRP Rewriting the rules for the digital age ENDNOTES 1. Korn Ferry, “Korn Ferry global study: Majority of CEOs see more value in technology than their workforce,” BusinessWire, September 17, 2016, http://www.businesswire.com/news/home/20161117006293/en/Korn-FerryGlobal-Study-Majority-CEOs-Technology, accessed December 21, 2016. 2. Executive conversations with authors. 3. Executive conversations with authors. 4. BrainyQuote, “Mark Zuckerberg Quotes,” https://www.brainyquote.com/quotes/quotes/m/markzucker453450. html, January 17, 2017. 5. Andrea Derler, High-impact leadership: The new leadership maturity model, Bersin by Deloitte, 2016, http://www. EHUVLQFRP3UDFWLFH'HWDLODVS["GRFLG PRGH VHDUFKS /HDGHUVKLS'HYHORSPHQW 6. Deloitte, 7KH'HORLWWH0LOOHQQLDO6XUYH\:LQQLQJRYHUWKHQH[WJHQHUDWLRQRIOHDGHUV, 2016. 7. Deloitte, The 2016 Deloitte Millennial Survey, p. 6. Derler, High-impact leadership. 9. Gerald Kane et al., Strategy, not technology, drives digital transformation, MIT Sloan Management Review and Deloitte University Press, 2015, https://dupress.deloitte.com/content/dam/dup-us-en/articles/digital-transformation-strategy-digitally-mature/15-MIT-DD-Strategy_small.pdf, accessed December 21, 2016. 2017 Deloitte Global Human Capital Trends AUTHORS Anthony Abbatiello, Deloitte Consulting LLP | [email protected] Anthony Abbatiello is the global leader of Deloitte’s Leadership practice. He specializes in leadership strategy and development, succession management, and HR/talent strategy. Abbatiello has led industry and functional human capital practices and is a respected global thought leader as a SHRM Trendsetter and a resident talent blogger for +XɝQJWRQ3RVW. He advises senior global clients on executive readiness, transformational leadership, and building future leadership pipelines. Margorie Knight, Deloitte MCS Limited | [email protected] Marjorie Knight was the co-founder and chairman of Kaisen Consulting, a boutique global leadership consultancy acquired by Deloitte in 2015. As a seasoned business psychologist, she specializes in the assessment, coaching, and development of C-suite leaders and high potentials and in supporting organizations with succession planning. Based in the United Kingdom, Knight has over 25 years’ experience working with leaders in more than 25 countries across a wide range of sectors. Stacey Philpot, Deloitte Consulting LLP | [email protected] Stacey Philpot is a principal with Deloitte’s Leadership practice. She specializes in implementing cutting-edge programs and processes that help senior executives lead, innovate, and adapt to volatile markets and changing industries. As an organizational psychologist, her areas of expertise are leadership development, succession planning, and talent strategy implementation. Philpot is the author of several book chapters and articles and a frequent speaker on women’s leadership topics. Indranil Roy, Deloitte Consulting Pte Ltd | [email protected] ΖQGUDQLO5R\OHDGVWKH'HORLWWH/HDGHUVKLSSUDFWLFHIRUWKH$VLD3DFLȴFUHJLRQDQGVHUYHVDV FKLHIVWUDWHJ\RɝFHUIRUWKHJOREDO/HDGHUVKLSSUDFWLFH5R\LVDJOREDOO\UHQRZQHGVWUDWHJLF advisor on innovation and digital, leadership, strategy, organization, and culture. He has H[WHQVLYHH[SHULHQFHDGYLVLQJFOLHQWVIURPWKH$6($1PHPEHUVWDWHV%UD]LO-DSDQ&KLQD India, Korea, the United Kingdom, and the United States across a wide range of sectors, LQFOXGLQJȴQDQFLDOVHUYLFHVΖ7JRYHUQPHQWFRQVXPHUEXVLQHVVDQGKHDOWKFDUH CONTRIBUTORS John Crump, Andrea Derler, Karen Pastakia, Mohinish Sinha Rewriting the rules for the digital age 2017 Deloitte Global Human Capital Trends Digital HR Platforms, people, and work HR is undergoing rapid and profound change. Once viewed as a support function that delivered employee services, HR is now being asked to help lead the digital transformation sweeping organizations worldwide. We see this change taking place in three areas: • Digital workforce: How can organizations drive new management practices (which we call “digital DNA”1), a culture of innovation and sharing, and a set of talent practices that facilitate a new network-based organization?2 • Digital workplace: How can organizations design a working environment that enables productivity; uses modern communication tools (such as Slack, Workplace by Facebook, Microsoft Teams, and many others); and promotes engagement, wellness, and a sense of purpose? • Digital HR: How can organizations change the HR function itself to operate in a digital way, use digital tools and apps to deliver solutions, and continuously experiment and innovate? This shift is happening rapidly, as HR leaders are being pushed to take on a larger role in helping to drive the organization to “be digital,” not just “do digital.” • Fifty-six percent of companies we surveyed this year are redesigning their HR programs to leverage digital and mobile tools. • Fifty-one percent of companies are currently in the process of redesigning their organizations for digital business models. • 7KLUW\WKUHHSHUFHQWRIVXUYH\HG+5WHDPVDUHXVLQJVRPHIRUPRIDUWLȴFLDOLQWHOOLgence (AI) technology to deliver HR solutions, and 41 percent are actively building mobile apps to deliver HR services. 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Digital HR: Percentage of respondents rating this trend “important” or “very important” Percentages in selected countries: Canada 63 Higher % Lower % 75 Netherlands Germany 75 USA 65 France 63 Mexico 79 74 South Africa 68 Australia South Africa 74 Italy 74 China 73 Spain 73 Australia 68 United Kingdom 67 United States 65 Japan 64 Canada 63 France 63 Belgium 61 Percentages by region: Higher % Lower % Americas 81 Latin & South America 79 75 87 India 82 Brazil 82 75 73 China Italy 74 Brazil Mexico Germany 64 Japan Spain 73 87 Netherlands Belgium 61 UK 67 India 65 North America 79 Africa Europe, Middle East, and Africa 69 76 72 Central & Middle East Eastern Europe Nordic countries 67 Western Europe $VLD3DFLȴF 79 67 Asia Oceania Deloitte University Press | dupress.deloitte.com 2017 Deloitte Global Human Capital Trends REWRITING THE RULES FOR DIGITAL HR 'LJLWDO +5 UHTXLUHV GLJLWDO WHFKQRORJ\ H[SHUWLVH :KLOH FORXGEDVHG +5 V\VWHPV EURXJKW WUHPHQGRXV YDOXH WR RUJDQL]DWLRQV WKH\ DUH QR ORQJHU HQRXJK 7RGD\ +5 WHDPV DUH UHWKLQNLQJ WKHLU VROXWLRQVLQWKHFRQWH[WRIZRUNÀRZHPEHGGHGDSSV 5R\DO %DQN RI &DQDGD 'HXWVFKH 7HOHNRP )RUG DQGRWKHUVQRZKDYHGLJLWDOGHVLJQWHDPVZLWKLQWKH +5 GHSDUWPHQW3 7KLV PHDQV XVLQJ WKH FORXG DV D ³SODWIRUP´ DQG EXLOGLQJ RQ LW IRU FRPSDQ\VSHFL¿F QHHGV :KLOHQRQHRI+5¶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s companies become networks and the employee base becomes both older and younger, new approaches are needed in almost every HR domain. 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¿QGQHZMREVDQGUHFRPPHQGVQHZDVVLJQPHQWVE\ ORRNLQJDWWKHSDWWHUQVRIWKHLUSHHUV • )LUVWMRE¶V FKDWERW 0\D FDQ HOLPLQDWH XS WR SHUFHQWRIWKHTXHVWLRQVSHRSOHKDYHGXULQJWKH UHFUXLWLQJSURFHVV :LWKLQ+5,%0OHYHUDJHGWKHFRPSDQ\¶V$,LQYHVWPHQWV LQ :DWVRQ WR SLORW WKH XVH RI &+,3 &RJQLWLYH +XPDQ ,QWHUIDFH 3HUVRQDOLW\ D FRJQLWLYH DVVLVWDQWWKDWFDQKDQGOHDZLGHUDQJHRI+5UHODWHG TXHVWLRQV&+,3LVDQLQWHOOLJHQWFKDWERWDYDLODEOH WKURXJK FRPSXWHU WH[W PHVVDJHV DQG VRRQ YRLFH WKDW UHFRJQL]HV WKH PRVW IUHTXHQWO\ DVNHG HPSOR\HH TXHVWLRQV VXFK DV ³7HOO PH DERXW P\ YDFDWLRQEHQH¿WV´RU³)LQGPHDQH[SHUWLQGLJLWDO • 6ZLWFK D QHZ DSS IRU UHFUXLWLQJ KHOSV FDQGLGDWHV¿QGMREVE\JLYLQJWKHPD7LQGHUOLNHH[SHULHQFHIRUMREVHDUFKDQGUHFUXLWPHQW11 • 6RIWZDUH YHQGRU 8QLWLYH XVHV $, WR ZULWH MRE GHVFULSWLRQV EDVHG RQ DFWXDO GLVFXVVLRQV DERXW WKHMREDQGFDQDOJRULWKPLFDOO\LGHQWLI\JHQGHU UDFHRUJHQHUDWLRQDOELDVWRUHGXFHXQFRQVFLRXV ELDVLQUHFUXLWLQJ12$QRWKHUH[DPSOHLV6XFFHVV- 2017 Deloitte Global Human Capital Trends PDUNHWLQJ´DQGEHFRPHVVPDUWHUDOOWKHWLPH7KH V\VWHPKDVDOUHDG\UHGXFHGFDOOFHQWHUWLPHDQGLV SURYLQJSRSXODUZLWKHPSOR\HHV • Build a digital HR team:'HGLFDWHWHDPVWR H[SORUH QHZ YHQGRU VROXWLRQV DQG EXLOG RWKHUV DQGFRQVLGHU$,VROXWLRQVWRLPSURYHVHUYLFHGHOLYHU\UHFUXLWLQJDQGOHDUQLQJ&RPSDQLHVVXFK DV5%&DQG'HXWVFKH7HOHNRPQRZKDYHGLJLWDO GHVLJQWHDPVLQ+5WKDWZRUNZLWK,7WRGHVLJQ SURWRW\SHDQGUROORXWGLJLWDODSSV 5R\DO%DQNRI&DQDGD5%&LVUHLQYHQWLQJLWVHPSOR\HHH[SHULHQFHWKURXJKDFRPSOHWHGLJLWDOIRFXV 7KHFRPSDQ\VHWXSDGLJLWDO+5GHYHORSPHQWWHDP SDUWQHULQJ ZLWK ,7 IRU LQIUDVWUXFWXUH DQG VHFXULW\ WRGHSOR\DQHZ³SUHERDUGLQJ´DSSOLFDWLRQ7KHDSS FDOOHG (PEDUN KHOSV HPSOR\HHV OHDUQ DERXW WKHLU QHZMREVHPEUDFHWKHFRPSDQ\FXOWXUHDQGPHHW WKHLU WHDPV RQOLQH 7R EXLOG RQ WKLV VXFFHVV 5%& SODQVWRGHYHORS&RPSHOOLQJ&DUHHUVDQHQGWRHQG VHWRIDSSVDQGWRROVWKDWIRUPVDGLJLWDOVROXWLRQIRU FDUHHUGHYHORSPHQWMREWUDQVLWLRQDQGFRQWLQXRXV OHDUQLQJ • Organize HR into networks of expertise with strong business partners: 5HWKLQN \RXU +5 RUJDQL]DWLRQ PRGHO WR IRFXV H̆RUWV RQ WKH HPSOR\HH H[SHULHQFH DQDO\WLFV FXOWXUH DQGWKHQHZZRUOGRIOHDUQLQJ0DNHVXUHWKHVH WHDPVFRPPXQLFDWHZHOO+LJKSHUIRUPLQJ+5 WHDPV VKDUH OHDGLQJ SUDFWLFHV DQG NQRZ ZKDW WKHRWKHUWHDPVDUHGRLQJ • Make innovation a core strategy within HR: 3XVK \RXUVHOI WR UHLQYHQW DQG LQQRYDWH LQ HYHU\ SHRSOH SUDFWLFH 0DQ\ RUJDQL]DWLRQV DUH QRZ XVLQJ QHZ SHUIRUPDQFH PDQDJHPHQW SUDFWLFHV EXLOW DURXQG GHVLJQ VHVVLRQV DQG KDFNDWKRQV ,QYHVWLJDWH QHZ LQQRYDWLRQV LQ UHFUXLWLQJ LQFOXGLQJ XVLQJ GDWD WR ¿QG SHRSOH ZKRUHVHPEOHKLJKSHUIRUPHUVLQWKHFRPSDQ\ Start here • 5HGH¿QH \RXU PLVVLRQ +5 WRGD\ PXVW GH¿QHLWVUROHDVWKHWHDPWKDWKHOSVPDQDJHPHQW DQG HPSOR\HHV UDSLGO\ WUDQVIRUP DQG DGDSW WR WKH GLJLWDO ZD\ RI WKLQNLQJ )DPLOLDUL]H \RXUVHOI ZLWK QHWZRUNHG RUJDQL]DWLRQ VWUXFWXUHV RUJDQL]DWLRQDO QHWZRUN DQDO\VLV