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SAPWhitePaper|PUBLIC

2024HRTrends:

TheYearofAI

3

Hybridworkreturns

totheoffice

2

Skillsbecome

thecenter

ofHRpractices

6

Trustinleadership

plummetsto

newlows

5

Mentalhealth

reachesa

breakingpoint

2024HRTrends

TheHRandworkforcelandscapeisexpectedtoundergosignificantchangesin2024.Organizationswillneedtodealwiththerealities

associatedwithmajordemographicchanges,technologicaladvancements,andevolvingexpectationsaroundtheemployeeexperience–allofwhichwillfundamentallyshapethefutureofworkforyearstocome.

UnderstandingthesetrendsandtherolethatHRtechnologycanplayinaddressingthemisessentialforHRprofessionalsandbusinessleaderstomakestrategicdecisionsandstayaheadofthecurve.

1

AIupendsthe

worldofworkasweknowit

4

DEI&Bstallsin

momentum

8

Paygetsputin

thespotlight

9

Sustainability

becomesa

strategy

7

HRtransforms

itsown

skillsandagility

EmployeeexperiencecontinuestopermeateHRtrendsandstrategy

2024HRTrends:TheYearofAI

2/31

EmployeeexperiencecontinuestopermeateHRtrendsandstrategy

Inour

2023HRtrendsanalysis

,itbecameclearthat

employeeexperience(EX)wassouniversalathemeandfoundationaltoHRstrategythatitwouldbe

importanttoconsiderEXmorebroadlythanjusta

standalonetrend.Thisisperhapsevenmoretruein

2024.ThebiggestissuesthatorganizationsandHR

teamswillfacein2024areinextricablywovenintotheemployeeexperience,anditwillbeatoppriorityfororganizationsandHRteamsastheyplantoaddressthesetrends.

Forexample,AI,referringtotechnologicalsystemsthatperformtaskshistoricallyrequiringhumanintelligence,emergedastheclearfrontrunnertrendthisyear.However,itslong-termand

ultimateimpactontheemployeeexperienceisyettobeseen.ManyaspectsofAIcanbenefitemployees’experienceatwork,suchashelpingthembemoreproductive,offeringthemmorepersonalizedexperiencesacrosstheemployeejourney,and

ensuringthatEXismeasuredandtangiblyimprovedovertime.Atthesametime,theimmenseamountofchangeassociatedwithAI–fromhowitwillimpacttherolesemployeeshavetotheskillstheyneedtoperformthoserolesandeverythinginbetween–couldnegativelyimpactEXifnotmanagedand

navigatedappropriately.

Thisyear’strendsalsoindicateaclearfractureintheemployee-employerrelationship,whichwillhavesignificantimplicationsforeffortstodesignandmaintainapositiveEXin2024.Forinstance,thehigh-profilecollectiveactioneventswesawin2023are

expectedtocontinuethisyear,whetherinresponsetochanginglevelsofflexibilityinworkarrangements,employees’unmet

expectationsrelatedtocompensation,oracontinueddeclineintrustinandsatisfactionwithleadership.Organizationscanonlyweathertheunpredictabilityofthedynamicenvironmentswe

willfacein2024bytrulyprioritizingEXandworkingtobuildstrongerrelationshipswiththeirworkforce,characterizedbytrustandopendialogue.

Ultimately,EXisatacriticalinflectionpointasweenter2024.

Employerswillhavetobalancetheaggressiveadoptionofnewtechnologieswhilemaintainingorevenincreasingthewaystheybringhumanityandahumantouchtoemployees’experiencesatwork.Thisyear’strendscallforacontinuedfocusfrom

organizationsonreskillingandupskillinginitiatives,identifyingtheoptimalworkarrangement,andincreasingdiversity,equity,inclusion,andbelonging(DEI&B)efforts.Inaddition,thetrendsin2024makenewcallsaroundsupportingemployees’mentalhealth,resolvingpaydisparities,andprioritizingsustainability.Tonotonlyovercomethechallengesbutalsothriveinthefaceoftheopportunitiesweanticipatecomingin2024,organizations

willneedtotreatEXasthefoundationoftheirbusinessstrategiesandpinnacleoftheirmeasuredandprioritizedoutcomes.

