Future of Work - Q2 2021

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A Mediaplanet campaign focused on

Future of Work

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“Government and businesses need to enable people with digital skills.” ~ Jacqueline de Rojas, President, techUK

Q2 2021 | A promotional supplement distributed on behalf of Mediaplanet, which takes sole responsibility for its content

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“There isn’t a one-size-fits-all approach to supporting the mental health of staff.” ~ Emma Mamo, Head of Workplace Wellbeing, Mind

Read more at www.businessandindustry.co.uk


IN THIS ISSUE

The office – reinvent and return.

Ensuring a broader recovery by better education, skills and jobs

Mick Heys Vice President, Imaging & Future of Workspace Practice Lead, IDC

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Employers agree that by 2025 we will work shoulder to shoulder with robots and artificial intelligence. With the right investment made today there is every indication that human ingenuity can continue to be the driving force behind economic prosperity.

Act now to tame an uncertain future of work. Martin McTague Vice Chair, Federation of Small Businesses

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ata from the World Economic Forum’s Future of Jobs Report data suggests that the jobs of tomorrow can be found in fields as diverse as cloud computing, the green economy, content production, the care economy, people and culture, marketing and product development. These professions are poised to be the face of opportunity in the future of work. Impact of COVID-19 on the workforce We are at an inflection point. The International Labour Organization projects that in 2021 the employment shortfall caused by COVID-19 will reach 75 million jobs. The COVID-19 pandemic has destroyed lives and livelihoods along the lines of our societies’ pre-existing inequalities. Workers from disadvantaged communities have experienced more severe loss of employment and have often been at the frontlines of the pandemic. The World Economic Forum’s Global Gender Gap Report 2021 predicts that the current disruption will result in 136 year wait for gender parity - an additional generation - as women’s labour market prospects declined.

Technology can boost learning outcomes. Francesca Borgonovi Head of Skills Analysis , OECD

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@BusinessandindustryUK

There is also increasing recognition that these investments must be targeted to support the needs of diverse communities and to ensure that no one gets left behind in in the post-pandemic economy. Employers estimate that investing in training people for new jobs generates return on investment within a year and addresses the chronic talent shortages that underpin today’s labour markets. The World Economic Forum is calling for a ‘Reskilling Revolution’ and creating a platform for employers, training providers and governments to collectively provide one billion people with better education, skills and jobs by 2030. The companies and governments already taking part are gearing up to deliver a significant investment in skills-based job transitions to the jobs of tomorrow by mapping in-demand skills, curating new learning curricula, mapping job transition and reaching under-served populations.

Investment needed to drive growth As business leaders and governments gear up to support a more equal recovery, there are investments that can drive growth, employment and social prosperity in tandem. There is also increasing recognition that these investments must be targeted to support the needs of diverse communities and to ensure that no one gets left behind in in the postpandemic economy. Such investment can secure social cohesion and wellbeing in the coming years while also being good for business.

@MediaplanetUK

Contact information: uk.info@mediaplanet.com or +44 (0) 203 642 0737

WRITTEN BY

Dr. Vesselina Ratcheva Insights Lead World Economic Forum

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Senior Project Manager: Nick Craig nick.craig@mediaplanet.com Business Development Manager: Ciara Barker Managing Director: Alex Williams Head of Business Development: Ellie McGregor Head of Production: Kirsty Elliott Designer: Thomas Kent Digital Manager: Harvey O’Donnell Paid Media Strategist: Jonni Asfaha Production Assistant: Henry Phillips All images supplied by Gettyimages, unless otherwise specified

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Why improving digital skills is crucial to business growth Technology is transforming businesses, so it is essential employees have the right digital skills for today and for the future.

INTERVIEW WITH Adam Spearing EMEA Field CTO and SVP Solution Consulting UKI at Salesforce WRITTEN BY Steve Hemsley

Paid for by Salesforce

Read more at trailhead.salesforce.com

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usinesses risk being held back by a shortage of tech skills and they need to act now to reskill and upskill their workforce. As organisations plan for a digital future post-pandemic, many of their employees do not have the technical knowledge required to help them achieve their corporate vision. Adam Spearing, EMEA Field CTO and SVP Solution Consulting UKI at Salesforce, says COVID-19 and the subsequent changes to how we live and work have shone a spotlight on the problem. “Companies that were already digitally-advanced have survived better in the past year,” he says. “As we emerge from the pandemic it is important that employers and employees realise that technology skills are not just for techies, but for everyone.”

soft skills required to work in the Salesforce ecosystem, has seen a near 40% jump in interest during the global pandemic. Important soft skills include being able to present confidently online and communicate and collaborate more effectively. Spearing cites the example of chef Stephanie Brown who lost her job in a Detroit hotel when COVID-19 struck. She has reskilled and secured a role as a Salesforce administrator having previously had minimal tech experience. “In a way we are a microcosm of the global economy and we are helping to boost the digital skills of the millions of people who work for us, our partners or our customers and use our technology.” He adds: “Just because you are in a job does not mean you shouldn’t be constantly learning and developing your digital skills.”

Changing world He cites research by market intelligence firm IDC which shows that one in three UK organisations will change or adapt their existing business model to digital to ensure future growth and resilience. The researcher also claims that one third of organisations will create new digital products and services.¹ Spearing urges organisations to respond now by assessing which digital skills they will require in the future based on how their workplace will look and their business needs. What type of work are employees likely to do and where will they be based? “Companies are very good at setting a vision with technology and strategy road maps and business plans, but they need to think about the people and processes that will put these plans into action.”

Taking responsibility One challenge for companies is deciding who within their organisation should take responsibility for improving employees’ digital skills. Should it be the HR and learning and development departments or the IT team? Spearing says organisations talk a lot about digital transformation but the improvement of tech skills is more about business transformation. “This is not an IT project but all about maximising technology to improve how a business serves its customers. Line managers have a responsibility to define what digital skills their department will need.” Companies and individuals also need to be able to measure the return on investment from reskilling and upskilling. For workers it will be career progression, higher wages and job satisfaction, while for employers a key measure will be improvements in productivity. “Organisations tell us they have improved the efficiency of their business as a whole and seen operational savings of around 30% by moving to working more digitally. These savings are re-invested into improving the overall business.”

