We believe the landscape around the HR function is rapidly changing and HR is in a state of flux. Global volatility and uncertainty has driven a focus on how to steer through the next few years, while also requiring the HR function to continually demonstrate and increase business value over the longer-term.

Externally, the labor market continues to experience acute shortages of key skills, as employees re-evaluate their expectations from work. Meanwhile, boards want more from HR. They’re demanding a connected, digitally enabled and analytics-led function that can support the business’s wider aims. And consistently throughout, society expects HR to be the gatekeepers of the organization’s ESG commitments – bringing purpose and strategy to life through its people.

Our approach to the future of HR is founded on the research of organizations leading their peers in reimagining the HR function in a new working world – we call them the Pathfinders.

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The future of HR: From flux to flow

How Pathfinders are grappling with the current challenges faced by the function and are moving towards 2025 with purpose.



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Human centered, outcome oriented, digital first HR

Leading HR functions are focusing on four distinct, mutually reinforcing capabilities that enable a more purpose-driven culture anchored by Environmental, Social, and Governance (ESG) commitments.

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Evidence-based decision making balanced by the organization’s core purpose. Positions HR as the predictive engine that leaders and the business seek.

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Focus on valuing employees and leaders as ‘customers.’ Embracing technology to increase connections, promote wellbeing, and support an overarching people agenda as tasks and roles are redefined.

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Deploy data-led scenarios to identify the size, structure and skills of a future workforce. Translate these predictions into reality through a digitally-enabled talent marketplace, allocating tasks to skills.

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An integrated look at all aspects of how workers build skills that are needed to be successful and taking a learner-first approach.

  

  

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Thomas Nearney

Thomas Nearney

People and Change Center of Excellence
KPMG International

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Karla Baumler

Karla Baumler

People and Change Center of Excellence
KPMG International

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Connect with us