The first few weeks of the new year are over. We have arrived in the year 2022. What are our priorities? Where are we still looking for the right way?

I would like to share my perspective on these and other questions with you. At this point I kindly ask you to describe your point of view to me and the readers of this article by writing a comment. Thank you in advance!

External influencing factors 2022

We have learned to proceed “from the outside in” and to prioritize our considerations with external analyses, such as the PESTEL analysis.

The list is long: rising inflation, recession risk, supply chain disruptions, labor shortages, integration of artificial intelligence, changes in consumer behavior, global political instability, volatility in commodity prices, volatility in energy prices, cybersecurity, regulation, and last but not least, tackling COVID-19 related disruptions.
As a people-focused strategist, I´d like to make one point: Shortage of skilled labor is driving talent recruitment and retention to the top of CEO agendas globally in 2022. The only exception is China. As bargaining power shifts from employers to employees, companies should prepare for higher wages and production costs and higher turnover in 2022.

Strategy teams develop business cases based on their analysis of factors that significantly affect the future of the company. Derived scenarios also include human capital factors such as demographic trends, competencies and employee preferences.

Important action fields in 2022

Business leaders and executives strive to be more agile, resilient and innovative in their organizations; from business models to cash flow management to supply chains, corporate culture and human capital management.

Globally, it’s often about attracting and retaining talent, accelerating the pace of digital transformation, developing next-generation leaders, and becoming more customer-centric.

With a view to Europe, where the topic of sustainability also plays an important role, I would like to particularly emphasize a few fields of action:

  • Some of the quickest and most powerful solutions to attracting and retaining talent involve changes to the recruiting process (examples: employee referral programs, implementation of new/advanced technology) to act faster and target candidates more effectively. Also gaining momentum is increasing flexibility for virtual work, finding ways to retain older workers, and nurturing a work environment where effective and empathetic managers support workers’ work-life balance needs and company policies are designed to accommodate them , to reduce friction, more important.
  • In an era of connected customers, where the experience (CX) is just as important as the product or service itself, we recognize that changes in how customers spend money and make decisions will have a major impact on our businesses in the year ahead. The change in the business model and a stronger customer orientation are among the most important fields of action worldwide. Real-time insights into changing consumer behaviors and attitudes already differentiate marketing functions. Going forward, go-to-market strategies that emphasize customer experience will be critical to success.
  • With a view to managers, it is very important that they motivate their employees during the COVID-19 crisis and afterwards in a hybrid/remote working mode, model the future way of working and constantly increase productivity.
    Numerous studies highlight the following behaviors:

    • Remind employees of the company’s vision, mission and values (MVV statement). This is the backbone of an agile organization!
    • Formulate encouraging messages; but also acknowledge the challenges and stressors employees face.
    • Agree on measurable goals and provide clear direction; especially when teams are working remotely and business conditions are changing rapidly.
    • Especially in a remote environment, have regular one-on-one meetings, demand commitment from all team members, ensure an inclusive environment, and show appreciation for employees’ contributions and accomplishments.
    • Maintain trust and integrity; focus on health and safety.
    • Stimulate innovation with new tools and technologies. Make sure everyone involved has the necessary communication and collaboration tools and is trained to use them.
    • Offer extensive learning opportunities so employees can remain effective in a virtual environment and develop new skills.

Conclusion

A key focus of our work is the development and retention of employees in the midst of tight labor markets. In many countries, a rapidly aging population and shrinking workforce make innovative talent solutions a crucial priority. Recruiting and retaining talent is therefore a top priority worldwide. To address this concern, HR priorities for 2022 focus on the core elements of talent management – attracting, retaining and developing – with an emphasis on building a more people-centric culture around innovation, skill development, leadership development and agility.