Career path Individuals must also take personal responsibility and consider where they might need to reskill and upskill to plug gaps in their own digital knowledge to progress their careers. According to the IDC research, by 2030 some 90% of workers will need to learn new skills to perform their role proficiently. Salesforce’s free learning platform Trailhead, which contains online tutorials and interactive assessments to help people gain the digital and

References 1. Source: IDC InfoBrief, sponsored by Salesforce, Jobs and Skills Creation in the United Kingdom and Ireland: Unlocking the Potential, doc #EUR147594821, May 2021

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As we emerge from the pandemic it is important that employers and employees realise that technology skills are not just for techies, but for everyone.

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Rethinking digital skills training – a postpandemic plan Research from Nesta indicates that, as a result of technological progress and changing demographics, more than six million people in the UK are currently employed in occupations that are likely to change radically or disappear entirely by 2030.

T WRITTEN BY Jacqueline de Rojas President, techUK

hose sectors which are most vulnerable to these shifts also show overlap with those hit hardest by the pandemic, with 61% of those furloughed in the first half of 2020 being in sectors at high risk of future automation. It is vital that UK citizens across our nations and regions have the skills to seize the new wave of automation. There is a clear opportunity: if we coordinate and enhance the provision of training, we can make the most of what comes next. Work together to expand short modular digital skills courses Government and businesses need to enable people with digital skills. Efforts should be made to use this rupture to direct, support and incentivise the newly unemployed into secure, resilient jobs. While some jobs will require degree level training, many technical digital skills can be acquired through other means. The Fast Forward for Digital Jobs Taskforce, made up of tech industry leaders, was created in response to this necessity and explores how digital training and qualifications

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can be accessed by a wide base of potential employees. Through the pandemic we have seen a massive increase in people recognising the importance of digital skills in the future labour market and signalling their interest in acquiring these skills through short online courses. The resulting report of the Taskforce outlines seven recommendations to support both learners and businesses to invest in digital skills. Building for what comes next By supporting businesses, big and small, and employees in their re-skilling journey, maximising their confidence in the value of digital skills and through targeted investment, we will not only plot a quicker path to recovery but will also build a future that is more inclusive and productive. We need to open up new flexible pathways to rethink the re-skilling challenge that many workers and businesses face and how we keep them employed in productive, fulfilling jobs that enable them to thrive in the postpandemic economy.

To get involved in the work of the Fast Forward for Digital Jobs Taskforce, visit: techUK.org

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Why businesses need to adapt their processes to bridge the skills gap Distributed and remote working has grown during the pandemic. It isn’t going away either because it enables companies to fill the skills they need to thrive.

J INTERVIEW WITH James Milligan Global Head of Hays Technology WRITTEN BY Tony Greenway

Read more at haystechnology.co.uk

ames Milligan has worked in the technology industry for 21 years, but he’s never known a time like the last 14 months. “Organisations have had to change so much in such a short period of time,” he says. “To cope with this crisis, they’ve had to innovate new processes and deploy technology more quickly than ever before. Those businesses that haven’t been flexible enough to change don’t exist anymore. It’s as simple as that.” Milligan — who is Global Head of Technology at recruiting experts, Hays — believes that this type of working is here to stay. After all, the pandemic has shown that not everyone has to be anchored to a physical office environment for their work to be carried out efficiently. So, expect distributed workforces and remote/hybrid working to grow in the coming years. The progressive outlook of distributed organisations It is, however, important to stress the difference between the ‘distributed workforce’ and remote/ hybrid workers, says Milligan. As the name suggests, hybrid workers combine some remote working with work in an office; while organisations with fully distributed workforces utilise technology to employ staff from anywhere in the world. “Distributed organisations are the ones that are most progressive,” he notes. “They were working beyond borders before the pandemic and will continue to do so. To them, this is ‘business as usual’ and everyone else is playing catch-up.” The fact is that distributed and/or remote workforces can help bridge the skills gap, says Milligan, because being able to employ people from around the world gives an organisation access to a much broader talent pool, possibly at lower cost. When it comes to recruitment, Milligan argues that a person’s skills are more important than their location. “Only those organisations that are prepared to be flexible and open-minded about where they get their talent from will be able to close the skills gap,” he says. “I think we’re going to see tech functions becoming increasingly fully distributed, because tech is an area which has a huge challenge with regards access to talent.”

It’s no use organisations saying that people can’t work efficiently in a distributed or remote way, because the pandemic has put that idea to bed. The tech sector has been ahead of the flexible working curve

That’s why more organisations should offer distributed or remote working to those staff who are able to work in this way, says Milligan. Those who don’t are asking for trouble. “They will be left behind because they won’t have access to the talent they want. Almost every job candidate expects to have some form of flexibility now. It’s no use organisations saying that people can’t work efficiently in a distributed or remote way, because the pandemic has put that idea to bed.” The tech industry was an early adopter of distributed/remote working, harnessing the power of communication technology such as Teams and Zoom, plus technical testing and whiteboard platforms. Of course, (non-tech) organisations quickly took a leaf out of this playbook at the start of the pandemic. “But the tech sector has always been ahead of the flexible working curve,” agrees Milligan. “Partly that’s because it understands the technology and what it’s capable of; and also because technical roles often don’t need to be tied to the same physical location as the rest of the organisation.” If you want similar flexibility for your company, Milligan advises talking to an organisation that has been operating in a distributed way for some time. “Ask them how they create a ‘sticky’ culture when their staff are connecting digitally, rather than physically,” he says. “Find out how they adjusted their recruitment strategies, such as onboarding staff in remote locations. And if you don’t have a policy — a clear framework related to either fully distributed working or remote working — then get one. Because there’s no turning back the clock now.”

