Organisations are at the forefront of industry 4.0 and employees are witnessing the changes it brings.
The objective of this study was to explore the role of human resource (HR) professionals in navigating industry 4.0.
There is scant scientific research on the role of HR professionals in industry 4.0 within the South African context, although there are workshops and seminars in the field.
A qualitative research approach is used within an interpretivist research paradigm. We interviewed a purposive sample of 12 HR professionals. Semi-structured interviews were conducted to capture perceptions of HR professionals, and a thematic analysis was used to extract themes.
Seven prominent themes emerged revealing that HR professionals need to assume roles as strategic business partners and talent managers, necessitating HR competencies such as creative innovator, change agent, strategic partner and people enablement to take advantage of the opportunities of industry 4.0 and mitigate the associated challenges.
HR professionals can use the findings as a basis for considering their role in industry 4.0. We propose a preliminary holistic model for navigating industry 4.0. Future researchers may use this study as a point of departure within the South African context.
There is limited research on this topic matter and is a response to this. The study makes an important practical and scientific contribution to understanding the role of HR professionals as it affirms their function has become an essential part of industry 4.0.
Industry 4.0 is a phenomenon that is already upon us and to gain competitive advantage, organisations need to change their attitudes towards the changing environment. Developed countries are already experiencing transformation caused by industry 4.0 in their manufacturing environments, and changes are anticipated to expand around the world in the next few years because industrial revolutions are always stimulated by the technological developments of a country. The areas affected by the transformation are not only relevant to manufacturing environment but will also have an impact on the essence of employees’ duties, which are likely to change employee prospects of the human resource (HR) profession (Kazançoğlu & Ozkan-Özen,
Advanced technology is at the centre of the current industrial revolution (Jesuthasan,
Digitisation has an impact on human capital as their skills become redundant (Rana & Sharma,
Employee experiences and their work are encapsulated within human resources. There is a need to understand the influence of industry 4.0 not only on employees and their jobs, but also on the very nature of HR roles and associated functions. It is essential to evaluate the part that HR professionals will play during this revolution. The aim of this research is therefore to establish how factors associated with the fourth industrial revolution will influence the role of HR professionals.
Industry 4.0 will necessitate certain new skills and competencies from employees (Łupicka & Grzybowska,
There are various roles HR professionals perform, namely, employee advocate, human capital developer, functional expert, strategic partner and leader (Ulrich & Brockbank,
The human capital developer role entails the management and development of employees to meet future needs of the organisation (Mamman & Kulaiby,
The functional expert (previously known as administrative expert) role is associated with the human capital practices that are key to the HR value (Bakuwa,
The strategic partner role of HR professionals comprises of dimensions such as consultant, business expert, knowledge manager, change agent and strategic HR planner who facilitate the HR systems to achieve the organisational goals (Bakuwa,
In a leadership role, HR professionals are required to act as credible leaders and partner with other leaders to set and improve the level of strategic thinking (Bakuwa,
In broadest terms, competencies required for industry 4.0 include technical, managerial and social. Technical competencies refer to knowledge, skill or abilities needed to perform a specific task (Feng & Richards,
The HR competency study conducted by Ulrich, Younger, Brockbank and Ulrich (
In addition to the above competencies,
As the rate of automation increases, the required number of employees who perform redundant, process-based jobs will decrease, whether in production or the office environment (Baldassari & Roux,
This study employed a qualitative research approach. This approach was considered suitable for the study as it provided useful insights into how HR professionals understand the influence of industry 4.0.
This study adopted an interpretivist paradigm. The stance of the study was ontological in nature as it studied industry 4.0 (current reality) by exploring the role of HR professionals, interrogating the impact of industry 4.0 on them and establishing the competencies needed by HR professionals to operate in industry 4.0.
The sample comprised 12 HR professionals. When findings are sufficient (Box,
Participant profile.
Participant | Age | Race | Gender | Tenure (years) | Role | Level | Industry |
---|---|---|---|---|---|---|---|
1 | 44 | Black people | Male | 16 | Manager: talent management | Senior manager | Automotive |
2 | 38 | Black people | Male | 9 | Specialist: HR | Middle level | Automotive |
3 | 36 | Indian people | Female | 1 | HR business partner | Senior level | Mining |
4 | 50 | Mixed race | Male | 6 | HR manager | Middle level | Higher education |
5 | 31 | Indian people | Female | 1 | Senior HR business partner | Senior level | IT sector |
6 | 58 | Black people | Male | 8 | Lecturer Director | Senior level | Higher education |
7 | 54 | White people | Female | 15 | Executive director | Senior level | Graduate recruitment industry |
8 | 35 | Black people | Female | 5 | HR manager | Middle level | Mine |
9 | 38 | Black people | Female | 1 | Lecturer | - | Higher education |
10 | 36 | White people | Male | 9 | HR senior manager | Senior level | Retail and manufacturing |
11 | 45 | White people | Male | 11 | Senior HR specialist | Senior level | Oil industry |
12 | 52 | White people | Female | 10 | Human capital manager and business consultant | Senior level | IT sector |
HR, human resource.
