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Rewriting the rules for the digital age

2017 Deloitte Global Human Capital Trends

COVER AND CHAPTER ILLUSTRATIONS BY LUCIE RICE

Deloitte"s Human Capital professionals leverage research, analytics, and industry insights to help design and execute the HR, talent, leadership, organization, and change programs that enable business performance through people performance. Visit the Human

Capital

area of www.deloitte.com to learn more.

Rewriting the rules for the digital age

PREFACE

W

ELCOME Global Human Capital Trends

Global Human Capital Trends

Brett Walsh

Deloitte LLPErica Volini

This year"s 10 trends

As used in this document, "Deloitte" means Deloitte LLP and its su bsidiaries. Please see www.deloitte.com/us/about for a detailed descript ion of the legal structure of Deloitte LLP and its subsidiaries. Certain services may not be available to attest clients under the rules and regulations of publi c accounting. Copyright © 2017 Deloitte Development LLC. All rights reserved.

Member of Deloitte Touche Tohmatsu Limited

Learn more: www.dupress.com/human-capital-trends @DeloitteTalentTHE ORGANIZATION OF THE

FUTURE: ARRIVING NOW

As digital transforms the business landscape,

the successful organizations of the future will likely be those that can move faster, adapt more quickly, learn more rapidly, and embrace dynamic career demands.

CAREERS AND LEARNING:

REAL TIME, ALL THE TIME

The half-life of skills is rapidly falling, placing huge demands on learning in the digital age.

The good news is that an explosion of high-

employees ready access to continuous learning.

TALENT ACQUISITION: ENTER

THE COGNITIVE RECRUITER

Recruiting is becoming a digital experience as

candidates come to expect convenience and mobile contact. Savvy recruiters now have access to new technologies to forge connections with candidates and strengthen the employment brand.

THE EMPLOYEE EXPERIENCE: CULTURE,

ENGAGEMENT, AND BEYOND Rather than focusing narrowly on engagement and culture, many leading organizations aim to improve the employee experience as a whole, supported by a multitude of pulse and employee self-service technologies.

PERFORMANCE MANAGEMENT:

PLAY A WINNING HAND

Across industries and geographies, many

companies are redesigning performance management from top to bottom, from goal- setting and evaluation to incentives and

ȃȴThe 2017 Deloitte Global Human Capital Trends report, drawing on a survey of more than 10,000 HR and business

leaders globally, takes stock of the challenges ahead for business and H

R leaders in a dramatically changing digital,

economic, demographic, and social landscape.

LEADERSHIP DISRUPTED:

PUSHING THE BOUNDARIES

Today, many organizations need a completely

can build teams, keep people connected and engaged, and drive a culture of innovation, risk en-UStolerance, and continuous improvement.

DIGITAL HR: PLATFORMS,

PEOPLE, AND WORK

HR is being pushed to take on a larger role

in helping organizations to “be digital," not just “do digital." The process starts with digital transformation in HR, as HR leaders explore new technologies, platforms, and ways of working.

PEOPLE ANALYTICS:

RECALCULATING THE ROUTE

LQIRUPDWLRQDQG5DJJLQJLWIRUPDQDJHUV1RZdata are being used to understand every part of a business operation, and analytical tools are being embedded into day-to-day decision making.

DIVERSITY AND INCLUSION:

THE REALITY GAP

Diversity and inclusion at the workplace are now

CEO-level issues, but they continue to be frustrating and challenging for many companies. Why the gap?

THE FUTURE OF WORK: THE

AUGMENTED WORKFORCE

Paradigm-shifting forces such as cognitive

technologies and the open talent economy are reshaping the future workforce, driving many organizations to reconsider how they design jobs, organize work, and plan for future growth.

Rewriting the rules for the digital age

zation of the future is an important or very important issue.

