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Trends and patterns Different hats for future success

• Flexible (outsourced/insourced, offshored/near shored, freelanced, crowd sourced)

• Diverse (multigenerational and culturally diverse leadership and operationalteams)

• Talent scarce (talent will always be 'high in demand' but 'short in supply')

• In the cloud (delivered outside the company network)

• Mobile (delivered through multiple devices)

• Social (collaboration and idea generation through social media)

• Insightful (through the use of big data and analytical tools)

Strategist hat: HR will increasingly inform business decisions on the growth of the company and the resources required

Integrator hat: HR will increasingly be a focal point in integration of new acquisitions, technologies, third-party suppliers and managing restructures

Influencer hat: HR will increasingly need to influence, motivate and meld geographically, culturally and operationally diverse workforces

Analyst hat: HR will increasingly use data and analytical capabilities to develop new insights into talent and performance

Risk manager hat: HR will increasingly need to advise the business on complex ethical and legal challenges

Workforce will be more...

Technology will be more...

• Globalised (competition for customers, suppliers and resources)

• Volatile (greater market swings and 'environmental' changes)

Business will be more... • Competitive (greater pressure from the market for profitability and increased competition from acquisitions or new entrants)

• Dynamic (faster innovation and product cycles, instantaneous scrutiny from the media, regulators and markets)

• Globalised (global and virtual teams, centralised delivery centres, production hopping to lower-cost locations)

HR PROFESSIONAL DEVELOPMENT

Peter Szilagyi scans the horizon to highlight not just where HR needs to sharpen its skills, but how this can be done

HUMAN RESOURCES DIRECTOR

HR AS... STRATEGIST

Strategy is fundamentally about how best to use scarce resources to achieve set objectives. At its

core, strategy is about creatively generating alternatives and rigorously applying decision-making to define the best possible course of action.

How do we practically build a strategic mindset? Firstly, learn to be more creative. Creativity can be learned, but surprisingly it takes some discipline. There are many resources available on creativity, and one of the central figures, Edward De Bono, has numerous books on this topic (he coined the term 'lateral thinking'). Creativity also requires breadth, and in the business world that means knowledge of markets, industries and organisations. You can build this knowledge by regularly reading business journals and by building your network within and outside your industry.

MAJOR TRENDS AND THE 'FIVE HATS' There are many diverse opinions on the world of work and the future of HR. Dave Ulrich and John Boudreau have been thought leaders in this space for years. Institutions like the Harvard Business School and Cornell University and professional groups such as the Society for Human Resources Management have all conducted extensive research in this area. Additionally, in the consulting space, McKinsey, Korn Ferry, and Deloitte are among many firms that have consistently contributed to the debate about the future of HR.

This information is fascinating but collectively can be overwhelming. If you read between the lines, however, there are some patterns that give direction to the actions we need to take today to prepare for tomorrow. The table below shows these patterns and the 'five hats' HR professionals will need to wear in the future.

When talking about the past, how often have you heard the phrase "I can't believe how quickly the time has flown!"? Alternatively, when talking about the future, how often have you heard someone say, "Next year is a long time away. I can barely plan this month, let alone next year!"? When put together, these statements don't seem to add up. Is it possible for time to move so quickly in hindsight but so slowly in foresight?

Ten years ago the workforce and the HR department were very different to what they are today: the cloud was a weather pattern, Facebook was a university project, and tablets were strictly for medicinal purposes.

The next 10 years promise to bring even larger and more disruptive change. While there is no crystal ball, there is fortunately much research about the future of HR - and there's no doubt this is important for our discipline. However, what do these insights practically mean for us today?

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HUMAN RESOURCES DIRECTOR HR PROFESSIONAL DEVELOPMENT

ategy is fundamentally about Ar best to use scarce resources ichieve set objectives

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Secondly, develop a sound working knowledge of decision-making processes and tools. Learn about conceptual models (ie SWOT), business plans, and selection or evaluation tools (ie NPV). At a minimum you should understand how to contribute to inputs and interpret outputs. Try to practically utilise these tools by supporting business planning initiatives or building business cases.

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HR AS... INTEGRATOR

Integration is about the successful introduction of business change into an organisation. This, for example, could result from acquisition of a new business, implementation of new technologies or the introduction of an outsourcing arrangement.

How do we practically build an integration mindset? Formal training in project management is important, as well as finding mentors with experience in this area. Develop a strong and practical understanding of core project deliverables such as work plans, training and test plans, communications plans, stakeholder maps and impact assessments. One way to do this is to ask project management specialists in your organisation for a demonstration of these tools, or for them to regularly review the progress of your work. Proactively look for project roles to build your experience.

Workforces of the future will be a melting pot of diverse geographical, cultural, generational and cross-functional teams. Successful HR practitioners will be strong influencers and negotiators at the individual, team and company level.

How do we practically build an influencer mindset? Ultimately, the best way to influence is to have broad and deep relationships. You can build breadth through active networking and depth through regular contact. Don't just reach out to people when you have a requirement or need; get to know your colleagues and what matters to them

most (eg knowing the names of their children or their favourite sporting team). There are numerous tools available to assist your individual influencing style; DISC is one such framework and there are many others.

