- Firms with advanced HR policies have happier and more productive employees.
- Innovative recruitment practices like prioritizing mental health and work-life balance go a long way in boosting candidate morale.
- These companies have regularly come up as the best places to work where employees feel valued.
Human Resources is a highly dynamic field as it constantly evolves with frequent novel innovations. It is one of the most crucial departments of any organization that wants to succeed in the long run. Recruiting, performance management, onboarding, employee transfers, promotions, etc., are some of the key functions of the HR department.
As expected, companies with a streamlined approach to HR practices perform better than others. These firms save enormous amounts of money and resources in HR-related activities due to their innovative HR practices.
Practices like extended paid leaves, remote working, timely performance reviews, and employee referral programs are highly popular among multinational corporations. Moreover, the modern business world is highly competitive and complex, with HR managers requiring profound knowledge of other domains.
For instance, a Glassdoor report points out that more than 85% of HR professionals believe recruitment is becoming more like marketing. Other areas like analytics and operations also work together with the HR department to ensure the smooth functioning of the organization. The below infographic shows how technologies like Artificial Intelligence can help your HR practices.
Companies with the Most Innovative Recruitment Approaches
The above-mentioned practices are among the few that top corporations use to streamline their business processes. Many well-known organizations have made a name for themselves as a leader in HR transformation. These firms follow the best HR practices globally, leading to better performance, higher productivity, and improved employee satisfaction.
Here are the leading global companies with the most innovative recruitment approaches today:
Google is among the biggest tech companies worldwide, with a market capitalization of more than $1 trillion. One of the primary reasons for Google’s incredible success is its revolutionary HR policy. The firm has taken a highly advanced approach to people analytics by using data-intensive techniques for people management and human resources.
The multinational tech company has a broad spectrum of HR policies that make it highly efficient from a corporate perspective. The HR department has devised innovative approaches like PiLab, retention algorithm, and predictive modeling in hiring.
Moreover, other best HR practices that make Google a great place to work include the company’s focus on the mental health of its employees. HR managers have discovered happier workers a more productive and generate more revenue. A report by Business Insider says an average Google employee brings more than 1 million dollars annually, more than other tech firms like Yahoo and Microsoft.
Naturally, the HR department of Google focuses on boosting employee satisfaction through a multi-pronged approach. The firm offers on-site medical assistance, career breaks, and espresso bars, and fosters a culture where employees with innovative ideas are heard rather than ignored.
For instance, lower-level employees can directly interact with top executives like the CEO without any resistance from their immediate superiors. As a result, many Google products are the brainchild of its employees who believe they work in a place where they’re valued and respected.
2. Hilton Hotels
Hilton Hotels & Resorts is a multinational company dealing in tourism with hotels in more than one hundred countries. The company regularly features in Fortune’s 100 Best Companies to Work list and recently occupied the top spot. While most companies in the hotel industry focus on the guest experience and spend most of their resources on them, Hilton took an alternative approach.
The top management realized that satisfied, content and happy employees would do their jobs more efficiently and with a smile. Ultimately, these workers would treat their guests better, simultaneously causing customer and employee satisfaction and kickstarting a positive feedback loop.
Hilton has drastically improved its programs and benefits, which are among the best in the business. These include enhancing its parental leave policy, adding more development opportunities, creating comprehensive benefits specifically for the veteran community, and beginning an industry-first partnership with Milk Stork to facilitate travel for working parents.
For Team Members at all levels, Hilton has made investments in new tools and a framework for leadership development to open doors to more responsibility, possibilities for career growth, and ongoing learning.
Matt Schuyler, Chief Human Resources Officer, at Hilton, had this to say about the widespread appreciation for the company’s HR framework:
“This recognition speaks to the results of our ongoing efforts to create an inclusive workplace that gives all of our Team Members a sense of family and belonging. We are honored to be recognized as the best company to work for and grateful to our Team Members for the unique and diverse experiences they bring to work every day that strengthen our culture and truly make Hilton a great place to work for all.”
Cisco is another tech company that has topped Fortune’s 100 Best Companies to Work list for 2022. Cisco took a holistic approach to transform its HR policies and ensure consistency throughout its worldwide network. A study found that Cisco followed the soft HR model and built a seven-step recruitment process while forming a special employment philosophy.
In the early stages of the epidemic, Cisco prioritized workers’ performance at work and personal life. However, even though employees are returning to campus across the nation, the company is still committed to the welfare of its staff through initiatives and collaborations like that with Vida Health. Vida Health provides free digital therapy to Cisco employees as well as general awareness and tips regarding nutrition, weight loss, mental health, and sleep.
One highly renowned measure that revolutionized the work culture in Cisco was “day-for-me” — a scheduled day off for the entire staff to take time off and prioritize their personal needs. Such practices go a long way in boosting morale, satisfaction, and productivity. Moreover, Cisco is famously known for hearing out its employees, irrespective of their rank in the company hierarchy.
Francine Katsoudas, chief people officer at Cisco, said this about employee interaction using various means:
“We use sentiment analysis during meetings to understand what the chat comments or questions are telling us, and then afterward we ask for feedback and insights as well.”
4. Southwest Airlines
The key to Southwest Airlines’ success is having a fully engaged workforce and a solid company culture. The airline situated in Dallas, Texas, also known as the biggest low-cost carrier in the world, is evidence that happy workers run successful businesses. Its management practices have been widely imitated by other multinational corporations on a global scale as an airline with one of the most highly productive and motivated workforces.
Although the business model of Southwest Airlines is unquestionably far more significant, the company’s strong culture of employing the right people is undoubtedly its most substantial competitive edge. Southwest has considerably improved its investments in employee development facilities and staff training over the past ten years, including constructing the new Training and Operational Support (TOPS) building.
Southwest also has an attractive profit-sharing policy with its employees, making them naturally inclined to perform better for their interests. This ultimately helps the company in the long run as the employee is intrinsically motivated to work harder for their benefit.
Moreover, Southwest Airlines didn’t lay off a single employee for nearly 50 years until the pandemic hit in 2020, causing massive losses. Hence, many Southwest employees have a higher sense of job security than others in the same industry.
Gary Kelly, current Chairman and former CEO of Southwest Airlines commented about employee empowerment at the company:
“There is a lot to a culture, and it’s easier to have a strong culture if you feel like you’re a champion, and that’s the way our employees feel.”
Netflix has emerged as one of the biggest streaming companies globally, and one of its main growth drivers is its forward-thinking HR policy. The company is known for its leave and performance review policies, where more productive employees are encouraged to go on vacations. Netflix has abolished standard performance reviews and opted for a casual stance where managers and workers talk organically about their responsibilities and output.
Moreover, Netflix encourages its employees to operate in the company’s best interest by fostering a family-oriented culture among its staff. The company is aware that earning someone’s trust is the first step towards getting it back in return.
At the same time, the HR department is often ruthlessly efficient as they believe in weeding out the lowest-performing employees before they affect others. By selecting applicants whose aims align with the company’s objectives and will serve the business, Netflix can manage its staff effectively at the ground level.
By following the footsteps of the companies mentioned above, you can also rejuvenate the Human Resources department of your business. After all, having a solid HR team is critical for staying profitable and competitive in today’s market.
Contact Benchpoint today, a healthtech recruitment agency, to learn more about innovative HR practices that you can adopt to make your company a better workplace.