The Impact of Gig Economy on HR Practices

 

Figure I : Evolution of the gig economy - Source : Kempton, 2023

What is Gig Economy?

The "Sharing Economy" refers to an economic system where resources are easily shared within a digital ecosystem, allowing organizations to utilize online human capital for tasks, also known as "Gig Economy (Ganesh, 2020). The gig economy is gaining popularity due to increased mobility and remote work, allowing freelancers to work with employers worldwide and employers to select the best manpower from a larger pool than geographically available.

Understanding the Gig Economy | Characteristics and Components : Source - youtube.com

According to the Ganesh, 2020 Gig Economy workers characteristics as follow,

• Gig Workers complete their work as needed and on demand. There's no assurance that the work will continue.

• Work suppliers receive payment only for the products they produce.

• Work producers must utilize their capital equipment. For example, Uber mandates that its drivers possess their cars, and programmers must own computer hardware.

• An organization that is distinct from the people who will utilize the finished product, i.e., a middleman between buyers and suppliers, organizes and facilitates tasks.

• Digital intervention is utilized for commissioning, supervising, facilitating payments, and delivering completed jobs.

The notion of the gig economy includes a wide range of contingent job arrangements, like : Freelancers, Consultants, Independent contractors, professionals and temporary contract workers.

Why Employees select the Gig economy?

Figure II : Top Reasons for working in he Gig economy- Source : CivilsDaily, 2022

HR Challenges and Role in Gig economy

Talent Acquisition : HR teams should enhance talent acquisition processes, build a strong employer brand, improve job descriptions, and utilize the internet and social media to attract and retain gig workers. Project-based short-term projects may be more advantageous for gig workers compared to role-based projects (Raja, 2023).

Performance management: Managers may prioritize short-term employee retention over training, leading to a more transactional work environment and shorter measurement timelines for appraisal systems (Christmann and Luo, n.d.).

Benefits and Compensations: HR departments must explore alternative compensation packages for gig workers, such as group health plans, flexible payment schedules, or performance-based incentives, to attract and retain top talent in the gig economy  (Training, 2024).

Foster a sense of community and belonging for gig workers: HR strategies for the gig economy should focus on creating a sense of community and inclusion for gig workers, rather than just managing logistics. This can be achieved by fostering a culture of diversity and respect, creating online communities, implementing recognition and rewards programs, maintaining clear communication channels, and offering relevant training and development opportunities. This approach can lead to improved project outcomes and higher retention rate (Admin, 2024).

Compliance with labor laws : Requiring HR professionals to stay informed and implement policies across regions to avoid penalties, lawsuits, and damage to company reputation. 

Uber is a prime example; a recent court found that Uber's drivers are entitled to the national living wage and holiday pay since they cannot be categorized as self-employed, as Uber had desired.

Background Verification: HR teams require a streamlined onboarding process for gig workers, utilizing blockchain technologies for background verification and digital credentials to accurately assess their history and make hiring decisions (Virgil HR, 2023).

Communication and Collaboration : HR teams Managing a remote contingent workforce can be challenging due to language and culture barriers, requiring to treat workers equitably, maintain engagement, and align with company goals.

Invest in communication and collaboration tools to improve interactions between in-house and contingent workers, such as regular check-ins, virtual meetings, quality audits, and project management platforms (Tomson, 2023).

Real world scenarios adopting gig economy 

Upwork: Global freelance marketplace connecting freelancers and businesses in various niches. It offers a user-friendly platform for freelancers to showcase skills and secure remote work projects, while promoting transparency and security through features like hourly tracking and dispute resolution.

Uber: a prominent gig economy business, connects independent drivers with passengers, offering flexibility and autonomy. Its innovative approach to self-employment has transformed the transportation industry, creating a network of gig workers and encouraging individuals to become entrepreneurs and achieve financial independence.

                    

Conclusion

The gig economy has significantly transformed traditional HR practices by necessitating new approaches in talent acquisition, performance management, benefits and compensation, compliance, and background verification. Companies must adapt to these changes to effectively manage and retain gig workers. By embracing innovative technologies and flexible HR strategies, organizations can harness the potential of the gig economy to enhance their workforce and drive business growth.

