Trends in Human Capital Management (HCM) for 2016
From an increased focus on employee engagement to meeting the demands of government compliance, 2016 is the year that companies focus on building better relationships and using technology to streamline their HR functionality. Here's an overview of some of the year's top human capital management (HCM) trends.
The concept of mobility, from mobile tools to offsite employees, will continue to grow in interest and popularity in the year ahead. Common topics may include whether a Bring Your Own Device (BYOD) to work policy is right for your company, or how cloud-based technologies are making it easier for employees to work remotely. To prepare for the growth of this trend, assess how your mobile tools and software address how your clients interact with your company and how your employees interact with each other—and then invest in the priority areas for your business.
More Effective Recruiting Through Technology
As the market for talent becomes more competitive, companies may find it more difficult to hire and retain staff. As a result, many businesses have begun to use HR technology in an attempt to hire and manage talent more effectively. In particular, advanced applicant tracking systems are helping HR teams write better job postings and can target them to include desirable keywords in order to increase visibility. HR technology is also making it simpler to share open jobs on multiple job boards and to promote them via social media.
Meeting Multi-Generational Workforce Needs
For the first time ever, some companies can claim four generations working side-by-side in the workplace. The potential for collaboration and innovation through the perspectives of multiple generations has never been higher. At the same time, the different generations may have varying needs and expectations on topics ranging from work styles to employee benefits. HCM trends are focusing on meeting different needs while fostering collaboration. The HR department and front-line managers will need to be proactive and agile in order to make the most of the expanding demographics of the U.S. workforce.
Planning for Regulatory Requirements
Companies must meet a wide range of regulatory requirements, from Affordable Care Act (ACA) reporting to the information employers are required to provide an employee at the time of separation from employment. Data errors and delays in meeting these and other applicable requirements can lead to serious fines and penalties. To mitigate this risk, one of the major HCM trends for 2016 is to use technology to improve information management and reporting. Companies of all sizes have begun to see the benefits of technology and process management that can assist with meeting these requirements.
Mastering New Technologies
Determining where HR technology can provide a company with competitive leverage may be the HCM trend of the year. There are many tools available to help companies manage nearly every aspect of the HR process, including recruiting and hiring, management of employees, and retirement. The introduction of mobile-friendly, cloud-based technologies has also allowed companies to prioritize and customize their HR investments.
Keep an eye on these HR trends for 2016 and see how adopting some or all of them may help your business stay ahead of the competition.