Semi-structured interviews were selected as the data collection strategy. The interviewer both used a prepared set of questions to urge the respondent to discuss the themes of interest, as well as formulated new questions during the interview (Collis & Hussey,
Participants were approached individually through personal emails, and after agreeing to participation, an appropriate time for the interview was scheduled. On average the interviews last between 45 min and 60 min and were conducted at the convenience of the participant either at their office or via Skype. Interviews were tape recorded, and thereafter they were transcribed.
Thematic analysis was used; this is a form of data analysis that encompasses classifying and arranging themes across a data set (Braun & Clarke,
The purpose of this study was to understand the role of HR professionals in navigating industry 4.0. Through thematic analysis seven themes were established and were perceived by HR professionals as significant for the role of HR professionals in industry 4.0.
Themes and sub-themes identified from interviews.
Theme | Description | Sub-theme | Frequency |
---|---|---|---|
Theme 1: |
Industry 4.0 and its influence on organisations | • Embracing new technology | 10 |
• New ways of work | 7 | ||
• Automation | 6 | ||
• HR agility | 6 | ||
Theme 2: |
Digital transformation and its effects on the HR strategy | • Digitisation of work | 9 |
• Delivery of work | 4 | ||
• Reskilling | 4 | ||
Theme 3: |
The avenues through which HR professionals can develop the competencies required to navigate industry 4.0 | • Understanding the environment | 8 |
• Development programmes | 7 | ||
• Networking | 5 | ||
Theme 4: |
The competencies required by HR professionals needed to navigate through industry 4.0 | • Change agent | 11 |
• Strategic partner | 10 | ||
• Creative innovator | 10 | ||
• People enablement | 9 | ||
Theme 5: |
The type of work the HR professionals will embark on through initiatives of industry 4.0 | • HR delivery | 25 |
• Strategic shift | 16 | ||
• Reskilling needed | 10 | ||
• Talent management | 7 | ||
Theme 6: |
The complexities that HR professionals foresee with regard to industry 4.0 | • Uncertainty | 11 |
• Adapting to change | 7 | ||
Theme 7: |
Opportunities ushered in by industry 4.0 | • Innovation and improved systems | 9 |
• Enhanced talent management | 6 | ||
• Delivery of HR work | 5 |
HR, human resource.
The findings relating to industry 4.0 in organisations included four sub-themes, namely, embracing new technology, new ways of work, automation and HR agility.
Participants stated that their organisations had embraced technology and information systems (P8), citing examples such as ‘the introduction of robotics in the production area to take over the duties that were more monotonous and also having [
Participants highlighted the need for new ways of work, such as ‘virtual worktops, flexi-hours because we couldn’t have our staff sitting for four hours in traffic’ (P5). Participant 2 noted the importance of ‘culture and infrastructure’ working together with ‘policies and procedures’ to form the new way of work:
‘I think it’s important that fundamentally we need to review how we do things in our business, because the strategies that we used to use three–four years ago it’s not relevant anymore.’ (Participant 4)
With regard to automation, participants placed emphasis on the use of automation to perform manual tasks, even describing it as ‘a new evolution’ into ‘a more global … automated space’ (P3). Other participants described specific automated systems in use at their companies, such as participant 10, who stated that one ‘can actually see the manpower through the app, and you can just use your finger to sign the document instead of doing it manually or otherwise’. Participant 4 praised the system at his organisation, which dealt with ‘appointments … leave applications, … documentation for recruitment, for selection in terms of … most HR applications’.
One participant stated that an ‘agile environment … forms part and parcel of industry 4.0’ (P2), although one participant noted that:
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Industry 4.0 and HR strategy relates to the digitisation of work, delivery of HR work and reskilling of employees.
The HR professionals noted that work has become digitised, citing examples such as the ‘automating [
Participants also stated that industry 4.0 brings about changes in the delivery of HR work. Participants alluded that ‘we are making strides in terms of improving the processes like … workflow management systems’ (P2). Participant 5 noted a need to ‘basically change or transform HR or people engagement’ as he was ‘constantly dealing with people via technology if they are constantly working with … other virtual teams’, bringing into question the ‘human interactive’ (P5) element of HR. The difference in HR delivery because of automation may bring about a shift from people-orientated frustrations to system frustrations (P3).