DQG GLJLWDO OHDGHUVKLSPRGHOV • Rotate younger people into the HR profession:5HJXODUO\URWDWHSHRSOHIURPWKHEXVLQHVVLQWRDQGRXWRI+5XVHLQQRYDWLRQWHDPVWR UHYHUVHPHQWRU VHQLRU OHDGHUV DQG UHFUXLW QHZ 0%$V WR EULQJ SHRSOH ZLWK DQDO\WLFV VNLOOV LQWR WKHSURIHVVLRQ • Upgrade core technology: 5HSODFH OHJDF\ V\VWHPVZLWKDQLQWHJUDWHGFORXGSODWIRUPIRUD VRXQG GLJLWDO LQIUDVWUXFWXUH 8SJUDGH ROG WRROV IRU OHDUQLQJ UHFUXLWLQJ DQG SHUIRUPDQFH PDQDJHPHQWDQGEULQJLQV\VWHPVWKDWDUHHDV\IRU HPSOR\HHVWRXVH • Benchmark:9LVLWRWKHUFRPSDQLHVWRVHHZKDW WKH\ DUH GRLQJ +5 WHDPV FDQ EULQJ LQ RXWVLGH VSHDNHUV MRLQ UHVHDUFK PHPEHUVKLS SURJUDPV DQG FRQWLQXDOO\ ORRN IRU QHZ LGHDV WR IRVWHU LQQRYDWLRQ 7RGD\¶V OHDGLQJ SUDFWLFHV FRPH IURP LQQRYDWLYHLGHDVGHYHORSHGDURXQGDQRUJDQL]DWLRQ¶VFXOWXUHDQGEXVLQHVVQHHGVQRWDERRN • Develop a multiyear HR technology strategy: ,Q WRGD\¶V UDSLGO\ FKDQJLQJ +5 WHFKQRORJ\ ZRUOG LW¶V LPSRUWDQW WR EXLOG D PXOWL\HDU VWUDWHJ\WKDWLQFOXGHVFORXGHQWHUSULVHUHVRXUFH SODQQLQJ (53 SODWIRUPV DSSV DQDO\WLFV DQG D UDQJH RI WRROV IRU $, FDVH PDQDJHPHQW DQG RWKHUVROXWLRQV Rewriting the rules for the digital age FAST FORWARD HR has a critical opportunity to help lead the transformation to a digital enterprise. In the next several years, HR teams that embrace digital platforms to take up the dual challenge of transforming HR operations on the one hand, and transforming the workforce and the way work is done on the other, will be game changers. HR leaders who “lean into” new technologies, platforms, and ways of working, and who explore and invest in enabling agility through constant reinvention, will be strongly positioned to have an impact on business results and employee experience. )LJXUH'LJLWDO+52OGUXOHVYVQHZUXOHV Old rules New rules HR departments focus on process design and harmonization to create standard HR practices HR departments focus on optimizing employee productivity, engagement, teamwork, and career growth HR selects a cloud vendor and implements out-ofthe-box practices to create scale +5EXLOGVLQQRYDWLYHFRPSDQ\VSHFLȴFSURJUDPV develops apps, and leverages the platform for scale HR technology team moves beyond ERP to develop digital capabilities and mobile apps with a focus on “productivity at work” HR technology teams focus on ERP implementation and integrated analytics, with a focus on “ease of use” HR centers of excellence focus on process design and process excellence HR centers of excellence leverage AI, chat, apps, and other advanced technologies to scale and empower employees HR programs are designed for scale and consistency around the world HR programs target employee segments, personae, DQGVSHFLȴFJURXSVSURYLGLQJWKHPZLWKMRXUQH\ maps relevant to their jobs and careers HR focuses on “self-service” as a way to scale services and support HR focuses on “enablement” to help people get work GRQHLQPRUHHHFWLYHDQGSURGXFWLYHZD\V HR builds an employee “self-service portal” as a WHFKQRORJ\SODWIRUPWKDWPDNHVLWHDV\WRȴQG transactional needs and programs HR builds an integrated “employee experience platform” using digital apps, case management, AI, and bots to support ongoing employee needs 'HORLWWH8QLYHUVLW\3UHVV_GXSUHVVGHORLWWHFRP 2017 Deloitte Global Human Capital Trends ENDNOTES 1. 2. Deloitte LLP, Building your digital DNA, 2014, https://www2.deloitte.com/bh/en/pages/technology/articles/building-your-digital-dna.html. -RVK %HUVLQ 7LDQ\ 0F'RZHOO $PLU 5DKQHPD DQG <YHV YDQ 'XUPH Ȋ7KH RUJDQL]DWLRQ RI WKH IXWXUH $UULYLQJ now,” Global Human Capital Trends 2017: Rewriting the rules for the digital age, Deloitte University Press, 2017, https://dupress.deloitte.com/dup-us-en/focus/human-capital-trends.html. 3. Executive conversations with the authors. 4. Josh Bersin, “The HR software market reinvents itself,” Forbes -XO\ KWWSZZZIRUEHVFRPVLWHV MRVKEHUVLQWKHKUVRIWZDUHPDUNHWUHLQYHQWVLWVHOIE 5. Executive conversations with the authors. 6. Executive conversations with the authors. 7. David Mallon et al., +LJKLPSDFW+5%XLOGLQJRUJDQL]DWLRQDOSHUIRUPDQFHIURPWKHJURXQGXS, Bersin by Deloitte, July 24, 2014. Michael Stephan, David Brown, and Robin Erickson, “Talent acquisition: Enter the cognitive recruiter,” Global Human Capital Trends 2017: Rewriting the rules for the digital age, Deloitte University Press, 2017, https://dupress. deloitte.com/dup-us-en/focus/human-capital-trends.html. 9. Wade and Wendy, http://wadeandwendy.ai/, accessed January 17, 2017. 10. BI Intelligence, “Chatbots increase recruitment opportunities,” Business Insider, July 12, 2016, http://www. businessinsider.com/chatbots-increase-recruitment-opportunities-2016-7; Khari Johnson, “Recruitment chatbot Mya automates 75% of hiring process,” Venture Beat, July 11, 2016, http://venturebeat.com/2016/07/11/ recruitment-chatbot-mya-automates-75-of-hiring-process/. 11. Switch, http://www.switchapp.com/, accessed January 17, 2017. 12. Executive conversations with the authors. 13. 6DUD $VKOH\ 2ȇ%ULHQ Ȋ*ODVVGRRUȇV QHZ WRRO WHOOV \RX LI \RXȇUH XQGHUSDLGȋ CNN Tech, October 19, 2016, http:// money.cnn.com/2016/10/19/technology/glassdoor-know-your-worth-tool/. 14. Diane Gherson (senior vice president, Human Resources, IBM), interview with the authors, December 2016. 15. Claire Zillman, “IBM is blowing up its annual performance review,” Fortune, February 1, 2016, http://fortune. com/2016/02/01/ibm-employee-performance-reviews/. 16. Alison DeNisco, “Three guiding principles for ethical AI, from IBM CEO Ginni Rometty,” Tech Republic, January 17, 2017, http://www.techrepublic.com/article/3-guiding-principles-for-ethical-ai-from-ibm-ceo-ginni-rometty/. 17. Per Scott (vice president, Human Resources, Royal Bank of Canada), interview with Josh Bersin, December 2016. Executive conversations with the authors. Rewriting the rules for the digital age AUTHORS Erica Volini, Deloitte Consulting LLP | [email protected] (ULFD9ROLQLLVWKH+XPDQ&DSLWDOFRXQWU\OHDGHUIRUWKH86DQGWKHOHDGHURIWKH86+5 7UDQVIRUPDWLRQSUDFWLFH6KHȴUPO\EHOLHYHVWKDW+5VKRXOGEHDWWKHKHOPRIKHOSLQJ businesses optimize their performance. Throughout her 20-year consulting career, Volini has worked with organizations to determine how best to deliver HR services, which enable JOREDOJURZWKDQGGULYHHQKDQFHGSURȴWDELOLW\DQGKDVKHOSHGPDQ\RIWKHZRUOGȇVOHDGLQJ RUJDQL]DWLRQVDFURVVPXOWLSOHLQGXVWULHVGHȴQHWKHLUKXPDQFDSLWDOVWUDWHJ\ Pascal Occean, Deloitte Canada | [email protected] Pascal Occean leads Deloitte’s Canadian HR Transformation practice. With more than 18 years of experience serving domestic and global clients, Occean specializes in all aspects of HR transformation, including strategy, service delivery, process reengineering, outsourcing, service center transitions, implementations, and support. Occean also has in-depth knowledge of HR technology implementations for solutions such as SAP, Oracle, and Workday. Michael Stephan, Deloitte Consulting LLP | [email protected] Michael Stephan is the global leader for Deloitte’s HR Transformation practice. He develops and integrates HR service delivery models across the operations and technology spectrum, with a focus on optimizing HR service delivery around the world. His global consulting experience includes HR strategy, HR operating model design and implementation, HR business process outsourcing (BPO), global technology deployment, and enterprise transition management. Brett Walsh, Deloitte MCS Limited | [email protected] Brett Walsh is Deloitte’s global Human Capital leader and a global lead client service partner. He has over 25 years of international experience consulting with executives on HR transformation, HR technologies, and the “future of work.” A frequent speaker and author, Walsh has an MBA from Warwick University and is a fellow of the Institute of Business Consultants. CONTRIBUTORS -DVRQ)O\QQ'DYLG0DOORQ-H0LNH Rewriting the rules for the digital age 2017 Deloitte Global Human Capital Trends People analytics Recalculating the route People analytics in HR is undergoing a seismic shift. Driven by the widespread adoption of cloud HR systems, companies are investing heavily in programs to use data for all aspects of workforce planning, talent management, and operational improvement. People analytics, a discipline that started as a small technical group that analyzed engagement and retention, has now gone mainstream. Organizations are redesigning their technical analytics groups to build out digitally powered enterprise analytics solutions. These new solutions, whether developed internally or embedded in new digital solutions, are enabling organizations to conduct real-time analytics at the point of need in the business process. This allows for a deeper understanding of issues and actionable insights for the business. • While 71 percent of companies see people analytics as a high priority in their organizations (31 percent rate it very important), progress has been slow. The percentage of companies correlating HR data to business outcomes, performing predictive analytics, and deploying enterprise scorecards barely changed from last year. • Analytics is being applied to a wide range of business challenges: Recruiting remains the No. 1 area of focus, followed by performance measurement, compensation, workforce planning, and retention. We see an explosive growth in the use of organizational network analysis (ONA) and the use of “interaction analytics” (studying employee behavior) to better understand opportunities for business improvement. • 5HDGLQHVVUHPDLQVDVHULRXVLVVXH$IWHU\HDUVRIGLVFXVVLQJWKLVLVVXHRQO\SHUcent report they have usable data; only 9 percent believe they have a good understanding of which talent dimensions drive performance in their organizations; and only 15 percent have broadly deployed HR and talent scorecards for line managers. 