A New Frontier for HR: Beyond the Tools

I've long been a member of SHRM, and I've always admired the profound research they produce. Their latest data brief on emerging technology skills in HR is a timely and insightful look at the seismic shift underway in our profession. It’s a document filled with statistics and charts, but beneath the numbers, it tells a much deeper story about where HR is going—and what that means for people.

For a long time, we've thought of HR as the most human-centric function in business. Now, technology is becoming our greatest ally. As the SHRM brief points out, the demand for technology skills is surging at an unprecedented rate, while demand for more traditional skills is declining. We are moving toward a new frontier, one where data and innovation are the new language of progress.

This brings us to a fundamental question: are we preparing for this frontier by simply buying new tools, or by cultivating the pioneers who will navigate it?

The data shows a clear and compelling trend: the market is heavily rewarding HR professionals with technology skills, with a substantial pay premium for those who possess them. It also highlights the rapid adoption of AI skills, which are now even appearing in job postings at smaller companies, almost a decade after larger firms first embraced them. This is not just a passing trend; it is a profound redefinition of HR's role.

But here is where the story becomes most interesting. The data shows that while AI is being adopted at all levels, organizations are looking to their managers to lead the disruption. This is a crucial insight. It confirms that the greatest challenge in a transformation is not technological; it is human. A new tool, no matter how sophisticated, will sit dormant unless it is championed and understood by a leader who can inspire its use.

And what of the skills that were left out of the report, like proficiency in Microsoft Excel? The brief intentionally excluded them because they are no longer "emerging"; they are foundational. They are the price of entry. But even foundational skills can become transformative when mastered. This is why we, at ChangeReady Institute, believe in providing immersive, high-touch workshops that not only teach these essential skills but also enable teams to become proficient in them. Our programs offer a solution for organizations to truly equip their workforce and enable them to become more value-added contributors to the business. In fact, many participants can gain official certification to prove their mastery.

The path forward isn't about simply acquiring new technology. It's about empowering people with the foundational skills to understand data, cultivating leaders who can inspire their teams, and fostering a culture where every person is a pioneer ready for the journey. Because in the end, it’s not the technology that will define our future; it's the people who are brave enough to explore it.

The Case for a Digital-First HR Professional

The demand for technology skills in HR has seen a 23% surge in the past year. This rapid growth is projected to continue, with the proportion of technical skills in HR job postings potentially surpassing 10% by the end of the decade. This trend is leaving non-technology skills behind, which have seen a 1% average annual decline in demand. This demonstrates a clear move toward a more technology-driven function.

From a compensation perspective, the market is heavily rewarding this shift. HR professionals with technology expertise are earning a substantial estimated average pay premium of $23,775 compared to their peers without those skills.

Furthermore, the data shows that the demand for AI skills is surging at both large and small companies. While larger companies began hiring for AI roles years ago, smaller organizations have seen a significant recent increase in this area.

This trend highlights a pivotal change: HR leaders are looking to managers to lead the AI disruption. This is because general AI offers unprecedented usability and lower technical demands, making it accessible to a wider range of HR professionals.

Beyond the Numbers: The Importance of Digital Fluency

While the SHRM report focuses on emerging tech skills and excludes foundational skills like spreadsheets and productivity software, it's important to recognize that these are the bedrock of digital transformation. The difference between data literacy (understanding data) and data fluency (applying it to solve problems) is critical. Data literacy is the ability to read and understand data. Data fluency, however, goes beyond basic comprehension and is about using data to communicate insights, make informed decisions, and solve problems.

A digitally fluent workforce is better able to translate insights into action and drive innovation. This is a strategic imperative for any business looking to remain competitive in today's data-rich environment.