HR is no stranger to change – it’s the nature of its function. But that once slow transformation of the workplace has accelerated and CHROs are leading the way. With so much competing for their attention, leading talent acquisition (TA) technology provider iCIMS surveyed thousands of CHROs to understand their evolving role as a strategic leaders, how they’re paving a path forward in a dynamic market littered with obstacles, and why they’re securing a seat at the head of the C-suite table. The iCIMS CHRO Report also examines job seeker sentiment, comparing how their expectations align – or clash – with employers’ business goals.
“We’re in the midst of a seismic shift, and CHROs are poised to be the strategic partner to help the C-suite navigate the road ahead,” said Laura Coccaro, chief people officer at iCIMS. “This report is chock-full of data and advice to help CHROs fulfill the demands of fellow leaders, while meeting the needs of their workforce. The insights within can serve as a helpful guide to tap into the minds of today’s CHRO so TA and HR teams can form a strong partnership with their business and achieve strategic business goals.”
Key findings from today’s U.S.-based CHROs and workers:
- Talent acquisition rises to the forefront. More than half of CHROs (56%) are spending more time in their role on TA today than they did two years ago. With the recent ebbs and flows of hiring needs and candidate expectations, increased emphasis on talent acquisition may come as no surprise. The large majority (90%) even see the role of the recruiter morphing into a strategic talent advisor to the business.
- TA priorities are (seemingly) endless. Their top TA priorities for the next 12 months are to improve analytics and reporting, enhance employer brand, improve diversity of talent pools and hires and increase recruiter efficiency. Meanwhile, employees wish they prioritized flexible work arrangements, employee retention, preventing staff shortages and skills-based training and development more.
- AI is not just a phase. 65% of CHROs plan to implement AI into recruiting processes, with 40% planning to do so in the next 12 months. An additional 29% are already using AI for recruiting. One area for improvement is communicating the benefits of AI adoption internally, as 60% of employees surveyed are unsure how critical AI will be in their job over the next year.
- What keeps them up at night? A lot. The top challenges keeping CHROs up at night include changes in compliance and regulatory laws, lack of/reduced budgets and hiring swings and fluctuations. They’re also worried about integrating AI into TA and HR processes, the lack of qualified candidates in their talent pipelines, retaining top performers, regretted attrition, economic uncertainty, and the list goes on.
- Retention is the new recruiting. HR leaders are leaning into their employee talent pool, with 86% confirming internal mobility is a priority for their organization this year. More than one third (37%) say they are investing in new tech to support internal mobility initiatives. Employees are on the same page, with 77% open to finding new jobs with their current employers. The iCIMS platform – based on more than 5.5 million hires and 200 million applications annually – is showing similar trends, with an 18% jump in internal applications and 11% jump in internal hires, compared to this time last year.
- Money on the mind: More than 40% of employees claim they would not apply to a job that does not include a salary range. Yet, when asked if CHROs knew — without looking at their career sites — whether all job descriptions included a salary range, 44% claim that their job descriptions do include a salary range but only for roles based in states where it is mandated. Only 37% of CHROs claim that all job postings on their organization’s career site include a salary range.
- A focus on the bottom line for the board room. CHROs are consistently looking for new ways to measure business impact and deliver more value to their organization. Diversity, equity and inclusion metrics are the top KPIs they report up to the CEO and board. When looking at TA metrics specifically, they report their team’s diversity application and hire metrics, offer acceptance rate, applicants per opening, recruiter productivity and application conversion rate, to name a few.
“The iCIMS CHRO study clearly shows how the whole concept of ‘talent acquisition’ has changed,” said Josh Bersin, global industry analyst and CEO of The Josh Bersin Company. “Today, companies want to redesign ‘talent acquisition’ as a growth function, not a staffing function, and bring together AI-powered solutions for internal mobility, development, org redesign and recruitment. This is our Systemic HR model coming into reality, validated by the needs of 1,000+ CHROs and their companies.”
The iCIMS CHRO Report is now available for download, featuring insights from industry analysts and leaders from Enterprise Mobility, HireRight, Gainsight, Workato and AssuredPartners, as well as top trends across the U.S., U.K. and France.
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