Upload
estella-weaver
View
215
Download
0
Embed Size (px)
Citation preview
© 2003 SHRM
Top Five Workplace Trends:
Awareness and Action
A Society for Human Resource Management Presentation
© 2003 SHRM
“Even if you’re on the right track, you’ll get run over if you just sit there.”
- Will Rogers
© 2003 SHRM
“The HR profession is driving the most successful companies in the world.”
- Jim Collins
© 2003 SHRM
SHRM® 2004-2005 Workplace Forecast
www.shrm.org/trends
© 2003 SHRM
Top five trends covered by the Forecast:
1. Rise in health care costs 2. Focus on domestic and global safety and security3. Use of HR technology for employee
communication, e-learning and to perform transactional HR functions
4. Preparing for the next wave of retirement and labor shortage
5. Exporting of U.S. jobs to developing countries
© 2003 SHRM
Top five trends covered by the Forecast:
1. Rise in health care costs
© 2003 SHRM
Projected Employer Health Care Costs
12.3 11.3
0
5
10
15
2004 2005
2004
2005
Source: Hewitt & Associates (October, 2004), Analysis of the Hewitt Health Value Initiative
Percent of projected cost increase
© 2003 SHRM
2005 Watson Wyatt Health Care Findings:
• While health care cost increases have been in the double-digits for several years, the rate of increase has been slowing since 2002.
• Employers seem more willing to absorb cost increases rather than pass them along to employees.
• More employers providing information on specific health issues and provider quality.
Source: 10th Annual National Business Group on Health/Watson Wyatt Employer Survey of Trends in the Health Care Marketplace. (March, 2005).
© 2003 SHRM
Problem: Health care costs increased by 42% in 2001.
Solution: Listened to employees, taught them to be smarter consumers, provided more plan choices, rolled out wage-based premiums and shifted resources from benefits that employees did not value highly (such as life and disability plans) into their health care offerings.
Source:
Watson Wyatt (Dec, 2004). Strategy@Work
© 2003 SHRM
HR professionals may find solutions by paying attention to trends within the organization.
• What are employees saying about their health care experience?
• What procedures and prescriptions are driving plan increases?
• What is the existing level of employee understanding of health care options and wellness?
Ask Questions Such As:
© 2003 SHRM
Top five trends covered by the Forecast:
1. Rise in health care costs
2. Focus on domestic and global safety and security
© 2003 SHRM
Stealth Expatriates Exposed
Source: Cendant Mobility/ Worldwide ERC. “The Hidden Worker: The Reality of Stealth Expatriates”.
3%
9%10%
38%
40%
Suspect
Confirm
No, but concerned
No, but not concerned
Don't know
Percent who believe there are stealth expatriates in their organizations.
© 2003 SHRM
Reasons Behind the Trend
Source: Cendant Mobility/ Worldwide ERC. “The Hidden Worker: The Reality of Stealth Expatriates”.
19
17
25
0 10 20 30
Perceived to be MoreEfficient/Faster
Perceived to be LessCostly
Lack of UnderstandingAbout AssignmentPrograms
Percent who believe these are the reasons stealth expatriates exist in their organizations.
© 2003 SHRM
Complaints of Identity Theft by Year
14,570 23,660 32,054
2003 215,093
2004 246,570
2002 161,896
0
25000
50000
75000
100000
125000
150000
175000
200000
225000
250000
2002 2003 2004
Overall IDTheft
Employment-Related
Source:
FTC’s Identity Theft
Clearinghouse
** Employment-related theft
constituted 13% of reported
identity thefts overall in 2004.
© 2003 SHRM
Top States for Identity Theft (2004)
Source:
FTC’s Identity Theft
Clearinghouse
1. Arizona 142.5 9. Oregon 87.8
2. Nevada 125.7 10. Illinois 87.6
3. California 122.1 11. Georgia 84.3
4. Texas 117.6 12. New Mexico 83.4
5. Colorado 95.8 13. Maryland 83.0
6. Florida 92.3 14. Utah 76.6
7. New York 92.0 15. New Jersey 75.1
8. Washington 91.1 16. Michigan 72.3
* Number of victims per 100,000 of the population
© 2003 SHRM
Top five trends covered by the Forecast:
1. Rise in health care costs 2. Focus on domestic and global safety and security
3. Use of HR technology for employee communication, e-learning and to perform transactional HR functions
© 2003 SHRM
Problem: Effective onboarding in light of 48% employee turnover.Solution: Developed an onboarding process that includes 16 weeks of job shadowing, performance reviews and knowledge tests. Implement software that creates reports on new hire’s progress that go to the individual manager of the new employee.
Source:
Watson Wyatt (Dec, 2004). Strategy@Work
© 2003 SHRM
HR Activities Supported by HR Technology
Source: Collison, J. (2005) “2005 HR Technology Survey”. Society for Human Resource Management. Retrieved from www.shrm.org/surveys
Offer Plan Offer Plan
Payroll 83% 3% Internal job postings 45% 15%
HR reporting 75% 9% Performance mgmt. 37% 31%
Benefits admin. 61% 19% Mgr. self-service 36% 24%
Compliance mgmt.
58% 21% Training 34% 28%
EE attendance 48% 15% Competency mgmt. 23% 31%
Communication 46% 12% Employee surveys 20% 12%
© 2003 SHRM
Success of HR Technology Systems
Source: Collison, J. (2005) “2005 HR Technology Survey”. Society for Human Resource Management. Retrieved from www.shrm.org/surveys
41%
68%
3%Extremelysuccessful
Somewhatsuccessful
Not at allsucessful
© 2003 SHRM
Success with HR Technology Systems?
