Transforming HR

Our transformation leaders help you stay ahead of the curve in an era of continuous evolution by delivering actionable solutions that drive better business outcomes.

 

Deliver more of what your business and workforce need now

We’re on the cusp of a machine-augmented revolution in the future of work, fuelled by workers’ evolving expectations and businesses’ changing needs. Making this transformative shift will demand a keen focus on agility and sustainability. It will also require building a smarter HR function and delivering more consumer-like experiences to keep pace.

To thrive in this age of change, HR needs to evolve from its legacy as a steward of employment to become a steward of work. HR’s legacy role was designed to ensure the silent running of the enterprise — enough people with the right skills, available at the right time and price. This often led to one-size-fits-most talent and workforce solutions that were built for efficiency. As AI and the democratisation of work exponentially increase the velocity and variability, progressive HR functions are redefining their mandate to become stewards of work. They are enabling talent to connect to work as seamlessly as possible while meeting more talent on their individual terms, bending the demand and supply curves of work in a fundamentally different way.

With HR at the helm, businesses can build a more intuitive, human work experience that places people at the heart of this transformation.

Sustained transformation requires an ecosystem approach rooted in change and designed for fluidity. Transformation is successful when it creates trust in every interaction, when people and the business thrive in every experience, and when HR is empowered to transform every day.

Aligning HR with the business

Leaders say sustainability is the number one driver of transformation for their businesses — and when it comes to risk, it’s also their number two concern. Yet only 31% of CHROs say they’re working on sustainability initiatives.

Instead, more than half of CHROs are still focused on enhancing the employee experience and delivering a compelling employee value proposition (EVP).

But keeping promises to both the business and the workforce doesn’t have to mean juggling competing priorities. Improving the employee experience can be an integral part of building sustainable people practices and delivery models — and workforces that can go the distance.

With generative AI rapidly transforming the digital HR landscape, requiring new skillsets and specialised knowledge, there’s never been a better opportunity for the HR function to position itself as a strategic partner to the business.

One in six HR leaders says recent HR digital transformation initiatives weren’t successful. Why? Because 67% of organisations adopt new technology without transforming the way they work.

Empowering HR to thrive

Over the past few decades, leadership’s unrelenting focus on efficiency hindered the organisation’s ability to respond to a rapidly changing world of work — and the intended efficiency gains were never realised. The old model wasn’t effective then, and it’s now more antiquated than ever.

A future-proof HR function enables organisations to match their rapidly changing work with evolving workforce needs — and it starts with a digital-first culture. Changing the way we work to enable daily transformation is vital. 

Traditional methods of HR transformation won’t deliver the necessary results. Achieving real workforce productivity and agility and building a culture of resilience requires a human-centred, experience-focused and outcome-driven HR function. 

How can we change our approach to transformation and maximise the adoption of our HR tech to ensure we’re building a thriving function — that also helps the business and its people thrive? 

It’s time to flip the script and get transformation right

Transformation is a people issue, and HR is at the heart of the redesign that will support, transform and improve the way we deliver HR services. Real transformation is an ongoing cycle of shaping and delivering solutions that align with workforce, HR and business goals to drive meaningful change. It requires a clear focus on strategy, activating that strategy and deploying it, and continuous improvement of all capabilities.

Successful deployments are often digital in nature, but it’s a mistake to assume implementation is the same as deployment. Focusing solely on system implementations often results in a technology transition. A true digital transformation results in added value and new ways of working for the organisation. To avoid the pitfalls of an unsuccessful digital transformation, we need to do more than just put new systems in place. To drive lasting change, considering the mindset, people, process and technology implications is crucial.

HR transformation initiatives that are designed for real change are essential for HR’s success in becoming a strategic partner to the business. These are the elements of a successful transformation initiative:

  • A clear vision and strategy
  • Leadership support and alignment
  • The right measures of success
  • Effective deployment of new capabilities
  • The ability to deliver needed value to the business
  • A true improvement in the workforce experience
This is an infinity loop, highlighting how the cycle is always on and interconnected. Technology implementation happens here as a part of deployment, but it’s only one part of being digital. Deployment leads to sustainment back to strategy to activation and back to deployment.

Why choose Mercer for your HR transformation?

Partnering with Mercer means embarking on a journey to empower HR to deliver both the experience people deserve — and the impact the business needs. We help you excel by championing three pivotal principles: Trust, Thrive and Transform.
  • Trust
    Building trust in HR begins with an interaction model that puts people and work at the centre. It requires the right balance of high-touch human and high-touch digital experiences, through HR processes that actually work, and creates an anti-fragile technology and data foundation so that HR can be powered by digital.
  • Thrive
    A thriving HR function uses human-centred design to listen to and co-create with the workforce to reinvent work and design for change. It designs frictionless workforce experiences that meet employees where they are and deliver what they need, and it continuously enhances the operating model with new ways of working and innovative solutions like generative AI.
  • Transform
    Empowering an HR function to transform every day requires a clear, aligned HR strategy and plan that explains how HR will help drive business outcomes; leadership that no longer thinks of transformation as a finite process; and an overarching strategy for bringing changes to life for the workforce as part of a complete narrative.

As experts on all things work and workforce, we’re with you throughout your entire transformation journey. With our breadth of services, you’ll have access to a wide range of expertise and solutions to streamline your consulting needs. We’ve led hundreds of HR transformation initiatives over the past two years  by offering a tailored, personalised approach to ensure alignment with organisational goals and culture.

Our transformation leaders are pushing the industry and our clients to the forefront of trends, developments and best practices. In an era of continuous evolution, Mercer can help you stay ahead of the curve by taking proactive steps with actionable solutions to drive better business outcomes.

How Mercer can support your HR transformation journey

  • Digital HR strategy

    Build a digital HR strategy that strengthens your operating model and enables better experiences. A successful digital HR function requires more than technology. We apply a holistic approach through our digital equations for success.
  • HR Target Interaction Model and Operating Model

    Develop an effective HR operating model. We help you create an HR Target Interaction Model (TIM) to meet the strategic objectives of the organisation and unlock the employee experience.
  • Deployment and digital implementation services 

    Implement a variety of solutions with in-house resources. We partner with an array of providers to select the best solutions for our clients’ individual needs. Our recommendations are impartial and not biased toward any specific vendors.
  • Talent acquisition and other HR sub-functions

    Drive talent attraction to ensure you’re bringing in the best talent. We help you set up your employee value proposition, recruiting process, organisation, and technology to attract and retain employees who are critical to your future success.
  • Future HR skills

    Upskill your HR teams to build strength for a successful future. Mercer Learning collaborates with leading content providers to offer the best scalable, digital learning solutions customised to meet your HR upskilling requirements.
  • Strategic workforce planning

    Design a rational, insightful approach for prioritising, developing, and funding the people and initiatives you need to drive key business objectives.
  • HR Accelerator

    Know where you are today and how best to move forward. Create a map for your future HR vision and strategy to transform your HR content, processes, organisation and technology.

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