‘Secret cyborgs’: How AI is quietly transforming white-collar work
AI is automating more of our daily work, and now employers are starting to ask: what’s being done by humans? ...
by Lars Häggström Published 30 October 2024 in Human Resources • 8 min read
“CHROs today need to spend much more time thinking about tomorrow,” says Jay Connolly, early in our conversation about the changing role.
Connolly is Global Chief People Officer at Baker McKenzie, the global legal firm. He has held the post since 2021, having previously held CHRO roles elsewhere in the sector stretching back to 2004. Over those two decades, he’s seen the role change significantly – largely owing to external factors.
The issues affecting CHROs are changing profoundly and, as Connolly confirms, they could hardly be bigger. The most immediate of these is geopolitics.
Understanding global tensions and dealing with the fallout from conflict – actual or potential – has become an increasingly important responsibility of CHROs. “We have seen and experienced the impact where there has been significant external conflict and worked hard to find ways to support people in those locations,” Connolly notes.
The unpredictability is a primary challenge. “There’s no playbook for these issues,” says Connolly. “I think CHROs need to spend more time, not necessarily trying to predict the future but thinking about what tomorrow might bring, and asking how their organization – certainly the people function – should respond.”
Connolly has started to write that playbook for Baker McKenzie based on his experiences dealing with the repercussions of conflict. He highlights three key points, each indicative of the challenges facing CHROs today.
The first is the need to plan for the unexpected. “One of the things that we’ve done with our teams is to run more scenario-planning exercises.” That should become routine, he says, ensuring that plans remain relevant as external circumstances change – and helping ensure the firm’s readiness isn’t diminished when new people take on leadership roles.
The second area is the need to plan internal communications. “What communications should we send, and when, and to whom?” Because of the very different opinions that emerge across a multinational business, this requires careful calibration. “An organization that has 74 offices right across the globe has different viewpoints and inputs to navigate,” notes Connolly.
A more strategic approach to communications can also help businesses navigate external pressure to take a public stance on political hot topics. Connolly acknowledges this expectation but argues that firms do not need to comment on everything. “I think we have to be measured in terms of what we are communicating,” he says. Often, Connolly suggests, the focus should be on urgent practical questions. “What should we be thinking about here? How do we provide support to people, and for how long?”
The third area is the CHRO’s function as a disseminator of learning around the firm. “As I said, there isn’t always a playbook for every situation. But at least we now have [a template] to refer to,” says Connolly. He believes the guidance will enable managers to make decisions without deferring to HR by default.
“Connolly argues that CHROs have a particular stake in the AI conversation because it is becoming a question of employee experience.”
Of course, geopolitics is far from the only external consideration reshaping the CHRO role. AI looms large as a disrupting factor. “Managing technology will be a vital aspect of the people function,” says Connolly. Again, the task for CHROs is not to predict the future but to plan for likely business needs.
Connolly argues that CHROs have a particular stake in the AI conversation because it is becoming a question of employee experience. There is a parallel with the period some years ago when consumer technology overtook clunky office IT systems, frustrating employees. “Today, people are using AI externally, however, there’s often less scope for them to use it at work in their organization,” he explains.
“From an experience perspective, individuals expect to use what’s available to help them improve their role on a day-to-day basis,” he continues. “We’ve got to think about what that looks like from an employee perspective and build understanding within the firm.”
CHROs may also find they can move faster on AI than the wider business – something that’s certainly true of legal services. “I’m focused on the things that we can systematize, improve to serve our employees, and leverage the opportunities,” Connolly clarifies.
Just as CHROs need to accept and assimilate different viewpoints on geopolitical events, they need to anticipate divergent opinions on their role and the performance of the HR function.
Another area where Connolly highlights the influence of the external world on HR is the rise of diversity, equity, and inclusion (DE&I), where Baker McKenzie remains deeply committed to making further progress.
Just as CHROs need to accept and assimilate different viewpoints on geopolitical events, they need to anticipate divergent opinions on their role and the performance of the HR function. Taking a proactive approach by inviting opinion in a structured way is key, Connolly suggests. Pulse surveys and other feedback mechanisms are essential tools to help monitor opinion, giving CHROs insight into how to manage differences and respond constructively.
In a fast-changing world, Connolly says, CHROs are under pressure to set up HR in an innovative but also resilient way. “What does the function need to look like for tomorrow? What’s the right structure? How do we best support an organization that’s going to be thinking through all these things?”
Part of the answer lies in working more closely with executives across the organization to address the root causes of complex challenges. Take employee well-being, which HR typically deals with individually, with employee assistance programs, for example. But looked at through an organizational lens, different factors come to the fore. “The bigger opportunity for us is to think about how we’re structuring teams and how we manage workload, so we act before problems emerge.”
Increasingly, he adds, CHROs may find strong allies among other C-suite executives. While the COVID-19 years were unprecedented in terms of compelling organizations to look after their people, senior leaders remain engaged, and that has a significant positive impact.
“If I ask myself, ‘Who continues to push me on well-being?’ It’s as much our wider executive leadership raising it as me,” he says. Different C-suite voices sometimes carry more weight on people-related topics. “It’s going to have a different impact if another CXO is talking about some of these things than if I’m talking about them,” he points out.
But CHROs are also expected to reduce costs. Is there a risk that they will be spread too thinly?
Even while CHROs grapple with major challenges, HR’s everyday tasks continue to be hiring and onboarding talent, developing people, running compensation processes, and so on. But CHROs are also expected to reduce costs. Is there a risk that they will be spread too thinly?
“The CHRO has to set priorities,” says Connolly. “We’ve been doing that in terms of considering key activities for ‘today,’ ‘tomorrow,’ and ‘the day after tomorrow.’”
CHROs need both a deep understanding of strategic direction and the ability to defend their decisions to internal stakeholders. “When someone says, ‘Why can’t I get x done? Why can’t I get this as I used to be able to get it before?’ I have to be able to clearly explain the rationale and where we’ve made conscious choices,” he says.
On a personal level, the demands that CHROs face can take their toll. How does Connolly cope?
Disciplined time management is vital. If the priority is working on business continuity, or thinking about tech with the team, the CHRO needs to carve out adequate time. “Somebody looking at my calendar should get a good sense of what I prioritize,” he says.
He also highlights the value of sounding out people internally. “Finding individuals who can provide different perspectives is key.”
Thirdly, CHROs need to look after their own well-being, maintaining balance in their own lives. “You can only perform well and think about others when you’re in a good space.”
Which three words or phrases would Connolly use to describe the role of the CHRO today? He lands on ‘externally focused,’ ‘future-looking,’ and ‘collaborative.’
This represents a significant change over the past 15 years. “I don’t think I would have used the same words,” he reflects. “HR [used to be] more internally focused: How are we driving succession? How are we attracting talent? How do we run our promotion processes? That’s what has shifted.”
The collaborative aspect is key. “The challenges we have to solve are more complex than they were before. I can’t solve them on my own. I might need a board member, or the CFO involved, as well as team members,” he says. The attitude of the CHRO, then, is everything. HR leaders who can draw in the resources around them, using opinions across the business to inform strategy, will have the greatest impact in the years ahead.
Senior Adviser, IMD Business School
Lars Häggström is Senior Adviser at IMD and a former CHRO at Stora Enso, Nordea and Gambro.
Global Chief People Officer, Baker McKenzie
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