2024HRTrends:TheYearofAI

3/31

#1:AIupendstheworldofworkasweknowit

Whatcaughtourattention

SincethebeginningofourHRtrendsreportingin2020,AIandotheremergingtechnologieslikeWeb3.0havegarneredattention,butwereneverinthespotlight,combinedinasingletrendat#3or#4.In2024,the#1trendisallAI–andallover.AI

dominatesthe2024trendsdiscourseintermsofhowitwilltransformthelabormarket,howitwilldrive

productivity,andhowitwillneedtobemanagedtopreventnegativeoutcomes.

AswelearnmoreaboutgenerativeAIandhavemoreexperienceworkingwithit,the2024trendsdatahasbustedplentyof

mythsrelatedtohowgenerativeAIwillimpactjobs.

GenerativeAIwon’tleadtowidespreadjobloss–instead,

employeeswhousegenerativeAIwillreplacethosewhodon’t.Theworkthatorganizationsneedtoaccomplishwillstaylargelythesame.However,generativeAIhasandwillcontinuetodisrupthowthatworkisdone.AndemployeesneedtoseegenerativeAIasatooltohelpthemcompletework–notaforcetocompete

withforwork.Inthisspirit,the2024trendssuggestemployeescanimprovetheirskillsinpromptengineeringandchanneltheirexpertiseintothesetools,workingalongsidethemasateam.

TrendsindicatethatusingallformsofAItoimproveday-to-dayproductivitywillbetopofmindfororganizationsin2024.

Inparticular,self-serveAItoolslikecopilotsarepoisedto

increaseemployeeproductivityonvariousday-to-daytasks.

Asemployees’sentimentaboutusingAItoolsatworkhas

improved,sohastheabilityofthesetoolstomakeemployeesmoreefficientandeffective.Buttrendsdatacautionagainst

unprincipledapplicationsofAItoimproveproductivity.

Withoutguardrailsandguidance,employees’useofAIcanbeunproductiveorevenoutrightharmful.ThenascencyofthesetoolsrequiresthatemployeesaretrainedtonotonlyusetheirbestjudgmentwhendecidinghowandwhentouseAItobe

moreproductive,butalsotocriticallyevaluatetheinformationthatAIprovides.

Concernsaboutdataprivacy,ethics,andregulatory

compliancearehinderingsomeorganizations’appetitefor

implementingAI-enabledtechnology,accordingto2024trendsdata.Indeed,researchandhigh-profileincidentshaveshown

thatwhennotusedresponsibly,opaquealgorithmsusedinAI

toolscanperpetuatebiasorviolatedataprivacy.In2024,trendssuggestorganizationswillbecomemorerigorousintheirinternaldatasecurityprocessesandlookforAI-enabledtechnology

vendorsthatgroundtheirtoolsintheprinciplesoftransparency,explainability,andfairness.

TrendsdatashowsthatthemostpopularHRpracticesforanAIoverhaulin2024arerecruitingandselectionusecases.Infact,talentacquisitionisbarelymentionedoutsideofthecontextofAI.ButtheusecasesofAI,andparticularlygenerativeAI,to

optimizetheHRfunctionscontinuetoproliferate.Ratherthan

listingthemallhere,readontolearnhowAIcanhelp

organizationsandtheirHRteamsaddressthebiggesttrendsimpactingthefutureofworkin2024.

