The way in which organizations manage people used to be relatively straightforward. For more than two decades, multinational companies generally adopted a combination of HR business partners, centers of excellence, and shared service centers, adjusting these three elements to fit each organization's unique nature and needs.
Today, this approach- introduced by Dave Ulrich in 19961- -is rapidly evolving. In interviews with more than 100 chief human resources officers (CHROS) and senior people leaders from global multinational businesses, we identified five HR operating-model archetypes that are emerging in response to dramatic changes in business and in the world-including heightened geopolitical risks, hybrid working models, and the rise of majority-millenial workforces.
These emerging operating models have been facilitated by eight innovation shifts, with each archetype typically based on one major innovation shift and supported by a few minor ones. The key for leaders is to consciously select the most relevant of these inovation shifts to help them transition gradually toward their desired operating model.
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