"HR professionals need to approach their work from the outside/in and deliver value by understanding the business context for their organization"
In the last few years, most of the business in Nepal ran by inside/out approach. But, Nepal is developing its business from outside/in approach too. In any organization/ business HR professional and the line, the manager needs to know about the inside/out and outside/in approach in order to run the organization smoothly and earn more benefits.
This article gives emphasis to the outside/in approach. Outside/in approach is to know your customers/investors and their value for the success of the organization. Below are the points which help the HR professionals to understand the business context more easily from outside/in approach.
1. Social Trends:
It includes lifestyle, health patterns, day to day activities, social problems and so on. If the HR professional knows about: How is the lifestyle of the customers? What are their health patterns? How do they run their day to day activities? What are the social problems that the customers suffer from? etc. It will help HR professionals to create the strategy on the best possible way that will be relevant to their customers.
2. Technological Trends:
Technological trends include access to telecommunication, emails, internet, etc. Technology is upgrading every day. If I use one technology today, I may not use the same technology a month or a year later. So, if HR professionals become aware of the new technology that is upgrading and the level of technology that their customers use, then the HR professionals will be updated and uses their skills and create the strategy accordingly.
3. Economic Trends:
An HR professional should be aware of the economic trends of the country. They should be updated about the economic cycle, the status of the economy, the fluctuating market, gross domestic product and so on. It may influence the opportunities for investment and growth.
4. Political Trends:
It includes political stability, elections, strike, rules and regulations, political history, trending political news, the relationship between government and people, corruption, etc. If HR professional get updated with these political trends, it will help him/her to penetrate in the market and he/she will have tactics when to penetrate the market for the benefits.
5. Environmental Trends:
HR professional should know the recent environmental issues that their customers/ people are facing and the effect of it on their organization.
6. Demographic trends:
It will be easy for the HR professional if he knows the age group of their customers, their race, gender, education level, income level, etc. in order to attract a particular group. He/she need not focus on all the people. If the product is beauty cream, HR professionals need to focus on female customers who are between 16-40 years of age. HR professional does not have to focus on all people. He/she will know his/her customer and focus on those specific ones.
In future/ upcoming days, HR professionals should be convergent with all these general business conditions in the global context, so they can anticipate what might happen next to their industry/ company and organization and prepare to respond accordingly.
If the working professional/ leader know about the above points clearly, they can oversee and guide decisions that affect the market. Those points help to define the nature of what work will be and how work will be done.
HR and Key Stakeholders
Written by: Nisha Joshi
Reference: What’s next for HR? Ebook by Dave Ulrich, Professor of business administration, Ross School of Business, University of Michigan and partner, RBL group