Organisations are not ready to adjust to 21st century workforce - 31/03/2014DOWNLOAD
Survey reveals that organisations are not ready to address the striking shift in employee expectations, resulting in potential retention and leadership crises
A significant gap exists between the talent and leadership issues organisations face and their readiness to respond, according to the results outlined in the Deloitte’s Global Human Capital Trends 2014 survey of over 2,500 business and Human Resource (HR) professionals from 94 countries around the globe of which 120 from Luxembourg.
Filip Gilbert, partner and Human Capital Leader at Deloitte Luxembourg explains, “This year, the human capital survey set out to analyse the HR and talent trends which we believe will most significantly impact organisations in the near future. The report focuses not only on 12 main global trends for organisations but also on the readiness of both the business and HR leaders to address these challenges.”
In Luxembourg, respondents recognised the need to take action on critical issues including leadership (85%), retention and engagement (77%) and reskilling the HR function (77%). However, many expressed reservations about their organisations’ readiness to address the issues. According to the survey, the top three trends pertinent to Luxembourg professionals are:
Respondents felt that developing leaders at all levels was the top issue facing the majority of organisations, yet 29% believe they were not ready to put in place the necessary structure to maintain a consistent succession. Lack of readiness for development was also reported throughout EMEA organisations with a readiness gap of 32%; slightly lower than the global figure of 34%.
Retention and engagement of employees was the second top challenge in the Luxembourg workforce. One of the changes resulting in the quest for higher retention has been the corporate embrace of ‘flexibility’, an emerging matter of utmost importance to many workers. However, flexibility alone does not ensure retention. Purpose and meaning in the work itself is also accountable. In this aspect, Luxembourg organisations’ readiness gap stands at 21%, the same as for EMEA survey respondents and slightly lower than for global respondents (23%).
The survey reveals that many HR teams are perceived to lack the skills needed to meet the challenges of today’s business environment characterised by disruptions in labour markets, evolving workforce demographics, shifts in technology and the changing nature of work itself. In fact, more than one-third (35%) of the respondents believe that their HR and talent programmes are just ‘getting by’ or even ‘underperforming’.
“The strategy approach of human capital is a determining factor in building a successful business.” said Filip Gilbert. “One of our main findings in this research is that reskilling HR teams is one of the most critical mission for organisations today. As HR technologies among other factors impact in the attracting, retaining and developing of talent, companies must change their management approach and work towards continuous innovation and reengineering human capital practices.”
Further trends were observed on a global level, the key trends falling into three major categories: attracting and engaging; leading and developing; and transforming and reengineering the HR function:
Attracting and engaging
Leading and developing
Transform and reinvent
The complete version of the Global 2014 Human Capital Trends report as well as all results relevant for Luxembourg can be downloaded from the Deloitte Luxembourg website at: http://www.deloitte.com/lu/human-capital-trends-2014
About Deloitte Global Human Capital Trends 2014 Report
The Deloitte Global Human Capital Trends 2014 report is one of the largest talent management surveys to-date, bringing together 15 years of research, incorporating the views of more than 2,500 business and HR leaders in 90 countries around the world.
To gain further insights into the report, including detailed information on specific countries or industries, click here www.deloitte.com/hcdashboard to access the Deloitte Global Human Capital Trends Dashboard.