HR 2023 is not HR 2013
10 years ago, the HR department (sometimes: "personnel department") had these tasks: Manage personnel (files), monitor occupational safety rules and other regulations, determine wages and benefits in kind. By 2023, things should be different. Classic personnel management and administrative micromanagement are only part of the daily work. And that part is getting smaller. The best HR teams spend most of their time managing employee engagement, driving recruiting and strengthening corporate culture. Here, we reflect on what a Head of HR needs to do differently in 2023 than in 2013.
46% of all managers name* employee retention as the most important HR topic, ahead of recruitment at 33%. Only 21% name corporate culture as the most important HR issue. They thus fail to recognize that culture is directly related to retention and recruitment.
The "Head of HR" is a different position in the blue collar sector today than it was 10 years ago - and so is his team
HR departments and their managers must be much more proactive in recruiting today. It used to be: send out job ad - check incoming applications. That was comfortable because the company had a passive role and could select.
In addition, the HR department used to be a bit more "administration. In the executive area and in many expert areas, that hasn't been the case for a long time. Administration has become strategy. In blue collar, too, this trend shift began in the late 2010s. The success of a hiring process is by no means guaranteed - but in the blue collar sector, it is often critical to a company's revenue and growth.
The idea of the applicant as a "supplicant" is an antiquated way of thinking. Without manpower, there is no turnover. And when many companies vie for manpower, eye level is needed.
HR as a growth and revenue driver with sales competencies
HR and sales? If we adapt the perspective on the application process to today's times, there is something to it. The recruiter, the HR department, the HR professional is actually "selling" something: the job opening, ultimately the employer brand. If blue collar workers are no longer beating down our doors in droves just because we have placed a job ad, we need to "sell" more actively and better. So the importance of the HR department also becomes greater. Because if the HR team doesn't work well, jobs will remain unfilled. The effect: less growth and turnover.
But what actually happened! 3 factors of change in HR and recruiting and what they mean
There are 3 reasons for the changed situation:
1. the ever faster digitization of the (working) world
We are transferring entire sections of our lives to the digital world. At the bus stop we scroll through our feed, in the car we listen to podcasts, on the Smart TV we watch YouTube and Twitch. In the blue collar sector, the home office is usually not an option, yet there has been a digitalization push there as well. This includes working time recording with apps and increasingly present employer comparison portals. As a recruiter or HR manager, you need to know which tool to use to get candidates exactly where they are - and support them exactly where they need to be. Recruiters and HR managers also need to be able to think and evaluate resumes and applications in a more agile and efficient way. In the digital age, we are used to very fast decisions and "delivery paths." Processing an application over two months seems antiquated. Digitalization also shows workers opportunities outside their own industry.
For 91% of respondents* blue collar workers, moving to another industry would be an option.
What does digitalization mean for the Head of HR?
Tools give you the support you need to implement a contemporary HR strategy. Determine what kind of tools you need based on your goals. Consider how different HR tools should work together. Many tools have interfaces, but an all-in-one solution is easier. Also consider who will use the technology later. A high level of usability and an accessible front end will make your department's digital transformation easier. Concepts like agile working methods from IT will become more important in the future and harmonize well with digital solutions. The digital era has opened up new opportunities to replace work steps with tools. Especially tasks that keep HR managers from important strategic tasks. Examples are:
In the retail sector, 80% of HR managers* see digitization as the most important HR issue. The speed of competition for personnel will increase.
2. the shortage of manpower
Yes, more and more jobs are being automated. But the demand for labor has not decreased, as often predicted. This is because new fields of activity have emerged in the logistics and supplier sectors. There is a shortage of labor here, and competition for the few workers available is becoming fiercer. HR managers must be proactive in their search for these candidates; it is no longer enough to rely on traditional sources such as job boards or newspapers.
What does the labor shortage mean for the Head of HR?
Active sourcing is the order of the day, if possible via a digital recruiting solution and specialized in the company's own blue collar industry.