The organization of the future

Arriving now

W

Global Human Capital

Trends

2017 Deloitte Global Human Capital Trends

Rewriting the rules for the digital age

1

Percentages by region:

Latin & SouthAmericaNorthAmerica

Americas

92 87

Asia Oceania

89 85
Africa Central & Eastern EuropeMiddle East NordiccountriesWesternEurope

Europe, Middle East, and Africa

87 83 83 90 87

Italy 89
UK 88

Canada

87

Belgium

82
85

Netherlands

Spain 91
74

South Africa

USA 87

Mexico

89
95

Brazil

84

Australia

89
China 96
India

France

88

Germany

90
70
Japan Figure 1. Organization of the future: Percentage of respondents rating this trend “important" or “very important" Deloitte University Press | dupress.deloitte.com

Lower %Higher %

Percentages in

selected countries:

Lower %Higher %

India

Brazil

Spain

Germany

Mexico

Italy China

France

United Kingdom

United States

Canada

Netherlands

Australia

Belgium

South Africa

Japan96

94
91
90
89
89
89
88
88
87
87
85
84
82
74
70
Deloitte University Press | dupress.deloitte.com

How things

were A B C D E

How things

are AB C EF GD

How things

work

• Shared values and culture

• Transparent goals and projects

Figure 2. A network of teams

2017 Deloitte Global Human Capital Trends

Rewriting the rules for the digital age

2

Global

Human Capital Trends

3

Among this year's

survey respondents,

32 percent say that

they are now designing their organization to be more adaptable and team-centric. 4 5

Lessons from the front lines

9

2017 Deloitte Global Human Capital Trends

Rewriting the rules for the digital age

• Embrace the speed of change:-

• Make talent mobility a core value:

• Form an organizational performance

group:

• Examine new communication tools:-

• Adopt continuous, feedback-based per-

formance management:

Old rulesNew rules

authority others

Rules-based

2017 Deloitte Global Human Capital Trends

Rewriting the rules for the digital age

1. ΍Ȋ

ȋDeloitte Global Human Capital Trends 2016

2. ΍ȵ-

tional design for an uncertain future -RVK%HUVLQHR technology disruptions for 2017: Nine trends reinventing the HR software market

4XHQWLQ+DUG\

7KHQHZZRUNSODFHLVDJLOHDQGQRQVWRS&DQ\RXNHHSXS"New York Times

$QGUHD'HUOHUHigh-impact leadership: The new leadership maturity model 7.

'HORLWWHA new global HR software solution supports HR transformation and drives innovation at Philips

ENDNOTES

Josh Bersin, Bersin by Deloitte, Deloitte Consulting LLP | jbersin@deloitte.com Josh Bersin founded Bersin & Associates, now Bersin by Deloitte, in 2001 to provide research and advisory services focused on corporate learning. He is a frequent sp eaker at industry events and a popular blogger. Bersin spent 25 years in product developme nt, product management, marketing, and sales of e-learning and other enterprise tech nologies. He has a BS in engineering from Cornell, an MS in engineering from Stanford, an d an MBA from the Haas School of Business at the University of California, Berkeley.

΍tmcdowell@deloitte.com

years of business and consulting experience, delivering operating model, organization design, talent strategy, decision optimization, and change management solutions.

Her focus is on

McDowell holds an MBA and a doctorate in industrial/organizational psych ology. Amir Rahnema, Deloitte Canada | arahnema@deloitte.com Amir Rahnema is Deloitte's global leader for Organization Design serv ices. He focuses on working with both private- and public-sector clients to drive large-s cale organizational technology implementations, and complex workforce transitions. His work has spanned reorganizations in numerous industries, including banks, regulatory agen cies, consumer Yves van Durme, Deloitte Consulting | yvandurme@deloitte.com Yves van Durme is a partner with Deloitte's Belgian consulting practi ce and the global leader of Deloitte's Strategic Change practice. He specializes in leadership and organizational development and talent and HR strategy in business transformation contex ts. Van Durme has nearly 20 years of experience as a consultant, project manager, and program developer multinationals, family businesses, and small and medium enterprises. His experience organizational development work, focusing on the balance between process es, structures, and systems on the one hand and cultural and people-related elements on the other.

