We surveyed the Profit 500, an annual listing of the 500 fastest growing companies in Canada, to find out about their HR practices. We asked questions (see Appendix) surrounding their strategic capabilities, organizational development activities, change management processes, training opportunities, performance management systems, leadership development programs, and the use of HR technology.
Overall, the top HR challenges faced by the Profit 500 include (1) finding key talent, (2) managing and feeding talent pipelines, (3) appropriately leveraging HR metrics to inform decision making, and (4) choosing and incorporating the right HR technology.
1. Finding (and Keeping) Key Talent
It may seem paradoxical that finding and keeping key talent is an issue, given the unemployment rates of recent years. However, increased hiring is leading to increased competition, leaving many organizations on the Profit 500 to discover new methods of attracting and retaining the talent they need. According to the survey, a little over 60% of the Profit 500 are looking for innovative ways to increase their ability to fill performance gaps, including the ability to analyze and select for the skills they require. This has led the Profit 500 to consider where and when employees work and how to engage them most effectively.