Qualified talent is hard to come by, no matter the industry, country or profession — this represents one of the toughest human resource challenges today. A global skills shortage is heating up competition to attract and secure top talent, which is forcing businesses to change human resource management tactics and the way they compete in the hiring market.
Recent research revealed that talent attraction was one of the biggest human resource challenges for business leaders, with 53% believing it to be harder to find qualified professionals now than it was five years ago. This shouldn’t come as a surprise when globally employment rates are increasing in the OECD area (Organisations for Cooperation and Economic Development).
Here are the top human resource challenges with regard to talent management, and how they can be mitigated in the coming months with a more effective talent management model.
What are some human resource challenges for the future?
1. Finding the right skills training
The 4th industrial revolution is steadily changing the future of work. Skill sets are changing, roles are developing, and teams are restructuring, making skills training one of the major human resource challenges today.
Businesses have been working alongside temporary and contract professionals to help plug the skills gaps within teams, while simultaneously helping permanent employees upskill through external talent. Trusted industry reports, such as the Salary Guide, are also useful for identifying in-demand skills and market trends for each sector and profession when it comes to business talent management.
2. Employee retention
Employee retention is one of the most pressing human resource challenges for the future. With so much competition in the market, top talent could be tempted to leave in favour of a competing job offer which meets their remuneration needs far better than their current package.
A talent management model with an effective employee retention strategy are typically those which include the offer of flexible working options, training and career development, the creation of a positive culture in the workplace, and salary benchmark reviews.
3. Creating a positive culture in the workplace
Many human resource challenges today could be averted by shifting focus back to creating a culture of happiness in the workplace. When employees are happy, they are shown to be more loyal, more creative and to have a greater output. One of the best ways to foster workplace happiness is through culture.
Human resources management tactics for this can include an assessment of employee values and finding ways to adapt leadership approaches to fit more closely with them.
4. Maintaining employee motivation
Maintaining employee motivation is one of the human resource challenges facing businesses at present. According to the Office for National Statistics, the ongoing productivity issue in the UK is set to continue, potentially causing issues for businesses as the speed of commerce increases.
Although training and incentives play a large part in employee motivation, the correct leadership approach can also work wonders. Constructive criticism, regular praise, clear targets and internal promotions are all good tactics to implement into human resource management plans.
5. Talent attraction
A successful talent management model includes having the ability to attract top talent to the ranks, often without even actively seeking it. This is set to be a bigger human resource management issue now that competition in the hiring market is hotter than ever.
Aside from offering flexible working and work-life balance (both of which are huge decision-making factors for job seekers), human resources management approaches could seek to leverage unique company benefits and company culture in order to stand out from the crowd.
6. Managing rising CEO demands
With digitalisation already impacting workforces, business leaders find themselves under greater pressure from CEO’s. This has inevitably affected talent management for businesses.
To help drive company growth and meet new demands, human resources management will need C-suite buy-in to adopt a flexible talent management model which involves intermittent use of temporary and contract employees. Productivity demands can be managed by boosting employee engagement through motivation tactics and good company culture.
Specialised talent management for your business
Do you have talent management concerns for 2020? Get in touch with the team at Robert Half to get expert help on upcoming human resource challenges and effective human resources management approaches.