2024HRTrends:TheYearofAI

4/31

Whatwe’rethinkingabout

•HRleadershaveclearanduniqueopportunitiestocontributetodevelopingandimplementinganeffective,organization-wideAIstrategy.Withtheirexpertise,HRcangovernthechangemanagementrequiredofsuchanimmensetransformationandtrackimportantKPIsassociatedwiththestrategy’ssuccess,suchasemployeesentiment,adoption,andproductivity.Suchachangewillalsorequireashiftintheorganization’sculturethatHRcanlead.Weanticipateemployees,teams,andorganizationswillmakeplentyofmisstepsasAIisimplemented.Anorganizationallearningculturebuiltontrust,psychologicalsafety,andthe

importanceofexperimentationwilldeterminethespeedofrealizingthevalueofAIandthelong-termtrajectoryofthatvalueovertime.

•AI’songoinguseandintegrationwithinmanyrolespointtoalargerneedtoproactivelyredesignjobs.InsteadofdoingawaywithlargesegmentsoftheirworkforceduetotheperceptionthatAIcanreplacethoseindividuals’work,leaderswoulddo

welltoapplyaredesignperspectiveandthinkflexiblyaboutwhethertheorganizationwouldbewell-servedbyhavingthoseworkersbeplacedinanadjacentroleormodifiedversionoftheircurrentrole.

•AIusecasesacrosstheemployeeexperiencearenumerous–butarenotallequallyvaluable.Currently,thevoracious

appetiteforAIisleadingsomeorganizationstotakea“moreisbetter”approachratherthandiscerningwhichAIapplications

wouldreallybethemostuseful.ThereisagreatneedforexperimentsandfieldresearchtoquantifythereturnoninvestmentofdifferentAIusecasesandassesstheincrementalgainsintangibleandintangibleemployeeandorganizationaloutcomes.

•Likealldata-driventools,generativeAIissubjecttotheprincipleof“garbagein,garbageout.”Ifthedatausedbythemodelisflawed,incomplete,ornonsensical,whatitgenerateswillbethesametoo.CompanieshopingtoharnessthepowerofallformsofAIwillneedtoolsthatleveragetheirownuniqueorganizationaldatatoensurethatthesystemoutputsarerelevanttotheir

specificcontext.Theywillalsoneedtoensuretheorganizationaldatatheyprovideishigh-quality.WeexpectthatasAItools

becomemorematureandprovideevenmorevalue,culturalnormsandemployeeexpectationsaroundAIwillfluctuate.

EmployeesmightnotwantcertainpracticestobeenabledbyAItoday.

Fromourresearchonintelligenttechnology

,weknow

thatemployeesdonotwanttechnologytoevaluatethem.Still,theymightbecomemoreacceptingoftheseusecaseswithtimeandbettertools.Practicesthatneeda“humantouch”willcontinuetoevolveasthetechnologydoes,andHRleadersmust

continuetolistentotheiremployeestounderstandhowandwhenemployees’expectationsarechanging.

2024HRTrends:TheYearofAI

5/31

Questionstoprepareforthefuture

•Howwillyou

preparepeoplemanagers

tomanage

theperformanceofemployeesthatuseAI?Howwill

managersincorporateusingandlearningaboutAIinto

theirteammembers’performanceanddevelopment

goals?HowwillmanagersknowwhatlevelandtypeofAIusageareinappropriate,howtodetectthese,andwhat

consequencesemployeeswillfaceforusing

AIinappropriately?

•Whatareyourorganization’sprinciplestoguide

decisionsrelatedtoAI?Forexample,whatlevelortype

ofriskisyourorganization(un)willingtoassume?What

outcomesarethehighestpriorityforyourorganization

toachievewithAI(forexample,financialoutcomes,

employeeoutcomes,orsustainabilityoutcomes)and

howwillyourorganizationtrackitssuccessinthose

outcomes?Willyourorganizationtakeamorecautious

approachtopreempttighterAIregulationsshould

theyoccur,ortakeabolderapproachtomaximizevaluebypushingagainstexistingregulatoryboundaries?

SAPSuccessFactorssolutionstohelp

•SAPSuccessFactorsEmployeeCentral:

Useacentralrepositoryofaccurate,up-to-date

peopledatatodeliverAI-poweredemployee

experiencesinHRandacrossotherareasof

thebusiness.

