HR teams must innovate to survive

NEW DELHI, JULY 31: Innovation and human resources (HR) are not mutually exclusive anymore. Ms Shelly Singh, Vice-President and Co-Founder of HR solutions firm PeopleStrong, said now, more than ever before, the need for HR teams to evolve and innovate fast is becoming important. Right now we are faster, better, cheaper, but I think after four years if we dont do significantly better in terms of innovation in the services space, we will hit a road-block. She added that the going has been good post-recession and that the market is maturing and is becoming more cautious, necessitating the development of newer service models. Traditionally organisations work with mom-and-pop-shop consultants, who pick up CVs from the market and float it to their clients. There are three problems in the market one you dont get the right people, at the right time and right cost; if you get them they would not join; and, if they join you dont know if they would stay and be productive. Now, this service delivery model doesnt solve any of these problems, there is no predictability, she said. Ms Singh said the industry needs to develop predictable scientific process models to survive and cater to client requirements. She added that the problem in India is that the job market is concentrated on seven to eight metro cities, which are already saturated. India has about 600 zip codes in which the majority of the business takes place, and the talent pool is also available. Has anyone taken a look at how many professionals are there in the market where they are setting up a business or opening a branch? she asked. The pace needs to be developed in all the 600 zip codes, she added. About seven per cent of the Rs 26,000-crore HR market is focused on recruitments. Further, she said that HR has evolved from playing a supporting role to that of a team that directly impacts revenue. Its not just about filling jobs now. Your sales are directly linked to your manning percentage (the number of people on the job at a time), and HR has to commit that there will be 98 per cent sufficiency in your team at all times, Ms Singh said. aesha.datta@thehindu.co.in Keywords: HR solutions firm PeopleStrong, human resources, innovations, HR market, Ms Shelly Singh