References

Admin (2024). The Gig Economy and its Impact on HR Practices. [online] ANC Global. Available at: https://ancglobalhr.com/the-gig-economy-and-its-impact-on-hr-practices/.

Christmann, M. and Luo, A. (n.d.). Gig Economy: What It Means For HR. [online] Eddy. Available at: https://eddy.com/hr-encyclopedia/gig-economy/ [Accessed 31 Jul. 2024].

Ganesh, A. (2020). The Gig Economy: HR Perspective to managing platform. [online] Available at: file:///C:/Users/Lap.lk/Downloads/Dissertation_ResearchGate%20(1).pdf [Accessed 29 Jul. 2024].

Kempton, B. (2023). Gig Economy Statistics and Key Takeaways for 2024. [online] Available at: https://www.upwork.com/resources/gig-economy-statistics [Accessed 1 Aug. 2024]

Raja, S. (2023). Evolving role of HR: Adapting to an emerging gig economy. The Times of India. [online] 11 Mar. Available at: https://timesofindia.indiatimes.com/blogs/voices/evolving-role-of-hr-adapting-to-an-emerging-gig-economy/ [Accessed 31 Jul. 2024].

Training, A. (2024). HR Challenges in the Gig Economy. [online] Aurora Training Advantage. Available at: https://auroratrainingadvantage.com/articles/hr-challenges-gig-economy/ [Accessed 31 Jul. 2024].

Virgil HR. (2023). The Gig Economy: 6 Challenges HR Faces. [online] Available at: https://virgilhr.com/news/the-gig-economy-challenges-for-hr/#:~:text=HR%20teams%20need%20a%20streamlined [Accessed 31 Jul. 2024].

CivilsDaily. (2022). [Burning Issue] Gig Economy in India - Civilsdaily. [online] Available at: https://www.civilsdaily.com/burning-issue-gig-economy-in-india/ [Accessed 11 Aug. 2024].

Tomson, A. (2023c). The rise of gig workers: Adapting HR strategies for the contingent workforce. [online] Higginbotham. Available at: https://www.higginbotham.com/blog/the-rise-of-gig-workers/.

 

 

 

Transforming HR through AI

The Role of Artificial Intelligence in Human Resource Management :Source - youtube.com

What is AI in HR?

One of the most innovative technologies to emerge in recent years is artificial intelligence. It has crept into most workplace activities and everyday discussions.

The creation of computer systems that can carry out tasks that ordinarily require human intelligence is known as artificial intelligence (AI).This covers skills like learning, thinking, solving problems, and comprehending spoken language (MacKenzie, 2023).

Although Artificial Intelligence has helped with a variety of job functions, streamlined workflows, and improved decision-making, even in human resources.

AI technologies are revolutionizing HR by enhancing efficiency, effectiveness, and human contact, enabling HR departments to tackle business challenges, increase operational capacity, and positively influence overall business success (Anderson, 2020).

How AI use in HR processes?

 Figure I : Application of AI in HR : Source - Verlinden, 2023

Recruitment and talent acquisition: HR department usually manually conduct the evaluation of the received job applications, hence applicant ranking systems which can be created with the utilization of AI can make recruiters evaluation task more efficient (Johansson and Herranen, 2019).                            

Managing large volume of applications, Unbiased candidate selection during the screening process and enhancing candidate experience by using chat bots are the main points in recruitment process using AI tools (Magan, n.d.)

Example : According to Meister, n.d. The consumer goods provider Unilever was able to screen through 250,000 applications in a single year by implementing AI into its recruitment process.

 Unilever case Study - HR case Study - Unilever Recruitment - AI in HR -Artificial Intelligence : Source- youtube.com

Onboarding :

HR professionals must ensure a structured onboarding process for top talent retention and success. AI-powered training modules can provide personalized support for new hires, ensuring they are well-integrated into the team. This personalized approach, based on learning style, skill level, and role requirements, creates a confident and well-prepared team for their new role (Meister, n.d. & Magan, n.d.).