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People analytics: Percentage of respondents rating this trend “important” or “very important” Percentages in selected countries: Higher % Canada 72 Lower % 75 Netherlands 81 China Spain 61 Mexico 71 Italy 76 83 India Italy 76 USA 76 Netherlands 75 Australia 73 Canada 72 South Africa 71 73 Australia Percentages by region: Higher % Latin & South America Mexico 71 Germany 66 Spain 61 Belgium 55 France 48 Lower % Americas 75 81 77 85 Brazil 71 South Africa 83 78 77 Japan France 48 India China UK UK 78 Germany 66 85 Japan Belgium 55 USA 76 Brazil 75 North America 75 Africa Europe, Middle East, and Africa 75 78 83 Central & Middle East Eastern Europe Nordic countries 85 Western Europe $VLD3DFLȴF 85 81 Asia Oceania Deloitte University Press | dupress.deloitte.com 2017 Deloitte Global Human Capital Trends LW\ZKLFKKHOSVSUHGLFWDQGGLDJQRVHSUREOHPV SLQSRLQWWUDLQLQJVROXWLRQVDQGLPSURYHTXDOLW\ RIKLULQJ3 Predictive analytics tools from many HR technology vendors have arrived, making it possible to 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investment in analytics programs: 7KLV LQYHVWPHQWLVDLPHGDWEXLOGLQJDQHZEXVLQHVV IXQFWLRQ IRU WKH FRPSDQ\ QRW MXVW D WHFKQLFDO WHDPZLWKLQ+5 • )RFXVRQDFWLRQVQRWMXVW¿QGLQJV7RSURYLGHYDOXHWKHDQDO\WLFVWHDPPXVWWUDQVODWHLQIRUPDWLRQLQWRVROXWLRQVDQGVWDNHKROGHUVPXVW WDNHDFWLRQ • Integrate HR, organizational, and external data:$GYDQFHGSHRSOHDQDO\WLFVSURJUDPV LQFUHDVLQJO\UHO\RQWKHLQWHUVHFWLRQRIGDWDIURP +5RSHUDWLRQVDQGH[WHUQDOVRXUFHV2UJDQL]DWLRQVUHTXLUHDGDWDVWUDWHJ\WKDWHQFRXUDJHVWKH LQWHJUDWLRQ DQG XVH RI VWUXFWXUHG DQG XQVWUXFWXUHGGDWDIURPLQWHUQDODQGH[WHUQDOVRXUFHV FAST FORWARD Over the next few years, the number of data sources will continue to rise, leading to a fusion of external and internal data in predicting employee behavior. At leading companies, analytics will become even more interdisciplinary, along the lines of ONA. Eventually, people analytics will be fully integrated into systems and always in the background, rather than a separate source of information. Going forward, analytics technology will have the capability to deliver increasingly personalized recommendations. Due to the sensitive nature of some people analytics programs, organizations will likely need to become far more serious about data FRQȴGHQWLDOLW\ORFDOUHJXODWLRQUHJDUGLQJWKHXVHRIHPSOR\HHGDWDDQGWKHULVNRI public disclosure of private information on the organization and its employees. 2017 Deloitte Global Human Capital Trends )LJXUH3HRSOHDQDO\WLFV2OGUXOHVYVQHZUXOHV Old rules New rules People analytics is viewed as an HR team focused on advanced analytics within HR People analytics is viewed as a business analytics team that works across the business to drive business results Analytics focuses on HR topics such as retention, engagement, learning, and recruitment metrics Analytics focuses on business problems such as sales SURGXFWLYLW\ZRUNIRUFHHHFWLYHQHVVKLJKSRWHQWLDO retention, fraud, accident patterns, and other operational needs The organization makes a business case for better data integration, quality, and tools The organization has already committed to accurate and integrated data, and has tools and processes to ensure quality and ease of analysis The people analytics team has a strong understanding of HR data The people analytics team understands HR data, ȴQDQFLDOGDWDDQGFXVWRPHUGDWDDQGLWKDV relationships with all the other analytics groups in the company The people analytics team lives in HR operations and reports to HR technology, or in functional areas The people analytics team operates at a senior level, reports to the CHRO, and serves business leaders across the company The people analytics team is a small set of technical experts with data management and statistical skills The people analytics team is a multidisciplinary team, with a focus on business consulting, visual communications, and problem solving 3HRSOHDQDO\WLFVLVVWDHGE\3K'VWDWLVWLFLDQVZKRVH primary focus is the development of models and data warehouses People analytics is a consulting function that helps business leaders solve problems People analytics focuses on employees People analytics focuses on the entire workforce, including employees and contingent labor The people analytics team focuses heavily on engagement survey data and employee happiness and culture The people analytics team moves beyond engagement to understand the detailed drivers of engagement and builds culture models to understand what drives the workforce 'HORLWWH8QLYHUVLW\3UHVV_GXSUHVVGHORLWWHFRP Rewriting the rules for the digital age ENDNOTES 1. Erica Volini, Pascal Occean, Michael Stephan, and Brett Walsh, “Digital HR: Platforms, people, and work,” Global Human Capital Trends 2017: Rewriting the rules for the digital age, Deloitte University Press, 2017, https://dupress. deloitte.com/dup-us-en/focus/human-capital-trends.html. 2. Executive conversations with the authors. 3. Ibid. 4. Ibid. 5. Josh Bersin, “Workday acquires Platfora: Analytics race accelerates,” Forbes, July 25, 2016, http://www.forbes. FRPVLWHVMRVKEHUVLQZRUNGD\DFTXLUHVSODWIRUDDQDO\WLFVUDFHDFFHOHUDWHVHEGGIH 6. Peter A. Gloor, “What email reveals about your organization,” MIT Sloan Management Review, November 17, 2015, http://sloanreview.mit.edu/article/what-email-reveals-about-your-organization/. 7. 2OLYLD2UDQȊ:DOO6WUHHWKRSHVDUWLȴFLDOLQWHOOLJHQFHVRIWZDUHKHOSVLWKLUHOR\DOEDQNHUVȋReuters, June 7, 2016, http://www.reuters.com/article/us-banks-hiring-ai-idUSKCN0YT163, accessed December 2016. 'HORLWWH Ȋ'HORLWWH DQDO\VLV +LGGHQ ODERU H[SHQVHV DQG LQHHFWLYH ODERU XWLOL]DWLRQ FRVWLQJ FRPSDQLHV WHQV RI millions of dollars,” press release, June 16, 2016, https://www2.deloitte.com/us/en/pages/about-deloitte/articles/ press-releases/laborwise-solution-pinpoints-overages-in-labor-spending.html. 9. Executive conversations with the authors. 10. 6DUDK 2ȇ&RQQRU Ȋ:KHQ \RXU ERVV LV DQ DOJRULWKPȋ Financial Times 6HSWHPEHU KWWSVZZZIWFRP FRQWHQWIGFHIHEDGHGHD 11. Michael Stephan, David Brown, and Robin Erickson, “Talent acquisition: Enter the cognitive recruiter,” Global Human Capital Trends 2017: Rewriting the rules for the digital age, Deloitte University Press, 2017, https://dupress. deloitte.com/dup-us-en/focus/human-capital-trends.html. 12. hiQ, “Enterprise solutions,” https://www.hiqlabs.com/solutions/, accessed January 31, 2017. 13. Executive conversations with the authors. 14. Ibid. 15. Madhura Chakrabarti, Scaling people analytics globally: Chevron takes a multipronged approach to building organi]DWLRQZLGHDQDO\WLFVFDSDELOLWLHVSDUWΖ, Bersin by Deloitte, November 2, 2016, https://www.bersin.com/Practice/ Detail.aspx?id=20290, accessed December 21, 2016. 2017 Deloitte Global Human Capital Trends AUTHORS Laurence Collins, Deloitte MCS Limited | [email protected] Laurence Collins leads the United Kingdom’s HR Digital, Workforce Planning and Analytics practices, helping clients drive productivity and performance in the context of the “future of work.” He focuses on applying a variety of approaches such as predictive analytics, robotics, and strategic workforce planning for improved business impact. His work includes reimagining the role of HR and linking the resulting outcomes of new capabilities back to the economic contribution of human capital. Dave Fineman, Deloitte Consulting LLP | GȴQHPDQ#GHORLWWHFRP Dave Fineman leads the HR Transformation People Analytics and Workforce Planning program in the United States. In this role, he collaborates with Deloitte colleagues from DFURVVPHPEHUȴUPVIXQFWLRQVWHFKQRORJ\HQYLURQPHQWVDQGLQGXVWU\SURJUDPVGHVLJQLQJ and delivering solutions that build capability, deploy technology, and advance people analytics and workforce planning capabilities within client organizations. In addition to his client work, Fineman has presented people analytics and workforce planning topics at LQGXVWU\DQGIXQFWLRQDOFRQIHUHQFHVDQGOHGFOLHQWVSHFLȴFVHPLQDUVDQG*UHHQKRXVH/DE sessions. He has an MBA from the Amos Tuck School of Business at Dartmouth College and a BA from Clark University. Akio Tsuchida, Deloitte Tohmatsu Consulting Co., Ltd | [email protected] Akio Tsuchida is Deloitte’s Human Capital leader for Japan. With more than 20 years of human capital consulting experience, Tsuchida has rich expertise in total rewards and performance management, executive compensation, workforce planning, and talent management. He has led large-scale business transformation projects related to crossborder M&A, post-merger integration, corporate restructuring, and globalization. He has a master’s degree in labor relations and human resources from Michigan State University. CONTRIBUTORS Madhura Chakrabarti, Stavros Demetriou, Jim Guszcza, John Houston, Luk Smeyers Rewriting the rules for the digital age 2017 Deloitte Global Human Capital Trends Diversity and inclusion The reality gap Diversity and inclusion has become a CEO-level issue around the world. The digital organization of today, which operates as a network of teams, thrives on empowerment, open dialogue, and inclusive working styles. Leading organizations now see diversity and inclusion as a comprehensive strategy woven into every aspect of the talent life cycle to enhance