HR Reimagination in a VUCA World: Are You Prepared?
VUCA, a term first used by the US Army War College to refer to the
post-Cold War world that was uncertain and multilateral, has entered the
commercial lexicon and strategic debates. The purpose of this paper is to
explain how the VUCA world affects the function of human resource management
and to create a road map for HR managers to guide their firms through the
chaotic, unpredictable environment. This essay provides a summary of recent
studies on how HR can foster a positive organizational culture in a VUCA
environment and give employees the tools they need to support organizational
growth. (Jyothi, G. 2019)
Introduction
The
world was changing at a rapid pace, and management academics and thinkers were
developing plans to help company leaders evolve their leadership styles in
response to this. Nobody predicted that the COVID-19 pandemic would cause the
world to collapse so quickly, altering the entire nature of our thinking and
behavior and leaving us to establish the "new normal." A complete
transformation in how organizations dealt with the issues of the VUCA world we
are living in was observed as firms were shut down and people were locked up,
which brought optimism that human grit is far stronger in navigating any
ambiguity of survival.
Aims of the research
The world was changing at a rapid pace, and management academics and thinkers were developing plans to help company leaders evolve their leadership styles in response to this. Nobody predicted that the COVID-19 pandemic would cause the world to collapse so quickly, altering the entire nature of our thinking and behavior and leaving us to establish the "new normal." A complete transformation in how organizations dealt with the issues of the VUCA world we are living in was observed as firms were shut down and people were locked up, which brought optimism that human grit is far stronger in navigating any ambiguity of survival.
To
investigate the effects of human resource function in a VUCA environment
To suggest a framework for HR leaders to navigate a
VUCA world
The VUCA world presents modern companies
with all of the difficulties necessary to maintain competitiveness in the wake
of advanced technologies, altered business models, a lack of time to adapt to
changes, and the requirement to revise performance management systems, claim.
The following table provides instances of
each of the four VUCA components to help paint a clear picture of what a VUCA
world actually involves.
Taking the Offensive
A
good attack is always the best defense. HR needs to take proactive measures and
be ready for the unexpected when navigating a VUCA world. A corporation may be
compelled by a VUCA world to go through a number of changes that could endanger
its survival. Because of this, it is essential for organizations to maintain an
open mind, allow flexibility in their various work processes, and take the
initiative when interacting with their larger surroundings. (Delery, J and Roumpi, D. 2017)
Why does a company need to embrace VUCA's disruptive effects?
Organizations must be prepared to take
significant risks and develop innovative business models that go beyond the
conventional management structure in order to embrace VUCA. In order to create
the next generation of solutions through more efficient collaboration, it will
be crucial to implement bottom-up reforms with new methods for skill upgrading
and training. Fostering an entrepreneurial culture can help the firm gain a
competitive edge by fostering creative capabilities and more involvement among
workers and leaders. To meet the difficulties of the VUCA future, it will be
essential to uphold decision-making trust, accelerate changes and innovation by
streamlining the corporate environment, and encourage collaboration. (Mugbc, F.
2020)
What does the abbreviation VUCA mean?
Volatility
The
kind, rate, volume, magnitude, and dynamics of change. The situation is shaky
and could last for an undetermined amount of time. Nonetheless, it is not an
unexpected circumstance because a similar problem was anticipated.
Example - A change in an
organization's share price after a change in the organization's leadership
or following the discovery of an internal fraud.
Uncertainty
The
inability of issues and events to be predicted Despite the dearth of details,
the events' fundamental origins and expected outcomes are known, and the end
result typically entails a significant change.
Example - A close rival's surprise
introduction of a product that is identical to but better.
Complexity
The
jumble of problems and the mayhem that results from them.
Certain information is accessible or predictable. It can be difficult to
process the problem due to its size or nature, though.
Example - Establishing a business
abroad and having to deal with numerous regulations and tariffs.
Ambiguity
The blur of harsh reality! The causal
connections in this case are murky. One must prepare for the unknown because
the circumstances are unusual.
Example - Deciding to introduce a novel product that is outside the scope of our expertise. (Saleh, A. and Watson, R. W. 2017)
Argues that rapid technological advancement
causes volatility, unexpected business models cause uncertainty, and complexity
results from multidimensional exposure. The ongoing demand for innovation is at
the heart of ambiguity. In a complicated company environment, realigning
internal HR processes is essential for efficient business operations.