Training & Development:

Personalized Learning and Development (L&D) is crucial for companies to attract and retain top talent. HR professionals struggle to create such programs due to time and cost. AI-powered training modules have made the process scalable and cost-effective. AI algorithms analyze employee data to identify strengths, areas of improvement, and learning styles, creating tailored programs. AI-powered software tracks progress and adapts content, ensuring relevance. AI technologies also offer immersive learning experiences, allowing employees to learn by doing and receive personalized feedback (MacKenzie, 2023).

Example : Amazon employs AI-driven Virtual Reality (VR) for employee training in fulfillment centers, reducing learning curves, increasing productivity, and lowering training costs.

Workforce planing

AI can aid in workforce planning by analyzing employee data to identify trends, predict turnover, and identify skills gaps. This aids in developing effective training programs and succession plans, as demonstrated by Quinix's AI-powered forecasting solution (MacKenzie, 2023).

HR chatbots and virtual assistants

An AI chatbot can serve as a 24/7 HR assistant, providing instant answers to employees' leave policies and benefits, allowing HR teams to focus on strategic tasks (MacKenzie, 2023).

Challenges and concerns AI in HR

Nearly 70% of organizations are using AI for HR functions, highlighting the need for ethical considerations. AI can drive efficiency and innovation, but HR professionals must guide its implementation to prevent biases and differences and other challenges.

Ethical issues: 

The use of AI in HR can create challenging ethical situations. Companies must carefully evaluate how their technology choices impact accountability, transparency, discrimination, and the organization’s mission and values.

Example : -Deloitte survey shows 38% of employees are uneasy with AI in HR due to transparency concerns, suggesting HR leaders should prioritize clear communication and employee understanding (Loveday, 2024).

For emphasizes the accountability, HR professionals needs to establish frameworks like regular audits, feedback mechanisms.

Bias and fairness: 

Like humans, AI-influenced systems can impart bias in the hiring process. HR professionals must objectively oversee decision-making processes and outcomes to measure fairness and equitability.

For mitigating the biases need to establish the robust governance structures to monitor it.

Privacy and security: 

Artificial intelligence poses significant threats to data privacy and security, particularly when confidential employee information is involved. 

The HR departments have to ensure employees data protection with limited data collection, getting employee approval, use safe guards etc.

According to the survey in PWC 2022 , In the age of AI, 85% of employees are concerned about data security, necessitating organizations to uphold rigorous data protection measures and ethical guidelines (Loveday, 2024).

In addition to these points HR practitioners should focus on the,

• Inform themselves and others about the moral issues surrounding the use of AI.

• Engage in active participation in the selection and assessment of AI technologies, including the assessment of vendors based on their accountability, transparency, and fairness.

• Work together with the legal and compliance departments to create precise policies and guidelines, including data privacy laws and regulations, regarding the deployment of AI.

• Provide AI ethics training to staff members, establish routes for reporting ethical issues, and promote candid discussion of ethical issue

Case Studies

Deloitte

Deloitte uses AI in HR for predictive analytics, helping to identify employee turnover risks and performance issues. Their AI-driven tools analyze vast amounts of HR data to provide insights that guide decision-making in talent management (Consultancy.com.au, 2024).

Conclusion

AI is rapidly transforming the HR landscape, offering significant benefits in terms of efficiency, data-driven decision making, and personalized employee experiences. From automating routine tasks to providing personalized learning and development opportunities, AI is empowering HR professionals to focus on strategic initiatives. However, it is crucial to address the ethical concerns surrounding AI, including bias, privacy, and accountability.  By implementing responsible and transparent AI solutions, HR can harness the power of technology to create a more equitable, engaged, and future-ready workforce, ultimately driving organizational success. 

References

Aishakweer, Y. (2024). The Future of Workplace Wellness Programs. [online] www.linkedin.com. Available at: https://www.linkedin.com/pulse/future-workplace-wellness-programs-yasser-alshakweer-sydbf [Accessed 27 Jul. 2024].

