The importance of HR departments in future business development

We are witnessing great growth in the strategic importance of the HR department in various industries.

How HR became a business partner and what is even more interesting, how HR plans to contribute to the business development in the future ahead of us, are the key questions that I will refer to in the rest of the text.

In my view, the labor market has largely dictated the aforementioned changes. The labor market, like any other market, is governed by the law of supply and demand. Considering the lack of quality personnel, the offer is getting smaller and the demand for the same is increasing. 

Faced with such situations, employers must be creative, ethical, and, above all, realistic in adopting HR strategies. 

Organizational excellence is one of the key elements for achieving profitability.

The coronavirus pandemic has made a big turn in the market. New forms of work were introduced and emphasis began to be placed on the mental health of employees. The hybrid way of working is ideal for many employees and fits into the new, digital perception of life. 

Apart from the labor market, the pandemic has shown that flexibility is needed in all other markets as well. The problem will be those employers who do not keep up with the changes.

And companies are in the midst of digital transformation. It implies but is not limited to, the automation of work processes. Thus, it contributes to economic growth through productivity growth. 

Many tasks that used to take hours of human labor will be automated in the future. All of the above will greatly redefine staffing needs.

Some jobs will cease to exist as we know them today, but at the same time, there will be those that are not currently relevant. These changes should be viewed from the positive side; automation should not be seen as causing a collective surplus of labor, as many fear. 

Looking from the aspect of resources, employees will be able to deal with more useful tasks that bring added value to the company. 

This, of course, entails the issue of staff competence to keep up with new technologies and tools. This is why continuous education and training of all employees is imperative.

How to attract new talents?

In addition to educating existing employees, companies must think about how to attract new talent with expert knowledge that is necessary for survival on the economic scene. 

Successful will be those companies that are most skilled in attracting, developing, and retaining individuals whose role will be to build organizations that can adequately respond to the demands of clients as well as technological progress. 

Importing foreign labor is also one of how employers fight for survival in a labor market that has long since ceased to be national and has become global.

The individual is in focus more than ever; from the question of what an employee can offer to a company, we come to the increasingly frequent question of what companies can offer to employees. 

How to motivate employees, what do they want?

Flexibility is desirable in all aspects related to working conditions. With the change of generations and the entry of Generation Z into the labor market, companies face great challenges. 

New generations of employees demand greater benefits, career guidance, balance between private and business life, and support in their personal growth and development. 

A career is no longer perceived through the lens of job security for which an individual was educated. New generations are ready to change their occupations up to several times during their career. The key will be the recognition of the individual motivators of each employee and the adoption of a strategy and development path for them.

This is exactly where HR plays a key role. Together with the management, he must respond to the aforementioned challenges by emphasizing the development of employees in equal proportion to the development and profitability of his business. One does not work without the other.