•SAPSuccessFactorsOpportunityMarketplace:

Helpemployeesexploregrowthanddevelopmentopportunitiesbyusingtalentintelligenceto

surfacerelevantrecommendationsforshort-termassignments,mentors,newroles,andothers.

•SAPSuccessFactorsLearning:

Accelerateupskillingandreskillinginitiatives

byusingtalentintelligencetodeliverlearning

recommendationsbasedonwhatanindividualhasto,needsto,andwantstolearn.

•SAPSuccessFactorsRecruiting:

Ensureaninclusiveandskills-basedapproach

tohiringbyusinggenerativeAItoenhancejob

descriptionsandinterviewquestions.

•SAPSuccessFactorssolutionswithJoulecopilot:

HelpemployeesandmanagersworkfasterandsmarterbyusinganAIcopilottomakeiteasiertofindinformationandcompletecommonHRtasks,suchasupdatingpersonaldata,givingfeedback,andinitiatingapromotion.

6/31

#2:SkillsbecomethecenterofHRpractices

Whatcaughtourattention

The2024trendsindicatethatperhapsnowherewilltheimpactofAIhavemoreimportantimplicationsorbefeltmorestronglyinthecomingyearforHRthanworkforceplanning.Organizationswillbeforcedto

reconsiderwhatAIskillstheyneed,identifywho

(internallyorexternally)possessesthoseskills,

anddeterminehowtheyshouldbestfillidentifiedskillsgapsintheshort-andlong-term–beitthrough

reskillingandupskillingofexistingtalent,

redeployment,externalsourcingoffull-timehires,orleveragingcontractworkers.Inotherwords,should

youbuild,borrow,buy,orbot?Interestingly,asmuchasAIisdrivingtheneedfororganizationstoengageinstrategicworkforceplanning,itappearstobeequallydrivingtheirabilitytodosomoreeffectively.

Unsurprisingly,skillspredictedtobecomeincreasingly

importantthisyeararethose“human”innaturesuchasstrategicthinking,complexproblemsolving,creativity,collaboration,

emotionalintelligence,aswellaspeoplemanagementskills.

However,trendsemphasizethattheimportanceofreskilling

andupskillingfor“technical”skillsassociatedwithusingAI

cannotbeoverstated.Whiletrendsindicatethatithasprimarilybeenabottoms-upeffortbyemployeestodate,it’santicipated

thatorganizationswilldoubledownonemployer-ledAIupskillinginitiativesinthecomingyear.

Whenitcomestohowemployeeswilllearnnewskillsin2024,trendsdatashowsthreemajorthemes:quickly,continuously,andenabledbydata.Microlearningisexpectedtoovertake

long-formcontentintermsofemployeepreferenceandusethisyear,whilecontinuouslearningisimperativetohelpenable

employeestoconstantlyimprovetheirskillsandadaptto

changingbusinessneeds.Andorganizationsthatembracethethirdtheme,data-drivenlearning,willuselearninganalyticsandworkforceskillsdatatobestrategicaboutwhoneedstolearnwhatandwhen.

Careerdevelopmentemergedasamajorthemethisyear,

withtrendscitingthatemployeeexpectationshaveincreased

considerablywhenitcomestohavingformalized,yethighly

personalized,careerpaths.Butthisisn’ttosayemployeeswantacareerpathdevelopedbehindthescenesandhandedto

them.The2024trendsmakeclearthatorganizationswillneedtoprovideamplespaceforemployeeexplorationandautonomytochoosethedirectionthatmakessensetothemnotjustbasedon

theirskills,butalsoalignedwiththeiruniqueinterestsandpreferences.

Whileskills-based(external)hiringwasthenumberonetrendinour2023analysis,2024trendsindicatethatorganizationswill

shiftinternallyastheylooktoapplyaskills-basedapproach

acrossHRpractices.Accordingtotrends,theendgoalformanyorganizationswillbetobuildaworkforcewithskillsagility

andadaptivenessratherthanaworkforcewithskillshighlyspecializedtoandfixedforaspecificrole.