Anderson, K. (2020). How Artificial Intelligence Is Transforming HR. [online] International Association for Human Resources Information Management. Available at: https://www.ihrim.org/2020/02/how-artificial-intelligence-is-transforming-hr/ [Accessed 28 Jul. 2024].

Baum, B. (2021). DIVERSITY, EQUITY, AND INCLUSION POLICIES: ARE ORGANIZATIONS TRULY COMMITTED TO A WORKPLACE CULTURE SHIFT? Journal of Business and Behavioral Sciences, [online] 33(2). Available at: https://diversityatlas.io/wp-content/uploads/2023/08/2021-DIVERSITY-EQUITY-AND-INCLUSION-POLICIES_-ARE-ORGANIZATIONS-TRULY-COMMITTED-TO-A-WORKPLACE-CULTURE-SHIFT_.pdf [Accessed 28 Jul. 2024].

Chellappa, S. (2024). AI Ethics: Implications for Human Resource Leaders. [online] Engagedly. Available at: https://engagedly.com/blog/ai-ethics-implications-for-human-resource-leaders/ [Accessed 28 Jul. 2024].

Consultancy.com.au (2024). Deloitte launches Gen AI tool for its 13,000 staff in Australia. [online] Consultancy.com.au. Available at: https://www.consultancy.com.au/news/9410/deloitte-launches-gen-ai-tool-for-its-13000-staff-in-australia#:~:text=Professional%20services%20firm%20Deloitte%20has [Accessed 17 Aug. 2024].

Johansson, J. and Herranen, S. (2019). The application of Artificial Intelligence (AI) in Human Resource Management: Current state of AI and its impact on the traditional recruitment process. [online] Available at: https://www.diva-portal.org/smash/get/diva2:1322478/FULLTEXT01.pdf [Accessed 28 Jul. 2024].

Loveday, S.J. (2024). HR’s role in making sure AI is ethical. [online] Peoplemanagement.co.uk. Available at: https://www.peoplemanagement.co.uk/article/1873951/hrs-role-making-sure-ai-ethical [Accessed 10 Aug. 2024].

MacKenzie, K. (2023). How is AI used in human resources? 7 ways it helps HR. [online] Recruiting Resources: How to Recruit and Hire Better. Available at: https://resources.workable.com/tutorial/artificial-intelligence-in-human-resources [Accessed 28 Jul. 2024].

Magan, S. (n.d.). Unstop - Competitions, Quizzes, Hackathons, Scholarships and Internships for Students and Corporates. [online] unstop.com. Available at: https://unstop.com/blog/ai-in-hr-challenges-solutions [Accessed 28 Jul. 2024].

Maroof, M.A. and Kapate, S. (2023). GLOBAL TRENDS IN DIVERSITY, EQUALITY AND INCLUSIVITY (DEI). KOREA REVIEW OF INTERNATIONAL STUDIES, [online] 16(47). Available at: https://www.researchgate.net/profile/Mohd-Maroof-3/publication/372588261_GLOBAL_TRENDS_IN_DIVERSITY_EQUALITY_AND_INCLUSIVITY_DEI/links/64bf5d888de7ed28bac041df/GLOBAL-TRENDS-IN-DIVERSITY-EQUALITY-AND-INCLUSIVITY-DEI.pdf [Accessed 28 Jul. 2024].

Meister, J. (n.d.). 5 Benefits of Artificial Intelligence in Human Resources. [online] www.retorio.com. Available at: https://www.retorio.com/blog/5-benefits-artificial-intelligence-in-human-resources.

Verlinden, N. (2023). AI in HR: 2024 Guide to Opportunities and Applications in HR. [online] AIHR. Available at: https://www.aihr.com/blog/ai-in-hr/ [Accessed 28 Jul. 20024].

 

Talent Retention in a Globalized Market: Addressing the Brain Drain Challenge

 

Figure I : Best Practices for talent retention

What is the Brain Drain?

The world is interconnected, and people with skills are moving around. But often, smart people leave poor countries to find better jobs in richer countries. This is called "brain drain." It's good for the countries they go to, but bad for the countries they leave because it makes it harder for those countries to grow their economy.

