10 Top Human Resources Management Challenges

hr management current trends hrm challenges human resources department difficulties

The consistently changing business landscape requires human resource managers to revisit their corporate responsibilities. Since the beginning of this century, the corporate sector has transformed by introducing new trends into the human resources management (HRM) industry. Incorporating these trends has become a challenge for today's HR managers. And what is the chief motivator behind the success of a well-established company? Many CEOs will describe the thriving human resource departments as the reason why the company flourished. So, if you wish to manage your organization proactively, it is essential to understand these HR trends and challenges. 

Now we will discuss in greater detail many of these transformations that have revolutionized HRM worldwide for 2021. 

Top 10 Industry Issues In HR Management Today 

Technological advancements and the coronavirus pandemic have contributed to a rapid shift in how the corporate sector operates. When remote work is gradually becoming more popular among employees while social distancing is becoming a norm, the future workplace will not be the same. The burden lies upon the HR department shoulders to help companies incorporate these changes and survive in this tech-dependent, contactless, and diverse age. So, if you belong to the HR community, you can excel in your skills by pursuing an online MPA or MHRM. 

Here are the most significant challenges faced by modern-day HR managers: 

1. Upskilling The Staff

The first problem all HRMs face is to invest in employee education. Some companies lack resources to upskill their workers while others have no time for training courses. HR must provide online courses for the staff's mentorship and skill development. Recruiting external educators helps your workers acquire new skills and assume more duties. Since expertise is a single field no longer makes one a sought-after employee. So, upgrading your workers' skills will remain a popular trend in 2021. 

2. Finding The Right Talent 

The market has become more competitive than ever, so companies will contend with recruiting the most talented individuals. Once the coronavirus is under control, this will be a headache for every organization. The HRMs will have to adopt the post-pandemic norms to attract the right talent. Which incentives will win you more recruits? What sort of opportunities is the new generation looking for in the 2020s? HR must meet the demands of the new hires to make them prefer joining your company. 

3. Diversity With Inclusion

Expectedly, the US will cease to be a majority-white country by 2050. This increasing diversity – while celebrated – has also resulted in some workers getting harassed or feeling discrimination in the workplace. In 2021, such incidents may involve the company in some hefty lawsuits when it fails to protect workers from harassment. HR must concentrate on diversity with inclusion to retain more employees from minority communities. It will allow well-qualified people to stay at your organization. 

4. Employee Experience

Recently, improving employee experience was found to be the third-most important initiative among HRMs. Since it boosts worker productivity, makes them more loyal, and enhances employee satisfaction. Now, where is the challenge? Well, this pandemic has digitized a person's workplace experience. The HR department should work to make employees feel more comfortable in this tech-based world. They must accept feedback from workers and turn this feedback into action to retain more employees to maximize productivity and talent retention. 

5. Virtual Work 

The pandemic reinforced the concept of telecommuting, and the traditional workplace switched to a more flexible home-based form. But this transformation has become permanent for some. Twitter and Microsoft allowed some employees to telecommute whose presence was deemed unnecessary in offices permanently. Data shows that over two-thirds of workers would prefer home-based jobs. Therefore, the trend of remote work won't dissipate soon and needs to be addressed by HRMs. 

6. Collaborative Work 

Telecommuting has become more common, which has impacted how teams work together. Collaboration among employees is essential for their overall productivity. Organizations have found that workers who collaborate online without meeting each other are less productive than employees who see each other face-to-face. So, HRMs must focus on bolstering virtual teamwork within a company to make everyone efficient digitally. This challenge shall continue even after the pandemic is over. 

7. Incorporating AI

Automation has influenced many departments within an organization, and HR isn't an exception to this development. These AI-powered tools enhance the recruiting process and increase worker engagement. In 2021, this trend will keep growing, and HRMs must learn to accept this trend since automation removes human errors from a procedure and improves the efficiency of each process. Managers must rely on these software programs to interview and recruit people. 

8. Legal Compliance

A company's HR department is also responsible for learning about the employment regulations and their changing nature. It is impossible to neglect these legal complexities assuming that they do not affect your organization. COVID has led to the government imposing strict guidelines about limiting any harmful practice in offices. We have traditional laws regarding hiring procedures and workplace safety. The HRMs must keep up with updated versions of these regulations to avoid future lawsuits. We also can't forget about payroll compliance as well.

9. Leadership Development

Studies show that one-third of companies have organized leadership development programs. The HRMs must improve the efficacy of these programs to produce more workplace leaders and help workers hone their management skills. Leadership keeps your employees engaged and motivated. They become more open to the idea of taking on further responsibilities. It also contributes to the progress of soft skills. The HR department oversees the success of these leadership programs. 

10. Combating Burnout 

Unmanaged workplace stress may lead to burnout among employees that threatened two-thirds of American employees pre-pandemic. In 2020, the virus caused mental wellness to plummet 25% in the US and the UK. The HRMs have found combating mental illnesses a fresh challenge in recent times. They eliminate burnout by allowing employees access to mental health counselors and hold events to promote mental stability. Offering telehealth facilities also improve people's wellbeing. 

Other Top HR Management Current Concerns 

- More Complex Payroll 
- Growing Employee Benefits
- Employee Accessibility 
- Recruiting When Fewer People Want To Work 
- Monitoring Employee Actions Online Everywhere
- Avoiding Offending Anyone

HR Management Current Challenges Conclusion 

The coronavirus pandemic contributed to creating several HR and payroll trends we expect to become the norms of the future. The fast-paced business industry faces the challenge of adopting these trends for survival in the consumer market. The human resource department is not alien to some of these challenges as well. For instance, about 75% of employers surveyed five years ago believed that attracting and retaining the right talent would grow as a problem. 

In 2021, this challenge will persist but also develop into a more serious dilemma for HR managers. It has become the responsibility of your HRM department now to add real value to the organization. The human resources dept will have to maximize their efforts to help your company survive and grow.

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