Much has been written and debated about the future of HR services. Many experts predict that HR will split in two or three directions.
For example, the decade-old Ulrich model shows a three-point model which splits HR into:-
- business partners
- shared service centres
- centres of expertises
Other models talk about two-way splits and have: -
- transformational – focusing on a mixture of organisational development and individual capability development
- strategic – working with business leaders to clarify and implement strategy versus
- transactional – traditional administrative and systems-based services.
Other factors will influence the future of HR services and the skills required by HR practitioners:
- The demographics of the working population are changing. Research shows that there is an ageing workforce. In order to retain the services of the aging workforce it will be necessary to provide more flexible and worker-friendly working practices. It will also be necessary to attract younger talent into an organisation and this will be a major challenge for the future. Crafting strategies that will be attractive to both groups will require innovation and skill.
- Building the workforce of the future is further complicated by many of those entering the workforce not having the requisite skills for business. The DfES estimates that there are 900,000 adults of working age in London with literacy skills of below level 1 and 2.3million with numeracy skills below level 1. Bringing our workforces up to a level 2, a priority of central government, will be a challenge now and in the future.
- Increasingly there will be pressure for HR services to be able to deliver more efficient and effective services against the bottom line. Financial pressure increasingly will look for cost-effective technology-based or outsourcing solutions for the more routine activities. Increases in hi-tech solutions will need skilled operatives to be able to effectively use this new technology.
- There will also be a need to improve the service to the organisation’s customers and address the strategic drivers. Research has shown that there is a marked difference between where HR sees itself adding value and where the customers (directors, line managers, and employees) see the value as being. The future will be where the two visions of HR beco