Organizational "Brain-Drain" refers to the sudden mass departure of high-achieving employees due to unstable work environments, poor experiences, lack of management support, or perceived career advancement opportunities (Shoobridge, 2021).

Migration intention refers to an individual's intention to move from their current organization to a specific destination, whereas turnover intention may encompass leaving for another organization or occupation, while migration intention is a subset of turnover intention (Wanniarachchi, Jayakody and Jayawardana, 2020).

Figure II: Geographical , Organizational & Industrial Brain Drain

Because of this mass level and primary level talent retention is now the primary topic of discussion and concern for HR, talent managers, and business owners. Talks about the phenomenon of brain drain are also becoming more and more prevalent.

Why top Talent leaving companies ?

The company's competitiveness, growth potential, profitability, and future success can all suffer from losing talent and expertise. Furthermore, the departure of skilled workers may result in a drop in the spirits of the remaining employees (Anon, 2022).

According to the Wanniarachchi, 2018, & Wanniarachchi, Jayakody and Jayawardana, 2020, employee migration intention is directly correlated with career progression, workload, and incentives, whereas perceptions of organizational politics have a moderating effect on the decision to migrate in organizational level.

The Impact of Organizational Brain Drain ?

• Decrease productivity of the company :- decrease in productivity as the organization must find a replacement, often requiring additional training and time to become productive.

• Knowledge Loss :- loss of established knowledge, which can be particularly challenging in organizations with complex or long-term projects.

• Impact on Morale :- negatively impact morale, remain employees may feel undervalued for their efforts and contributions.

• Increase costs for organizations :- due to recruitment, training, and compensation packages for new employees.

• Reduced innovation :- as talented professionals leave to take on new challenges.

• Higher training and development costs :- skilled employees are harder to replace.

HR professionals increasingly rely on precise organizational intelligence to make informed decisions, identifying potential retention/engagement risks in data-driven business environments.

What are the best HR practices for retaining best talent while addressing Brain Drain? (Vliet, 2023).

1. Listen carefully : New employees seek respect, recognition, and express career plans. Management should show genuine interest in their ambitions, needs, and private lives to stay motivated and less likely to seek another job.

Example  :  Dropbox conducts regular engagement surveys, focus groups, executive coffee chats, and listening sessions to gauge employee sentiments.

2. Create feedback culture : 360• feedback is a cost-effective method for top talent management, involving one-on-one sessions, discussing goals, and creating career development plans, enhancing skills and identifying business strengths.

Example: Netflix provide the opportunity to continuous feedback method to all employees.

3. Diverse Culture :  A diverse and inclusive work environment fosters a winning corporate culture, promoting a sense of belonging, value, and relatable colleagues, thereby retaining and attracting diverse talent.

Example: Goggle practice strong employee culture

4. Flexible workplace : Flexibility is key for talent retention in modern businesses, attracting top talent through agile working, self-directed teams, multidisciplinary approaches, hybrid or remote work, and flexible hours.

Example : Microsoft 4 days per week

5. Support to work life balance : Job seekers prioritize a healthy work-life balance, promoting stress prevention through boundaries, reduced workloads, and self-care through wellness programs and low-profile team activities.

Example: Microsoft prioritizes health through fitness training, gym memberships, weight management programs, weight management, smoking cessation programs, healthy food options, on-site clinics, pharmacies, and free counseling.

How to prevent brain drain of top talent in your company :Source - youtube.com

Conclusion

In a globalized market, talent retention is a critical issue.  Brain drain, the loss of skilled professionals to other countries, is a major concern for both developing and developed nations.  Companies are also facing "organizational brain drain," where top talent leaves due to factors like lack of support, limited growth opportunities, and poor work environments.  To address this challenge, HR professionals must prioritize a culture of listening, feedback, and inclusivity.  Flexible work arrangements, a focus on work-life balance, and diverse and inclusive work environments are essential for attracting and retaining top talent in today's competitive landscape.  Companies like Dropbox, Netflix, Google, and Microsoft are leading the way in implementing these best practices, demonstrating the importance of investing in employee well-being and career development to combat brain drain and ensure long-term success.