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How your employer can support your transition back to the workplace The way we work has changed immeasurably since the pandemic began. With many employers gradually moving to ‘hybrid’ working, staff wellbeing must be prioritised.

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e regularly survey staff across a range of employers of different sizes and sectors as part of our annual Workplace Wellbeing Index – our benchmark of best policy and practice when it comes to creating mentally healthy workplaces. Issues like stress, anxiety and depression are commonplace across the board, even before the pandemic. In 2020/21, we surveyed over 40,000 staff working across 114 organisations, two in five (41%) told us their mental health had worsened during the pandemic. There are a number of factors taking their toll on employee’s mental health, including those related to the economic climate, such as fears about job security and redundancy. Remote working can be isolating, which can worsen our mental health, it can also be harder for colleagues to spot if someone is struggling with their mental health. Transitioning to new ways of working As restrictions start to ease, most employers are considering moving to a ‘hybrid’ way of working, whereby staff will be able to work partly from their former workspace and partly from home (or potentially another location). While some of us might welcome this ‘hybrid’ approach, particularly those who, for whatever reason, struggle with working from home all the time; others will be worried about dealing with crowded public transport; or once again facing long, expensive and stressful commutes. Your employer has an essential role to play in helping you feel safe and comfortable about returning to work when appropriate. There isn’t a one-size-fitsall approach to supporting the mental health of staff. It’s essential employers get regular feedback from staff to identify trends on what is and isn’t working and make changes.

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In 2020/21, we surveyed over 40,000 staff working across 114 organisations, two in five (41%) told us their mental health had worsened during the pandemic. If you have a disability, which can include a mental health problem (as defined under the Equality Act 2010), your employer has a legal duty to make ‘reasonable adjustments’ to your role, which could include changes to your hours or workspace. Normalising mental health While the pandemic has meant many more of us are facing difficulties with our mental health, it has also provided a significant opportunity to talk about mental health and wellbeing in the workplace. As conversations around mental health are normalised, we hope that employers have recognised the need to support staff wellbeing, particularly for those whose mental health has been hardest hit by the pandemic.

WRITTEN BY Emma Mamo Head of Workplace Wellbeing, Mind

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Why data-driven businesses make the best decisions for their people The effective use of data is key to helping a business attract, retain and engage the right talent needed to drive growth and remain agile and resilient.

W INTERVIEW WITH

Justin Rix Partner and Head of People Advisory, Grant Thornton

WRITTEN BY

Tony Greenway

hat are the most important areas of focus on the people agenda for businesses in 2021? They’re largely the same as they have been for years, says Justin Rix, Partner and Head of People Advisory at Grant Thornton. It’s just that the pandemic has brought them into sharper focus. Through using data, we can look into these focus areas to help find the best solutions for businesses. One major challenge is the issue of employee wellbeing. During lockdown, many staff have either been ultra-busy working from home, or not busy enough and put on furlough — in some cases, this has taken a toll on their mental health. “Organisations understand that they have a duty of care from a physical, health and safety perspective. Our March 2021 Business Outlook Tracker found that 76% of businesses are set to invest more or the same amount into employee wellbeing over the next six months” says Rix. Addressing the upcoming challenges COVID-19 has also highlighted the issue of the skills gap. “Organisations want skills to help them become more agile going forward, because they know that everything will change again.” Other challenges include the role of the workplace and the way we’ll be working in the future. What will this look like? The idea of agile working

was becoming popular pre-COVID but required an element of trust on the part of management, a worry that quickly disappeared with the enforced working from home last year. Why you should never base decisions on anecdotal evidence However, Rix warns that whatever changes businesses make to address their people-based challenges, it’s vital to base all decisions on the best possible data you can get, rather than relying on questionable anecdotal evidence. “For example, you might assume that a particular demographic of your employees is keen to be in the office every day. But then, when you survey them, you discover that many would prefer to take a more hybrid, flexible approach to their working week. From our survey, 62% agree that their employees expect more flexible working options to remain in place post-pandemic. That’s why it’s important to base your decisions and strategy on the best information available to you” he says. Data in the diversity agenda In the same way we are surveying staff around the return to office, data has important applications around diversity and inclusion (D&I). Grant Thornton works with many organisations that are keen to move the dial on their D&I agendas. To begin

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with, they need to know how they measure up in this particular space. In April 2021, the company organised a roundtable to ask diversity leads about how their organisations are using data to make progress on their inclusion journey. The result of which was 70% of leaders strongly agreeing that data helped them to make more informed decisions. “First, we help them understand their quantitive D&I data,” says Rix. “Second, we look at their policies, procedures and processes to find out how inclusive these are. And third, from a more qualitative perspective, we discover how D&I translates into the real, lived experiences of their people, with employee questionnaires and focus groups, etc.” A measured, clear-headed, databased response can help a business retain and attract the right people, engage its staff, and turbocharge the employer brand. So, cautions Rix, it’s always important to avoid reacting on instinct. “Don’t say: ‘We’ve seen other companies do this — so we should do it too’. You must first understand how the issue affects your company. Then, when you know what’s right for you, you can target the problem more effectively and amplify the things you’re doing well. Remember that no solutions will work overnight; but by looking at the data, you can see where you were, and how far you’ve progressed.”

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Workplace, workforce and work: the three big changes for postpandemic jobs The COVID-19 pandemic has seen a seismic change in working practices across all industries. The shift to remote working has put greater focus than ever on the need for digital transformation for businesses to reskill and upskill employees for the evolving workplace.

