With predictions of a global recession on the horizon, several organizations have been slowing down their recruitment or cutting back on their workforce. However, there are other vital approaches that businesses should consider to manage their talent needs. As enterprises have actively utilized digital technologies over the last couple of years, it would be helpful to examine how to use digital technologies to avoid or address the effects of recession concerning talent management.
Given the goal to reduce costs, the tendency would be to minimize fresh recruitment and spending on training. HR heads should be able to support businesses such that their companies can withstand the pressures on their bottom lines. Hence investment in competency-based assessment technology would be essential to enhance the productivity of the existing workforce and undertake targeted skilling programs that would bridge the skill gaps and help build a resilient talent pool. The training could be justifiable since the cost of not doing so would mean incurring additional costs in hiring resources and current resources needing to be more productive. Such an approach would lead to higher staff motivation to acquire new capabilities and thus avoid the risk of being fired.
AI-enabled tools can analyze the roles employees perform and, based on their potential, suggest role-based skills to be acquired or enhanced, as well as recommend career pathways for the future. For example, video conferencing software that became popular during the pandemic could once again rescue HR heads. Likewise, chatbots could relieve staff from handling mundane and repetitive tasks, and with their 24/7 availability, the mix of human and digital interventions could augment employee engagement.
Cybersecurity is another area that should be foremost in budget planning for talent management. Although investing in cyber security measures may appear superfluous during recessionary times, the risk of running into security problems far outweighs the cost of a secure talent management system that protects confidential data. Investment in mobile device management is worthwhile to keep track of devices and protect data if having to terminate employees due to recession. In addition, accelerating migration to the cloud could make the organization more agile and reduce energy bills.
One important thing is to protect high-performance employees. Engaging with them is a must. This time of uncertainty and recession will also pass, and when the time is right to scale and expand, it should be feasible to do so without a time lag. Hence active presence in social media to share positive developments and the use of websites to present successful case studies on an ongoing basis would be critical.
If you are looking for assistance on how to leverage HR tech for your business, please contact Maggie Boucher, senior consultant, at (412) 754-3245 or email [email protected].
Please note that the information contained in this posting is designed to provide general awareness in regard to the subject matter covered. It is not provided as legal, medical, or tax advice, nor is it intended to address all concerns in your workplace or for public health. No representation is made as to the sufficiency for your specific company’s needs. This post should be reviewed by your legal counsel or tax consultant before use.