References

Anon, (2022). The Dangers of Brain Drain: How Businesses Lose When Talent ‘Japa’ - MacTay Group. [online] Available at: https://mactay.com/the-dangers-of-brain-drain-how-businesses-lose-when-talent-japa/.

Shoobridge, G. (2021). Time to Stop Organisational ‘Brain-Drain’. [online] www.linkedin.com. Available at: https://www.linkedin.com/pulse/time-stop-organisational-brain-drain-gonzalo-shoobridge-ph-d- [Accessed 28 Jul. 2024].

Vliet, R.V. (2023). The Art of Top Talent Retention: How to Stop Losing A-players. [online] www.lepaya.com. Available at: https://www.lepaya.com/blog/the-art-of-top-talent-retention [Accessed 28 Jul. 2024].

Wanniarachchi, H. (2018). Organizational-Level Factors Affecting Brain Drain in Highly-Skilled Industries in Developing Countries. [online] Sri Lankan Journal of Management . Available at: https://sljm.pim.sjp.ac.lk/admin/uploads/253_1679470000.pdf.

Wanniarachchi, H.E., Jayakody, J.A.K.S. and Jayawardana, A.K.L. (2020). An organizational perspective on brain drain: What can organizations do to stop it? The International Journal of Human Resource Management, [online] 33(8), pp.1–37. doi:https://doi.org/10.1080/09585192.2020.1758745.

 

Employee Well-being in the Digital Era

Figure I :  Workplace wellness benefits

Introduction 

Work has varied significantly throughout the fast-moving digital environment. Even though technological development has enabled more connectivity, efficiency, and flexibility, new challenges have also been brought in especially concerning the well-being of the employees, Increased connectivity, remote work, and expectations of continuous availability may lead to stress, burnout, and decreased overall well-being (Raman, 2024 ).

As per the Raman, 2024 the corporate sector's primary concerns regarding employee well-being in the digital age are as follows:

• Digital overload can lead to increased stress levels among employees due to the constant need to stay connected and manage multiple communication channels.

• Digital technologies have accelerated remote work, presenting challenges like loneliness, lack of clear boundaries, and work-life balance issues, negatively impacting employees' well-being.

• Technology-induced burnout in digital workplaces is a result of the constant need to adapt to new skills and technological advancements, leading to job dissatisfaction.

• Digital communication tools may create a social disconnect among employees, impacting job satisfaction, staff engagement, and team collaboration.

• Many organizations lack comprehensive well-being programs for the digital age, posing challenges for workers in managing stressors in digital environments.

Wellbeing has two factors called mental and physical. If the employee has digital  burnout as a results of above, they have below symptoms.

   Figure II: Indicators of Digital burnout :  Source - Damani and Khaira, 2020

Figure III: How digitalization affect mental wellness: Source - Damani and Khaira, 2020

Within a corporation, the HR, strategy, or digital departments can set the standard for handling mental wellbeing of the employee while focusing below criteria (Damani and Khaira, 2020).

 

Figure IV : Employee wellbeing through A human touch, Process & Technology

Why employee wellness is important? (Rise Staff, 2019)

• Implementing wellness programs can enhance employee satisfaction, thereby fostering a positive work culture within a business.

• Prioritizing employee well-being leads to increased job satisfaction, resulting in higher levels of engagement and enjoyment

• Employers prioritizing employee health and wellness demonstrate their commitment to workplace safety and risk reduction, fostering a sense of support and value among employees.

• The increasing prevalence of workplace stress necessitates the provision of mental health support through wellness programs, which not only enhances employee satisfaction but also helps mitigate stress and burnout issues.

• The rise in workplace stress necessitates the implementation of wellness programs to provide mental health support, boost employee satisfaction, and mitigate stress and burnout issues.

Emerging Trends in Workplace Wellness (Aishakweer, 2024)

Individualized Health and Fitness Plans

Data Driven Insights:  Utilize data analytics to design wellness programs that are specific to each person's health profile and preferences. Wearable Technology: Help employees take charge of their wellness by using wearables to track health parameters and give immediate feedback.

