Digitizing HR. Mike Theaker, SAP SuccessFactors June 1, 2016

Transcription

1 Digitizing HR Mike Theaker, SAP SuccessFactors June 1, 2016 TheakerMike

2 DIGITIZATION and CONSUMERIZATION means DISRUPTING BUSINESS MODELS

3 Examples. Taxi Companies are substituted The Hotel business becomes No. 1 communication companies Industrial equipment manufacturers Selling cars becomes And OnPremise software by UBER rides. AirBnB room-sharing. own no telco networks. commit the output of their machines. providing mobility services. moves to the Cloud.

4 From a PRODUCT business To Providing Mobility Services to a SERVICE business INDIVIDUALIZATION EMOTIONS PRAGMATISM STANDARDIZATION FUNCTIONS & FEATURES R&D, MAKE, SELL AND AFTERSALE DATA LOW, ASSET RICH UPFRONT BUY AND PAY HIGH MARGIN, VARYING VOLUME SALES QUANTITY CUSTOMER LOYALTY EASY-TO-USE, VALUE-ADD EXPERIENCE DEVELOP, PARTNER, SUBSCRIBE AND SERVICE DATA RICH, ASSET LOW PAY AS YOU GO LOW MARGIN, HIGH VOLUME RE-USE / RENEW CUSTOMER SATISFACTION

5 What does Digitizing HR then actually mean? 1. Digitizing human labor / people / employees 2. Serving the workforce in a digitized enterprise 3. Digitizing the HR Function in the enterprise

6 1. Digitizing People

7 by Replacing them with Robots Fields of usage Healthcare Audit & Tax Legal Services Financial Services Fraud Detection Logistics Education By 2025 Knowledge work automation tools could take on tasks equal to the output of up to 140 million FTEs million Low-skill workers Will not be needed by employers and will be vulnerable to permanent joblessness by % Of all jobs that exist today will have been automated away 3 Within 5 years 1. McKnsey Global Institute, McKinsey Global Institute, Rohit Talwar, Futurologist

8 Investment in AI and Robotics Continues to Rise From 2010 to 2014 Private investment in AI has grown from $1.7b to $14.9b Google acquired Boston Dynamics and seven other robotics companies 2014 paid $500m for Deepmind and $3.2bn for Nest Labs Amazon $775m for Kiva Systems intelligent machines for warehouse servicing Facebook acquired Oculus VR (virtual reality) and Ascenta (pilotless drones) Atlas (2013) High mobility, humanoid robot by Boston Dynamics, designed to negotiate outdoor, rough terrain. Pepper (2014) Humanoid robot by Aldebaran Robotics and SoftBank Mobile, designed to read emotions.

9 2. Serving the workforce

10 4. Millennials: Breaking the Myths, The Nielsen Co., January 27, Gen Y Women in the Workplace, BPW Foundation. 6. Christopher J. Dwyer, The Future of Contingent Workforce Management Webinar Recap, DCR Workforce Blog, January 5, Linda Yueh, The Rise of the Global Middle Class, BBC News, June 18, in a Digitized Enterprise The makeup of the workforce is changing in a variety of ways and these shifts impact best practices for organizations. Millennials represent 24% of the U.S. population 4 Millennials will comprise 75% of the global workforce by Nearly 45% of the world s workforce will be contingent workers by the end of Approximately 5 billion people are entering the middle class for the first time. 7 The nature of work is changing Workforce expectations are changing

11 3. Digitizing the HR Function HR Services

12 ` through Automation, Cloud, Mobile, Social, Apps, Analytics and a Change of Mindset! - 1 of 2 Intelligent Services Next generation selfservices; end-to-end intelligent services that cross software modules and integrate disparate processes. Digital First Driven by workforce needs and UX; redefinining how people processes are designed, delivered and accessed. HR Apps Focused mobileenabled Apps, accessible 24 x 7 on any device. Extensibility. Analytics HR Services Integrate analytics into every process. Real-time; predictive. Segment the workforce to better understand drivers, preferences and behaviours.

13 ` through Automation, Cloud, Mobile, Social, Apps, Analytics and a Change of Mindset! - 2 of 2 Chatbots Growing with Siri on the iphone and Cortana on Windows 10. Gartner predicts by 2017 the cost of managed services will fall by 60%. Algorithms Recommend Learning activities based on peers Amazon style! Recommend potential sources of applicants and predict the success of applicants. Predict At risk. Sentiment Analysis Monitor what candidates, employees and alumni say online about the company and maintains its employer brand. Identify and target key influencers. Virtual Recruiter HR Services AI in Recruitment: virtual interviewer that identifies if an interviewee is focused or leaving their chair; algorithms create questions based on the previous answer.

14 The Impact on HR Operating Models, Roles, IT HR Is the future of HR No HR? Yes, for commodity services No, for high touch and strategic HR services HR Service Center Automation, Intelligent Services, Self-Service = business as usual - reduce the role and size of the HR SSC / HR BPO. Fewer, but more skilled HR resources. Technology Shift from HR tools to Employee Tools. Consumer-grade, mobile, real-time. HR Skills & Capabilities Need to raise the bar : business understanding; analytics; mass-customization; workforce-centric; building digital HR platforms; design thinking; consultative skills HR Roles HR Business Partners more embedded in the Business; specialist HR resources focusing on specific segments of the workforce? Project oriented (e.g., M&A)? HR Mindset Digital First. Challenge everything we ve been doing so far! HR Services

15 To Conclude Technological advancements and globalization are creating disruptive business models Changing the nature of work New combinations of human and machine resources Workforce expectations have changed: How, where and for how long they want to work How they interact with the business and expect to be managed How they expect to manage their careers, learning and rewards and collaborate anytime, anywhere on any device Requires a Digital First HR Strategy and Service Delivery Model Challenge everything we ve been doing so far! Re-imagine with digital HR platforms and networks Create the Uber of Total Workforce Management

16 Questions and Comments