Creating the New Possible
The world economy and the economic fortunes of countries are changing. India is an example of a country experiencing positive economic change. With an 8.7 percent GDP, the country has captured the title of fastest-growing global economy, a title previously held by China. The United Nations has projected that in 2023, the Asian elephant will replace China as the country with the largest population. In November 2022, the world population reached 8 billion with over half of the global population living in China. In contrast, for the US economy, JP Morgan economist predict growth at 1%, and a slight recession in the fourth quarter of 2023. For economies in our region, excluding the Co-operative Republic of Guyana, the Economic Commission for Latin America and the Caribbean (ECLAC), forecast a low growth of 1.4%, and challenging and unfavorable business environments.
Increases in the prices of commodity items and disruptions to our traditional supply-chains for goods and food items caused by the Russian-Ukrainian crisis will continue. Not a positive or encouraging outlook for businesses in T&T or the wider Caribbean.
Business survival and growth under in these circumstances is not easy. The ability to thrive requires large doses of resilience and optimism. Deep pockets help. Are there windows of opportunity for creating new possibilities? Yes, using the most valued asset organisations proclaim they have – their human capital.
Human resource practitioners including the Chief Human Resource Officer (CHRO)can play a significant role in guiding organisations through periods of change, uncertainty, and economic slowdown, by ensuring the organisation is adequately enabled and resourced.
Three people areas for renewed attention and focus in 2023 are:
- Employee learning and development.
HR practitioners must rethink strategies used for employee development and learning. Closing existing and future employee skill gaps is important if organisations wish to have competent employees with the skills to successfully perform under changing business conditions. Employee training and development initiatives should be aligned to the capabilities the organisation requires to thrive and be competitive. Competencies should include a mix of technical, soft, analytical, and critical thinking skills. Traditional training methods should be reviewed along with the implementation of innovative methods to bring learning into the day-to- day work of employees. Upskilling and training for leader and managers should not be overlooked.
2.Employee Wellbeing.
CEO’s and other corporate leader should place employee wellbeing on their leadership radar. In addition, they should offer support to the CHRO in moving the organisation towards embracing innovative approaches to employee wellbeing and resilience. A comprehensive approach to wellness should encompasses initiatives to address the mental, physical, and financial wellbeing of all employees. Workplaces with weak work-life balance policies and practices are prime contributors to employee stress, burnout, anxiety, high absenteeism, quiet quitting, and low emotional resilience. Organisational culture research, suggest a positive relationship between toxic work environments and low levels of employee engagement, and high voluntary turnover.
Local, regional and international organisations are increasingly recognising that connecting DE&I initiatives to the organisation’s purpose not only makes business sense – but is also the right thing to do. The workforce ecosystems of local and international organisations are increasingly complex. The mix of internal and external workforce contributors include permanent employees, persons on fixed term contracts, suppliers or vendors, customers, other external agents. This diverse workforce ecosystem creates a need for sensitivity and awareness of diversity, inclusion, and equity as business issues. A blended, integrated workforce ecosystem adds greater HR and business value than one that consist of disconnect, misaligned groups.
Although 2023 comes with myriad challenges, it also offers businesses opportunities for creating the ‘New Possible’. Achieving this result, requires, HR and other business leaders to recognise and seize opportunities to reposition HR’s value proposition based on the true power of HR: supporting strategic impact through people. Business leaders and the CHRO must work collaboratively to successfully manage the challenges the organisation will face in the ever-changing world of work. Interestingly, the acronym VUCA for volatility, uncertainty, complexity, and ambiguity, created 36 years ago to describe business environments is still relevant in 2023. That has not changed.
