HR priorities in 2021 - the 6 biggest opportunities for HR suppliers

Suffice to say 2020 hasn’t gone entirely as expected for HR. And there’s no doubt it’s ushered in some pretty unique challenges for HR’s suppliers too. 

Interestingly, whilst COVID has delivered new HR priorities, the pandemic has also highlighted previous problems that can no longer be marginalised. 

And although HR is prioritising as quickly as possible, there are many elements they may be looking at simultaneously, with severely restricted time and budgets. It’s not easy to know which way to turn, or how to manage every challenge. 

So we conducted some research to highlight HRs likely priorities in 2021 and have provided some views on how HR suppliers can work with them.

1. Responding to widening skill gaps 

In a recent report from Gartner, ‘Building critical skills and competencies’ was the largest priority for HR leaders in 2021, with 68% agreeing this was a key focus area. 

Widening skills gaps and insufficient talent has been a growing issue for HR for several years with research suggesting 33% of skills in an average 2017 job posting won't be needed by 2021. However, COVID has exposed this area as a critical problem for many organisations and HR must act quickly to support employee talent and skill gaps. In fact, 29% of organisations say more than 40% of their workforce will need new skills post-pandemic. Because of this, in 2021 HR will be looking to adequately recognise and quickly respond to core skill gaps in their workforce. 

However, research shows that the main barriers to improving skills gaps in the workforce are the cost (34% of UK business leaders agree) and being unable to identify a skills strategy with clear ROI (28% of UK business leaders agree).

Communicate clear strategies

With these issues in mind, HR suppliers will benefit from being more vocal in guiding HR teams in the best direction, considering they may be unsure themselves. Being able to pinpoint key issues, provide specific solutions and ensure a clear strategy is a must-do. Doing this in a way that educates and informs can also help to reduce the cost barrier for HR - if they can understand the clear ROI from your product/service it will help to justify the price.

2. Enabling an agile workforce model

COVID has also highlighted the inability of workforces to effectively respond to organisational changes. In April, research from Aon demonstrated that 55% of companies expected an accelerated focus on workforce agility in response to the pandemic. And this remains a priority for 2021 as currently only 19% of HR leaders feel their workforce can successfully change direction according to adjusting company needs.

As such, Gartner states this means that HR must future-proof their workforce and adapt ‘work design strategies’ so that employees are enabled to be fully responsive. Another way of looking at it is that employees must be able to assess and recognise changes amongst their customers’ needs and evolve their plans accordingly.

Mirror agility changes

Agility is something that HR suppliers are mirroring, understanding that buyers’ needs are consistently shifting as new work policies or political/social/economic situations change. HR suppliers’ own employees should be enabled to recognise and adjust with these changes. Communication strategies should also be flexible to adapt quickly when necessary. Thumping the same old drum is unlikely to encourage people to march with you.

3. Increasing D&I efforts 

A report from McKinsey & Company has revealed that 9 out of 10 CEO’s state that DEI is a ‘moderate’, ‘very important’ or ‘top priority’ right now and 49% of HR leaders feel their ‘leadership bench is not diverse’. Because of this, D&I remains a key focus for HR teams - especially when it comes to diversity surrounding career progression and leadership roles.

With increased awareness surrounding the demand for diversity training brought on by developments such as the Black Lives Matter movement, it’s no wonder that this is a key focus for HR. On top of this, the need to reduce gender inequality remains high as data reveals that only 48% of women currently receive promotions and pay increases compared to 62% of men.

However, when it comes to D&I, a large problem for HR and business leaders is that they don’t know how to discuss the topic. Many fear saying the wrong thing or using incorrect terms and phrases that could offend - all of which ends up stifling discussion and change entirely.

Lead by example

For HR suppliers, whether your brand is specifically linked to D&I services or not, it’s clear that supportive communication is key. As such, does your own comms strategy lead by example and appropriately discuss D&I issues - whether this be with employees, customers or within the media? Although leading by example can’t be based on bandwagoning or an empty comms strategy, facilitating an open environment around these topics shows firsthand you are a part of the shift.

4. Navigating tech’s new role in the workplace

For HR, the consequences surrounding the increased introduction of tech are twofold. 

On one hand, it can be problematic as 26% of HR leaders don’t feel their organisation is prepared to address the ways AI and automation could impact or potentially displace their workforce.

On the other hand, the introduction of HR technology has the potential to improve business processes, increase productivity and support people. With tech available to address issues from recruitment to employee finances to workplace wellbeing, navigating this new technology is a challenge and an opportunity for HR. And sometimes dramatic change can just be frightening.

Embrace the human experience

The future holds so much potential for HR tech suppliers but listening to and understanding HR’s potential issues and vulnerabilities is essential, as is empathetically working to address them. Your brand’s core messages must easily explain the USPs, benefits and outcomes for all audiences, not just tout amazing features. Bamboozling is out. Education and empowering HR is in.

5. Altering discussions surrounding employee wellbeing

Recent evidence shows that 70% of employers now recognise the importance their employees place on having a strong mental wellbeing policy, while 58% said mental health and employee wellness is an enormous priority. 

Following new work from home models and long periods of isolation, HR is increasingly interested in developing support that caters to the needs of employee wellbeing. According to our client, Inpulse, employee anxiety has risen by 240% since 2019, with job insecurity and workload pressures being dominant causes. 

People-first marketing

This heavier focus on wellbeing suggests a core shift and the pandemic has played to this. Not only have feelings of anxiety increased, but with so many more people working from home, personal lives can be more ‘on show’ too.  

Employers are increasingly looking-out for the personal and emotional lives of employees as well as shifting towards a people-first culture. Suppliers are recognising this with more sales, marketing and communications plans relating to the emotional needs of their buyers. 

6. Improving employee engagement strategies

28% of HR leaders and 46% of heads of D&I state that improving the employee experience is a key priority for them heading into 2021.

Along with employee wellbeing, this also suggests increased interest in the need to improve employee engagement and support productivity. Work from home burnout has been a real consequence of new dynamics and threatens the ability of staff to maintain motivation and effectiveness during tasks.

Provide transparent outcomes

According to Gartner, 28% of HR leaders still struggle to assess the impact of employee experience investments.

Essentially, a comms strategy that can educate and show support to HR, a business and its people is vital. Whilst 2020 has held many changes and much confusion for HR, you can help by clearly communicating the importance of the issues at hand, how your brand overcomes these issues, show examples of other customers’ successful work and the strategies that will help HR achieve their organisational goals.

The key is to provide clear, open and genuinely helpful messages to stand out from the crowd. Listening to HR’s specific needs is vital, as is tailoring messaging precisely and adapting as quickly and as often as necessary. 

Without doubt, being a trusted source of support for HR is increasingly part of the buying process.

Need help with your media and communication strategies as we head into the new year? Get in touch - we’re always happy to help.