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Workforce 2.0: 5 trends shaping the people agenda in 2024

4 mins

The journey toward enhancing human performance starts where business and human outcomes meet. As we transition from understanding problems to defining and adopting innovative work practices, the significance of this shift grows. This is particularly relevant in the era of generative AI and emerging technologies, which open up new, faster avenues for organisations to deliver value. These technologies also provide an unprecedented level of insight into organisational operations, enabling improved management of human performance.

We believe the first half of 2024 has demonstrated that this year is indeed the year of human performance, and these five trends are bridging the gap between knowledge and action, unlocking human potential.

  1. Human-centric productivity is the new normal

In recent decades, productivity enhancements have primarily come from optimising processes, with workers often being viewed merely as components of these processes. Only 3% of respondents from the Deloitte 2024 Global Human Capital Trends research say that their organisation is extremely effective at capturing the value created by workers. Since the Industrial Revolution, the increasing scale and growing complexity in ways of working have led to the creation of imperfect substitutes to measure work and performance.

The current business environment presents a critical opportunity to rethink productivity on individual, team, and national scales. Shifting from a process-centric to a human-centric approach, especially in the age of Generative AI, means work is organised around talent rather than rigid, impersonal systems. This shift not only recognises but also amplifies the inherent value of human contributions, potentially leading to more meaningful and productive outcomes.

What does this look like? The old ways of gauging productivity, which typically view workers simply as sources of input and output, reflect only the organisation’s viewpoint. Modern approaches, on the other hand, recognise workers as human beings and take a more comprehensive look at their contributions to the organisation. As traditional metrics fall short of capturing the whole picture, organisations must question what additional factors should be measured to meaningfully evaluate human performance. The answer lies in integrating business objectives with human sustainability, aiming for outcomes that benefit both the organisation and its employees equally. This new approach fosters a balance that supports shared, mutually beneficial results.

  1. Trust is the currency of work

The 2024 Global Human Capital Trends report highlights the fact that today, trust between workers and their employers is the currency of work. People are given opportunities to grow and develop those uniquely human capabilities that are so critical to human performance. It’s a win-win trend: workers see their organisations making tangible progress towards human sustainability goals and providing them with safe spaces to play and experiment with many possible futures; and people expertise becomes a capability and responsibility of all, with customised people practices and cultures cocreated with workers themselves rather than mandated and pushed out from a central authority.

The importance of fostering trust and ensuring equity in the workplace also cannot be overstated, particularly in a legal environment increasingly focused on pay transparency and equity. Organisations are compelled to not only comply with these laws but to embrace the spirit of these requirements. Modern workforce expectations have shifted, with a growing demand for fair treatment and sustainable practices. Employers must therefore be transparent about pay structures and actively promote fairness to attract and retain a workforce committed to these values.

  1. Resilient people are the foundation of resilient businesses

The predictability of business environments has diminished, making today’s business landscapes complex and interconnected. In response, companies must enhance their resilience by strategically connecting people, risk, and strategy. A proactive approach to risk management, incorporating diverse perspectives and scenario planning, is crucial. Building resilience within the workforce through health, well-being, and psychological safety initiatives is equally important, preparing employees to thrive despite potential challenges.

For many organisations, their most valuable asset is their people—ranging from employees and external workers to customers and community members. These human connections are the primary drivers of organisational value, influencing everything from revenues and innovation to efficiency, brand relevance, productivity, adaptability, and risk management. However, there seems to be a shortfall in how effectively organisations are prioritising these crucial connections. This deficiency is often due to a legacy mindset that focuses on extracting value from people rather than creating value for them. If we link this trend to the first trend, it is clear that leaders need to shift their organisations’ focus towards the concept of human sustainability, reorienting strategies and practices to better support and enhance the well-being and potential of all stakeholders.

  1. Digital-first cultures require the right tools and mindsets

As new technologies such as AI integrate into the workforce, the focus is on enhancing productivity in ways that benefit both the company and its employees. The integration of AI should not be seen as a threat to human jobs but as an opportunity to augment human capabilities and eliminate mundane tasks. Encouraging experimentation and the development of new skills are vital for fostering a culture that embraces digital advancement while enhancing job satisfaction and engagement.

  1. Businesses are viewed holistically, and workers expect choice

Job seekers today have unprecedented access to information about potential employers and often consider a company’s reputation as a key factor in their application decisions. A positive employer brand not only attracts better candidates but also boosts retention by cultivating employee loyalty and pride.

The changing demographics of the workforce necessitate strong employer branding. As Millennials and Gen Z become more predominant, their preferences for company culture, social responsibility, and work-life balance influence their perceptions of potential employers. Companies that align their branding with these values are more likely to attract and keep younger employees.

Align with a strategic partner

The increasing complexity of work is transforming how traditional HR, recruitment and talent management operate. HR is no longer a separate function with sole responsibility for workforce issues but is an integrated, cocreated discipline woven through the company’s structure.

However, transforming HR requires more than a new operating model; it demands a shift in mindset, practices, metrics, and technologies. One crucial strategy in this transformation is forging strategic partnerships with leading talent management and recruitment agencies. These partnerships bring several benefits:

  • Recruitment agencies specialise in understanding market trends, skills requirements, and recruitment strategies. This expertise can be invaluable in finding and attracting top talent, especially in niche areas.
  • By partnering with external agencies, organisations can quickly scale their hiring efforts up or down, depending on business needs, without the constraints of internal processes and resources.
  • Talent agencies often use advanced sourcing techniques and technologies that internal teams may not possess, helping to identify and engage candidates in innovative ways.
  • External partners expand an organisation’s reach, accessing broader and more diverse talent pools, which is crucial for innovation and problem-solving.
  • By outsourcing certain recruitment functions, an organisation’s HR team can focus more on strategic activities and core business goals.

Although many organisations recognise the need for this shift, they struggle with implementation—turning knowledge into actionable steps that unlock human performance. Strategic partnerships with agencies like DAV can bridge this gap, providing the support and resources needed to make substantive progress toward a more effective, integrated HR strategy.

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