Evolution of employee experience and talent management

Aishwarya Sinha Ray
min read
Evolution of employee experience and talent management

Employee experience

Do you see your employee turn up blurring? Do you observe an increase in employee absenteeism?  Employee experience has a lot to do with employee retention and employee happiness.

Employee experience is the journey an employee takes in an organization. Their achievements, milestones,  recognitions and even downfalls are part of their experience.

Talent management and employee experience

HR technology, like most trends now, follows the general tech and social trends. Automation was first introduced in HR around the early 2000s. As soon as this first wave hit, a new market around ‘talent management’ tools came about to exist. Some of the early tools available were applicant tracking system(ATS), learning management system(LMS) and performance management systems(PMS). These tools broke the market open and have since become integral to HR operations in major companies.

Around 2006, competency-based job descriptions started to become a trend. Talent practices integrated around competencies helped this trend gain momentum. This gained momentum eventually fuelled the creation of an ‘integrated talent system’ that ensured the selection of the right people as it was based on the job and competency models. It basically revolutionized the role HR played at that point in time. The word ‘integrated’ was at the core of this whole movement.

Building new integrated suites became very popular amongst the vendors. And thus, a decade of acquisition marathon started. While most of the companies vanished because of the giants eventually, many standalone ATS, LMS and PMS vendors had to pack up and leave the market. The focus was on creating an integrated version of existing tools. Issues like employee engagement, experience and diversity were not a concern at the time.

Cloud platforms and recession

With the massive recession in 2008, companies found it futile in investing huge sums of money in buying HR software. The scales tipped in favor of optimization over integration. We optimize talent practices for output as cost reduction became the norm of the day.

The technology landscape changed with the introduction of the iPhone in 2008. Other platforms like YouTube, Facebook, and Twitter gaining social attention, HR management became more focussed on the idea of engagement using mobile, video and social media.

With the launch of ‘born in the cloud’ Human Capital Management(HCM) systems, HR tech industry leaped into the future. The ease of use, low cost, and cheaper operation, cloud-based platforms created the perfect storm. The HR tech industry, at this point in time, moved past older talent management systems that were essentially systems of record and the age of ‘engagement systems’ came to be. Social, mobile, and analytics were still future trends and the cloud, their means of integration.

Digital transformation: the road to employee experience

Digital transformation was a major trend for CEOs around 2012, they started focussing on digital skills, agile transformation and new ways for managing jobs and careers. Meanwhile, HR departments became more focussed on culture, engagement and employment brand as the focus of the recruiting market was being terraformed by industry leaders.

Economic growth in the sector has been steady for almost 12 years now, 40% of the workforce is independent today. An evolution in the nature of talent issues can be seen today. Finding smart people is a competition, transparency, and mobility in the workplace are valued and a growth mindset is developing constantly. HR departments are now building a culture of trust, transparency, fairness, and inclusion.

Business focus on productivity and stress levels of employees have led us to concentrate and focus more on ‘employee experience’.

A mind shift is seen in the way we approach HR issues now as opposed to older times. Integrated talent management has become a thing of the past. We now pay more attention to employees and how their work and personal life can be made better. And thus, we have moved on from ‘talent management’ towards the evolution of talent management

The economy of employee experience

How many of your encounters with HR were pleasant? if your answer is  'not many', then that is not a problem. Unless you happen to work in HR, then, it is. In other words, HR is now responsible for fixing industry issues from the past. HR takes care of the evolution of talent management

When we take a closer look,  younger people now prefer experiences over belongings. Otherwise, they become disengaged, they complain, post online about their ill-experience or just plain quit. HR all over need to step up their game to combat this.

Difficulty in creating ‘experience software’ still needs to be addressed. LMS market was disrupted with the sudden uptake in the Learning Experience Platforms. Similarly, talent experience vendors will be responsible for the disruption of the talent management market. A good employee experience strategy has to be implemented after thorough research and the results of the same can be understood through an employee experience survey.

Employee experience systems

Talent experience marketplace has just come into existence. This HR trend, unlike others, focuses on providing better standards for employee’s work, life and career and not just automating HR. This is how the evolution of talent management has taken charge.

  • People don’t hold on to jobs that don't satisfy them anymore. Careers have become more flexible and cover a lot of things. The transition, move and work part-time. Side hustles are more commonplace.
  • Managers scheduling learning sessions is becoming old, employees now believe in perpetual learning and like to choose their own topics.
  • People no longer hold their breath for promotion. They like challenges on a regular basis and keep picking up new gigs and projects.
  • Employees have outgrown hierarchies, they prefer to work in teams. It keeps goals simple, transparent and makes updating easier.
  • Personal and financial fitness drives employees now. They are least worried about vacation policies, they crave wellbeing programs and mindfulness at the workplace.
  • Promotions are now data-driven and awarded to people that are most likely to succeed and have extensive networking. Even younger people are given chances to prove themselves capable.
  • With the job descriptions constantly evolving, we need to do away with job descriptions and competencies. Analyze the capabilities you need the most by using systems and data, AI-based tools then help you perform better.

Focus on simplicity and productivity at work

Business now happens at a breathtaking pace. Doing away with job descriptions and competencies is a recent trend in HP. They took job titles out of the way to allow for more flexibility among their employees.

With increased global reach all companies are trying to make the most of a booming economy. The issues they face now are not the same as the ones they were facing during the last decade. Employees’ experience at work will continue to drive some major HR trends in the near future.


The take away from this blog is that integrated talent management systems alone are not going to cut it in the future of workplace HR. You need to constantly plan for the wellbeing of employees on all fronts and develop thriving and encouraging cultures at workplaces. We openly embrace the transformation in the roles of HR and include a lot more responsibilities than previously thought possible. the three things to keep in mind would be

  1. Look-Look forward, anticipate and be proactive
  2. Embrace- Embrace the challenges and changes
  3. Transform- The most deadliest line is "But we have always done it this way", be open to changes and transform yourself accordingly.

We hope you got some great insights from this blog. Its now time to apply it. Get started with peopleHum for free today. No credit card needed.

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