Holistic Methods of Health Physical, Mental, and Emotional Health

Extend wellness initiatives to include mental and emotional health in addition to physical health.

Integrative Health Practices: To enhance general well-being, include techniques like yoga, meditation, and mindfulness in wellness programs.

Digital Health Resources Telehealth Services

Make virtual healthcare consultations available to staff members so they can easily seek out medical guidance and assistance. 

Provide mobile applications for mental health information, stress management techniques, guided meditation, and in-person counseling services.

 Adaptable Work Schedules

Remote and Hybrid Work Models: Encourage work-life balance by providing employees with flexible work schedules that let them work remotely or select hybrid models.

Flexible Hours: Give workers the freedom to choose their own work schedules to better manage work and personal obligations.

First Aid for Mental Health:

In order to identify and address mental health concerns, managers and staff should receive training in mental health first aid.

Stress Management Programs

Put into practice initiatives created especially to lessen stress at work and avert burnout.

 

Case Studies:

Google Employee Wellness Programs

The rise in workplace stress necessitates the implementation of wellness programs to provide mental health support, boost employee satisfaction, and mitigate stress and burnout.

The following are some examples of wellness benefits Google offers:

• Access to mental health apps
• Educational reimbursements
• Support groups for underrepresented employees and allies
• Access to fitness centers and massages on-site
• On-site meals and snacks
• At-home cooking and workout classes

Google’s offices also feature amenities like free haircuts, napping pods, and on-site doctors.  

Salesforce Wellness Programs

Salesforce prioritizes employee and family health through a five-pronged approach, including therapy, coaching, personalized care, rehabilitation services, time off, and stress management. They partner with Lyra Health for free therapy and offer inclusive healthcare solutions. Salesforce's flexible time-off plan offers unlimited U.S. and international time off benefits, and they have expanded family care leave and parental coaching resources globally.                

Figure V : Salesforce Wellness Programs     

 

Conclusion                                                                                                                                                   

In conclusion, maintaining a productive, engaged, and healthy workforce in the digital age requires attending to employee well-being. Organizations need to proactively establish comprehensive wellness programs that address both physical and mental health as technology continues to transform the workplace. Through the utilization of wearable technology, data-driven insights, and holistic health methods, corporations may develop customized wellness programs that address the specific requirements of their workforce. Furthermore, digital health solutions and flexible work schedules can greatly improve work-life balance, lower stress levels, and avert burnout. Setting employee wellbeing as a top priority not only shows that a firm cares about its workers, but it also helps it succeed and last.

 

References

Aishakweer, Y. (2024). The Future of Workplace Wellness Programs. [online] www.linkedin.com. Available at: https://www.linkedin.com/pulse/future-workplace-wellness-programs-yasser-alshakweer-sydbf [Accessed 27 Jul. 2024]. 

Damani, M.D. and Khaira, S. (2020). Proliferating New Age Digital Technologies to Boost Mental Health and Wellbeing - Wipro. [online] www.wipro.com. Available at: https://www.wipro.com/business-process/proliferating-new-age-digital-technologies-to-boost-mental-health-and-wellbeing/ [Accessed 27 Jul. 2024].

Raman, R.R. (2024). A STUDY ON THE IMPACT OF ENHANCING EMPLOYEE WELL-BEING IN THE DIGITAL ERA: A CONCEPTUAL ANALYSIS ON THE TRANSFORMATION IN INFORMATION TECHNOLOGY (IT) SECTO. IPE Journal of Management, [online] (Volume 14). Available at: file:///C:/Users/Lap.lk/Downloads/FullArticle-EmployeeWellbeing.pdf [Accessed 27 Jul. 2024].

Rise Staff (2019). 6 Great Examples of Workplace Wellness Programs. [online] Rise. Available at: https://risepeople.com/blog/workplace-wellness-programs/.

 

Frequent Feedback & Coaching – Transformational performance management

  

Figure I: Continuous Feedback: Benefit 

Traditional to modern approach

Performance management is a strategic business process that focuses on employee performance, aiming to meet goals efficiently and maximize individual or team potential, thereby enhancing organizational effectiveness and increasing business profitability (Ganeshkiran, 2022).