A INTERVIEW WITH Ajay Vij Senior Vice-President and Industry Head – Financial Services and Public Sector, Infosys WRITTEN BY Meredith Jones-Russell

Find out more at infosys.com

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jay Vij, Senior Vice-President and Industry Head of Financial Services and Public Sector at digital services and consulting firm Infosys, explains, “This has been a gigantic, planet-scale experiment in remote working. It has not been just one company, but the whole planet. The results have been hugely impressive. “If this pandemic had happened 15 or 20 years ago, it would have been really difficult for industries to operate. In fact, what we have seen is increased employee satisfaction, productivity and morale. It has led to a new understanding of what the future could look like.” The workplace, workforce and nature of work itself will all be affected by the new normal. “All three are going to change, dramatically,” says Vij. Hybrid model With increasing numbers of workers opting out of life in the big city in favour of more space in suburban and rural areas, Vij says the workplace of the future will look very different. “We will draw from the past and present to build a productive, hybrid model,” he explains. “Offices will no longer be a place for checking emails, but places for collaboration, driving innovation, and ensuring people can network, on a limited basis.”

Skills over degrees Furthermore, Vij says, work itself will become more modular, and employees will be expected to keep up with the rapidly changing digital sphere. “Education will become intertwined with work like never before. Historically, we were educating ourselves for 25 years of our lives, then the next 40 years were spent drawing on that education while working. We call that ‘just in case’ education. “What we are seeing now is ‘just in time’ education, where essentially you work and learn simultaneously to ensure a lifelong learning model. Skills are going to become more important than degrees as employers look for lifelong learners who can learn and relearn.”

Skills are going to become more important than degrees as employers look for lifelong learners who can learn and relearn.

Inclusion and diversity He adds that a largely virtual workplace will help include several groups in the workforce who might previously have missed out. “There is a huge opportunity for people in remote cities and countries where talent exists, but talent absorption is a challenge. We can now harness talent from anywhere, as long as security procedures and protocols are in place.” He believes the workforce will see improvements in inclusion as a result of the new approach to working. “As a company, while we were able to attract a lot of women at the beginning of their career, this tapered off at senior

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leadership level later on as family responsibilities arose,” he explains. “Now, we are confident that a more flexible way of working will encourage more women to take on more senior positions in the middle of their careers.”

Learning for the future In response to this, businesses will need to adapt and arm their employees with the skills to manage the changing face of work. At Infosys, remote onboarding and learning initiatives are helping employees and clients adapt to the changes. Over 1.2 million are currently using the company’s learning platform, Wingspan, which provides adaptive learning opportunities based on the individual user’s particular education and needs. The Reskill and Restart programme advocates digital literacy by allowing employees in a wide range of organisations and local authorities to learn about specific areas of digital technology free of charge. “This is a hugely important initiative,” says Vij. “Remote working will be the norm going forward. Technology and collaboration using digital tools and platforms is only going to increase. The digital literacy piece is very important, and so is imparting that to other citizens.”

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Why your business should pay more attention to its human capital INTERVIEW WITH Patrick Hull VP Future of Work, Unilever WRITTEN BY Tony Greenway

The pandemic has emphasised the importance of viewing employees as assets, rather than a cost. By investing in human capital, organisations will create a better workplace — and business.

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hen the pandemic began to devastate the jobs market, women and minority groups were particularly affected. It’s one of the reasons why organisations must redouble their efforts to contribute to a fairer and more socially inclusive world, believes Patrick Hull, VP Future of Work at Unilever. “We know we can’t afford to operate with a broken labour market because if people can’t earn a living wage, they won’t be able to afford the products and services we produce,” he says. “It’s bad for society and bad for business. So we’ve made commitments to raise living standards, provide opportunities through inclusivity and prepare people for the future of work.” To an extent, companies are being forced to reinvent themselves, because the pandemic has made many of us reassess our working lives and look for more satisfying and flexible careers. But for Hull, that’s a positive. “Over the last year, many organisations have moved towards virtual and flexible working,” he says. “As a result, they’ve had a big opportunity to reinvent their workplace,

put more focus on wellbeing and make their workforce more diverse.” The importance of investing in human capital Ultimately, businesses need to pay more attention to its ‘human capital’ by tapping into employees’ knowledge, experience and skills, and respecting them as an asset, rather than a cost. “When we invest in our people, our engagement scores go up,” notes Hull. “We have a stronger brand — 14 million people now follow us on LinkedIn — and we attract and retain great talent.” Embracing a new future does mean doing things differently. But that’s exciting. “For example, we’ve made a commitment to reskill and upskill our people by 2025,” says Hull. “We’re doing that by working closely with them to find out more about their skillsets, strengths and desires and put them on the path they want to be on. If people have more agency over change, rather than having change forced on them, they’ll embrace it.”

‘How’ we do our jobs is more important than ‘where’ we do them from Employers need a more holistic focus on the workplace, thinking beyond office spaces and considering the environmental impact that homeworking will have on all our futures.

“ INTERVIEW WITH Joe Garner Chief Executive, Nationwide Building Society WRITTEN BY Tony Greenway

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he boundary between work and home used to be rock solid, until email and the mobile phone made it increasingly porous, then along came COVID-19,” says Joe Garner, Chief Executive of the Nationwide Building Society, “which obliterated the boundary completely. That’s why the challenge today isn’t so much: ‘How do I balance work and life?’ It’s: ‘How do I integrate work and life?’” A new report from the Nationwide, called The Future of Work, investigates how people might want to work post-pandemic. First — and perhaps not surprisingly — it reveals a strong preference among employees to work from home more often. Secondly, and more revealingly, it shows there are significant productivity gains among those who do. “But most surprisingly,

we found that when people work from home, the humanity and compassion in their decision-making increases by 30%,” says Garner. “That’s a powerful point, because it shows how we do our job is more important than where we do it.” Assessing and addressing the pros and cons of homeworking The pandemic has certainly removed the taboo of working from home, with managers learning to give their staff more freedom and trust. “Organisations found that if they treat people as responsible, trustworthy adults, the vast majority will repay that trust and put their whole heart into the work they’re doing,” insists Garner. Going forward, then, it’s going to be important for all of us to re-evaluate our homes in order to maintain a

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healthy separation between our personal and professional lives. But while there are definitely challenges to homeworking, there are big, obvious benefits, too, such as eliminating commuting time and reducing transport-related emissions. “On the other hand, people will be heating their homes for more hours of the year,” says Garner. “That said, we have to address energy inefficiency of UK housing anyway – and, if we’re successful in doing so, homeworking can be a real benefit for the environment, too.”

