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HR Technology for 2015: Ten Big Disruptions Ahead

by Josh Bersin, Principal and Founder, Bersin by Deloitte, Deloitte Consulting LLP

In the recently published (October 7th 2014) article by Josh Bersin of Bersin by Deloitte on the topic of  ‘HR Technology for 2015: Ten Big Disruptions Ahead’, Josh notes, “as money and demand comes to HR technology, so do new ideas and smart people. The result—we are seeing one of the most tumultuous times ever in the evolution of the HR technology market. In this report, we highlight some of the biggest disruptions that are happening and give you some guidance for your technology roadmap ahead.”

Below is an excerpt from the article on the topic of Science of Leadership, Assessment, and Psychology:

 

A large and very traditional part of HR is dedicated to industrial and organizational (I/O) psychology. This industry (dominated by PhDs with backgrounds in statistics, organizational development, and psychology) has brought us many of the most powerful assessment and leadership development solutions in the world.

Nearly every major leadership development and assessment company (Including leaders like Korn Ferry / PDI, DDI, SHL, Wiley, and hundreds of others) is now sitting on years of data about leadership, sales skills, employee performance, and the power of personality. Almost all of these companies have been acquired and are now in the hands of larger companies. Why the convergence? A lot of these assessment and I/O science tools seem to be the same. Buyers simply cannot differentiate between the tools, so the market looks commodity-like. (We’re not saying that it is, but it “feels” that way.) 

New vendors are now trying to build assessment solutions based on “real-time Big Data,” rather than core psychological models.

Just as disruption happens in technology markets, a new set of disruptive assessment solutions is emerging. New vendors are now trying to build assessment solutions based on “real-time Big Data,” rather than core psychological models. Many of these companies may start with the Big Five  personality traits (a public domain personality model), but then quickly build tools to collect social data, peer assessment data, and behavioral data that expand the world of assessment. These new vendors are not only smart psychologists, but also data scientists—so they may find performance-driving characteristics we never previously considered.

Some of these companies include Evolv, Good.co, IBM / Kenexa, Kaisen, job Fig, Roundpegg, Logi-Serveand others. They are bringing together traditional assessment with Big Data and what one may call “social sensing”—to better understand the relationship between skills, personality, and organizational culture. While most of these companies are still relatively small, they have the potential to disrupt the traditional market for prehire and leadership assessments, as well as give us ways to assess everyone in the company using a combination of data, gamified tools, and social information. Given the tremendous focus on work-life balance and better work environments, new tools that help us to manage our own health and work-life balance are emerging as well.

All of these Big Data, science based tools that assess our behavior and personality are becoming a major new industry within HR.

You can read the full article here: http://www.bersin.com/uploadedFiles/100814-disruptions-final.pdf

 

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