employee engagement, improve brand, and drive performance. The era of diversity as a “check the box” initiative owned by HR is over. CEOs must take ownership and drive accountability among leaders at all levels to close the gap between what is said and actual impact. • ΖQWKLV\HDUȇVVXUYH\WKHSURSRUWLRQRIH[HFXWLYHVZKRFLWHGLQFOXVLRQDVDWRSSULority has risen by 32 percent compared with our 2014 survey. • Over two-thirds (69 percent) of executives rate diversity and inclusion an important issue (up from 59 percent in 2014). • Thirty-eight percent of executives report that the primary sponsor of the compaQ\ȇVGLYHUVLW\DQGLQFOXVLRQHRUWVLVWKH&(2 I N WRGD\¶VSROLWLFDOHFRQRPLFDQGJOREDOEXVLQHVV HQYLURQPHQW GLYHUVLW\ KDV EHFRPH LQFUHDVLQJO\ LPSRUWDQW 7KH QXPEHU RI H[HFXWLYHV ZKR FLWHG LQFOXVLRQDVDWRSSULRULW\KDVULVHQSHUFHQWIURP WKH+XPDQ&DSLWDO7UHQGVVXUYH\DQGLQWKH ODVW WKUHH \HDUV WKH SHUFHQWDJH RI FRPSDQLHV WKDW UDWH WKHPVHOYHV H[FHOOHQW DW JHQGHU GLYHUVLW\ ZHQW XS E\ SHUFHQW %DVHG RQ WKLV \HDU¶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¿QLQJ KRZ WKH FRPSDQ\ OLVWHQV WR WKHP DW ZRUN2 6KDUHKROGHUV FXVWRPHUVDQGVXSSOLHUVDUHDOOWDNLQJDFORVHUORRN DWWKLVLVVXH $VDZDUHQHVVDURXQGGLYHUVLW\DQGLQFOXVLRQJURZV GLYHUVLW\ DQG LQFOXVLRQ KDYH EHFRPH PRUH LPSRUWDQWIRUWDOHQWDFTXLVLWLRQDQGDFRPSDQ\¶VHPSOR\PHQW EUDQG 0DQ\ RUJDQL]DWLRQV RSHUDWH LQ DQ HQ- 7KLV \HDU WKH LVVXH LV EURDGHU WKDQ WKH VWDQGDUG EXVLQHVV FDVH DQG UHTXLUHV D PRUH FRPSUHKHQVLYH Rewriting the rules for the digital age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Ṙ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igure 1. Diversity and inclusion: Percentage of respondents rating this trend “important” or “very important” Percentages in selected countries: Higher % Canada 68 Lower % China 81 80 Mexico 79 India 78 Australia 77 United Kingdom 86 Japan Brazil 74 Belgium 56 UK 74 Germany 61 France 59 Spain 66 Mexico 79 81 China Italy 61 78 India 69 Brazil 80 South Africa 68 United States 66 Spain 66 Netherlands 65 Italy 61 Germany 61 France 59 Belgium 56 77 Australia Lower % Americas 73 Latin & South America 69 Canada Percentages by region: Higher % 86 South Africa 65 Netherlands USA 66 Japan 67 North America 79 Africa Europe, Middle East, and Africa 60 67 62 Central & Middle East Eastern Europe Nordic countries 62 Western Europe $VLD3DFLȴF 78 75 Asia Oceania Deloitte University Press | dupress.deloitte.com 2017 Deloitte Global Human Capital Trends 7KLUGDJURZLQJERG\RIUHVHDUFKLQGLFDWHVWKDWGLYHUVHDQGLQFOXVLYHWHDPVRXWSHUIRUPWKHLUSHHUV9 &RPSDQLHV ZLWK LQFOXVLYH WDOHQW SUDFWLFHV LQ KLULQJSURPRWLRQGHYHORSPHQWOHDGHUVKLSDQGWHDP PDQDJHPHQWJHQHUDWHXSWRSHUFHQWKLJKHUUHYHQXH SHU HPSOR\HH DQG JUHDWHU SUR¿WDELOLW\ WKDQ WKHLU FRPSHWLWRUV :LWKRXW D VWURQJ FXOWXUH RI LQFOXVLRQDQGÀH[LELOLW\WKHWHDPFHQWULFPRGHOFRPSULVLQJGLYHUVHLQGLYLGXDOVPD\QRWSHUIRUPZHOO GHFLVLRQPDNLQJWDOHQWGHFLVLRQVDQGEXVLQHVVRXWFRPHV :H KLJKOLJKW WKLV WUHQG EHFDXVH WKLV LVVXH KDV EHFRPHLQFUHDVLQJO\LPSRUWDQW(PSOR\HHVDQGVWDNHKROGHUVDUHVWDUWLQJWRYRLFHFRQFHUQVEXWVROXWLRQV EXLOWDURXQGWUDLQLQJDQGHGXFDWLRQDUHQRWZRUNLQJ ZHOO HQRXJK $ VHW RI ³QHZ UXOHV´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̆HUSHUVSHFWLYH7KH EXVLQHVVLVVXHRIGLYHUVLW\DQGLQFOXVLRQQRZWRXFKHVLVVXHVRIHPSOR\HHHQJDJHPHQWIDLUQHVVKXPDQ ULJKWVDQGHYHQVRFLDOMXVWLFH 6HFRQGWKHQHHGIRUGLYHUVLW\DQGLQFOXVLRQLVQRZ DQLPSRUWDQWFRPSRQHQWDWZRUN0DQ\ODUJHRUJDQL]DWLRQV QRZ GH¿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² DQG VHWWLQJ D VWURQJ H[DPSOH $V DQ H[DPSOH DIWHU 6DOHVIRUFH SHUIRUPHG D FRPSUHKHQVLYH DQDO\VLV RI HPSOR\HHVDQGLGHQWL¿HGDJHQGHUSD\JDS WKHFRPSDQ\VSHQWURXJKO\PLOOLRQ WRHYHQRXWWKHGLVSDULW\13 )LIWKDVFDUHHUWUDMHFWRULHVFKDQJHLVVXHVRIDJHDQG OLIHWUDQVLWLRQDUHEHFRPLQJPRUHLPSRUWDQW$QHFGRWDOHYLGHQFHVXJJHVWVWKDWPLOOLRQVRI%DE\%RRPHUVDUHGHOD\LQJUHWLUHPHQWZKLOHPDQ\0LOOHQQLDOV DUH DSSURDFKLQJ WKH DJH ZKHQ ERWK VSRXVHV RIWHQ ZRUNDQGWKH\H[SHFWDQGGHPDQGHTXDOWUHDWPHQW $QG WKH SURVSHFW RI ORQJHU FDUHHUV PHDQV D ZLGHU JHQHUDWLRQDO VSDQ LQ WKH ZRUNIRUFH (̆RUWV WR DGGUHVV VXFK LVVXHV DUH JDLQLQJ JURXQG 2QH UHWDLOHU IRUH[DPSOHGHYHORSHGDSURJUDPFDOOHG6QRZELUG WRKHOSROGHUZRUNHUVWUDQVIHUWRZDUPHUFOLPDWHVWR VWD\ ZLWK WKH FRPSDQ\ 0LFKHOLQ OHWV VHQLRU ZKLWH FROODU ZRUNHUV VWUHWFK RXW WKHLU FDUHHUV WR UHGXFH VWUHVV ODWHU LQ OLIH 7KH 86 1DWLRQDO ,QVWLWXWHV RI A set of “new rules” is being written that will demand a new focus on experiential learning, process change, data-driven tools, transparency, and accountability. 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IRUJOREDOGLYHUVLW\32'LYHUVLW\,QFFUHGLWHG3*IRU KLJKO\ YDOXLQJ HDFK HPSOR\HH¶V XQLTXH FRQWULEXWLRQVDQGIRUWKHUHSUHVHQWDWLRQRIZRPHQ$IULFDQ $PHULFDQV /DWLQRV DQG $VLDQ$PHULFDQV DPRQJ PDQDJHPHQWDWUDWHVKLJKHUWKDQWKH86DYHUDJH Start here • Ensure that top leadership understands the importance of diversity:6KDUHUHVHDUFK RQ WKH YDOXH RI LQFOXVLRQ WR EXLOG FRQVHQVXV DW WKHRUJDQL]DWLRQ¶VKLJKHVWOHYHOV7KHQKROGWRS OHDGHUV DFFRXQWDEOH WKURXJK PHWULFV DQG WUDQVSDUHQWUHSRUWVRQGLYHUVLW\LQSURPRWLRQKLULQJ DQGFRPSHQVDWLRQ • Use technology and data to identify problems and measure progress: $QDO\WLFV FDQ QRZ KHOS LQ LGHQWLI\LQJ SDWWHUQV RI JHQGHU DQG 2017 Deloitte Global Human Capital Trends UDFLDO ELDV GLVSDULWLHV LQ FRPSHQVDWLRQ DQG UHZDUGVDQGELDVLQKLULQJDQGSURPRWLRQ7RROV WR DQRQ\PL]H UHVXPHV DQG KHOS WUDLQLQJ PDQDJHUV UHPRYH ELDV VKRXOG EHFRPH SDUW RI WKH GLYHUVLW\H̆RUW • Move beyond HR: &RQVLGHU GLYHUVLW\ DQG LQFOXVLRQ DV SDUW RI WKH FRUSRUDWH LQIUDVWUXFWXUH MXVW OLNH FRPSOLDQFH ,7 DQG VHFXULW\ LW PXVW EHSUDFWLFHGE\HYHU\RQHDQGRZQHGE\DOOOLQH OHDGHUV'LYHUVLW\DQGLQFOXVLRQLVDEXVLQHVVUHVSRQVLELOLW\QRWDQ+5UHVSRQVLELOLW\ • &RQVLGHU JOREDO GL̆HUHQFHV *HRJUDSKLF GLYHUVLW\LVLQFUHDVLQJO\LPSRUWDQWDVPRUHRUJDQL]DWLRQVEHFRPHJOREDO7KHVSHFL¿FFKDOOHQJHV IRUGLYHUVLW\DQGLQFOXVLRQZLOOOLNHO\YDU\ZLGHO\ IURPUHJLRQWRUHJLRQDQGHPSOR\HHV¶LQWHUHVWV DQGFRQFHUQVLQGL̆HUHQWUHJLRQVZLOOOLNHO\GLIIHUDVZHOO FAST FORWARD Old models of diversity and inclusion are undergoing change, and this trend is expected to accelerate. As employee demands shift and diversity receives greater DWWHQWLRQJOREDOO\WKHSULYDWHVHFWRUȇVUHVSRQVLELOLWLHVZLOOFRQWLQXHWRJURZ$VWKH large Baby Boomer population ages, the need to broaden the focus on diversity and inclusion to account for the elderly in the workplace will increase. In inclusive organizations, the way people operate will shift, and the everyday language of the business will change. Rewriting the rules for the digital age )LJXUH'LYHUVLW\DQGLQFOXVLRQ2OGUXOHVYVQHZUXOHV Old rules New rules Diversity is considered a reporting goal driven by compliance and brand priorities Diversity and inclusion is a CEO-level priority and considered important throughout all levels of management Work-life balance is considered a challenge for employees to manage, with some support from the organization Work-life balance, family, and individual wellness are all considered part of the total employee experience Companies measure diversity through the GHPRJUDSKLFSURȴOHRIGHVLJQDWHGJURXSVGHȴQHGE\ attributes such as gender, race, nationality, or age Companies measure inclusion, diversity, and lack of bias in all recruitment, promotion, pay, and other talent practices 'LYHUVLW\LVGHȴQHGE\JHQGHUUDFHDQG GHPRJUDSKLFGLHUHQFHV 'LYHUVLW\LVGHȴQHGLQDEURDGHUFRQWH[WLQFOXGLQJ concepts of “diversity of thought,” also addressing SHRSOHZLWKDXWLVPDQGRWKHUFRJQLWLYHGLHUHQFHV Leaders are promoted on “merit” and experience “Merit” is unpacked to identify built-in biases; leaders are promoted on their ability to lead inclusively Diversity and inclusion is a program of education, training, and discussion Diversity and inclusion goes beyond education to focus on debiasing business processes and holding leaders accountable for inclusive behavior Companies regularly report progress on diversity measures Companies hold managers accountable for creating an inclusive culture, using metrics to compare them against each other 'HORLWWH8QLYHUVLW\3UHVV_GXSUHVVGHORLWWHFRP 2017 Deloitte Global Human Capital Trends ENDNOTES 1. 2. Bonnie Marcus, “The lack of diversity in tech is a cultural issue,” Forbes, August 12, 2015, http://www.forbes.com/ VLWHVERQQLHPDUFXVWKHODFNRIGLYHUVLW\LQWHFKLVDFXOWXUDOLVVXHF Deloitte Touche Tohmatsu Limited, %LJ GHPDQGV DQG KLJK H[SHFWDWLRQV 7KH 'HORLWWH 0LOOHQQLDO 6XUYH\ ([HFXWLYH summary, January 2014, http://www2.deloitte.com/content/dam/Deloitte/global/Documents/About-Deloitte/gxdttl-2014-millennial-survey-report.pdf. 3. M. Christie Smith and Stephanie Turner, 7KHUDGLFDOWUDQVIRUPDWLRQRIGLYHUVLW\DQGLQFOXVLRQ7KH0LOOHQQLDOLQȵXence, Deloitte, 2015, http://www2.deloitte.com/us/en/pages/about-deloitte/articles/radical-transformation-ofdiversity-and-inclusion.html, accessed October 12, 2016. 4. -RVK %HUVLQ 7LDQ\ 0F'RZHOO $PLU 5DKQHPD DQG <YHV YDQ 'XUPH Ȋ7KH RUJDQL]DWLRQ RI WKH IXWXUH $UULYLQJ now,” Global Human Capital Trends 2017: Rewriting the rules for the digital age, Deloitte University Press, 2017, https://dupress.deloitte.com/dup-us-en/focus/human-capital-trends.html. 5. Juliet Bourke, :KLFK7ZR+HDGV$UH%HWWHUWKDQ2QH"+RZ'LYHUVH7HDPV&UHDWH%UHDNWKURXJKΖGHDVDQG0DNH6PDUWHU Decisions (Australian Institute of Company Directors, 2016); David Rock and Heidi Grant, “Why diverse teams are smarter,” Harvard Business Review, November 4, 2015, https://hbr.org/2016/11/why-diverse-teams-are-smarter, accessed December 21, 2016; Stacia Sherman Garr, Candace Atamanik, and David Mallon, High-impact talent management: The new talent management maturity model, Bersin by Deloitte, 2015, http://marketing.bersin.com/ high-impact-talent-management.html, accessed December 21, 2016. 