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WRITTEN BY Martin McTague Vice Chair Federation of Small Businesses

Act now to tame an uncertain future of work

The office – reinvent and return

As economic anomalies go, our current jobs market – where unemployment sits at sub 5% in the wake of the most severe recession in modern history – takes some beating. But what will the post-pandemic job market look like?

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he job site Reed reports that it added 275,000 vacancies to its site last month, taking the total number of jobs up for grabs on its platform to the highest monthly total since February 2008. But application rates are subdued. One in four small firms said access to the right staff was a major barrier to growth even before the pandemic hit. The barrier is now growing.

One in four small firms said access to the right staff was a major barrier to growth even before the pandemic hit. The barrier is now growing. What does the future hold? The Government rightly extended access to the option to furlough staff until September of this year. The unlocking road map is not a given, and if variants cause it to be altered, firms will be extremely grateful for that Treasury support. But until it ends, there will be a significant proportion of the workforce which is receiving wage support and not looking for work. Added to that, businesses are now wrestling with a new UK immigration system. The costs of use to small firms – typically in the region of £3,000 for sponsorship of a single employee – are prohibitive. Act now to shore-up employers’ spirits Most of our members with staff want to recruit over the next 12 months and

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they tell us that reducing Employer National Insurance Contributions, which serve as a jobs tax, would be the most effective way to help them deliver fresh roles. In addition, the new immigration system must evolve in constant dialogue with business groups like ours, ensuring firms can access the talent they need to drive our economy forward – costs need to be kept down and the shortage occupation list continually reviewed. Equally, young people have been hit disproportionately by this pandemic – one in ten are now not in employment, education or training. The Kickstart Scheme was a welcome intervention on this front. The Government now needs to work hard on reforms to the apprenticeship system, ensuring levy funding can reach the small firms that will really make a difference.

Equally, young people have been hit disproportionately by this pandemic – one in ten are now not in employment, education or training. No doubt we have more challenges coming down the track as we strive to recover from a torrid 18 months. But, by acting now, the Government can put our jobs market in the right place to absorb any as yet unknown shocks to come.

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Vaccination has made a return to the office possible, but things need to be different to get the full benefits of hybrid working.

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he vaccination program and lockdown easing make a gradual return of knowledge workers to the office increasingly feasible. However, a study of previous pandemics suggests that things are not going to be the same as before. IDC predicts that the average percentage of knowledge workers in the office will reach roughly 35% this year in Europe. This is still extremely low compared to 2019 levels (72%) but showing progress against last year’s historic lows (28%). Office occupancy is expected to continue to grow steadily with more than 55% of knowledge workers going to the office by 2023. Reasons to go back Many companies have just been through an enforced experiment in home working. Our data show employers are experiencing increased productivity from newly home-based workers with a muchincreased acceptance of this way of working. So, should we even consider returning to the office? Recent experience has clearly shown that while some types of work are well suited to home working more interaction-based activities benefit from face-to-face contact. The office is the place for collaborating, innovating, training, persuading, selling and onboarding. Interestingly some studies also suggest it is the place to get promoted with homebased workers often missing out. How to return The research shows that the future of work is a hybrid one, with most workers spending at least one day working at home and at least one

day in the office per week. Careful planning is required to ensure that employees have the opportunity and capability to work most productively wherever they are. Fortunately, many tools and technologies are available to monitor, manage and optimise the office space. Also, collaboration and digital workspace tools can help with improving digital equivalency allowing home workers to work more effectively with their colleagues in the office. One of the key benefits of hybrid working is that it can account for differing personal circumstances and job roles. There is no one-sizefit-all approach to resume onsite operations. Employee experience, like customer experience, increasingly benefits from hyperpersonalisation. A hybrid model tailored to individual employees’ circumstances, roles and needs provides a great opportunity to enhance employee experience (and ultimately increase productivity). Whether used only one day or the entire week, IDC predicts that the office will continue to play a major role in organisations’ success going forward in building corporate identity and as a catalyst for collaboration and innovation.

WRITTEN BY Mick Heys Vice President, Imaging & Future of Workspace Practice Lead, IDC

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Landlords shifting from asset managers to flex space providers Over the last year and a half, the advent of working from home has accelerated complete change in what tenants want from their office space. The smart landlord must act fast.

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INTERVIEW WITH James Shannon Chief Product and Technology Officer, essensys

INTERVIEW WITH Ibrahim Yate Verdantix Senior Analyst, Smart Buildings Practice WRITTEN BY Virginia Blackburn

ven before the pandemic struck, the world of work, with its traditional officebased structure, had been in flux. With the onset of COVID-19, existing trends have been accelerated, with the result that flexible working means that landlords are having to adjust to tenants’ new expectations – and fast. “The impact of working from anywhere means that to keep enterprise customers happy, there is a demand on landlords to adopt a lot more flexibility,” says James Shannon, Chief Product and Technology Officer, essensys, which in association with Verdantix Research published a paper on the future of workplaces in May 2021. “They will have to provide flexibility not only commercially, but in how the space is deployed. Smaller HQs mean there will be less commuting and flexibility within the building means landlords are being transformed from asset owners to providers of flexibility.” “The office is changing now,” says Ibrahim Yate, Verdantix Senior Analyst, Smart Buildings Practice. “Most clients have experienced working from home and it works. Now we have to think about what an office needs to be: it can offer space for collaboration and if its heavily serviced it can offer amenities you can’t get at home.”