Most companies practice the traditional way of performance management, which is a top-down, direct process that starts with setting objectives early in the year. Management monitors employees against these objectives throughout the year. Near the end, evaluations are shared during annual appraisals by rating them. The manager discusses the employee’s performance, and if it falls short, a performance improvement plan is developed. Compensation for the next year is often determined by the past year's performance (management.org, 2022).

According to the Anon, 2018 there are the gaps identified in this traditional performance management approach.

• Continuous feedback is more effective than annual feedback as it allows for timely corrections and ongoing improvement, preventing minor problems from becoming major issues.

• Traditional reviews often neglect employee input, leading to demotivation. A balanced dialogue encourages active participation in development.

• Continuous performance management ensures regular check-ins and adjustments, providing clear direction and consistent growth, compared to fragmented goals set at the beginning of the year.

• Continuous performance management ensures regular check-ins and adjustments, providing clear direction and consistent growth, compared to fragmented goals set at the beginning of the year.

• Annual reviews are time-consuming and inefficient, while continuous performance Management streamlines the process by incorporating feedback and development into daily work.

Literature and the points discussed highlight the critical role of frequent feedback and coaching.  Providing timely adjustments to employees ensures better individual and organizational performance levels.

It highlighted the requirements of continues performance management that everyday work go through feedback coaching and development.

Revolutionizing Performance Management Case Study:  Success story of Netflix
The global leader in streaming entertainment, Netflix encourages a culture of continuous feedback, where employees regularly give and receive constructive feedback for give the innovative approach to their performance management system in line with 360 feedback method.
As well as focused on impact-driven goals, autonomy, personalized development, and transparency, inspiring and empowering employees to reach their full potential (www.linkedin.com. (n.d.).

 

Netflix Culture Explained: What is Feedback Like at Netflix: Source - youtube.com

Here are another two successful cases in the business world, who practice continuous performance management in action (www.linkedin.com, n.d).

Adobe : Adobe adopted continuous performance management in 2012, replacing annual reviews with frequent check-ins between managers and employees. They also introduced an online tool for employees to share feedback and track their objectives. This shift has led to increased employee engagement, retention, and productivity, with employees feeling more aligned with company goals and satisfied with growth opportunities.

Deloitte: Deloitte transformed its performance management approach in 2015 by replacing annual reviews with short, frequent "performance snapshots" focusing on four future-oriented question.

They have practiced the check in dashboard, Access to real time Feedback, Explore new career paths (Miller, 2022).                      

Conclusion

The transition from annual performance reviews to continuous feedback and coaching is a significant change in performance management. This method integrates real-time adjustments into daily work, promoting timely corrections, growth, employee engagement, and aligning development with organizational goals, demonstrating its effectiveness in today's competitive environment.

References

Anon, (2018). The Future of Performance Management: Continuous Feedback and Development. [online] Available at: https://www.linkedin.com/pulse/future-performance-management-continuous-feedback-development-rilae.

Ganeshkiran (2022). Traditional vs Agile Performance Management: Which is better? [online] Blogs | Resources. Available at: https://www.synergita.com/blog/performance-management-software/traditional-vs-agile-performance-management/#:~:text=What%20is%20Traditional%20Performance%20Management [Accessed 27 Jul. 2024]

management.org. (2022). Performance Management: Traditional and Progressive Approaches - Management Library. [online] Available at: https://management.org/performancemanagement/state-of-the-art.htm.

Miller, B. (2022). How we inspire great performance at Adobe. [online] Adobe Blog. Available at: https://blog.adobe.com/en/publish/2022/05/09/how-we-inspire-great-performance-at-adobe

www.linkedin.com. (n.d.). Case Study: Revolutionizing Performance Management at Netflix. [online] Available at: https://www.linkedin.com/pulse/case-study-revolutionizing-performance-management-qos6c.

www.linkedin.com. (n.d.). The Future of Performance Management: Continuous Feedback and Development. [online] Available at: https://www.linkedin.com/pulse/future-performance-management-continuous-feedback-development-rilae [Accessed 27 Jul. 2024].

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