Human resources is the architect of the employee experience. As the evolution of HR continues, purpose-driven philosophies have become core business drivers.
Once upon a time, human resources was known as the personnel department. Personnel refers to the people who perform work for a company. Human resources, in contrast, encompasses the tools to recruit, train, develop, and manage people to successfully perform their jobs. Today’s HR functions help build great companies that are founded on employee investment. The department is strongly aligned with achieving business objectives and bolstering the organizational culture.
In this article, we explore the evolution of HR and key trends that are emerging in the post-pandemic era.
Before the 20th century, brutal working conditions were the norm in America. The 1900s ushered in the beginnings of the human resources movement. The need to treat workers as people rather than expendable commodities emerged.
Key events over the next century included:
- Labor unions began to form in the early 1900s and personnel departments were introduced to manage employment issues and needs.
- World War I created an opportunity for workers to improve their position in the economy. They gained a great deal in real wages and political power during this period, largely because the wartime economy required labor peace
- After the Stock Market Crash of 1929 and the Great Depression, things took a turn for the worse when welfare capitalists gained power with the goal of keeping unions from forming again.
- Franklin Roosevelt transformed the American economy by instituting the National Industrial Recovery Act (NIRA) in 1933. It sought to create a new corporatist style of regulated and planned economy in which big government, big business, and labor worked together to achieve greater efficiency.
- FDR’s ‘Second New Deal’ helped energize the U.S. labor movement. With federal recognition of their right to organize, American workers in previously non-union industries created another surge in organizing activity.
- World War II marked another profound turning point because it brought the country out of the depression, introduced thousands of women and black workers to the industrial labor force, and established unions as central permanent players in the national economy.
- Fair compensation was introduced in the 1960s as a tool to boost productivity and create a healthier, stronger organization in the long term.
- In the 1970s, fields like industrial psychology and organizational development became more established, furthering the concept that businesses are made better when employees are suited to their jobs, trained well, and enjoy their work.
- Human Resource Management had early origins in the United States in the 1950s but did not gain wide recognition until the 1980s.
Today, intellectual capital is recognized as a key competitive advantage.
Extending far beyond compliance issues and administrative responsibilities, the modern concept of human resources is aligned with achieving business objectives and enhancing productivity by fostering employee engagement and development. HR professionals assist business leaders in creating a company culture that effectively attracts and keeps the best talent. Recognizing the correlation between employee satisfaction and productivity, human resources helps companies develop their employees in the workplace and can help foster a better work-life balance so people can be happier at home and thus work more productively. This paragraph needs to read so that it doesn’t appear as though our goal is work life balance. Our primary goal is to ensure a company is successful through its people and helping foster work life balance is a part of it. But really you don’t need that and I’m not sure if it is relevant to this article.
While great workplace advancements have been made in recent decades, the pandemic revealed new opportunities that are further refining the role of HR. Here are three key trends that have emerged:
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Focus on the employee experience.
Today’s workforce is multigenerational and multicultural with varying needs and requirements, rendering one-size-fits-all solutions ineffective. Talented professionals also understand the value of their skills and how much it costs companies to attract and replace them. With that knowledge comes more choices, which has made employers realize that they must prioritize the employee experience to keep the best talent. Employees, like consumers, keep raising their expectations when it comes to workforce preferences. Personalized, customized employee experiences can be crafted by leveraging technology and placing a heightened focus on engagement. Strategies like acknowledging performance excellence, providing reskilling opportunities, offering flexible perks, emphasizing belonging, and fostering internal communications are invaluable in creating a positive employee experience.
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Facilitating collaboration.
The pandemic caused remote and hybrid work models to become the new normal, but they often fall short in terms of collaboration and interaction. Co-creation and innovation are buoyed by introducing platforms to seamlessly connect workers from anywhere; creating opportunities for employees to engage in cross-functional teams with remote and hybrid staff; encouraging ad hoc conversations and interactions; and developing ample opportunities for team communications, whether in-person or virtual. When employees feel included and that they are working toward a common goal, projects tend to be more successful. Team collaboration tools ensure that communication flows freely so that everyone feels involved and that they are contributing to the effort.
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Helping to create an agile, resilient culture.
When crises strike, resiliency becomes an invaluable asset. It’s the stuff that allows us to adapt, recover, and grow stronger from adverse situations. In the workplace, resilient teams generally have greater clarity of purpose, stronger connections, and a can-do attitude. They’re optimistic, aligned with the needs of internal and external stakeholders, and they get things done. As workplaces continue to progress in the post-pandemic era, the evolution of HR continues. It will play a critical role in helping companies create a robust culture where employees can keep up with a rapidly changing landscape and acquire the skills necessary for success.
For more than 25 years, The HR Team has been helping companies develop smart, customized employee engagement strategies. By applying our forward-thinking tools and extensive experience, you can attract and retain a happy, high-performing workforce. Please reach out to our knowledgeable professionals to learn more.
About The HR Team: Founded in 1996, The HR Team is a Maryland-based human resources outsourcing firm committed to developing strategic, customized solutions that respond to the unique needs and cultures of organizations of all types and sizes. Available as a one-source alternative to an in-house HR department or on an à la carte project basis, the company’s flexible service models address the full spectrum of HR needs that many organizations struggle to address. The HR Team helps clients achieve their highest level of success by providing value-driven human resources services that leave them time to focus on what they do best: directing business growth and profitability. Headquartered in Columbia, Maryland, the firm serves all of Maryland, Washington, DC, and Virginia. To learn more about The HR Team, call 410.381.9700 or visit https://www.thehrteam.com/.