Research
Techniques
The exploratory nature of this work led to
the collection of qualitative information from a variety of primary and
secondary sources. A thorough study of the literature has been done from a
variety of sources, including journals, research papers, organizational
reports, government reports, media publications, and online pieces. The topic's
novelty has prompted the authors to take a qualitative approach while working
to compile the breadth of conceptual resources that are now available to
enhance future research on pandemic-driven impact on the human resource
function. (Gandhi, L. 2017).
Discussion
VUCA
environment induced by COVID-19 pandemic impacted the following facets of Human
Resource function on a broader landscape,
·
Adherence to government directives and requirements
·
Getting used to distant work situations
·
Employee and family safety
·
Activity Management for Talent
·
Management of Performance Activities
·
Events for employee engagement
(Bielinska, I. 2021}
Change
management in a VUCA world
Conclusion
The
existing research emphasizes the significance of HR in a VUCA environment, and
based on the gaps in the literature, it was determined that there was no
agreement over HR's position in a VUCA world, particularly in a pandemic
situation. A pandemic epidemic is having a longer-lasting impact on the VUCA
landscape in which the human resource function is functioning than we had
anticipated. In such a dynamic climate, HR managers must avoid using
traditional and out-of-date leadership techniques. To meet the difficulties of
the VUCA era, a more inclusive leadership style is needed. The key to surviving
in the current climate will be to develop the capacity to adapt in accordance
with a business's short- and long-term aims. To keep the human resources,
function relevant, strategies that are based on a long-term vision and
dynamically manage short-term objectives are required. When viewed from this
angle, the VUCA world we currently live in might be an opportunity for further
development and better collaboration rather than a threat that needs to be
mitigated.
References
Bielinsha, I. (2021) How To Embrace Constant Change In A VUCA World [online]. Available at https://www.forbes.com/sites/forbescoachescouncil/2021/08/23/how-to-embrace-constant-change-in-a-vuca-world/?sh=69fe2fd2273a. Accessed on 24th March 2023.
Delery, J and Roumpi, D. (2017) Strategic human resource management, human capital and competitive advantage: is the field going in circles? [online]. Available at https://onlinelibrary.wiley.com/doi/abs/10.1111/1748-8583.12137. Accessed on 27th March 2023.
Gandhi, L, (2017). Human Resource Challenges in VUCA and SMAC Business Environment [online]. Available at https://www.semanticscholar.org/paper/Human-Resource-Challenges-in-VUCA-and-SMAC-Business-Gandhi/a30ef7d1f650976d63aa0962964407a2d5e89331. Accessed on 27th March 2023.
Jyothi, G. (2019) Reimagining HR in a V.U.C.A World - Are you ready? [online]. Available at https://www.prajvitaknowledge.com/post/reimagining-hr-in-a-v-u-c-a-world-are-you-ready Accessed on 22nd March 2023.
Mugbc, F. (2020) From VUCA to BANI: Five key HR issues to deal with for HR teams today [online]. Available at https://hr-congress.com/2022/04/20/from-vuca-to-bani-five-key-hr-issues-to-deal-with-for-hr-teams-today/. Accessed on 27th March 2023.
Saleh, A. and Watson, R.
W. (2017). Business excellence in a volatile, uncertain, complex and
ambiguous environment (BEVUCA) [online]. Available at https://www.semanticscholar.org/paper/Business-excellence-in-a-volatile%2C-uncertain%2C-and-Saleh-Watson/f6efa99ccac1735aebd0088a94070cfcb73ffb68. Accessed on 25th March 2023.
Source
[1]. [1] https://www.linkedin.com/pulse/re-imagine-recruiting-cognitive-era-disrupt-get-karuna-vempala/. [Accessed on 27th March 2023].
[2]. [2] https://quickhr.co/HR-in-a-VUCA-World. [Accessed on 24th March 2023].
[3]. [3] https://www.ness.com/reimagining-hr-in-a-v-u-c-a-world-are-you-ready/. [Accessed on 22nd March 2023].
[4]. [4] https://www.istockphoto.com/photos/vuca. [Accessed on 22nd March 2023].
[5]. [5], [6], [7] https://www.linkedin.com/pulse/change-management-vuca-world-mohammad-altaf-rizvi/?trk=pulse-article. [Accessed on 23rd March 2023].
[6]. [8] https://youtu.be/g0R5Dd2QrAo. [Accessesd on 28th March 2023].
