The Chief Executive charges the Human Resources Officer to acquire the needed talent to create, innovate, operate and sustain its business. Human Resources refrain is people, process and profit.
All three suffer when there is a shortage of Human Capital. A former VP of HR, for a well-known global tech giant, stated over 400 colleges were contacted for candidates.
The reality is the thousands of other companies that are competing from the same pool. Some tech companies are using “boot camp” schools but singular function is promoted without teaching basics.
People, process and profit are oversimplifications of the realities of assessing candidates. Use of basic psychological precepts can be helpful but human resources only uses, as well as, misuses basic psychological principles.
CEO and HR Chief
In the end, the CEO sets the standards for hiring. Although HR uses these standards for hiring, they often do not have the background to be effective at evaluation. This is the primary reason why HR Executives are required to have a technical background with practical experience in S.T.E.M. based organizations.
Many HR personnel stress their affiliation with a human resources organization such as SHRM (Society for Human Resources Management).
It has been seen that professionals from many difference disciplines function very well in the top human resources position.
With more workplace complexity coming from Federal and State agencies, Attorneys are often present as the Chief Human Resources officer.
Present and Future Needs
Prosperous companies have to change. Human Capital is the primary engine that drives change in a changing business and technology environment. Regardless of the vision or visionaries in a company, the people that have been hired with a more macro view of the world will make an organization more adaptive and competitive.
No single discipline stands alone. Many fields have a makeup of multiple disciplines. Specialized professions are cross-disciplined. and have taken upon themselves to acquire training. Others have the background but may not see the need.
Who to send for training cannot be left to human resources alone. Additionally, training, especially academic, is considered an overhead. There are alternatives that meet both needs for ROI.
Human Capital Investment
Organizations have effectively stopped direct investment for individual human capital over 20 years ago. Standards have been lowered in many educational sectors that necessitated additional training from employers. Unfortunately, once the retention requirement was met the employees often left. As a result, many organizations have gone to contract labor, with contractors facing many of the constraints of supply recruitment.
Shortages have been filled by H-1B visas. This has led to about 25% of our doctors and over 100,000 other professionals being foreign born.
Assessment and training can come at all levels of education, experience and life stature. It is a misstatement that Human Capital Investment is always at the beginning of Higher Education. Assessment for higher training or adding a cross-discipline can be done at any level and throughout career paths.
As a 501 (c) (3), the maximum tax benefits are realized at all levels. Instead of training being only an overhead, it could be a profitable deduction allowed under the Tax Cuts and Jobs Act of 2017.
Imported individuals do not owe allegiance to the United States of America. Some have lived on American Soil for over 20 years and have not shown an interest in becoming an American Citizen for which many fruits have been harvested. Those that are undergoing or have followed the law to become citizens, you are to be Applauded and Welcomed.
Recent events have demonstrated how National Security and Intellectual Property, by foreign students, have been compromised or misappropriated. Our citizens are the most documented in the world, starting with the need to have Social Security Cards for our children before the age of one. That is why our citizens can fill the gap for transitioning adults and developing our American Genius.
Progress has been made in the past decade. Some states, such as Texas, have realized untapped talent by awarding the top 10% of students in each high school a scholarship to a State College. Arizona has started free scholarships for lower income students that can attain the full FAFSA credit. Unfortunately, the threshold for of a 205 GPA has been set. Competitions have demonstrated innovation in Title I schools. Charter schools have been founded that have a focus on Math and Science, with some integrating languages and the musical arts that stimulate intellectual prowess and increase employability.
Public Higher Education is slow to adapt change. It can take up to several years to update curricula. We see Moore’s Law applicable consistently in the Sciences and Technology.
Private schools have often made advances in these areas. Some have done well enough as to be purchased by public colleges. While Math and Science Principles do not change, recruitment of other than the largest colleges often is minimal or non-existent from larger companies because of loyalty or perception. Therefore, it is not unusual to see Engineers, Scientists and Technologists unemployed or working in non-technical fields because of the college attended. This results in a waste of S.T.E.M. Human Capital and Education Resources.
Colleges and Universities gladly accept scholarship money. There is no accountability from the institution on whether the candidate is in the right career field, is a good fit for the program or what happens when a student washes out or fails to maintain the GPA. Nearly all higher education schools have assessment tools. Unfortunately, they have done away with any review from a professional that can properly interpret the results. Some college career centers have devised career interest games that have not been normalized. These tests have to validity outside of the internal use of the individual college or university.