Source: Collison, J. (2005) “2005 HR Technology Survey”. Society for Human Resource Management. Retrieved from www.shrm.org/surveys
Yes No Yes No
Increased accuracy of employee info.
80% 11% Improved communication
26% 29%
Less HR time on administrative work
49% 43% Increased EE satisfaction
21% 33%
Managers have greater access
39% 34% Positive return on investment
20% 12%
More HR time for strategy
32% 38% Improved recruiting
20% 38%
© 2003 SHRM
Functions with High Potential, but Low Effectiveness
Source: The Conference Board (2005) “Establishing Value for HR Technology” survey. Pg 8.
Attracting and retaining key talent 71%
Performance management 54%
Employee communications 50%
Workforce planning 46%
© 2003 SHRM
Questions for HR professionals:
Source: The Conference Board (2005) “Establishing Value for HR Technology” survey. Pg 13.
1. What is a senior executive’s definition of value?2. Does HR contribute to the creation of that value?3. How can HR execs use technology to prove that HR as
a function adds value to the organization?4. How successful has technology been at providing the
tools to create value?5. What are the roles and responsibilities of the
application vendors providing the software?6. Have HR departments correctly applied these tools for
their own betterment and advertised successes?
© 2003 SHRM
CEOs: Staffing is a top priority
42 percent of U.S. CEOs and 66 percent of Asian CEOs say that the availability of skilled labor is their number #1 or #2 top concern.
Source: Conference Board. “CEO Challenge 2004: Perspectives and Analysis”.
© 2003 SHRM
Top five trends covered by the Forecast:
1. Rise in health care costs 2. Focus on domestic and global safety and security3. Use of HR technology for employee
communication, e-learning and to perform transactional HR functions
4. Preparing for the next wave of retirement and labor shortage
© 2003 SHRM
Climbing out the Hole: Employment DataSHRM/Rutgers Leading Indicator of Nat’l Employment (LINE): Increase in number of vacancies each month since Dec. 2004.
4 4.2
5.7 5.8 5.75.2
0
3
6
Jan.2000
Jan.2001
Jan.2002
Jan.2003
Jan.2004
Jan.2005
Unemployment rate
BLS National Unemployment Rate
© 2003 SHRM
The Aging U.S. Workforce
Source: U.S. Census Bureau and U.S. Administration on Aging
33
49
70
0
10
20
30
40
50
60
70
Millions of Americans age 65+
199520102030
Projected numbers of older workers
© 2003 SHRM
The Aging U.S. Workforce
Source: U.S. Bureau of Labor Statistics, 2000
© 2003 SHRM
HR’s Response to an Aging U.S. Workforce
Source: Schramm, J. (2005) “SHRM Workplace Visions: The Future of Retirement”
Investing more in T&D to boost employee skills 82%
Succession planning 67%
Training line managers to recognize and respond to generational differences
48%
Bringing retirees back into the workforce 41%
Offering customized employee benefits packages 38%
Conducting studies to determine future demographic makeup of organization’s workforce
36%
© 2003 SHRM
Top five trends covered by the Forecast:
1. Rise in health care costs 2. Focus on domestic and global safety and security3. Use of HR technology for ee communication, e-
learning and to perform transactional HR functions4. Preparing for next wave of retirement and labor
shortage
5. Exporting of U.S. jobs to developing countries
© 2003 SHRM
Offshoring Projections
Source: Forrester Research
0.3
0.6
1.6
2.5
3.3
0 1 2 3 4
2003
2005
2010
2013
2015
20152013201020052003
Number of U.S. jobs moving offshore by 2015 in millions
© 2003 SHRM
Occupations at Risk of Offshoring
Represented 11% of U.S. employment in 2001. Salaries averaged $39,361.
Source: Bardham & Kroll (2003). “The New Wave of Outsourcing”. Univ. of Calif., Berkley.
Computer operations
Business and financial support
Office support
Data entry keyers
Computer/math professionals
Paralegals and legal assistants
Medical transcriptionists
Diagnostic support services
© 2003 SHRM
To Offshore? Or Not to Offshore?
HR must be involved in the discussion!
Potential benefits? Savings and increased availability of labor, expanded customer service, improved quality, and revenue potential in new market.
Potential obstacles? Training, cultural and language barriers, difficulty in managing a remote workforce, inability to communicate corporate values and goals, morale problems with existing workforce, and a potential negative public image.
© 2003 SHRM
If “knowing is half the battle,”
the other half is taking action
based on what you now know.
© 2003 SHRM
1. How can I continue to make progress on your organization’s strategic and workforce goals?
2. Will the trend impact you more/less than your competitors? Will it be an issue in the future?
3. How are others our market handling the issue? 4. What can I do now to prepare and present
solutions to your leadership team?5. Are you able to discuss the trend in the language
that’s meaningful to leadership?
Ask Yourself:
© 2003 SHRM
Use your available resources, including SHRM, your local SHRM
state council and affiliated chapter.
www.shrm.org
© 2003 SHRM
“The very essence of leadership is that you have to have vision.
You can't blow an uncertain trumpet.”
- Theodore Hesburgh (President of Notre Dame University, 1952 to 1987)
© 2003 SHRM
Top Five Workplace Trends: Awareness and Action
Thank-you
A Society for Human Resource Management Presentation