Think of the application process as less hierarchical and "top-down". Pay attention to a good Candidate Experience and Candidate Journey become a better communicator. Training and career interviews also make blue collar employees feel wanted. Companies use them to "prove" that the employee has a career future with the company, perhaps as a shift supervisor, a foreman, or in a more advanced skill set.
Not even 28% of respondents* have the opportunity for further training in their current job. 87% would take advantage of further training for the prospect of a better job.
3. changing legal situations and regulations for recruitment practice
It is important for HR managers to stay up to date on the legal situation. This is how you ensure that your company both avoids all legal risks and is aware of all new opportunities. Just three examples:
- The "Qualification Opportunities Act" (2018).
- The "Alien Employment Promotion Act" (2019).
- - The "work-of-tomorrow law" (2020)
What do new laws mean for the Head of HR?
For you and your team, it takes more training and a greater willingness to continuously learn. Not only are the demands of blue collar workers changing, but the typical employment history is different - and the laws are following suit. Network with other blue collar recruiters and HR professionals to stay current. Continuing education also means attending industry events and meeting with other blue collar professionals.
Create more time for the most important task of modern HR: a strong corporate culture as an overriding success factor for blue-collar companies
The culture of a company is a melting pot of various factors. The company's own mission, the conviction of the brand and the managers, the composition of the teams, ethical guidelines and much more. The stronger a corporate culture is, the more likely it is that employees will be happy.
Satisfaction is directly related to productivity. That's why HR 2023 is closely linked to the work efficiency of entire teams.
HR departments need to invest resources in improving company culture wherever they can. Employees who fit into the company culture are not only more motivated to do their best, they are more likely to believe in the work your company is doing. Happy employees treat customers, products and work schedules with a high level of respect.
Basic requirements for a good corporate culture
Happy employees promote your company - even outside the office
In active sourcing there is the method of "referral sourcing". It describes the recruitment of new applicants through the recommendation of people already working in the company. This only works in a corporate culture that makes employees happy. Even blue-collar workers don't recommend a job they drive to in the morning with a stomachache.
Regularly evaluate the company culture and the satisfaction of your employees
Talk to employees once a year and otherwise radio silence? That might have worked in the past. Today it doesn't. Because it doesn't lead to more commitment and motivation. In the worst case, employees feel left alone. HR methods and technologies can be used to determine whether employees are satisfied with the corporate culture or want to provide feedback. For example, the results of a pulse survey can give you a good indication of whether a particular new HR program is successful or whether workers feel overworked and stressed. Using this data, HR managers can then decide whether to continue business as usual (if the results are good) or abandon an idea and take the company in a different direction (if the results are poor). A pulse survey is much better than waiting months only to find out that a new HR program is hurting employee culture and morale.
The pulse survey (also: pulse check) differs from the classic appraisal interview in that it asks only one quick question to everyone present at the same time.
What is a pulse survey?
The pulse survey is a method for quickly and frequently asking employees about various aspects of their work experience in order to identify potential problems and trends early. By identifying and resolving issues early, employers can potentially avoid more costly and time-consuming problems down the road. In addition, pulse surveys provide an opportunity to measure employee engagement and satisfaction. This can help companies identify areas where they may need to make changes or improvements. Overall, pulse surveys are an effective way for employers to keep an eye on the health of their workforce and ensure that employees are happy and productive.
People Analytics: away from gut feeling, towards Data Driven HR
"People Analytics" is what we call technologies for virtual working, hiring, onboarding, employee satisfaction and training in HR. Blue-collar HR in particular can no longer afford to forgo the implementation of people analytics due to the quantity of workers. HR must move away from intuition and use data to make informed and confident decisions. In doing so, as Head of HR, you become a key source of value creation for the business. In order for the investment in "people analytics" to pay off, there needs to be management buy-in - so fight for this process to continue and for management to provide the resources.
Don't be afraid of automation!
More recruiters are not the efficient solution in blue collar recruiting. Because you have to find, onboard and pay them first. As in sales and other areas, automation is the key to scale. Automating the hiring process not only saves you time, it also eliminates human error.
Active Sourcingbut fast and effortless? Your search is over - we are your smart recruiting solution for blue collar recruiting.
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