In addition, participants highlighted the importance of reskilling employees and stated that ‘the impact for us on the human capital management (HCM) side is huge. The technology is there but the skills are still following’ (P12). The further importance of looking to the future came to the fore, with participant 2 noting that one must ‘forecast and look at the talent, pipeline and the pool’ and ‘look at the future skills, the current skills that we have and how we’re going to get those people into the level that we want’ (P2).
The development of 4.0 competencies encompasses three sub-themes, namely, understanding the environment, development programmes and networking.
In terms of understanding the industry environment, participants stressed the need for being aware of current trends and adapting as such. Participant 2 warned against trying ‘to be safe’ or fostering a ‘culture of being reactive’, instead advocating to ‘increase our mind’ and ‘try new things’ (P2). Participant 11 noted that current thinking may become irrelevant very quickly because of the rate of change and therefore advised that one should ‘be more proactive than reactive. We need to identify gaps in the market and explore them likewise’ (P11). ‘Being culturally and socially aware in order to lead’ (P7) was given as markers of understanding the environment.
Participants placed emphasis on the need for ‘organisational development plans [
Participants highlighted the importance of ‘networking, teamwork and coordinating with others’ (P12) in industry 4.0. They suggested that they may seek out a ‘collaboration space where [
The combination of sub-themes that relate to HR competencies includes being a strategic partner, change agent and creative innovator and the aspect of people enablement.
Participants stated that core competencies would include ‘strategic leadership’ (P6) and being ‘well-read so that they understand the trends’ (P7) whilst ‘looking long term’ (P6). A strategic leader would engage in ‘business partnering’ (P2) and be able to consider ‘the whole organisation systemically in terms of how the different facets or parts of the organisation will interact’ (P6).
Participants highlighted the ways in which HR will need to be able to respond to the changes that industry 4.0 will usher in. They should ‘embrace change’ (P6) to be facilitators or ‘agents of change’ (P2), as well as ‘advise people on how to change things quickly’ (P4). They will need to be ‘resilient … [
A number of the participants highlighted the need for ‘creativity’ (P11; P12) or ‘creative thinking’ (P10), ‘problem-solving’ (P11; P12) and ‘critical thinking’ (P10; P12) skills. Participant 12 also identified the need for ‘emotional intelligence’.
As an HR professional, one of the core competencies is knowing how to interact with people; in other words, the skill of ‘relationship management … [
Four sub-themes regarding HR’s role in industry 4.0 emerged, namely, HR delivery, reskilling needed, strategic shift and talent management.
Participants highlighted the changes in terms of HR delivery, especially with regard to online work and available data. ‘Most of my day-to-day work [
The participants mentioned the important need for HR professionals to improve their ‘skillset to match the advance[
Participants highlighted the need for a strategic shift to ensure efficiency in industry 4.0. There is a greater focus on ensuring ‘that the systems are in line with the cultures and practices in that specific organisation’ (P9) and that influencing employees ‘is very much about them understanding the new ways of work’ (P7). Human resource professionals’ roles have ‘become more consultative; it doesn’t stop with employees’ (P5). One needs ‘to be more proactive and engage with management and be more strategic on how we involve or implement change’ (P5).
With regard to talent management, participants emphasised the need to ‘be way more proactive’ (P12) in managing talent. Instead of reacting to retrenchments, lack of skills or something to go wrong, this participant suggested proactive ‘workforce planning [
Participants alluded that industry 4.0 will bring about
Participants indicated that majority of people have uncertainty about the future world of work. In an ‘environment where already we are faced with people who are skilled but are unemployed’ (P10), HR professionals will be required to manage the ‘people element’ (P6) of the system ‘because [
Seven participants touched on the subject of change. Some foresee ‘resistance’ (P7; P11) as ‘people are scared of change’ (as an extreme example mentioned by participant 1, afraid of being replaced by machines) but ‘scared of failing, too’ (P11). However, HR professionals can assist employees to ‘[
The sub-themes that fall under 4.0 opportunities are innovation and improved systems, enhanced talent management and delivery of HR work.
Industry 4.0 brings about improved HR management systems and innovative ways of work as identified by the participants, such as ‘digital tools for planning, … processing, communication, payments and … digital tools to train’ (P6). Participant 12 stated that ‘innovation will be an opportunity for organisations to grow and develop’, although participant 9 noted that they already had ‘improved workforce management systems right’.
According to participants, talent management will change in terms of ‘education and training systems’ (P12) and ‘better utilising people skills and talent’ (P8). ‘People will be more empowered in their roles because they can do their work remotely’ (P1), and HR professionals will be forced ‘to be more aware of what is the next person’s talents are’ (P8).