6. Bernadette Dillon and Juliet Bourke, Waiter, is that inclusion in my soup? A new recipe to improve business performance, Deloitte, May 2013, https://www2.deloitte.com/content/dam/Deloitte/au/Documents/human-capital/deloitte-au-hc-diversity-inclusion-soup-0513.pdf, accessed December 21, 2016; Natasha Doherty and Juliet Bourke, Toward gender parity: Women on Boards Initiative, Deloitte Access Economics, 2016, https://www2.deloitte.com/ content/dam/Deloitte/au/Documents/Economics/deloitte-au-toward-gender-parity-women-on-boards-initiative-041016.pdf, accessed December 21, 2016. 7. -DQH 3RUWHU Ȋ<RXȇUH PRUH ELDVHG WKDQ \RX WKLQNȋ Fast Company, October 6, 2014, https://www.fastcompany. com/3036627/strong-female-lead/youre-more-biased-than-you-think, accessed December 21, 2016. Stacia Sherman Garr, The diversity and inclusion primer: An introduction, Bersin by Deloitte, 2014. 9. Bourke, :KLFK7ZR+HDGV$UH%HWWHUWKDQ2QH"; Garr, Atamanik, and Mallon, High-impact talent management. 10. Garr, Atamanik, and Mallon, High-impact talent management. 11. $GDP)ULVNȊȆ%HFDXVHLWȇVȇ7UXGHDXȇVJHQGHUHTXDOFDELQHWPDNHVKHDGOLQHVDURXQGZRUOGVRFLDOPHGLDȋ Global News, November 5, 2015, http://globalnews.ca/news/2320795/because-its-2015-trudeaus-gender-equalcabinet-makes-headlines-around-world-social-media/, accessed December 21, 2016. 12. Alexander K. Song, “Dodd-Frank and executive compensation—part 1: Status update,” National Law Review, April KWWSZZZQDWODZUHYLHZFRPDUWLFOHGRGGIUDQNDQGH[HFXWLYHFRPSHQVDWLRQSDUWVWDWXVXSGDWH 13. Cindy Robbins, “Equality at Salesforce: The equal pay assessment update,” Salesforce Blog0D\KWWSV www.salesforce.com/blog/2016/03/equality-at-salesforce-equal-pay.html, accessed December 21, 2016. 14. Steven Greenhouse, “The age premium: Retaining older workers,” New York Times, May 14, 2014, http://www. nytimes.com/2014/05/15/business/retirementspecial/the-age-premium-retaining-older-workers.html, accessed December 21, 2016. Rewriting the rules for the digital age 15. Stacia Sherman Garr, The diversity and inclusion benchmarking report, Bersin by Deloitte, March 2014. 16. Stacia Sherman Garr and Candace Atamanik, High-impact diversity and inclusion, Bersin by Deloitte, forthcoming, April 2017. 17. Catalyst, “Statistical overview of women in the workforce,” April 6, 2016, http://www.catalyst.org/knowledge/ statistical-overview-women-workforce. Miki Perkins, “Victorian government trials blind job applications to overcome hiring bias,” Age, May 20, 2016, http://www.theage.com.au/victoria/victorian-government-trials-blind-job-applications-to-overcome-hiring-biasJR]SIKWPODFFHVVHG2FWREHU 19. Matthew Lieberman et al., “Breaking bias: The SEEDS model,” NeuroLeadership Journal, November 2015, https:// neuroleadership.com/portfolio-items/breaking-bias-updated-the-seeds-model-2/, accessed December 21, 2016. 20. Bernadette Dillon and Juliet Bourke, 7KHVL[VLJQDWXUHWUDLWVRILQFOXVLYHOHDGHUVKLS7KULYLQJLQDGLYHUVHQHZZRUOG, Deloitte University Press, April 14, 2016, https://dupress.deloitte.com/dup-us-en/topics/talent/six-signaturetraits-of-inclusive-leadership.html, accessed December 21, 2016. 21. 6RQ\D.XQNHOLQFOXVLRQRɝFHUYLFHSUHVLGHQWSHRSOHVWUDWHJLHVDQGLQVLJKWV%02)LQDQFLDO*URXSLQFRQYHUVDtion with Juliet Bourke, January 2017. 22. *RYHUQPHQW(TXDOLWLHV2ɝFHȊ7KLQNDFWUHSRUW/OR\GV%DQNLQJ*URXSȋKWWSVZZZJRYXNJRYHUQPHQWFDVH studies/think-act-report-lloyds-banking-group, November 4, 2014. 23. Virgin Money, (PSRZHULQJSURGXFWLYLW\+DUQHVVLQJWKHWDOHQWVRIZRPHQLQȴQDQFLDOVHUYLFHV, March 2016, http:// uk.virginmoney.com/virgin/assets/pdf/Virgin-Money-Empowering-Productivity-Report.pdf. 24. Ibid. 25. *RYHUQPHQW(TXDOLWLHV2ɝFHȊ7KLQNDFWUHSRUWȋ 26. Virgin Money, Empowering productivity. 27. P&G, 2015 diversity & inclusion annual report: Enabling a culture of innovation & productivity, http://cdn.pg.com/-/ media/PGCOMUS/Documents/PDF/Who_We_Are/DiversityandInclusion/PG_DiversityInclusion_AR_2012%20pdf. pdf?la=en-US&v=1-201506230605. Catalyst, Disrupt the default: Catalyst Awards Conference, March 26, 2015, https://www.google.co.uk/url?sa=t&rFW MT HVUF VVRXUFH ZHEFG FDG UMDXDFW YHG DK8.(ZMQV+TOF5$K:/.V$.+6G[%=<4)JJK MAE&url=http%3A%2F%2Fwww.catalyst.org%2Fuploads%2F2015_catalyst_awards_conference_program-1. pdf&usg=AFQjCNEcPhISCHjaihIvkWo_zbpeZN2DSQ&bvm=bv.144224172,d.bGs. 29. P&G, 2015 diversity & inclusion annual report. 30. %DUUHWW-%UXQVPDQȊ+HUHȇVZKHUH3*UDQNVIRUZRUNSODFHGLYHUVLW\ȋCincinnati Business Courier$SULO KWWSZZZEL]MRXUQDOVFRPFLQFLQQDWLQHZVKHUHVZKHUHSJUDQNVIRUZRUNSODFHGLYHUVLW\KWPO 31. P&G, 2010 global sustainability report, June 30, 2010, http://cdn.pgcom.pgsitecore.com/en-gb/-/media/PGCOMUK/Documents/PDF/Sustanability_PDF/sustainability_reports/PG2010SustainabilityReport%20pdf. pdf?la=en-GB&v=1-201601061549. 32. P&G, 2015 diversity & inclusion annual report. 2017 Deloitte Global Human Capital Trends AUTHORS Juliet Bourke, Deloitte Touche Tohmatsu | [email protected] Juliet Bourke leads Deloitte Australia’s Diversity and Inclusion consulting practice and co-leads its Leadership practice. She has over 25 years’ experience in human capital, management, and law. Her latest book, Which Two Heads Are Better than One?, focuses on diversity of WKLQNLQJDQGFROOHFWLYHLQWHOOLJHQFH6KHLVDPHPEHURIWKH$XVWUDOLDQȴUPȇVGLYHUVLW\FRXQFLO and sits on a number of boards and award panels. Bourke has also keynoted at hundreds of JOREDOFRQIHUHQFHVLQFOXGLQJ7('[ Stacia Sherman Garr, Bersin by Deloitte, Deloitte Consulting LLP [email protected] Stacia Sherman Garr is responsible for research on human resources, talent strategy, integrated talent management, performance management, career management, diversity and inclusion, employee recognition, competencies, and workforce planning. Garr holds an MBA from the University of California, Berkeley, a master’s degree from the London School RI(FRQRPLFVDQGEDFKHORUVȇGHJUHHVLQKLVWRU\DQGSROLWLFDOVFLHQFHIURP5DQGROSK0DFRQ Woman’s College. Ardie van Berkel, Deloitte Consulting BV | [email protected] $UGLHYDQ%HUNHOLVWKH+XPDQ&DSLWDOSUDFWLFHOHDGHUIRUWKH(XURSH0LGGOH(DVWDQG $IULFD(0($UHJLRQ6KHKDVOHGPDQ\LQLWLDWLYHVWRVWUHQJWKHQ'HORLWWHȇVSRVLWLRQDVWKH leading human capital practice in the market, and her team has contributed to numerous (0($DQGJOREDOLQLWLDWLYHV9DQ%HUNHOLVDPHPEHURIWKHVXSHUYLVRU\ERDUGRI'HORLWWH 1RUWK:HVW(XURSHDQGDQDFWLYHPDUNHWIDFLQJFOLHQWSDUWQHU6KHFRQVXOWVRQPHUJHU integrations, organizational design, HR strategies, and change management to support major transformation programs, primarily in the public sector. Jungle Wong, Deloitte Consulting (Shanghai) Co. Ltd, Beijing Branch [email protected] -XQJOH:RQJOHDGV'HORLWWHȇV+XPDQ&DSLWDOSUDFWLFHLQ*UHDWHU&KLQDDQGWKH$VLD3DFLȴF region. He has extensive experience working with multinational enterprises located in China, as well as state-owned enterprises, on solving talent and HR issues. He is a frequent speaker at HR conferences and an assessor for the Chinese Business Leaders’ Awards. Wong is a regular writer for HR magazines in China. CONTRIBUTORS Candace Atamanik, Carolyn Lawrence Rewriting the rules for the digital age 2017 Deloitte Global Human Capital Trends The future of work The augmented workforce Driven by the acceleration of connectivity and cognitive technology, the nature of work is changing. As AI systems, robotics, and cognitive tools grow in sophistication, almost every job is being reinvented, creating what many call the “augmented workforce.” As this trend gathers speed, organizations must reconsider how they design jobs, organize work, and plan for future growth. • This year, 41 percent of companies reported they have fully implemented or KDYHPDGHVLJQLȴFDQWSURJUHVVLQDGRSWLQJFRJQLWLYHDQG$ΖWHFKQRORJLHVZLWKLQ their workforce. • Another 34 percent of survey respondents are in the midst of pilot programs. • But only 17 percent of global executives report they are ready to manage a workforce with people, robots, and AI working side by side—the lowest readiness level IRUDWUHQGLQWKHȴYH\HDUVRIWKH*OREDO+XPDQ&DSLWDO7UHQGVVXUYH\ F OR WKH SDVW VHYHUDO \HDUV ZH KDYH FKURQLFOHG WKHDUULYDORIZKDWLVQRZFDOOHG³WKHIXWXUHRI ZRUN´ ,Q ZH LGHQWL¿HG ³7KH RSHQ WDOHQWHFRQRP\´DVDWUHQGDQGGLVFXVVHGWKHJURZWK RI R̆EDODQFH VKHHW HPSOR\PHQW WDOHQW SODWIRUPV DQG FURZGVRXUFLQJ1 ,Q ZH KLJKOLJKWHG WKH WUHQG RI ³0DFKLQHV DV WDOHQW &ROODERUDWLRQ QRW FRPSHWLWLRQ´ DQG WKH LQFUHDVLQJ SRZHU RI URERWLFV DQG FRJQLWLYH FRPSXWLQJ WR UHVWUXFWXUH MREV2 )LQDOO\ ODVW \HDU ZH SXEOLVKHG ³7KH JLJ HFRQRP\ 'LVWUDFWLRQ RU GLVUXSWLRQ"´ ZKLFK GLVFXVVHG WKH EHQH¿WV DQG FKDOOHQJHV RI PDQDJLQJ WDOHQW LQ WKH VKDULQJDQGFROODERUDWLYHHFRQRP\3 ,QWKHVHFKDQJHVKDYHFRPHLQWRIRFXVDQGWKH LVVXHKDVEHFRPHPRUHXUJHQW$XWRPDWLRQFRJQLWLYH FRPSXWLQJ DQG FURZGV DUH SDUDGLJPVKLIWLQJ IRUFHV WKDW ZLOO UHVKDSH WKH ZRUNIRUFH QRZ DQG LQ WKHQHDUIXWXUH2UJDQL]DWLRQVDUHUHGHVLJQLQJMREV WR WDNH DGYDQWDJH RI FRJQLWLYH V\VWHPV DQG URERWV DQGZHVHHDQRSSRUWXQLW\WRUHWKLQNZRUNDURXQG VRPHWKLQJZHFDOO³HVVHQWLDOKXPDQVNLOOV´4,Q DQG EH\RQG RUJDQL]DWLRQV VKRXOG H[SHULPHQW DQG LPSOHPHQWFRJQLWLYHWRROVIRFXVKHDYLO\RQUHWUDLQLQJSHRSOHWRXVHWKHVHWRROVDQGUHWKLQNWKHUROHRI SHRSOHDVPRUHDQGPRUHZRUNEHFRPHVDXWRPDWHG RETHINKING WORK FOR THE AUGMENTED WORKFORCE 7KHTXHVWLRQRIKRZHDFKMREZLOOFKDQJHDGDSWRU GLVDSSHDU KDV EHFRPH D GHVLJQ GHFLVLRQ :KDW DVSHFWV RI ZRUN GR \RX UHSODFH ZLWK DXWRPDWHG PDFKLQHV" 'R \RX ZDQW WR ³DXJPHQW´ ZRUNHUV ZLWK PDFKLQHVWKDWPDNHZRUNHDVLHUDQGPRUHVFDODEOH" :KDW ZLOO EH WKH LPSDFW RI $, DQG