Landlords need to know their new place is customised for employees and tennants do not want to be committed to a 10-year contract anymore. Period of transition This period of transition has inevitably created a disconnection between what landlords can provide and what tenants expect and the successful landlord is working hard to narrow the gap. “One big area of disparity is in IT requirements,” says Yate. “According to our research, where the tenants are asking for flexibility, the majority are not satisfied. When it comes to businesses like a bank or financial service, if IT requirements are not right, it’s a deal breaker.” Flexibility is key. “It is now used more as a tool than a co-working lifestyle,” says Shannon. “Tenants look for seamless physical security, the right type of flexible technology, engagement and community and a consumer grade experience. They have larger and more sophisticated expectations than previously and will want to be able to range across a portfolio of properties in deciding what facilities they want to use on any particular day. Will they want a space

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to collaborate? Or a quieter space for intensive work?” This is changing the face of property management completely. Landlords may be providing very different spaces for tenants, managing expectations while not overburdening them with technology. The successful ones will be measuring how tenants use their space: which services and amenities are the most popular? Does the location and time of day make a difference? “This is a big opportunity for landlords,” says Shannon. “Monetising services and technology are so important that tenants will be prepared to pay a premium for the right product. It will also have an impact on staff retention, while tech enabled spaces will add value to the business.” Paying a premium The research confirms that tenants are prepared to pay a premium for the right space. “It takes a huge burden off their shoulders,” says Yate. “Tenants want to consolidate the portfolios they rent and opt for flexible space instead. Landlords need to know their new place is customised for employees and tennants do not want to be committed to a 10-year contract anymore.” Currently only between 20 to 30% of landlords are aware of tenants’ new needs, but as the vaccine rollout means that more people will be returning to the office, it will be those landlords who are set to do best.

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Technology can boost learning outcomes In a world with increasingly innovative, fast-changing technologies, people with a lifelong learning mindset are more adaptable and versatile, and generally enjoy better outcomes.

W WRITTEN BY Francesca Borgonovi Head of Skills Analysis , OECD

hen many of today’s workers completed their formal education, technologies such as Zoom, PowerPoint and Slack did not yet exist. As the COVID-19 pandemic unfolded, individuals who had pursued learning outside the classroom and had updated digital skills were better able to meet new needs. A lack of digital skills leads to job loss and learning gaps On average across OECD countries, less than half of adults participate in training, whether formal, such as courses leading to formal qualifications, or non-formal, such as workshops and other forms of employer-provided training. The pandemic has further reduced opportunities for lifelong learning because social distancing has often replaced classroom learning with distance instruction. Estimates suggest that, on average, during hard lockdowns, participation in informal learning in OECD countries decreased by 25% and participation in non-formal learning by 18%. Impact of the digital divide Even before COVID-19, many schools had already integrated technology into the curriculum. During the pandemic, technology became a lifeline allowing schools to remain open virtually. However, inequalities in internet access, in availability of devices and digital skills exacerbated the impact of the digital divide and spotlighted the effect of skill deficits. Today, many young people leave school with limited foundation skills, including digital ones, then fail to enhance their skills as they move from formal education into the job market. OECD research suggests that in most countries, new cohorts of students in 2018 had similar levels of

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Inequalities in internet access, in availability of devices and digital skills exacerbated the impact of the digital divide and spotlighted the effect of skill deficits. achievement as their peers at the beginning of the 21st century and many were lagging behind. Lifelong learning is key to mastering technology Now more than ever, societies and economies require stronger foundation skills to drive innovation and progress. Maintaining the status quo is not enough. Keeping pace with changing skills requirements means helping children to develop a habit of learning early on and enhancing individuals’ lifelong learning skills. Thriving lifelong learning systems place learners at the centre, combining learning methods and providers, have strong accountability and monitoring mechanisms to promote inclusivity. Such diversified learning opportunities help inform individuals’ choices, bolster their motivation to be lifelong learners and ultimately strengthen both individual outcomes and social cohesion by helping everyone acquire strong skills and good work.

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How SMEs can best prepare for a hybrid work future SMEs that champion hybrid working policies and digital tech including cloud-based phone systems will build a modern experience for their employees, while remaining competitive and attracting the best talent.

A INTERVIEW WITH Nick Hedderman Modern Work & Security Business Group Lead, Microsoft UK WRITTEN BY Tony Greenway

ccording to a recent survey from Microsoft, a staggering 71% of UK workers want flexible work options to remain after the COVID-19 crisis has passed. So, for many organisations, the future of work will be hybrid. “We think hybrid is an attractive policy that will help employers find the best talent,” says Nick Hedderman, Modern Work & Security Business Group Lead at Microsoft UK. “It’s a good mix which offers employees the flexibility they are demanding, but also moments of serendipity in a physical location that are hard to recreate digitally — the spontaneous connections they can make walking down the corridor or standing in the lunch queue,

for instance. We think hybrid is important because we’re human and need human connection.” Small and medium sized enterprises have faced their own sets of challenges after Brexit and the pandemic, notes Hedderman. “They’ve been hard hit. But if they can embrace a digital approach and a hybrid work policy, there’s no reason why they can’t be successful.” Hybrid working needs careful planning and endorsement Hybrid working won’t happen by accident. “It has to be done by design,” says Hedderman. “It needs to be culturally acceptable and that requires leadership from SME owners and managers. Businesses will have

to create hybrid policies, principles and processes and role model them to make them come to life. Of course, every company is different, firms are going to have to experiment to see what works for them and what doesn’t.” For SMEs, it will be imperative to invest in the right kind of digital technology that will help them grow, such as collaboration and productivity platforms, which encourage a more open and asynchronous way of working. Basic infrastructure as a phone line will have to be re-designed as cloud-native phone systems so calls can reach employees at any given moment and on any device. This could be their PC while at their desk, the conference room speaker at the office or their mobile on the go. And they can implement it on their terms, opting for a cloud service, keeping their current operator or integrating existing hardware. Hybrid could also necessitate the rethinking of office environments. “When your people come to your physical premises, they have to add value,” says Hedderman. Hedderman believes that every business needs to seize this moment of change, because the genie is out of the bottle, and won’t be going back in. “The UK is a resilient country with businesses that have a can-do attitude,” he says. “Looking at the growing number of people using our services, it’s gratifying to know they are working in a digital way.”

