The Main Challenges of Human Resources Departments & HRMS as Solution

 

Human resources departments are one of the fundamental pillars in the success of a company, and it is that they are responsible for hiring, professional relations and the application of various policies at the level of work teams in companies.

Under this scenario, EAE Business School published a guide with the main challenges of this area in the 21st century, where digital came to the fore.

1. Add value to the organization

Given its strategic position, the Human Resources of the 21st century are obliged to promote initiatives that add value and that allow companies to differentiate themselves from their competitors. The idea is that customers find something that no one else offers and that this becomes a distinctive feature of the brand or product.

How to do it? In this case it is about investing in the improvement of internal processes and working conditions so that, in the medium or long term, its benefits are reflected in the external relations of the companies.

Specifically, actions can be implemented in areas such as the following: Communication and their respective dissemination channels; the staff motivation strategy; fair incentive systems accessible to all; the improvement of individual performance; creating a culture of leadership.

2. The customer is the center of the processes

Companies are no longer the center of management. Now the most important element is the human factor, which from the outside materializes in the clients or consumers. All the strategies of the company must be oriented to the satisfaction of needs or the coverage of spaces in the market. Or in other words, products are no longer made just because; they are the result of a lawsuit.

This closer and continuous relationship with the customer requires Human Resources departments to invest in areas such as customer service, post-sale stages, and feedback channels. Likewise, it is necessary to improve the training of personnel so that the service in these areas is optimal.

3. Productivity, a tool for change

Reactivity and immobility are basic characteristics of traditional business models. Until relatively recently, jobs were seen as a life-long option. He held a certain position and we remained in it until our professional career came to an end. Now it is different.

The 21st century has promoted work models based on agility, dynamism and multidisciplinary. Promoting a proactive attitude is not only essential to add value to the organization, but at the same time to implement changes due to circumstances. Being proactive is looking for new alternatives to improve commercial action and anticipating the daily challenges derived from it.

4. The power of knowledge

The companies that best adapt to the contexts will be the ones that obtain the best results. This adaptation depends on a fundamental element: knowledge. It is enough to look around us to see that the best positioned brands are those that dominate the scenarios in which they operate.

For the Human Resources of the 21st century, knowledge must be a priority. The main actions around this aspect are: Investment in research and analysis; innovation strategies; training, specialization and qualification of personnel; promotion of knowledge networks; expansion of specialized contacts and links; and attracting talent from other sectors.

5. Management of multigenerational companies

Another challenge for Human Resources will be to manage companies made up of people from at least 3 different generations. It is not something new, of course, but it is an element that has never been so necessary before. 

Until two or three decades ago, generational changes in companies were much slower; in fact, few internal promotion opportunities existed. But this situation has changed. Both experience and new ideas must coexist and make their respective contributions to companies. 

The challenge is not so much the way in which these companies should be organized, as the creation of favorable working climates for all personnel. The generations do not think the same or have the same conception of work. This is where those responsible for Human Resources must focus their work.

6. Combination of forms of work

In addition to generational differences, the Resources area will have to integrate the different forms of work, both those that come from traditional models and those that have emerged in the digital age. 

Be careful, it is not about betting on one or the other model. On the contrary, the main objective is to achieve a full integration of both models and to make the most of what modalities such as online work, outsourcing of services, collaborations or freelance contribute to companies in certain contexts.

In short, human resources departments must face the different challenges in a proactive way and based on the digital transformation of organizations, so they must be very fast in capturing opportunities and implementing the essential changes to be able to place themselves between the first regarding the competition; with the aim of attracting, retaining and developing a human team with talent, ability, and motivation to achieve the objectives of the company with responsibility, efficiency, and speed. Human Resource Management Software will give them opportunities to face those new challenges of the digital age.