If you’re not creating or applying technology, or creating or delivering value, you will not survive

2 minute read

The days of value being solely created within the organisation are past. Going forward, much value will be created outside the organisation, and business and people leaders are going to have to change fast

Sian Harrington

Reimagine the organisation

Everything you know today about your organisation is up for change and you had better start reimagining your organisation and building it soon if you are to survive.

This stark warning came from Nalin Miglani, chief human resources officer and executive vice president at operations management and analytics company, EXL in a live webinar run by People Space Leaders, the membership arm of The People Space.

According to Miglani, value is increasingly being created outside the organisation, in particular in networks in which the organisation exists.

To create sustainable organisations, leaders need to move away from the horizontal view of functions and vertical view of levels of responsibility. Instead organisations will be built around two axes – technology and value – and everything an organisation or employee does will be evaluated against these.

“Everything you do, you will have to see whether it is creating technology or whether it is applying technology. Any work that your organisation is doing you'll have to see whether  it is creating value or whether it is delivering value,” Miglani says.

“If your company is at the forefront of creating the new Internet of Things, then that work is technology creation and value creation. If your company is in the forefront of digital marketing, then it is applying technology but creating value.

“Within the company, some people will be creating value and some people will be delivering value. Look at your own HR function. The people who do reward analytics; the ones who analyse the impact of stock options or incentives or bonus; the ones who look at profit per employee and revenue per employee, those people in HR are creating value.

“The ones that are delivering payroll, administering payroll and many other HR services are delivering value. In delivering value, they may be applying technology. They may be putting your payroll app on your mobile phone, your employee communications through social media. All this is value delivery through the application of technology. Every job in the future, in my view, will get classified this way. Within those two axes, either you're creating technology or you are applying it. You're creating value or you're delivering it.”

Reimagining the HR organisation

Reimagine HR organisation

In this scenario, people leaders need to think about platforms and partnerships, research & development, brand development and employee segmentation, says Miglani.

“The HR organisation of the future, in my vision, does not have just compensation, training and development, communication, and HR operations. Its teams are called ‘platform and partnership development’, ‘R&D’ and ‘brand development’.

“And the employees who are creating value and applying technology will have to be treated differently than employees who are just applying technology and delivering value. Many of us in HR don't like to hear something like this, but we may have to create a Platinum Club for employees. Because the leverage of individuals who know technology and data and can apply them for value creation is huge. Revenue and profit per employee of such employees is hundreds of thousands of dollars, maybe even millions. So, you just cannot have arrangements with them of the traditional kind.”

MIglani adds that people leaders can learn from disruptive technology companies like Amazon and Netflix who take a minimum viable product approach, making a small step, learning, iterating and developing forward.

“I would encourage my HR colleagues to look at the future of HR in that way. Go ahead and create a minimum viable product of your organisation and you will find you will learn very quickly, you will evolve.

"Right now, everything is happening real-time and so it'll be the same thing with reimagining your HR organisation. Start with the notion of technology and value creation. Reorganise yourself. See how it works. Iterate and move forward. It is all going to happen very fast.”

Nalin Miglani is a member of the People Space Leadership Board. The full webinar is available to members of People Space Leaders. Find out more here


The leverage of individuals who know technology and data and can apply them for value creation is huge. Revenue and profit per employee of such employees is hundreds of thousands of dollars, maybe even in millions

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