By Don Weinstein, Corporate Vice President of Global Products and Technologies, ADP
Today’s workstations have changed from those of almost two years ago. Companies are now navigating hybrid models, ever-changing compliance considerations, and shifting workforce priorities amid shifts in the labor market. Yet the challenges presented by the global pandemic have, in many ways, accelerated a future of work that was brewing. A common thread that we have only seen strengthen is that people reinforce performance. As the needs of the global workforce evolve, technology evolves in tandem and the bottom line is transformational.
The key trends driving the workforce – from data-driven decision making to compliance agility and adaptable technology – are only increasingly prevalent. While businesses saw a need before the pandemic to break down silos and create a culture of connectivity, it only intensified when the workforce became distant and engagement became at the bottom. times more difficult and more critical. Likewise, while companies may have focused on analyzing people to find talent, they are now leveraging that data to create more personalized, fairer workplaces where everyone can thrive.
The commonalities are an important reminder of the pervasiveness of innovation. Innovation thrives from data, agility and a mind to reinvent functionality. Many technologies evolve with circumstances, offering new features and enhanced capabilities to meet the needs of the moment – and those on the horizon. Many human capital management (HCM) technologies do just that, as they harness timely workforce data to help streamline workflow challenges, engage and support talent, and optimize operations. . With the help of ADP’s vast workforce data, here are the key drivers for the work evolution in 2022:
Employee visibility will be redefined
The complete and rapid transition to remote working has permanently altered perceptions of how and where people work. A study by the ADP Research Institute found that within a year, COVID-19 had a significant impact on the location of workers. In fact, three-quarters (75%) of the global workforce have made changes or plan to change their lifestyle or place of residence, with this percentage even higher (85%) among Gen Z Additionally, ADP surveyed small and medium-sized US employers and found 66 percent have a hybrid work model in place.
Businesses now have the technology to reinvent their workplace model, whether it’s return to work, fully remote, or hybrid. As employers explore flexibility in their workplace models, the next big goal will be to improve employee visibility. Being visible is no longer just about seeing people working in the physical sense of the word. Employers now need to find ways to better understand and involve offsite workers. To make that connection, people data will provide insight into the ebb and flow of engagement and performance, helping managers pull the right levers to support a high performing remote or hybrid team.
People and purpose will boost workplace culture
This emphasis on understanding and connecting with employees will transform the culture of the workplace. The ADP Research Institute found that American workers who feel strongly connected to their employer are 75 times more likely to be fully engaged than those who do not feel connected. Research has shown time and time again how essential engagement is for productivity, performance, and retention. In a tight labor market where talent is reassessing priorities, a people-centered mindset will be essential.
To address the gaps created by on-premise, remote and hybrid models, employers will put more emphasis on inclusion. From tailored benefit packages to flexible working arrangements and additional people-centered initiatives, employers will need to establish a foundation from which all employees can be successful. Visibility will continue to be essential as employers turn to people analytics to advance diversity, equity and inclusion. As a guide, ADP data shows that over 50% of companies that have leveraged ADP DataCloud’s DEI analytics capabilities have taken action and made a positive impact on their DEI metrics.
Trusted data and expertise will fuel resilience
Data has served as a true north for businesses in times of rapid regulatory change – and its value will only increase as the compliance landscape continues to evolve. An ADP survey found that nearly 20% of U.S. companies with 25 to 99 employees admit they currently face compliance and regulatory issues. As companies navigate back to work or permanent remote or hybrid models, the need for reliable real-time data will only increase.
Data can help give employers the confidence they need to take action, especially when faced with decisions that can impact the health and safety of workers. For example, while employers manage policies related to immunization tracking and testing, ADP’s Return to Workplace mobile solution has helped employers assess employee sentiment; ask employees for their availability; and provide vaccine status surveys, weekly COVID testing surveys, health certificates and contact tracing capabilities. Since the tool’s launch, workers have completed over three million health status surveys. Turning to up-to-date data can give employers the information they need to act, assess and adjust course as circumstances change.
Greater innovation will accelerate growth
The circumstances of the pandemic have forced many companies to reinvent their business models, uncovering efficiencies and opportunities. Accelerated digitization has helped companies expand their capabilities by eliminating tasks and refocusing efforts on strategic growth initiatives. Self-service tools, such as mobile access to compensation and benefits, have taken administrative tasks off the plates of HR professionals, helping them refocus on supporting employees. In fact, according to data from ADP, the number of monthly users of the ADP Mobile Solutions app has increased by more than 25% compared to last year, with employees using self-service tools. These technologies have benefited tandem employees, giving them more flexibility and control in their employee experience.
This development is also reflected in a sharp increase in hiring based on skills. The ADP Research Institute’s “People at Work: A Global Workforce View” study found that more than one in four workers (28%) report having taken on a new role or changed roles due to pandemic changes in the labor market. job. The number drops to 36% for Generation Z workers. Employees who were able to retool during the pandemic continue to prioritize their skills and seek opportunities that meet their unique strengths. To accelerate performance, employers will need to foster these individual strengths and provide employees with tailored growth opportunities. When recruiting new talent, employers will also need to focus on skills. Useful technologies like machine learning can identify workers with the right skills in unique places, such as past applicants who have applied for other positions before.
The way forward is not linear
Recent events have only proven that the future is unpredictable. But through unpredictability, people continue to fuel the world of work. As the workforce emerges from the past two years with changed priorities and expectations, digging into the data to better understand their needs will help employers move forward with confidence. Such insight will point the way forward, even if the path is not always straight.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.