Influencing across a larger scale such as teams or business units is more challenging and ultimately requires good planning and a multitiered approach. The baseline for good communication is a plan that recognises the different needs of your stakeholder groups and provides for regular communication through multiple channels. Social media, mobile platforms and video streaming, among many technologies, have revolutionised the way communication is delivered. It is important to stay ahead of these trends to best leverage them as they continue to unfold.

laracala It is estimated that the world's information is roughly doubling every two years. In many HR departments organisational and employee data is often stored across multiple systems and geographies. In the future this data will be integrated and will actively talk to each other.

How do we practically build an analytical mindset? One of the most useful skills you (or your team) can learn is data analysis. Sharpening skills with spreadsheets (namely Microsoft Excel or Google Docs) and various functions like vlookups, pivot tables and charts is foundational. The best way to learn these skills is through ongoing and practical application. The challenge for the future will be interpreting data for insight. Data modelling and statistical concepts, while being more advanced subjects now, will become areas to be familiar with in order to generate insight and support 'telling the story'.

imicauzio With financial and consumer markets, supply chains, and technology platforms becoming ever more intertwined, the nature of business risk is rapidly changing. From a workforce perspective as businesses accelerate to outsourcing and offshoring, externalising employee platforms and encouraging social media, the challenges for HR professionals are becoming increasingly complex.

How do we practically build a risk management mindset? Managing risk comes down to some

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fundamental principles about policy, process, procedures and reporting controls. You can build strength in policy by staying on top of regulatory changes and the practical implications of them by broadening your business reading and networks. Look to build skills in process mapping and understand how this translates to strong business system requirements. Finally, mastering skills in reporting and data analysis as mentioned above will also be important for managing risk.

APPLYING THE FRAMEWORK Building your capability across the 'five hats' requires time, energy and commitment. It is important to define your objectives and create a learning plan that incorporates regular weekly and monthly activities that are reflected in your calendar.

DEDICATE 10% OF YOUR EFFORT TO COURSES AND READING There are literally thousands of great resources out there, from books to blogs, videos, and podcasts. One of the great challenges now and more so in the future is handling information overload. Take time to organise your information and learn to use search tools effectively to sift through information (for example, did you know that Google has an advanced search function?). Ask mentors and experts about the websites they find useful. Stay on top of industry trends by aggregating news and information via RSS readers and creating feeds in Twitter, YouTube or LinkedIn to channel the information you receive.

Many universities now offer free courses, and YouTube has thousands of clips on the topics outlined above (particularly tips for using Excel and overviews of new technologies). You could consider enrolling in a Master of Business Administration (MBA) or specialist master's program (eg Master of Project Management). An MBA covers all the topics outlined above in depth, with a focus on strategic and financial acumen.

DEDICATE 20% OF YOUR EFFORT TO MENTORING AND RELATIONSHIPS There can be little substitute for advice from an experienced colleague who has 'done it before'. Building your network can at first be daunting, but it shouldn't need to be. Start with the colleagues you already know, reach out to them and get back in touch. Aim to make the most of opportunities like company or industry forums and events organised by professional bodies.

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There are some basic rules in networking to consider. Firstly, relationships involve both give and take. Offer to help more than you receive, and don't only reach out because you need support. Secondly, look to stay in touch, even if it is a simple email to say hello. As your network grows this will take discipline, but it is an important part of career development.

DEDICATE 70% OF EFFORT TO ON-THE-JOB LEARNING It is through on-the-job experience that most learning is embedded. There are always many opportunities to proactively develop skills across the five hats. A starting point might be to look at the five hats and understand how they apply to your current role.

Shaping an opportunity to build skills in certain hats is another consideration. For example, building experience in Asia provides important cultural exposure for Australian managers of the future. This does not necessarily mean living in Asia but could mean creating opportunities to work in virtual teams or projects focused on Asia. Opportunities such as secondments, temporary transfers or stretch assignments are all good short-term options to target a few hats, like influencing or integration.

In today's business world the average time in a role is arguably about two years and that time will compress in the future. In 10 years that could mean five or more roles. What are the next few roles that will be important to you, and what networks are in place to position you towards those roles?

PREPARE NOW Over the course of the next 10 years business change will happen in ever-faster cycles. This will create pressure, as will the need to deliver more with less. These are exciting times, and in this fast-paced environment it is important to take a step back and think about career development in the context of where HR will be in the future. Preparing now, and as Stephen Covey would say 'sharpening the saw', will help you become more efficient and effective in the years to come.13E1

Further reading I. Ulrich, D., et al (2012), HR From The Outside In 2. Debono, E. (2009), 6 Thinking Hats 3. McKinsey (2012), The State of Human Capital 4. Deloitte (2012), Global Business Driven HR Transformation:

The Journey Continues 5. Accenture (2013), The Future of HR 6. Covey, S. (2004), The Seven Habits of Highly Effective People

Peter Szilagyi, CAHRI, GPHR, HRMP is an experienced HR leader in talent management, transformation and change management