AUTHORS

2017 Deloitte Global Human Capital Trends

Rewriting the rules for the digital age

EXECUTIVE EDITORS

Bill Pelster, Deloitte Consulting LLP | bpelster@deloitte.com Bill Pelster has more than 25 years of industry and consulting experienc e. In his current role, Pelster is responsible for leading the Bersin by Deloitte Research and P roducts practice and is a senior advisor to the Integrated Talent Management practice. A well -respected speaker and author, he has recently led, supported, or authored key research pie ces including Talent

2020, Global Human Capital Trends, and The Leadership Premium. In his previous role as

of Deloitte professionals, and was one of the key architects of Deloitte

University, Deloitte's

$300 million learning facility outside Dallas. Pelster is a former US bo ard member for Deloitte

Consulting LLP.

is an advisor to senior business leaders in global companies, focusing o n organization, HR, Tech Terminal (ITT) connecting US and global companies with the Israel i start-up ecosystem. He is a frequent speaker and writer on issues at the nexus of talent, hu man resources, global business challenges, and the "future of work." In 2011, Schwartz l ed the launch of Deloitte's

Global Human Capital Trends

survey and report series and continues to serve as one of the executive editors.

LEAD RESEARCHER

Josh Bersin, Bersin by Deloitte, Deloitte Consulting LLP | jbersin@deloitte.com Josh Bersin founded Bersin & Associates, now Bersin by Deloitte, in 2001 to provide research and advisory services focused on corporate learning. He is a frequent sp eaker at industry events and a popular blogger. Bersin spent 25 years in product developme nt, product management, marketing, and sales of e-learning and other enterprise tech nologies. He has a BS in engineering from Cornell, an MS in engineering from Stanford, an d an MBA from the Haas School of Business at the University of California, Berkeley.

Rewriting the rules for the digital age

GLOBAL HUMAN CAPITAL LEADERS

HUMAN CAPITAL COUNTRY LEADERS

Global Human Capital leader

Brett Walsh

Global Organization Transformation

and Talent leader

Dimple Agarwal

Global HR Transformation leader

Michael Stephan

Global Actuarial, Rewards, and Analytics

leader

Darryl Wagner

Global Employment Services leader

Nichola Holt

Global Human Capital leader, Marketing,

Eminence, and Brand

Americas

Heather Stockton

Deloitte Canada

United States

Erica Volini

evolini

Canada

Deloitte Canada

Chile

Jaime Valenzuela

Mexico

Tomas Fernandez

Argentina

Leonardo Pena

Brazil

Roberta Yoshida

Deloitte Consultores

royoshida om

Colombia and Peru

Alejandra D"Agostino

Costa Rica

Paula Lenero

Dutch Caribbean

Maghalie van der Bunt

Ecuador

Roberto Estrada

Panama

Jessika Malek

Deloitte Consultores

Uruguay, LATCO

Verónica Melián

Jungle Wong

Australia

David Brown

India

Gaurav Lahiri

Deloitte India

Japan

Akio Tsuchida

Korea

Eric Seok Hoon Yang

New Zealand

Hamish Wilson

Deloitte

Southeast Asia

Mark Maclean

2017 Deloitte Global Human Capital Trends

Rewriting the rules for the digital age

EMEA

Ardie Van Berkel

United Kingdom

Anne-Marie Malley

Africa

Abrie Olivier

Austria

Christian Havranek

Belgium

Yves van Durme

Central Europe

Evzen Kordenko

CIS

Cyprus

George Pantelides

Deloitte Ltd

Denmark and Nordics

Filip Gilbert

Deloitte Denmark

Finland

Eva Tuominen

Deloitte Oy

France

Philippe Burger

Deloitte Conseil

Germany

Ireland

Valarie Daunt

Israel

Zohar Yami

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