2024HRTrends:TheYearofAI

7/31

Whatwe’rethinkingabout

•Lastyear,trendspredictedthatorganizationswould

finallyshiftfromfocusingonfillingshort-termskills

gapstoengaginginlong-term,strategicskills-based

workforceplanning.Whetherduetooverambitionsin

scope,timing,orabilitytoexecute,thisforecastlargelyfailedtoplayout.Is2024theyearthatskills-based

strategicworkforceplanningbecomesareality?GiventheexplosionofAIcapabilitiesandassociatedneeds

lastyear,organizationsnowhavesomespecificskills

totargetratherthantreating“skills”asacatch-allin

theirworkforceplanningefforts,lendingitselftobettersuccess.Eveniflimitedtothissingleapplication–

understandingpreciselywhatAIskillsyouwillneedasanorganization,identifyingwhopossessestheseskills,anddeterminingwhocouldbeupskilledtoacquirethem

–wewouldconsiderthisamajorwin.

•Organizationshavelongoperationalized

“employee

potential”

asthepotentialtofillaleadershiproleor

moveupacertainnumberofjoblevelsinacertain

period.However,thetimehascomeforhigh-potentialprogramsandpracticestogetaskills-basedoverhaul.Organizationsshouldinsteadfocusonanemployee’s

potentialtoacquirecertainskills,answeringthe

foundationalquestion:“Potentialforwhat”?This

specificityallowscompaniestousetheirreskillingandupskillingresourcesmoreefficientlyandprovidesmuchmoreaccurateandricherdataforworkforceplanning.

•Thecontinuedcallsfor

strongerlearningcultures

andforemployeestoleanintoreskillingandupskilling

initiativesaresimplyinsufficienttoproducethe

resultsorganizationsnowneedtobuildafuture-

readyworkforce.Mostemployeescontinuetoremainfocusedontheircurrentjobresponsibilitiesandtakeonadditionallearningonly“offthesideoftheirdesks.”

Reskillingandupskillinginitiatives,especiallyforurgentskillneedslikearoundAI,willhavetodriveastronger

senseofmotivationandobligationontheemployees’

side,whilealsoshowingtangibleprioritizationandbuy-infromtheorganization’sside.Oneofthebestwaysto

accomplishthisisbyincentivizingemployeesmonetarilytoupskillthemselves.

•Continuousandbite-sizedlearningareprimarily

effectivebecausetheyalignwiththefoundational

psychologyofhumanlearning,memory,andcognition.

Errormanagementtraining(EMT)isanothertraining

principlesupportedbypsychologicalresearchevidencethatorganizationsshouldconsiderintegratinginto

traininginitiatives.InEMT,learnersareencouragedto

makeerrorsduringtrainingandlearnfromthem,thus

creatingstrategiestoavoidmakingmistakesinthefuture.EMTwouldlenditselfparticularlywelltogenerativeAI

training,giventhatemployeescanhonetheirskillsandtheeffectivenessofgenerativeAIbyiterating

andexperimenting.

2024HRTrends:TheYearofAI

8/31

Questionstoprepareforthefuture

•Whichrolesinyourorganizationwillneedtheskillstodevelop,implement,andmaintainAI?WhichroleswillneedtouseAIasatooltocompletetheirwork?

•WhatistheminimumAIproficiencylevelexpected

acrossyourworkforce,anddoesacuratedAIlearningjourneyexistforemployeestoachievethis?

•Inwhatwayscouldyourorganizationshowitis

personallyanddeeplyinvestedinthesuccessof

reskillingandupskillinginitiatives?Wouldyouconsiderfinanciallyincentivizingskillsacquisition,suchas

implementingbonusesorretentionincentives,or

determiningannualmeritincreasesbasedonskills

acquiredinthepastyear?Tosupportskillsagilityandfutureredeployment,couldyouincentivizeemployeeswhodevelopabreadthofdifferentskillsratherthan

skillsonlyinonearea?

