The transition in HRM is largely driven by globalization, changing workforce expectations, and economic competition. As businesses expand globally, HR’s role has evolved from an administrative function to a strategic partner focused on managing a diverse, dispersed workforce. Factors such as the global skills shortage, the demand for more inclusive workplaces, and the rise of team-oriented leadership models have shifted HR’s focus to talent acquisition, mobility, and leadership development. Additionally, globalization has intensified the need for HR to manage cross-cultural challenges and develop leaders with both global awareness and local insights, while ensuring talent is effectively deployed across regions.
Economically, the rise of emerging markets and the intense competition in the global economy have further elevated HR’s role. HR is now responsible for aligning talent strategies with business objectives, managing global mobility programs, and ensuring compliance with international labor regulations. The focus has shifted toward continuous learning and development, data-driven decision-making through HR analytics, and integrating talent acquisition with mobility programs to meet the growing demand for skills. In this new role, HR plays a critical part in helping companies remain agile, competitive, and capable of addressing global talent needs.