Participants further indicated ‘changes in the organisation of work, with more remote and on-demand work becoming a standard’ (P12). There will be a ‘drive on how we better technology to engage with our employees’ (P8), with ‘virtual spaces [
Industry 4.0 is brought upon by technological developments and improvements that transform the way in which HR connects with each other and the organisation, and its impact on employees (Jesuthasan,
The research findings indicated the introduction of new working arrangements, including those of HR, as a result of industry 4.0, much of this through automation (Rana & Sharma,
Industry 4.0 influences HR operations (Liboni et al.,
The transformational influence of industry 4.0 means that organisations and employees will need to place greater emphasis on developing competencies required in industry 4.0 (Özüdoğru et al.,
Industry 4.0 is a revolution characterised by innovative technology where digitisation and artificial intelligence are the focal points in enhancing productivity (Schäfer,
Also, the fact that the fourth industrial revolution is centred on advancement in technology (Burmeister et al.,
Lastly, a crucial competency needed is that of people enablement. For the HR professional to be an efficient leader and manage talent accordingly, good interaction or relational skills are needed. Human resource professionals must possess the ability to foster relationships based on trust and reliability (Ulrich et al.,
There is a paradigm shift in the role of HR in transitioning into a strategic role that allows it to focus on broader aspects other than the administration role (Dhanpat,
Participants suggested that there will be a change in terms of how HR delivers their work. Currently, organisations deal with numerous people issues, such as improved mobility, an inter-generational workforce, changing digital job descriptions and work–life balance (Rana & Sharma,
Participants also suggested that there is a growing need for HR to manage talent. Technology has completely renewed the manner in which employees engage with their organisations (Rana & Sharma,
As much as industry 4.0 will bring about great opportunities that can be leveraged, it also brings forth certain challenges. These challenges refer to things that might hinder the organisations from successfully implementing the changes or exploring new business opportunities brought about by industry 4.0 (Prisecaru,
Participants suggest major challenges with industry 4.0 will be because of uncertainty because people do not know what to expect (Prisecaru,
Industry 4.0 is changing the way in which organisations work (Jesuthasan,
There is scant scientific research on the role of HR professionals in industry 4.0 within the South African context, although there are workshops and seminars being presented within the field. The findings of the study will have implications for the advancement of knowledge of HR professionals and their role in industry 4.0. The study provides insights to HR professionals on navigating industry 4.0. Qualitative insights were gained from HR professionals and HR academics. This category allowed to gauge insights provided by HR professionals in terms of industry and practice, although an academic perspective was considered necessary and can be used to assist HR professionals to acclimatise to industry 4.0 and to be prepared for the changes it brings.
A holistic model for navigating industry 4.0 for human resource professionals.
Although this study provides rich insights into the role of HR professionals in navigating industry 4.0, the information obtained was based on participants’ subjective views. This was overcome through probing. The study was limited to HR professionals and academics, and thus the findings cannot be generalised to other professions. The participants in this study were lecturers, senior- and middle-level HR professionals. For future research, it is recommended that more senior-level HR professionals should be included in the sample, as well as industry 4.0 experts, to understand the role of HR in industry 4.0. It is recommended that this study be used as a point of departure for future research. In addition, HR professionals from organisations that are involved in industry 4.0 activities should be included in future research. Future studies may seek to use quantitative research methods to validate the conclusions and findings of the study.
This study set out to understand the role of HR professionals in industry 4.0. It provides new insights into the role of HR professionals in navigating industry 4.0. The study makes an important, practical and scientific contribution to the understanding of the role of HR professionals, as it affirms that the HR function has become an essential part of industry 4.0. Findings indicate that HR professionals play a vital role and establish their competencies to generate opportunities and mitigate challenges that industry 4.0 brings to the field of HR. Industry 4.0 presents uncertainties such as job loss, making it necessary for HR professionals to put human capital at ease and equip them with the skills needed to navigate industry 4.0.
Thank you to Kevin Walker for his language editing services.
The authors have declared that no competing interest exists.
N.D. was the study leader and was responsible for consolidating and preparing the manuscript and conducted the data analysis. Z.P.B, M.R.J, T.V.M., and N.S contributed to the report for their research project and were responsible for the collection and transcribing of data.
In compliance with the University of Johannesburg’s ethical clearance process, the participants’ right to confidentiality and anonymity was ensured. Participation was on a voluntary basis and participants were granted the option to opt out of the study at any given time (Saunders, Lewis, & Thornhill,
This research received no specific grant from any funding agency in the public, commercial or not-for-profit sectors.
Data sharing is not applicable to this article as no new data were created or analysed in this study.
The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of any affiliated agency of the authors.