Innovation & Challenges in HR

Murtuza Topiwalla
Mar 22

“Train people well enough so they can leave. Treat them well enough so they don’t have to.” Said famously by Sir Richard Branson of Virgin Group.

And yet, corporations across the world fail to see human resources (HR) as their most important division and regularly grapple with HR challenges.

47% of human resources leaders cite employee retention and turnover as their top workforce management challenge. This survey by SHRM/Globoforce emphasizes that business leaders need to devise more innovative HR practices in their companies.

So what are these innovation challenges for HR? And how can the management bring HR innovation from the drawing boards into the workplace? 

Innovation Culture Challenges
Owning the Culture

The biggest misconception in driving innovative HR practices in a company is that the human resources department has the sole ownership of the culture.

Not so. Senior leadership has a significant role in driving transformational changes and inspiring employees to work and thrive in such an atmosphere. 

The employees themselves can push innovation, share best practices, and get the backing of their leaders. 

And of course, the human resources team has the crucial job of bridging any gaps in implementing HR innovation across all the divisions.

Switching the Attitude

Let's face it, change is hard and people will resist any change. 

To this end, HR has to work to change the mindset of the employees and set tangible, measurable expectations from them. 

However, instead of expecting radical changes in attitude, successful innovative HR practices encourage small, incremental changes. 

This ensures less friction among employees and results in positive behaviors of collaboration and dynamic thinking.

Fearing to experiment

Any innovation has a risk of failing and loss of money or reputation. 

Unsurprisingly, in many companies, the leadership takes a risk-averse position and maintains the status quo instead of trying to bring constructive changes. 

This is where the senior leadership should take stock of the situation: either lose its employees and market competitiveness in the long-term or measure the risks and rewards of experimenting with new HR innovation policies.

Innovation in HR

The most effective and creative ideas implemented by human resources predictably result in employee retention, a greater sense of work fulfillment, better teamwork, and eventually, more revenue for the company. 

Here are some of the best HR innovation ideas that corporations, big and small, can benefit from.

Innovation in HR


Studies have repeatedly proved that new employees are most productive when they receive excellent support at their new jobs. 

Meet and Greet sessions with other workers, a thorough new hire orientation, and an assurance from higher-ups of their support are great means to make a new employee feel like an indispensable part of the company.

Employee Health

In-office medical check-ups, sports facilities and gym memberships may sound like lavish expenses, especially for smaller firms. 

Fortunately, more and more HR teams are realizing the significant benefits of investing in the health of their employees and its direct impact on the fortune of their companies.

Workplace Diversity

Diversity in thought and culture brings new and fresh ideas to workplaces. 

Hiring people from distinct backgrounds is among the most innovative HR practices in the 21st century.

This has resulted in individuals coming together and offering their unique, diversified perspectives on challenging issues and solving them.

New Feedback and Evaluation Systems

The old way of annual assessments and stiff feedback is out! 

New generation workers should always be motivated and productive. One of the best HR innovations employed by managers in recent times is to give their people timely, relevant and measurable feedback. This helps the latter introspect and understand their strengths and weaknesses and work on them.

HR Software

If it's innovation, there must be a place for software! 

HR software helps not just the human resource department, but also the working staff by managing their appraisals, leaves and other records more effectively. 

In the post-pandemic world, some HR solutions providers like Carbonate even offer digital workspace solutions to help their teams collaborate seamlessly from their locations.

The workforce of a company will always be its most valuable asset. And in that regard, human resources will always be one of the most essential branches of a business. 

The constant challenges it faces and the innovative HR practices it brings will be the difference between an industry leader with happy employees and an average company that always struggles.

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