URERWLFV RQ WKH Rewriting the rules for the digital age ORQJWHUPFRQVHTXHQFHVRIWKHVHGHFLVLRQVIRUWKHLU RUJDQL]DWLRQZRUNDQGZRUNIRUFH" FXVWRPHU H[SHULHQFH VHUYLFH TXDOLW\ DQG EUDQG" 6KRXOG \RXU RUJDQL]DWLRQ ZDLW IRU FRPSHWLWRUV WR IXOO\YDOLGDWH$,DQGURERWLFV" 7RGD\WKHUHLVDQHZIRFXVRQWKH³SHRSOHDVSHFWV´RI ZRUN2XUUHVHDUFKEDVHGRQVWXGLHVIURP2[IRUG 8QLYHUVLW\DQGWKH21HWMREGDWDEDVHVKRZVWKDW ZKLOHWDVNVDUHEHLQJDXWRPDWHGWKH³HVVHQWLDOO\KXPDQ´SDUWVRIZRUNDUHEHFRPLQJmore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¶VGlobal Human Figure 1. Robotics, cognitive computing, and AI: Percentage of respondents rating this trend “important” or “very important” Percentages in selected countries: Higher % Lower % Canada 33 37 Netherlands Belgium 39 Germany 40 Mexico 44 Italy 36 34 South Africa Higher % Latin & South America 42 40 Spain 40 39 Netherlands 37 Italy 36 Australia 36 South Africa 34 Canada 33 France 32 United States 31 Lower % Americas 45 Brazil Germany Belgium 36 Australia Percentages by region: 48 43 54 India 42 Brazil 51 Japan 44 51 China Spain 40 China Mexico 48 Japan France 32 54 United Kingdom UK 43 USA 31 India 32 North America 33 Africa Europe, Middle East, and Africa 34 38 48 Central & Middle East Eastern Europe Nordic countries 38 Western Europe $VLD3DFLȴF 50 37 Asia Oceania Deloitte University Press | dupress.deloitte.com 2017 Deloitte Global Human Capital Trends Figure 2. Augmented workforce: Percentage of respondents rating this trend “important” or “very important” Percentages in selected countries: Higher % Lower % India 76 China 73 Netherlands 70 Japan 68 Belgium 67 Mexico 66 Australia 65 Italy 64 Canada 56 70 Netherlands Belgium 67 UK 63 Germany 61 USA 59 68 Japan France 49 73 China Spain 63 Mexico 66 Italy 64 South Africa 64 United Kingdom 63 76 India 63 Brazil 64 South Africa 65 Australia Latin & South America 63 Germany 61 59 Canada 56 France 49 Lower % Americas 62 63 United States Percentages by region: Higher % Spain Brazil 58 North America 66 Africa Europe, Middle East, and Africa 61 64 56 Central & Middle East Eastern Europe Nordic countries 62 Western Europe $VLD3DFLȴF 72 61 Asia Oceania Deloitte University Press | dupress.deloitte.com Capital Trends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̆HUHQW,QWKHVH ³QHZKXPDQPRGHOV´IRUWKHIXWXUHRIZRUNFRPSDQLHVDUHIDUOHVVSUHSDUHG:KLOHSHUFHQWRIFRP- SDQLHV EHOLHYH WKHLU XVH RI R̆EDODQFH VKHHW WDOHQW ZLOOJURZVLJQL¿FDQWO\LQWKHQH[W±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¿YH \HDUV²DQ LQFUHDVH RI SHUFHQWRQHRIWKHODUJHVWPRYHPHQWVZHKDYH VHHQ Rewriting the rules for the digital age UNEVEN PROGRESS TOWARD THE FUTURE WORKFORCE RETHINKING TALENT, TECHNOLOGY, AND THE WORKPLACE 7KH VKLIW IURP IXOOWLPH HPSOR\HHV WR DQ DXJPHQWHG ZRUNIRUFH DXJPHQWHG E\ ERWK WHFKQRORJ\ DQG FURZGV LV RQH RI WKH PRUH FKDOOHQJLQJ RI WKH KXPDQ FDSLWDO WUHQGV RQ WKH KRUL]RQ ,W XSHQGV WKH IDPLOLDUFRQFHSWVRIZKDWDMRELVDORQJZLWKDOOWKH LPSOLFDWLRQV IRU FDUHHUV ZKDW ZRUN UHDOO\ PHDQV KRZWKHZRUNIRUFHLVWUDLQHGDQGVHOHFWHGDQGKRZ WKHZRUNSODFHLVGHVLJQHG,WVWUHWFKHVFRQYHQWLRQDO QRWLRQVRIZKDWW\SHVRIZRUNFDQEHGRQHE\SHRSOH DQGE\PDFKLQHVDQGLWUHGH¿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̆HUDQGWRVRPHH[WHQWPD\DOVRIHHO SUHVVXUHIURPWKHVRFLDODQGSROLWLFDOHQYLURQPHQW $77¶V WDOHQW PDQLIHVWR ZKLFK HQFRXUDJHV DQG HPSRZHUV HPSOR\HHV WR FRQWLQXRXVO\ UHVNLOO WKHPVHOYHVLVDQH̆HFWLYHH[DPSOHRIDFRPSDQ\WKDWDXWRPDWHVLQDQLQWHJUDWHGKXPDQFHQWULFZD\ :KLOHWKHDGRSWLRQRIURERWLFVLVKDSSHQLQJTXLFNO\ FRPSDQLHV¶ DELOLWLHV WR UHVNLOO DQG UHRUJDQL]H DURXQG DXWRPDWLRQ DUH VWLOO EHKLQG 5RXJKO\ KDOI RI WKH OHDGHUV VXUYH\HG UDWH WKHLU FRPSDQ\ ZHDN DW DOLJQLQJ FRPSHWHQF\ IUDPHZRUNV WR DFFRXQW IRU QHZ URERWLFV FRJQLWLYH DQG $, UHTXLUHPHQWV GHSOR\LQJ HPSOR\HHV UHSODFHG E\ WKHVH WHFKQRORJLHV DQGUHVNLOOLQJHPSOR\HHVWRFRPSOHPHQWWKHVHQHZ WRROV :H HQYLVLRQ UHWKLQNLQJ WKH FRPELQDWLRQV RI WDOHQWWHFKQRORJ\DQGWKHZRUNSODFHDFURVVPXOWLSOH GLPHQVLRQV Figure 3. 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GL̆HUHQW PRGHOV RI FRQWUDFWRUV WKH FURZG DQG FRPSHWLWLRQV 7DOHQW SODWIRUPV DUH JURZLQJ UDSLGO\ LQ VFDOH XQGHUVWDQGLQJ KRZ WKH\ FDQDXJPHQWIXOOWLPH ZRUNIRUFHVLVDNH\ FDSDELOLW\IRUPDQDJHUVLQERWK+5DQGEXVLQHVV • Examine all types of nonhuman workforces: 7KLV LQFOXGHV WKH HQWLUH DUUD\ RI URERWLFV FRJQLWLYH DQG $, WHFKQRORJLHV WR DXJPHQW KXPDQ ZRUNHUV OHYHUDJLQJ WKH SRZHU RI PDFKLQHV WR DFFRPSOLVK DQ LQFUHDVHG QXPEHU RI WDVNV 3DUWQHULQJ ZLWK WKH EXVLQHVV +5 FDQ KHOSOHDGWKHUHGHVLJQRIZRUNDULVLQJIURPUDSLG FKDQJHVLQURERWLFVDQG$, • Redesign multiyear strategic and annual operational workforce planning:&RQVLGHU VHSDUDWLQJ PXOWL\HDU VWUDWHJLF ZRUN ZRUNIRUFH DQGZRUNSODFHSODQQLQJ²ZKLFKFRPEVQHZWDOHQW VHJPHQWV DQG WHFKQRORJLHV WR GHYHORS VSH- Rewriting the rules for the digital age FL¿F IXWXUH VFHQDULRV IRU WKH ZRUNIRUFH²IURP DQQXDORSHUDWLRQDOZRUNIRUFHSODQQLQJ • Collaborate across functions to plan and implement new work and workforce solutions:(QVXUHWKDWWKHQHZVFRSHRIWKHDXJPHQWHGZRUNIRUFHDOLJQVZLWKEXVLQHVVVWUDWHJ\ DQG LQYROYHV IXOO SDUWLFLSDWLRQ RI EXVLQHVV +5 DQG RWKHU FRUSRUDWH IXQFWLRQV 7KLV ZLOO OLNHO\ UHTXLUH H[SHULPHQWLQJ ZLWK QHZ ZD\V RI ZRUNLQJDQGFRRUGLQDWLQJDFURVVRUJDQL]DWLRQDOVLORV • Invest in critical human skills for the future workforce: 3UREOHP VROYLQJ FUHDWLYLW\ SURMHFW PDQDJHPHQW OLVWHQLQJ DQG PRUDO DQG HWKLFDO GHFLVLRQ PDNLQJ DUH DOO HVVHQWLDOO\ KXPDQ VNLOOV WKDW HYHU\ RUJDQL]DWLRQ QHHGV²QRZ DQGLQWKHIXWXUH:KHQSODQQLQJWKHIXWXUHRI WKHZRUNIRUFHFRQVLGHUWKHVHORQJWHUPKXPDQ VNLOOQHHGV • Plan and manage the workforce transformation: *LYHQ WKH VFRSH DQG VFDOH RI FRPLQJ FKDQJHVWRZRUNZRUNIRUFHVDQGZRUNSODFHVLW LVFULWLFDOWRKDYHDQHQWHUSULVH³IXWXUHRIZRUN´ RU ³DXJPHQWHG ZRUNIRUFH´ URDGPDS FRPELQLQJEXVLQHVV+5,7SURFXUHPHQWDQG¿QDQFH 7KLV SODQ VKRXOG LQFOXGH DQ DFWLRQDEOH YLHZ RI WDOHQWWUDLQLQJFRPPXQLFDWLRQOHDGHUVKLSFXOWXUHDQGRUJDQL]DWLRQDOLPSDFWV FAST FORWARD 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Cognitive tools to augment, and in some cases replace, knowledge work will continue to accelerate and become widely deployed and adopted. We would not be surprised if the future of work, workforce, and workplace issues come to dominate the concerns and agenda of HR and business leaders in the near future. This challenge UHTXLUHVPDMRUFURVVIXQFWLRQDODWWHQWLRQHRUWDQGFROODERUDWLRQ 2017 Deloitte Global Human Capital Trends )LJXUH7KHIXWXUHRIZRUN2OGUXOHVYVQHZUXOHV Old rules New rules 0DFKLQHVDQGDUWLȴFLDOLQWHOOLJHQFHDUHWDNLQJRYHU jobs (replacement) Jobs and tasks are being redesigned to use more essential human skills, and are augmented by technology (augmentation) Full-time employees are the main source of talent A continuum of talent is available, including contractors, gig employees, crowds, and competitions Workforce planning focuses on full-time workforce and skill requirements The focus in workforce planning shifts to start with work and analyzing options across multiple workforces and technologies -REVDUHUHODWLYHO\VWDWLFZLWKȴ[HGVNLOOUHTXLUHPHQWV The half-life of skills continues to decrease rapidly, and work is being constantly reinvented Jobs and career ladders are the foundation of work and the workforce Projects, assignments, and tours of duty are building blocks for work; careers are portfolios of projects and experiences Robotics and cognitive technologies are IT projects Integrating people and technology is a multidisciplinary task +5ȇVMRELQDXWRPDWLRQLVWRIRFXVRQFKDQJH management and workforce transition HR has a strategic role to facilitate and orchestrate the redesign of jobs and train the augmented workforce The fundamental elements of work are “jobs,” with formally developed “job descriptions” The fundamental elements of work are “tasks,” which are aggregated into jobs and roles 'HORLWWH8QLYHUVLW\3UHVV_GXSUHVVGHORLWWHFRP Rewriting the rules for the digital age ENDNOTES 1. -H6FKZDUW]$QGUHZ/LDNRSRXORVDQG/LVD%DUU\The open talent economy: Beyond corporate borders to talent ecosystems, Deloitte University Press, July 24, 2013, https://dupress.deloitte.com/dup-us-en/deloitte-review/issue-13/the-open-talent-economy.html, accessed December 13, 2016. 2. 'DYLG6FKDWVN\DQG-H6FKZDUW]Machines as talent: Collaboration, not competition, Deloitte University Press, February 27, 2015, https://dupress.deloitte.com/dup-us-en/focus/human-capital-trends/2015/cognitive-technologyin-hr-human-capital-trends-2015.html, accessed December 13, 2016. 3. -H 6FKZDUW] HW DO The gig economy: Distraction or disruption?, Deloitte University Press, February 29, 2016, https://dupress.deloitte.com/dup-us-en/focus/human-capital-trends/2016/gig-economy-freelance-workforce. html, accessed December 13, 2016. 4. Angus Knowles-Cutler and Harvey Lewis, Essential skills for working in the machine age, Deloitte, https://www2. deloitte.com/uk/en/pages/growth/articles/essential-skills-for-working-in-machine-age.html; Bersin by Deloitte Glassdoor research. 5. Angus Knowles-Cutler and Harvey Lewis, Talent for survival: Essential skills for humans working in the machine age, Deloitte, 2016, p. 1, https://www2.deloitte.com/content/dam/Deloitte/uk/Documents/Growth/deloitte-uk-talentfor-survival-report.pdf, accessed December 13, 2016. 6. Laura Stevens, “How Amazon gets its holiday hires up to speed in two days,” Wall Street Journal1RYHPEHU KWWSZZZZVMFRPDUWLFOHVDPD]RQOHDQVRQWHFKQRORJ\WRVSHHGWUDLQLQJRIKROLGD\ZRUNHUV accessed December 13, 2016. 7. -RKQ'RQRYDQDQG&DWK\%HQNRȊ$77ȇVWDOHQWRYHUKDXOȋHarvard Business Review, October 2016, https://hbr. org/2016/10/atts-talent-overhaul, accessed October 3, 2016. 