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Do employers have the capabilities to drive growth? New research reveals how companies need to invest in capabilities as well as technical skills if they are to grow in a world that is rapidly changing.

T INTERVIEW WITH Mark Creighton CEO, Avado

INTERVIEW WITH Miatta Fahnbulleh Chief Executive New Economics Foundation WRITTEN BY Steve Hemsley

he last 12 months have brought about monumental economic change. Our economy has been shut down, lives have been put on hold and governments across the world have taken extraordinary measures to control the pandemic, with the global economy shrinking by a staggering 4.4% in 2020. The organisations that grew last year increased their training budgets and they continue to invest to ensure they have the capabilities they need to recover from the pandemic. Research from professional academy Avado has identified a ‘capability chasm’ across different sectors and this is harming productivity, growth and employee mental health. Impact of training on business The highlights of the Beyond Skills report illustrate the impact COVID-19 has had on organisations’ attitudes to training and ultimately their business. The report shows that 71% of the business that grew last year had increased their training budget with 40% investing in upskilling using external training pre-2020. Businesses requiring specific capabilities chose to hire rather than train which resulted in 45% cutting training budgets. From the data, 61% of companies that saw a decline had no training strategy or a poor one. “We have learned during the past year that this is not

just about a lack of investment in technical skills,” says Avado’s CEO Mark Creighton. “It’s also about mindsets and behaviours. People are working differently and they need to be more collaborative and innovative. Workers are also having to adapt to changing consumer behaviours.” He adds that companies should not use recruitment as a quick fix but assess where their specific capability gaps are and how training can help. Employee mental health in post pandemic recovery Employee mental health is crucial for economic recovery and training will be important to retain and support talent as furloughed workers have returned and some people worry about redundancy. Other workers are taking it upon themselves to upskill to protect their current job status and create new career opportunities. Research ambassador, Miatta Fahnbulleh, Chief Executive of the New Economics Foundation says organisations that have reduced their investment in training during the pandemic need to catch up quickly “All the evidence shows you must invest in your people and think about capabilities as well as technical skills,” she says. “Companies need people with the competencies to negotiate a world that is changing incredibly fast. The UK needs to spend more on training.”

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WRITTEN BY Richard Kauntze CEO, British Council for Offices

The pandemic is accelerating a shift to flexible and agile working

How can workplace design better accommodate neurodiversity?

The pandemic has fundamentally changed how we work. We have a once in a lifetime opportunity to create organisations that are more flexible and inclusive than ever before.

WRITTEN BY Peter Cheese Chief Executive, CIPD

As we consider how we can build our offices back better, we must also be conscious of how we can accommodate overlooked forms of diversity in our office design, such as neurodiversity.

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eurodiversity refers to variation in the human brain which may affect sociability, learning, attention, mood and other mental functions. This can appear in the form of autism, ADHD, Asperger’s and more. Unfortunately, the experiences of these individuals have historically been neglected, particularly in the workplace. Embracing neurodiversity in the workplace However, greater recent understanding of neurodiversity has led more and more companies – from Microsoft, to SAP and EY – to adopt neurodiversity hiring programmes, not just because it’s the right thing to do, but because these programmes have direct (and measurable) benefits. For example, embracing the neurodivergent can be in a business’s best interest as, typically, they encourage their colleagues to approach challenges from unexpected angles, often providing novel insight. The role of office design As companies welcome greater neurodiversity into their workforce, how can we ensure that our offices are suitably equipped to maximise the productivity and wellbeing of these individuals? In their report, Designing an Inclusive Workplace, HOK explored the impact ‘inclusive design’ can have on employees, both neurodiverse

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and neurotypical. By incorporating natural light and biophilia, avoiding fluorescent lighting and designing distinct, memorable spaces, companies can create a warm environment that is both welcoming and easy to navigate. Other design suggestions include avoiding chaotic patterns in work areas, using dividers in appropriate areas to block and reduce noise, and providing well-ventilated workspaces. To assist with wayfinding in the office, it’s beneficial to have spaces that are designed to be intuitive to navigate, with cues emphasised through repetition of signage and clarity of messaging. Creating varied spaces Additionally, wherever possible, it can only be beneficial to offer a variety of settings within their workplace, enabling employees to choose the most appropriate space for a task. In this environment, neurodiverse staff could, for example, work on a project in a dedicated “focus room”, with acoustic panels and adjustable lighting to minimise sensory stimulation. Afterwards, they could take a break in an open, active area, to socialise and recharge. The past year has given so many of us a renewed appreciation for the office. Now that we know just how important it is, when we head back let’s endeavour to make it even more welcoming, enjoyable and inclusive than it was before.

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he arrival of the pandemic took many of the norms of working life and turned them on their head. Millions of workers were displaced into their homes as offices closed their doors while others continued to battle on the frontline in challenging circumstances never seen before. More than a year on, organisations now find themselves at a crossroads: what does the future of work look like? Flexible and agile working practices can become the norm and create more opportunity for people to work, as well as being supportive of wellbeing, staff retention and productivity. The pandemic is a catalyst for change, creating the opportunity for more choice and hybrid ways of working. At the peak of lockdowns, just under half the working population were working from home. People in essential roles where they had to be in places of work had a very different experience, many of these roles were lower paid. Flexible working isn’t just about places of work, it’s about schedules and hours, and working practices and cultures. There is no one size fits all. Historically, changes towards more flexible working have progressed slowly, the language and culture of work and standard working weeks has barely changed in generations. Presenteeism, longer hours of working, stress at work and concerns of mental wellbeing were all heading in the wrong direction. The pandemic can tip the balance. Teaching us all to put people first, to see wellbeing as a critical outcome of good work, to give more opportunity for people to work effectively.

