Feature
The past few years have forced talent leaders to rethink everything. The pandemic, the Great Resignation and now the disruptive rise of generative AI have all put HR on the frontlines of sometimes painful organizational change.
Rather than simply looking back at simpler times, what can we learn about this shift to understand how we’ll move forward?
I recently attended the webinar "HR’s New Normal in an AI-Enabled World" by HR Executive and Forrester Analyst Katy Tynan, which dove deep into this evolution. Drawing on insights from Forrester and HR Executive surveys in 2021 and 2024, Tynan lays out how HR leaders have adapted to recent changes and what’s next.
Here’s a look back — and forward.
2021: Talent Panic and Organizational Turmoil
According to Tynan’s research, the people function was already in the midst of a significant shift three years ago. Being an HR leader certainly wasn’t for the faint of heart. "HR leaders were in survival mode, trying to keep their organizations afloat amid unprecedented turnover and uncertainty," she said.
The priority was recruiting and retention. Companies were high-flying, offering unprecedented signing bonuses, scrambling to keep their talent and trying to build an attractive work experience amid the chaos that the pandemic wrought.
At the same time, the return-to-office (RTO) debate raged on. The compromise solution, hybrid work, was a new experiment for many organizations, with plenty of stopping and starting as leadership tried to decide how to make it work for them. Work leaders were responsible not only for figuring out the logistics but also for helping burned-out employees feel comfortable with constant changes.
Investments in diversity, equity and inclusion (DEI) were at a historic peak in 2021 as well. Many organizations surveyed created new roles focused on DEI. While some were simply paying lip service to the idea, there was also a genuine push for more inclusive workplaces by some organizations.
Technology played a supporting role, with companies navigating these changes using hybrid meeting tools and employee engagement solutions. But it wasn’t all good on the technology front. Companies spent large sums on often-overlapping functionalities. I distinctly remember a meeting in 2021 where a client spent five minutes figuring out if they should be posting a document in Slack, Teams, Sharepoint or Dropbox. Eventually, they decided to just put it everywhere. It was a tough time to wrangle technology.
Related Article: The State of Hybrid Work Today
2024: GenAI Steals the Spotlight
Fast-forward three years. Tynan highlights how the 2024 HR landscape has been undeniably marked by the rise of generative AI. But the rapid emergence of the technology has created both opportunities and significant challenges, particularly in terms of readiness and confidence in using the technology effectively.
"AI is here,” Tynan said, “and while it offers incredible potential, many HR teams are not yet ready to fully leverage it."
Generative AI has been a real disruptor — and not only for the good. HR’s struggles with the technology mirror broader organizational challenges with AI. Like most people, HR leaders are grappling with a significant gap between GenAI's capabilities and their own confidence in using it effectively.
I’ve been talking about AI for a long time, but this year was the first time I heard about it from late technology adopters at our Thanksgiving table. You’ve probably seen this at your company, too. AI interest is high, but expertise is hard to come by.
While AI tools can be leveraged by HR teams to execute tasks like skills assessments and employee engagement, the promise from technology vendors has too often been oversold. In fact, Tynan notes, HR’s confidence in AI capabilities is even lower now than it was in 2021, despite having more tools available and three years to get comfortable with the idea.
Related Article: HR Tech Investments Aren't Delivering. Technology Isn't the Problem
Evolving Priorities: What’s Top of Mind Now?
Overall, HR priorities have changed pretty significantly since 2021.
"One of the biggest challenges we’re seeing is that priorities have shifted away from DEI and hybrid work," Tynan said.
Instead, HR is now focused on employee experience and thoughtfully integrating AI-driven technology. Upskilling wasn’t as big an issue in 2021, but today, the lack of upskilling initiatives remains a critical obstacle for many HR teams.
Employee engagement is another area that’s seen some interesting shifts. Engagement is slowly climbing, but it might be more about finally adapting to the “new normal” rather than a genuine increase in satisfaction.
Why the skepticism? Well, Forrester has found that employee pride in their workplace is dropping, suggesting that while people are adjusting, they aren’t necessarily thriving in place. There’s also still tension around RTO, with many leaders pushing for more office days, even as employees prefer fewer.
Related Article: Where Generative AI Could Enhance Employee Engagement
Conference
Sep
16
HR Tech Conference Las Vegas 2025
Register
Conference
Oct
27
Gartner HR Symposium/Xpo Orlando 2025
Register
The Disconnect Between HR Tech and HR Readiness
Tynan says there’s a widening gap between technological advancements and organizational readiness. "HR tech is advancing faster than many teams' ability to adopt it effectively," she said. Upskilling efforts in HR are vital for talent professionals to bridge this gap and fully leverage these innovations.
There are some really innovative technologies, like skills intelligence platforms and sophisticated recruiting tools, but how can HR justify implementing them when basics like setting clear hybrid work goals or creating a consistent employee experience are still not complete?
This paradox is a major roadblock. While organizations fix some foundational issues, they also can’t sit still in a competitive talent environment. Even the greatest technology won’t solve problems unless people know how to use it effectively.
That’s why upskilling is crucial. Work leaders need to invest in training to bridge the gap, so they can leverage these tools to create better employee experiences and smarter work environments.
Related Article: AI in HR: 5 New Tools, Coming Soon
Where to From Here?
The journey to get here hasn’t been an easy one. "You’re at the center of adapting to AI, engaging employees and making sense of new work models," said Tynan.
To keep moving forward, organizations and work leaders have to get the basics right, continue to build a better employee experience, balance RTO initiatives and flexibility, and embrace both technology and the soft skills needed for an uncertain future.
HR will continue to play a vital role in creating a workforce that’s adaptable, collaborative and ready for what’s next. But matching the speed of this change will continue to be a challenge.
