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Worldwide survey on future HR trends - 20/03/2012


Deloitte Luxembourg recently presented a worldwide survey focusing on the 2011-2012 HR trends during a conference held within its premises.

Through this survey, Deloitte identified 12 significant trends that are shifting the HR landscape. Some revolutionary and some evolutionary, these trends are transforming how human capital leaders and professionals create value for the organisations they work with, their people, and their communities both inside HR and across the broader business.

Gilbert Renel, Partner at Deloitte Luxembourg states: “Given the importance of talent and people, it’s time to move beyond instinct, gut, and tribal wisdom in making workforce decisions. Employers’ needs, expectations, and definitions of success now vary widely, rendering obsolete a one-size-fits-all approach to talent management. Meeting tomorrow’s business challenges requires new skills and different qualities — and fresh models for finding, developing, and engaging next generation leaders. Though the contingent workforce is growing in importance, many organisations may not be skilled at managing this workforce segment effectively.”

Several key findings of the study include:

  • Workforce analytics: the pressure on companies to change fast is growing. At the same time, business leaders are becoming more data savvy, and they expect HR business partners to be able to deliver key performance data and prospective information on the workforce, rather than reports from the past.
  • HR in the cloud: new technological revolution is also affecting HR. Increasingly more services are available ‘on the cloud’ and through the internet, in a trend that cannot be missed. As Luxembourg wants to play a key role in the Cloud and SaaS revolution, local companies need to match this challenge.
  • From ladder to lattice: career is evolving, and is, to an increasing extent, resembling a lattice. New requirements for work/life balance, flatter hierarchies, changing gender roles, all call for a different view on career. Small countries like Luxembourg are more exposed than ever to this particularly attractive trend for families, thanks to its high living standards, new balance between career and life needs to be taken into account by companies.
  • Emerging markets: not just important for product outputs, emerging markets are becoming a relevant pool for talent, offering huge opportunities, but also continuous challenges in terms of cultural differences. A country like Luxembourg can exploit its longstanding tradition of watching outside its borders, and HR managers need to gain a deeper insight of what’s happening in the emerging markets, as they’re now driving the HR agenda.
  • Diversity and inclusion: diversity groups are a force in the market and not just a ‘nice to have’ anymore. Organisations incapable of encompassing the diversity dividend are soon going to start struggling for survival. HR needs to play a key role in this, by educating peer managers about the richness diversity can have. While government and companies still often concentrate only on the difference between man and woman, there are many more aspects to diversity than this, especially in a country like Luxembourg with 1/3 of its workforce commuting from abroad daily, 3 spoken languages and 80 nationalities present.
  • Next generation leaders: the new generation is challenging organisations with a completely different sense of priorities, and usual leadership styles do not necessarily apply. Today’s Y generation represents 20% of the workforce. In 4 years it will reach 50%. As generation clashes are not new, what has changed is the speed they happen at. Each company therefore has to adapt its leadership style to be ready to welcome the talents of the new generation.
  • Talent in the upturn: struggling between recovery and crisis, talent has started flowing in a process that can affect many of the organisations that went ‘back to basics’ as reaction to the crisis. With 68% of employees looking for their next job, Luxembourg based companies will also need to address this issue immediately should they want to be able to get on the recovery wave when it arrives.
  • COOs for HR: today’s market scenario demands more from HR, not less, and requires a stronger understanding of the whole ‘operations’ scope, transforming the role itself of the HR function. HR in smaller organisations need to scale up its role to make it more and more relevant, by offering fresh insights on company operations, focusing on efficiency and at the same time the satisfaction of its internal customers.
  • Leading in a regulated world: all organisations need to act with increasing care across all markets, where stringent regulations are put in place, also in those that were once considered ‘deregulated’. After the recent economic turmoil, with governments heavily back into the economy, mistakes are becoming more costly. Local and global regulations, like the CSSF remuneration policies or Basel standards, have direct impact on HR, which needs to take the lead in driving the development of a ‘risk culture’ based on the awareness of all internal employees.
  • Collective leadership: aligning people behaviour to organisational goals and getting employees to ‘act AsOne’ is becoming an increasing business imperative. Deloitte developed an innovative concept based on the observation of numerous success stories: collective leadership is what happens when a large group of people come together and commit to making big things happen.
  • Contingent workforce: in some parts of the world especially, the importance of flexible forms of working is increasing its importance, but a careful management is needed. In the recent crisis years in Luxembourg, between 2005 and 2010, 1 out of 4 middle management positions that came to be vacant have been replaced by interim employees or freelance support. Who monitors their knowledge and know-how? Their talent?
  • Social security reforms: across all countries, crisis has hit the social security sector hard. Worldwide reforms will oblige employees to delay their retirement, once more challenging organisations’ internal talent management strategies, especially considering that in 2018 the amount of people in Luxembourg between 50 and 60 will be higher than the amount of people between 20 and 30.A serious point to be considered.

For more information and to view the survey results, visit:

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Lu, Press
Deloitte Luxembourg - Marketing & Communications
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