The social environment covers work culture, people skills, attitudes, points of view, HR behavior, supply, and demand for employees. Each aspect is affected by the social environment like HR planning, recruitment, selection, and training.
The economic environment is the factor affecting HR with economic factors like consumers, suppliers, and competitors. The economic environment has improved to better and increased the employment industry.
Collecting Data analytics by HR systems to become more important for HR departments, being hybrid and work remotely as employees can have the flexibility to not lose competitiveness, Reskilling and upskilling as investing in training plans to develop employees skills, increasing the machine learning, involving the employee experience that is no longer at the office, investing in HR technology to simplify the processes, creating diversity-oriented workspaces, making use of internal mobility. Equipping HR professionals with the right skills, ensuring that they are trained in mobility concepts, and helping them to have business-driven mobility conversations will allow companies to bridge the mobility island and be more focused on business objectives.
Although there’s growing recognition of the need for HR practitioners with expertise in data skills, the number of organizations actually leveraging workforce data is still relatively low. According to a 2015 report by Deloitte, less than 9 percent of respondents said their organizations had a strong team in place that could handle data analysis within HR. There are different roles for HR as:
· Aligning employees to common sets of objectives derived from the mission and value statements.
· Justifying risks by planning appropriate Succession Planning Strategies.
· Identifying top-performers and non-performers.
· Continuously measuring the effectiveness of leadership and employee satisfaction.
· Increasing employee engagement through appropriate measures.
· Aligning compensation to performance.
· Adjusting recruitment and training to competency gaps.
· Specifying well-defined job descriptions which are mapped to the organization structure. These become the basis for recruitment, goal setting, training, performance evaluation, and career development.
· Understand the concepts, compensation, and compliance issues.
· Managing employee data, payroll, time and attendance, and setting company policies.