AIasanenabler

•Skillsontologies:AI-enabledskillsontologies

arethefoundationuponwhichAI-poweredskillsinference,skillsadjacencyidentification,andskillsmatchingcantakeplace.

•Intelligentworkforceplanning:AIcansourceandanalyzeawiderangeofdata(forexample,from

businessfunctionslikeHRandfinance,employeedata,andexternalworkforcedata)toinform

workforceplanningdecisionsrelatedtoroleorprojectstaffing.

•“Human”skillsassessment:Innovationsinmachinelearningandnaturallanguageprocessingcanenablemoreprecisemeasurementsofcomplex“human”

skillslikecreativityandemotionalintelligence,facilitatingamoreobjectiveapproachtothistraditionallysubjectiveprocess.

•Microlearningcontentcreation:GenerativeAIcanbeusedtotransformextensivematerialsintoconciselearningmodules,supportingemployees’preferenceforquick,digestible“bite-sized”learning.

•“Pricing”skills:Byharvestinginternalandexternalmarketdatasets,AIcandetermineamonetary

valueassociatedwithdifferentskills.Thiscanhelporganizationsunderstandwhatvariousskillsare

worthinthemarketandusethatknowledgetoinformtheir“build,borrow,orbuy”strategiesalongwith

currentandfuturecompensationneeds.

SAPSuccessFactorssolutionstohelp

•SAPSuccessFactorsTalentManagement:

Drivebetteremployeeexperiencesandbusiness

outcomesbyusingacommonskillsframework

acrossrecruiting,learning,performance

management,internalmobility,anddevelopment.

Gainauniqueunderstandingofeachindividual’s

wholeself(currentandpotentialskills,

competencies,andpreferences)andusetalent

intelligencetoidentifyandautomaticallyacton

skillsneeds,alignment,andgaps.

9/31

#3:Hybridworkreturnstotheoffice

Whatcaughtourattention

LookingbackatouryearlyanalysesofHRmeta-trends,wesawthehybridworktopicshiftfromafocuson

remoteworkasareactivetactictoprotectemployees’healthandsafety(2020),toafocusonflexibility

(2021),maintainingproductivityandcollaborationwhileworkingflexibly(2022),andfinallytoanemphasisonunderlyingflexibilityandtheneedforandbenefitofmalleableguidelinesandprinciples(2023).Withthe

recentincreaseinpartialandfullreturn-to-office(RTO)policies,2024trendsdatasuggeststhatthe

pendulumhasswungbacktohybrid,referringspecificallytoworklocationversusabroaderperspective

centeredonflexibility.Companiesin2024willcontinuetoexperimentwithmotivatingemployeestoreturn

totheofficeinwaysthatpromoteproductivity,collaboration,andcostsavingsbutdon’talienatetheirtop

talent.Datasuggeststhatorganizationswilltakeoneoftwomotivationalapproachestoreturningtoonsiteworkplacesin2024–incentivizingemployeestovisittheofficewith“commute-worthy”experiences

(forexample,in-personmentoringopportunities,socialandnetworkingactivities,designedspacesfor

meaningfulcollaboration,focusedindependentwork,andrelaxingbreaks)orpenalizingemployeesand/ortheirmanagersfornotcomplyingwithRTOmandates.

Inthisperiodofrethinkingandredesigninghybridandremoteworkmodels,trendsindicatethatorganizationsin2024willalso

reconsidertheirculture:whatitis,whattheywantittobe,andhowtobestsustainit.Forexample,distributedandasynchronous

workforcesposechallengestoorganicallycommunicatingandembeddingculturalnormswithnewhires,soorganizationsmusttakeanevenmoreactiverolebyengaginginpurposefulsocializationtoconveyculturalfeaturestonewhiresandtenuredemployeesalike.