7UHYRU 3DJH $PLU 5DKQHPD 7DUD 0XUSK\ DQG 7LDQ\ 0FGRZHOO 8QORFNLQJ WKH ȵH[LEOH RUJDQL]DWLRQ, Deloitte, KWWSVZZZGHORLWWHFRPJOREDOHQSDJHVKXPDQFDSLWDODUWLFOHVJ[XQORFNLQJWKHȵH[LEOHRUJDQL]DWLRQKWPO 9. Erik Brynjolfsson and Andrew McAfee, Race against the Machine: How the Digital Revolution is Accelerating Innovation, Driving Productivity, and Irreversibly Transforming Employment and the Economy (Digital Frontier Press, 2011); Erik Brynjolfsson and Andrew McAfee, The Second Machine Age: Work Progress, and Prosperity in a Time of Brilliant Technologies (W.W. Norton & Company, 2016); Thomas H. Davenport and Julia Kirby, 2QO\+XPDQV1HHG$SSO\ Winners and Losers in the Age of Smart Machines (HarperBusiness, 2016). 10. Knowles-Cutler and Lewis, Talent for survival. 11. Davenport and Kirby, 2QO\+XPDQV1HHG$SSO\. 12. Stevens, “How Amazon gets its holiday hires up to speed in two days.” 13. Ibid. 14. Ibid. 15. James Bessen, “Toil and technology,” Finance and Development 52, no. 1 (March 2015), http://www.imf.org/external/pubs/ft/fandd/2015/03/bessen.htm, accessed December 13, 2016. 16. James Bessen, +RZFRPSXWHUDXWRPDWLRQDHFWVRFFXSDWLRQV7HFKQRORJ\MREVDQGVNLOOV, Boston University School RI/DZ1RYHPEHUKWWSZZZEXHGXODZȴOHV1HZ7HFKSGIDFFHVVHG'HFHPEHU 2017 Deloitte Global Human Capital Trends AUTHORS -H6FKZDUW]'HORLWWH&RQVXOWLQJ//3_MHVFKZDUW]#GHORLWWHFRP -H6FKZDUW]LVWKHJOREDOOHDGHUIRU+XPDQ&DSLWDO0DUNHWLQJ(PLQHQFHDQG%UDQG+H is an advisor to senior business leaders in global companies, focusing on organization, HR, WDOHQWDQGOHDGHUVKLS6FKZDUW]LVWKHVHQLRUDGYLVRUIRUWKHȴUPȇV+XPDQ&DSLWDOFRQVXOWLQJ SUDFWLFHLQΖQGLDDQGDOVRWKHIRXQGLQJDQG86PDQDJLQJSULQFLSDOIRUWKHȴUPȇVΖQQRYDWLRQ Tech Terminal (ITT) connecting US and global companies with the Israeli start-up ecosystem. He is a frequent speaker and writer on issues at the nexus of talent, human resources, global business challenges, and the “future of work.” In 2011, Schwartz led the launch of Deloitte’s Global Human Capital Trends survey and report series and continues to serve as one of the executive editors. Laurence Collins, Deloitte MCS Limited | [email protected] Laurence Collins leads the United Kingdom’s HR Digital, Workforce Planning and Analytics practices, helping clients drive productivity and performance in the context of the “future of work.” He focuses on applying a variety of approaches such as predictive analytics, robotics, and strategic workforce planning for improved business impact. His work includes reimagining the role of HR and linking the resulting outcomes of new capabilities back to the economic contribution of human capital. Heather Stockton, Deloitte Canada | [email protected] Heather Stockton serves the banking sector, advising clients on governance and management practices, leadership, operating models, and business transformation. She leads Deloitte’s Americas Human Capital business and is also the organization’s global Financial Services Industry leader for human capital. She is also a global leader of Deloitte’s “future of work” research and client solution development. Stockton is a director on the Deloitte Canada board and chairs its governance committee. Darryl Wagner, Deloitte Consulting LLP | [email protected] Darryl Wagner is the global leader for Deloitte’s Actuarial, Rewards, and Analytics practice. +LVDUHDVRIVSHFLDOW\LQFOXGHOLIHLQVXUHUȴQDQFLDOUHSRUWLQJDQGSHUIRUPDQFHYDOXH measurement and management. He has worked with clients around the world on many accounting and valuation frameworks, helping them with technical, process-oriented, and organizational aspects of implementation, execution, and evaluation. Wagner is a fellow of the Society of Actuaries and a member of the American Academy of Actuaries. Brett Walsh, Deloitte MCS Limited | [email protected] Brett Walsh is Deloitte’s global Human Capital leader and a global lead client service partner. He has over 25 years of international experience consulting with executives on HR transformation, HR technologies, and the “future of work.” A frequent speaker and author, Walsh has an MBA from Warwick University and is a fellow of the Institute of Business Consultants. CONTRIBUTORS Raj Attra, Stacia Garr, Bob Kaunert, Peter Lowes, Christa Manning, Sarah Rogers, David Schatsky, Nathan Sloan Rewriting the rules for the digital age EXECUTIVE EDITORS Bill Pelster, Deloitte Consulting LLP | [email protected] Bill Pelster has more than 25 years of industry and consulting experience. In his current role, Pelster is responsible for leading the Bersin by Deloitte Research and Products practice and is a senior advisor to the Integrated Talent Management practice. A well-respected speaker and author, he has recently led, supported, or authored key research pieces including Talent 2020, Global Human Capital Trends, and The Leadership Premium. In his previous role as 'HORLWWHȇVFKLHIOHDUQLQJRɝFHU3HOVWHUZDVUHVSRQVLEOHIRUWKHWRWDOGHYHORSPHQWH[SHULHQFH of Deloitte professionals, and was one of the key architects of Deloitte University, Deloitte’s $300 million learning facility outside Dallas. Pelster is a former US board member for Deloitte Consulting LLP. -H6FKZDUW]'HORLWWH&RQVXOWLQJ//3_MHVFKZDUW]#GHORLWWHFRP -H6FKZDUW]LVWKHJOREDOOHDGHUIRU+XPDQ&DSLWDO0DUNHWLQJ(PLQHQFHDQG%UDQG+H is an advisor to senior business leaders in global companies, focusing on organization, HR, WDOHQWDQGOHDGHUVKLS6FKZDUW]LVWKHVHQLRUDGYLVRUIRUWKHȴUPȇV+XPDQ&DSLWDOFRQVXOWLQJ SUDFWLFHLQΖQGLDDQGDOVRWKHIRXQGLQJDQG86PDQDJLQJSULQFLSDOIRUWKHȴUPȇVΖQQRYDWLRQ Tech Terminal (ITT) connecting US and global companies with the Israeli start-up ecosystem. He is a frequent speaker and writer on issues at the nexus of talent, human resources, global business challenges, and the “future of work.” In 2011, Schwartz led the launch of Deloitte’s Global Human Capital Trends survey and report series and continues to serve as one of the executive editors. LEAD RESEARCHER Josh Bersin, Bersin by Deloitte, Deloitte Consulting LLP | [email protected] Josh Bersin founded Bersin & Associates, now Bersin by Deloitte, in 2001 to provide research and advisory services focused on corporate learning. He is a frequent speaker at industry events and a popular blogger. Bersin spent 25 years in product development, product management, marketing, and sales of e-learning and other enterprise technologies. He has a BS in engineering from Cornell, an MS in engineering from Stanford, and an MBA from the Haas School of Business at the University of California, Berkeley. 2017 Deloitte Global Human Capital Trends ACKNOWLEDGEMENTS 7KHGlobal Human Capital Trends UHSRUWLVWKHUHVXOWRID\HDUORQJH̆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¶VUHSRUWDQGVXUYH\ Julie MayIRURYHUDOOPDQDJHPHQWRIWKHGlobal Human Capital TrendsSURJUDP:HDSSUHFLDWHWKHIRFXV H̆RUWDQGFKDOOHQJLQJSHUVSHFWLYHV\RXEULQJWRWKHWHDPDVZHOODVWKHZD\\RXNHHSXVPRYLQJIRUZDUG WKURXJKRXUPDQ\ORQJGLVFXVVLRQVWRJHWWRD¿QLVKHGSURGXFW:HDUHDOVRJUDWHIXOIRU\RXUDELOLW\WRZHDYH WRJHWKHU WKH H̆RUWV DQG SHUVSHFWLYHV RI WKH PDQ\ FRXQWU\ FKDPSLRQV DXWKRUV DQG VXEMHFWPDWWHU H[SHUWV LQYROYHGLQSURGXFLQJWKLVJOREDOUHSRUW Jen StempelBernard van der VyverDavid MallonDQGLuke MonckIRUVKDULQJ\RXUH[SHULHQFH DQGLQVLJKW<RXUZLOOLQJQHVVWRHQJDJHLQGHEDWHKHOSHGXVVKDSHWKHWKHPHVRIWKHUHSRUW Elizabeth ChodaczekAlejandra ArrueMia FarnhamAnna MartinDQGLauren ShevlinIRUPDQDJLQJDOOWKHPDQ\GHWDLOVRIVXFKDFRPSOH[XQGHUWDNLQJ Junko KajiRXUHGLWRUH[WUDRUGLQDLUH6RQ\D9DVLOLH̆DQGTroy BishopRQWKH'HORLWWH8QLYHUVLW\3UHVV GHVLJQDQGPHGLDWHDPVDQGWKHUHVWRIWKRVHDW'HORLWWH8QLYHUVLW\3UHVVZKRKHOSHGWRFUHDWHWKLVLQVLJKWIXO DQGEHDXWLIXOSXEOLFDWLRQ Katrina Drake HudsonChristy HodgsonDQGLaura EliasIRUOHDGLQJRXULQQRYDWLYHPDUNHWLQJSURJUDPDQGKHOSLQJXVDGRSWWKHQHZUXOHVRIWKHGLJLWDOZRUOGLQRXURZQZRUN7KDQNVDVZHOOWRMelissa DoyleSusan OstaszewskiStephen SoylandDQGLesley StephenIRUPDQDJLQJWKHJOREDOSXEOLFUHODWLRQVSURJUDP Ankita JainUdita AroraMukta GoyalShivank GuptaDQGMaansi PandeyIRUOHDGLQJRXUUHVHDUFK H̆RUWVDQGPDQDJLQJDJOREDOVXUYH\ZLWKPRUHWKDQUHVSRQGHQWVLQPXOWLSOHODQJXDJHV0DQ\WKDQNV DQGPXFKDSSUHFLDWLRQWRWKHUHVHDUFKWHDPSaylee BhorkarDiptarka ChakrabortySrishti Dayal Garima Tyagi Dubey Karan Gurung Rachit Jain Swati Jain Ashish Kumar Kainth Harsh KhandelwalNavti NarangSangeet SabharwalSonia Sharma*RUDO6KUR̆DQGManan Vij $QG¿QDOO\DVSHFLDOWKDQN\RXWRBrett WalshOHDGHURIRXUJOREDO+XPDQ&DSLWDOSUDFWLFHDQGJason GellerDQGErica VoliniWKHOHDGHUVRIRXU86+XPDQ&DSLWDOSUDFWLFH:HDUHJUDWHIXOIRU\RXUVXSSRUWDQG JXLGDQFHHYHU\VWHSRIWKHZD\LQSURGXFLQJWKLVUHSRUW Rewriting the rules for the digital age BERSIN BY DELOITTE RESEARCH TEAM %HUVLQE\'HORLWWHGHOLYHUVUHVHDUFKEDVHGSHRSOHVWUDWHJLHVGHVLJQHGWRKHOSOHDGHUVDQGWKHLURUJDQL]DWLRQVGHOLYHU H[FHSWLRQDOEXVLQHVVSHUIRUPDQFH$%HUVLQE\'HORLWWHPHPEHUVKLSJLYHV+5SURIHVVLRQDOVWKHLQIRUPDWLRQDQG WRROVWKH\QHHGWRGHVLJQDQGLPSOHPHQWOHDGLQJSUDFWLFHVROXWLRQVEHQFKPDUNWKHPVHOYHVDJDLQVWRWKHUVGHYHORS WKHLUVWD̆DQGVHOHFWDQGLPSOHPHQWV\VWHPV$SLHFHRI%HUVLQE\'HORLWWHUHVHDUFKLVGRZQORDGHGRQDYHUDJHHYHU\ PLQXWHGXULQJWKHEXVLQHVVGD\ David Mallon, head of research, Bersin by Deloitte, Deloitte Consulting LLP $VKHDGRIUHVHDUFKIRU%HUVLQE\'HORLWWH'DYLG0DOORQVHWVVWUDWHJ\HQVXUHVKLJKTXDOLW\HRUWV and drives continuous innovation among Bersin by Deloitte’s research team. He is the former steward for Bersin by Deloitte’s learning and development research practice and has been the primary force behind its work in continuous learning, learning cultures, high-impact learning organization maturity, and learning management systems. He is also