Hi Tharanga, Interesting !!! HR
ReplyDeleteleaders must reimagine their roles and functions to adapt to a VUCA world. In a VUCA environment, HR can reinvent itself in a number of ways, including as below:
1.HR can use AI and ML to automate tasks, improve recruitment processes, and provide real-time insights into employee engagement and performance.
2.HR can foster an agile mindset by promoting cross-functional collaboration, empowering employees, and fostering experimentation and learning.
3. HR should focus on skills rather than job titles and develop talent pools that can be quickly deployed to meet business needs.
4.HR should prioritize the employee experience by creating personalized experiences and leveraging data to identify areas for improvement.
5. Redefine performance management to enable employees to adapt to changing circumstances and improve their performance in real-time.
Below, authors provide valuable information about VUCA.
Boudreau, J. W., & Cascio, W. F. (2018). Human resources reimagined Harvard Business Review, 96(1), 50–56.
Gupta, R., & Bhatnagar, J. (2020). Human resource management in a VUCA world. Journal of Management Development, 39(2), 143–157.
Oh ! I'm curious about deep analysis and more points about ML and AI. AI and ML can be used by HR professionals to automate time-consuming and repetitive HR operations like scheduling interviews, reviewing resumes, and onboarding. The ability to focus on higher-value tasks like developing HR strategies and connecting with employees is made possible by this.
DeleteBy preparing for these challenges, HR can help organizations to succeed in a rapidly changing business environment. Good article. Well done.
ReplyDeleteIn order to fulfill their goals in the twenty-first century, people and organizations must adopt the newest technology and techniques. Thank you for your feedback.
DeleteAn interesting article. I personally agree too that for an organization to succeed, HR managers should come out of being traditional and get used to new technological advances and new leadership styles.
ReplyDeleteIf we don't alter our work habits and behaviors, which are based on current trends, we won't be able to achieve greater goals, and new innovative thinking will aid in business improvement. I value your feedback.
DeleteThis comment has been removed by the author.
ReplyDeletesuperb...!! you explain it very well. HR managers need to abandon their conventional ways and become used to cutting-edge technology and new leadership philosophies if they want their firm to prosper.
ReplyDeleteYou are right, and without new technology, we wouldn't be able to handle a host of brand-new difficulties. I appreciate your feedback.
DeleteHR reimagination in a VUCA world refers to the process of rethinking and transforming traditional HR practices and strategies to adapt to the constantly changing and unpredictable nature of the business environment. VUCA stands for Volatility, Uncertainty, Complexity, and Ambiguity, which are the key characteristics of today's business landscape.
ReplyDeleteHR reimagination also involves a shift in mindset, where HR professionals need to become strategic business partners, working closely with other functions to align HR initiatives with organizational goals and objectives. It requires a willingness to challenge traditional assumptions and experiment with new ideas and approaches to create a more adaptable and resilient HR function that can thrive in a VUCA world.
Very interest Article. detail oriented. well done!
Thank you for leaving a remark. You contributed a lot to the essay and inspired me to write more.
DeleteHi Tharanga , very interesting and important article. well done.
ReplyDeleteSuccess in a VUCA world depends on being willing to take risks through experimentation, rethinking value creation, making sense of what is available, like data, learning by doing, adopting new technology to generate value, and viewing issues from several angles.
You are accurate, and I value your input.
DeleteOrganizations must be nimble, adaptive, and fast to take advantage of new possibilities and challenges in a VUCA world. To remain competitive and prosper in this quickly changing world, they might need to embrace new technology, adopt new business strategies, and cultivate new skills and competences. Great job!
ReplyDeleteI completely agree with what you said, and I'm grateful for your feedback. We need to adapt our way of thinking and how we actually work in order to take new technologies and the most recent innovation requirements into account.
DeleteThe article discusses the impact of the VUCA (Volatility, Uncertainty, Complexity and Ambiguity) world on the HR management function and provides a road map for HR managers to navigate through this uncertain environment. It highlights the need for HR leaders to be proactive, flexible and innovative in their approach. The article also emphasizes the importance of fostering an entrepreneurial culture to gain a competitive edge by fostering creative abilities and participation among workers and leaders. You have used a variety of primary and secondary sources to provide a comprehensive overview of the topic. Overall, it is an informative and insightful read for HR professionals. Well done ..!!
ReplyDeleteExcellent review, and I love how you added more useful information to the article in your comment.
DeleteWell done Tharanga ! HR operates in a Volatile, Uncertain, Complex, and Ambiguous world. This article reflects on how to empower employees and establish an organizational culture.
ReplyDeleteI concur with you, and I appreciate your input.
Delete