Accordingtosometrends,encouragingemployeesandteamsto“ritualize”workbycreatingregular,intentionaltouchpointsforcolleaguestoconnectcanhelpbuildaculturethatfosterscollaborationandinnovationregardlessoftheemployees’locations.

Newtrendsin2024suggestthatsomeleadingorganizationswillfocusmoreonredesigningthenatureofworkratherthanmandatingwhereorwhenworkgetsdone–andwillseebetteremployeesentimentandproductivityasaresult.Thoughthetrendsdatasuggeststheseorganizationsmaybeintheminority,theywillempoweremployeesandtheirmanagerstothinkcriticallyabouthowtorestructureroles,responsibilities,andtimetocraftajobforeachemployeethatismeaningfultotheindividualandvaluabletothebusiness.

2024HRTrends:TheYearofAI

10/31

Whatwe’rethinkingabout

•Itwillbeimportantforemployeestounderstandtheirorganization’sintendedgoalsofreturningtotheofficeandhowitwas

decidedthatsuchapolicywouldachievethosegoals.Often,evenifemployeesdisagreewithordislikeadecision,theymaystillfeelitisfairiftheyunderstandtheinformationandprocessthatledtothedecision(theorganizationalpsychologyconceptof

“proceduraljustice”)or,evenbetter,wereinvolvedinhelpingmakethedecision.Measuringthesuccessofareturn-to-officeeffortandsharingthoseresultswithemployeesmaybeawaytofurthercommunicatethatthechangetoworkingarrangements

wasjustified.

•Thoughsomeemployeesmayprefer100%remoteworkandconsideranyrequiredin-officetimeasaninflexibilityfromtheir

employer,arrangementsthatdonotentirelyreplaceremoteworkwithin-officeworkarestill“hybrid”workarrangements.

Weencourageorganizationstohighlighttheircommitmenttohybridworkandanypartsoftheirpoliciesthatallowemployee

flexibilityanddiscretion,suchaschoosingwhichdaysandtimestoworkintheofficeorallowingoffsiteworkingmeetingstocounttowardmandatoryminimumin-officedays.

•ProtectingandimprovingtheircompanycultureisoneofthereasonsoftencitedbycompanyleadershipforRTOdecisions.

However,it’simportanttorememberthatcompanyculturehasastrengthandatone.Bybringingemployeesbacktotheoffice,organizationsmightcreateastrongerculturebygivingemployeesamoreconsistentandconnectedexperience.Atthesame

time,suchpoliciesmayimpactthetoneofthecultureifemployeesfeelnegativelyaboutamandateorperceivealackoftrust

fromtheirleadershipastheunderlyingmotiveforthepolicychange.Culturestrength(consistencyinemployeeperceptionsandexperiences)isavalidandimportantaspiration,butnotattheexpenseofunintendednegativeimpactonculturetone(positivityofemployeeperceptionsandexperiences).

•Mostpsychologicalstudiessuggestthatlong-lastingchangeismorelikelytoresultfromreinforcingdesiredbehaviorsthan

punishingundesiredbehaviors.Thisisbecausereinforcementcreatesapositiveassociationwiththebehaviorinthebrain,

increasingintrinsicmotivationtoperformthebehavior.Thus,weexpectthatwhileorganizationsthatpunishthelackof

compliancewithareturn-to-officemandatemayseefasterresultsintermsofemployeeattendance,thosethatincentivize

employeestoreturntotheofficeoftheirownvolitionwillseemuchlonger-lastingimpactsonofficeattendanceandmorepositiveemployeeoutcomessuchasgreaterengagement,retention,anddiscretionaryeffort.

Questionstoprepareforthefuture

•Whatarethegoalsandsuccesscriteriaforyour

organization’sreturn-to-officeorhybridworkstrategy?Howwillyoumeasureprogresstowardandachievementofyourgoalsandsuccesscriteria,andcommunicatethistoemployees?

•Howwillyourorganizat

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