Flexible working isn’t just about places of work, it’s about schedules and hours, and working practices and cultures. There is no one size fits all. The opportunity for more flexible working At the CIPD we believe everyone should have a right to request flexible working from day one of their employment. Jobs and roles should be thought about and advertised as supporting flexibility in how people can work. The expectations have greatly increased through the pandemic. Employers will find themselves at real disadvantage in attracting and retaining the staff they need if they are not supporting more flexible working, including part time, different work schedules, as well as places of work. But in all this, we must better train managers at all levels. How to manage diverse teams with diverse ways of working, to focus on outputs and trust their people and to create supportive cultures. That must start from the top, but work throughout our organisations to shape a better and more inclusive future of work for all.

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Quality audio is critical to today’s hybrid worker Technology is at the heart of a new standard of professionalism demanded by hybrid working. Businesses want audio and video solutions to help maintain standards, while benefitting from a mix of remote and office-based working.

T WRITTEN BY

Jane Craven Sales Director UK & Ireland, EPOS Audio

Paid for by EPOS

he impact the events of the last year have had on our professional lives cannot be underestimated. Eighteen months ago, the idea of a truly hybrid workplace was exciting but unlikely to happen soon. Fast forward to today, hybrid working is our new normal. However, with fewer ways to “show up well” with clients, there is increased emphasis placed on the quality of what is said during virtual business interactions. This poses a risk to organisations who aren’t utilising the right collaboration tools and audio solutions. Research from Ipsos commissioned by EPOS, found that an alarming 63% of global end users experience issues during business conversations on a regular basis because of poor audio quality. The most common problems include background noise (32%), interferences on the line (26%) and having to repeat themselves (23%).

according to 60% and 71% of global decision makers respectively. Technology built for the office simply doesn’t suit a hybrid set-up. Yet, the default approach for many employers has been to maintain the status quo: equip employees with the same computer and audio tech that was initially available for remote working. One explanation for this might be the disparity between decision makers and employees’ expectations of hybrid working. More than half (52%) of decision makers expect employees to work more from the workplace in the future, compared with employees - just 18% expect an increase in time spent in a physical office. This gap demonstrates the need for decision makers to better understand employee expectations and identify resources to help. This means using technology that maintains the same quality as in-person interactions.

Client expectations have grown Last year, organisations could get away with seemingly minor audio glitches. Almost every working professional experienced the stress of subpar virtual communications and that’s why, for a while, there was a level of patience. But as the world has not only acclimatised to but embraced virtual working, expectations have increased as the bar has raised. Bad audio is no longer simply a minor inconvenience. It is a barrier to professionalism that can harm perception and the client experience. If addressed, it would help retain clients and prevent lost pitches

Unleash the potential of the hybrid professional Trying to use pre-existing tools have left many employees struggling to maintain productivity. The time spent fixing audio issues amounts to 31 minutes per employee weekly. This leaves 26% of global employees feeling frustrated, irritated, or annoyed; and 19% experiencing moments of stress. Unsurprisingly, this has a detrimental impact on output with 26% of end users reporting misunderstandings, 21% miss out on critical information and a further 17% say they appear unprofessional because of their audio. Every organisation knows how

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68% of modern workers believe that good audio solutions can help solve a lack of confidence or embarrassment. critical employee wellbeing is to the success of the business. When employees lack confidence in their abilities, this limits the potential for idea-sharing. Particularly in a hybrid world, where many team members might not have met face-to-face. Without spontaneous interactions between colleagues in the office, it’s harder to exchange ideas that drive innovation. In fact, 68% of modern workers believe that good audio solutions can help solve a lack of confidence or embarrassment. Turn up the volume on the future of work Virtual collaboration has become a key component of hybrid working. Whether employees return to the office full-time or part-time, there will be an ongoing need to dial in remote working colleagues. If businesses can use the right technology to support them, there’s an opportunity to overcome the barriers posed by poor audio and create truly borderless teams. It won’t matter whether teams are working together physically and/or collaborating via video conferencing. Good audio quality ensures everyone’s voice is heard and gives them the confidence to share new ideas with colleagues across the globe.

Find out more at eposaudio.com /en/gb/enterprise

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HR teams: the unsung heroes of the pandemic The last year has been tough on everyone. NHS staff, teachers and all our key workers have rightly been celebrated as the heroes of the hour. But working quietly in the background, HR teams have undoubtedly been the backbone of the workforce at large.

H INTERVIEW WITH Stephanie Kelly Chief People Officer, IRIS Software WRITTEN BY Virginia Blackburn

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R people really are the unsung heroes,” says Stephanie Kelly, Chief People Officer at IRIS Software Group, one of the UK’s largest HR & payroll software providers. “From the first lockdown in March 2020, HR teams had to mobilise thousands of employees to work remotely almost overnight. Not only was this a major logistical challenge requiring every employee to have the right IT support and equipment, but it also required real care and attention to be given to employee welfare.” With every industry affected, HR teams across the board have been

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working tirelessly to keep their ships steady - managing difficult conversations around furlough and redundancies and maintaining morale throughout the multiple lockdowns. Utilising cloud-based solutions Kelly continues, “The pandemic really asked a lot from HR professionals. In the space of a few weeks, they had to change their entire way of working while acting as the backbone that kept businesses connected.” Undoubtedly, HR teams who had access to technology and cloudbased solutions were in the best

position to cope with the dramatic shift in working life. Harnessing a central cloud-based HR platform enabled them to automate timeconsuming tasks like payroll, expenses and attendance tracking – freeing their time to focus on maintaining employee morale and providing leaders with critical people-based insight on the best path to take and how to future-proof the business.

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Helping improve daily processes Looking to the future, Kelly says, “As lockdown restrictions ease and employees finally begin returning to the office, HR teams need to have best practice processes in place, so they can streamline the ‘day to day’ and become more strategic. Taking practical steps like putting vaccine logs, company policies and flexible working requests in one central cloud-based location that provides a single source of truth across the business will be key.” By harnessing technology and automation and ensuring there is a single source of truth for all HR activity involved with returning to the office, HR teams can supercharge their processes as the world starts to open up again. And ultimately enable their businesses to thrive whatever the future holds. Find out more at iris.co.uk

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