central to developing thought leadership related to HR’s operating models, governance, and the evolution of key roles such as the HR business partner. Candace Atamanik, talent management research leader, Bersin by Deloitte, Deloitte Consulting LLP Candace Atamanik’s research focuses on talent strategy, talent management, performance management, and competencies. Atamanik has a BS in psychology from Pepperdine University and an MS in industrial and organizational psychology from Florida International University. She was also a PhD candidate in industrial and organizational psychology at Florida International University. Madhura Chakrabarti, people analytics research leader, Bersin by Deloitte, Deloitte Consulting LLP Madhura Chakrabarti has a bachelor’s degree in psychology from the University of Delhi and an MA and PhD in industrial/organizational psychology from Wayne State University, Michigan. Previously, Chakrabarti worked at Dell and Ford Motor Company in various roles spanning people analytics, employee engagement, and pre-employment assessments Vikram Datta Choudhury, India leader, Bersin by Deloitte, Deloitte Consulting LLP 9LNUDP'DWWD&KRXGKXU\OHDGV'HORLWWHȇVHRUWVLQΖQGLDWRFUHDWHUHVHDUFKFRQWHQWIRU%HUVLQE\'HORLWWH member organizations. Before his current role, he headed research initiatives at People Matters, a leading KXPDQFDSLWDOPDJD]LQHLQΖQGLDDQGVSHQWPRUHWKDQVL[\HDUVDWWKH&RUSRUDWH([HFXWLYH%RDUG ȴUVWDVDUHVHDUFKHUDQGWKHQDVDQDFFRXQWPDQDJHU&KRXGKXU\KROGVDSRVWJUDGXDWHGHJUHHLQ LQWHUQDWLRQDOEXVLQHVVIURP'HOKL8QLYHUVLW\DQGLVDOVRDTXDOLȴHGFLYLOHQJLQHHU Janet Clarey, learning and development research leader, Bersin by Deloitte, Deloitte Janet Clarey focuses on the areas of learning culture, high-impact learning, organization maturity, and learning technology. She holds a BA in communications from the State University of New York at Oswego and a master’s degree in instructional design for online learning from Capella University. She has also completed coursework toward a doctorate from Syracuse University in instructional design, development, and evaluation. Andrea Derler, leadership and succession research leader, Bersin by Deloitte, Deloitte Consulting LLP Andrea Derler holds a doctoral degree in economics (leadership and organization) and a master’s degree in philosophy. Prior to joining Bersin by Deloitte, she collaborated closely with organizations in the 8QLWHG6WDWHVDVZHOODV(XURSHWRFRQGXFWSUDFWLFHRULHQWHGOHDGHUVKLSUHVHDUFKIDFLOLWDWLQJOHDGHUVKLS GHYHORSPHQWHRUWVLQDYDULHW\RILQGXVWULHV 2017 Deloitte Global Human Capital Trends BERSIN BY DELOITTE RESEARCH TEAM, CONT. Robin Erickson, vice president, talent acquisition research, Bersin by Deloitte, Deloitte Consulting LLP 5RELQ(ULFNVRQIRFXVHVRQWDOHQWDFTXLVLWLRQHQJDJHPHQWDQGUHWHQWLRQUHVHDUFKZKHUHVKHGUDZVRQ her deep experience in talent strategies consulting and related research for Deloitte’s Human Capital SUDFWLFH(ULFNVRQKROGVDGRFWRUDWHIURP1RUWKZHVWHUQ8QLYHUVLW\LQRUJDQL]DWLRQDOFRPPXQLFDWLRQ and change, a master’s degree in communication from Northwestern University, a master’s degree in theology from Northern Seminary, and a bachelor of arts degree from the University of Chicago. Stacia Sherman Garr, vice president, talent management research, Bersin by Deloitte, Deloitte Consulting LLP Stacia Sherman Garr is responsible for research on human resources, talent strategy, integrated talent management, performance management, career management, diversity and inclusion, employee recognition, competencies, and workforce planning. Garr holds an MBA from the University of &DOLIRUQLD%HUNHOH\DPDVWHUȇVGHJUHHIURPWKH/RQGRQ6FKRRORI(FRQRPLFVDQGEDFKHORUVȇGHJUHHV in history and political science from Randolph-Macon Woman’s College. Dani Johnson, vice president, learning and development research, Bersin by Deloitte, Deloitte Consulting LLP Dani Johnson has spent the majority of her career writing about, conducting research in, designing, and consulting on human capital practices. Johnson led the Human Resource Competency Study with the University of Michigan and six other professional organizations around the world, and co-authored the resulting book, HR Competencies: Mastery at the Intersection of People and Business (Society for Human Resource Management, 2008). Christa Manning, vice president, HR solution provider research, Bersin by Deloitte, Deloitte Consulting LLP Christa Manning helps businesses align their workforce support strategies with the right third-party software, service partners, and governance models. She also helps solution providers map their capabilities and go-to-market activities to solution users’ needs. Manning holds a bachelor’s degree LQ(QJOLVKIURP%DUQDUG&ROOHJH&ROXPELD8QLYHUVLW\LQFRUSRUDWLQJVWXGLHVDW8QLYHUVLW\&ROOHJH 8QLYHUVLW\RI/RQGRQVKHDOVRKROGVDPDVWHUȇVGHJUHHLQ(QJOLVKIURPWKH8QLYHUVLW\RI0DVVDFKXVHWWV -H0LNHYLFHSUHVLGHQWKXPDQUHVRXUFHVUHVHDUFK Bersin by Deloitte, Deloitte Consulting LLP -H0LNHFDPHWR%HUVLQE\'HORLWWHIURPΖ03$4ΖQWHUQDWLRQDOZKHUHKHZDVKHDGRIKXPDQFDSLWDO He has also been a faculty member in human resources development at Al Akhawayn University, 0RURFFR0LNHKROGVDEDFKHORUȇVGHJUHHLQ(QJOLVKOLWHUDWXUHIURPWKH8QLYHUVLW\RI:DVKLQJWRQ and a master’s degree in organizational development and strategic human resources from Johns Hopkins University. Denise Moulton, mid-market HR and talent research leader, Bersin by Deloitte, Deloitte Consulting LLP Denise Moulton has several years of practitioner experience focusing on talent acquisition, talent management, and human resources operations. Previously, she was a talent acquisition leader at Hasbro, Inc., where she provided recruitment management for global and commercial business XQLWV0RXOWRQKROGVDEDFKHORURIDUWVGHJUHHIURPWKH8QLYHUVLW\RI5KRGHΖVODQGDQGLVDFHUWLȴHG Internet recruiter. Rewriting the rules for the digital age GLOBAL HUMAN CAPITAL LEADERS Global Human Capital leader Global Actuarial, Rewards, and Analytics leader Brett Walsh Deloitte MCS Limited [email protected] Darryl Wagner Deloitte Consulting LLP [email protected] Global Organization Transformation and Talent leader Global Employment Services leader Dimple Agarwal Deloitte MCS Limited [email protected] Nichola Holt Deloitte Tax LLP [email protected] Global HR Transformation leader Global Human Capital leader, Marketing, Eminence, and Brand Michael Stephan Deloitte Consulting LLP [email protected] -H6FKZDUW] Deloitte Consulting LLP MHVFKZDUW]#GHORLWWHFRP HUMAN CAPITAL COUNTRY LEADERS AMERICAS Americas Argentina Heather Stockton Deloitte Canada [email protected] Leonardo Pena Deloitte & Co. S.A. [email protected] United States Brazil Erica Volini Deloitte Consulting LLP [email protected] Roberta Yoshida Deloitte Consultores [email protected] Canada Colombia and Peru -H0RLU Deloitte Canada [email protected] Alejandra D’Agostino Deloitte & Touche SRL [email protected] Chile Costa Rica Jaime Valenzuela Deloitte Audit y Consult. [email protected] Paula Lenero Deloitte & Touche S.A. [email protected] Mexico Tomas Fernandez Deloitte Consulting Mexico [email protected] 2017 Deloitte Global Human Capital Trends AMERICAS (CONT.) Dutch Caribbean Panama Maghalie van der Bunt Deloitte Dutch Caribbean [email protected] Jessika Malek Deloitte Consultores [email protected] Ecuador Uruguay, LATCO Roberto Estrada Andeanecuador Consultores [email protected] Verónica Melián Deloitte SC [email protected] ASIA PACIFIC $VLD3DFLȴF&KLQD Korea Jungle Wong Deloitte Consulting (Shanghai) Co. Ltd, Beijing Branch [email protected] Eric Seok Hoon Yang Deloitte Consulting [email protected] Australia Hamish Wilson Deloitte [email protected] New Zealand David Brown Deloitte Touche Tohmatsu [email protected] Southeast Asia India Mark Maclean Deloitte Consulting Pte Ltd [email protected] Gaurav Lahiri Deloitte India [email protected] Japan Akio Tsuchida Deloitte Tohmatsu Consulting Co. Ltd [email protected] Rewriting the rules for the digital age EUROPE, MIDDLE EAST, AND AFRICA EMEA France Ardie Van Berkel Deloitte Consulting BV [email protected] Philippe Burger Deloitte Conseil [email protected] United Kingdom Germany Anne-Marie Malley Deloitte MCS Limited [email protected] 8GR%RKGDO6SLHJHOKR Deloitte Consulting GmbH [email protected] Africa Ireland Abrie Olivier Deloitte Consulting Pty [email protected] Valarie Daunt Deloitte & Touche [email protected] Austria Israel Christian Havranek Deloitte Austria [email protected] Zohar Yami Brightman Almagor Zohar & Co. [email protected] Belgium Italy Yves van Durme Deloitte Consulting [email protected] Lorenzo Manganini Deloitte Consulting SRL [email protected] Central Europe Kenya Evzen Kordenko Deloitte Advisory s.r.o. [email protected] George Hapisu Deloitte Consulting Ltd [email protected] CIS Luxembourg *XOȴD$\XSRYD CJSC Deloitte & Touche CIS [email protected] Basil Sommerfeld Deloitte Tax & Consulting [email protected] Cyprus Middle East George Pantelides Deloitte Ltd [email protected] Ghassan Turqieh Deloitte & Touche (M.E.) [email protected] Denmark and Nordics Netherlands Filip Gilbert Deloitte Denmark [email protected] Petra Tito Deloitte Consulting BV [email protected] Finland Norway Eva Tuominen Deloitte Oy HYDWXRPLQHQ#GHORLWWHȴ Eva Gjovikli Deloitte AS [email protected] 2017 Deloitte Global Human Capital Trends EUROPE, MIDDLE EAST, AND AFRICA Poland 0LFKDĄ2OEU\FKRZVNL Deloitte Business Consulting S.A. [email protected] Portugal José Subtil Deloitte Consultores, S.A. 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