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@2021 by Institute for Corporate Productivity (i4cp). All rights reserved.
No part ofthis publication may be reproduced, distributed, ortransmitted in any form
or by any means, including photocopying, recording, or other electronic or mechanical
methods, without the prior written permission of the publishenr except in the case of 居
brief quotations embodied in critical reviews and certain other noncommercial uses 司
permitted by copyright law. For permission requests, write to i4cp.comy/contact.
FOR COPIES OF THIS REPORT
Research reports published by i4cp are made available to member organizations and
may be shared internally on an unlimited basis. For non-member access or information
on i4cp membership, visit the ji4cp website at i4cp.com or call 1-866-375-i4cp (4427).| 2021 Priorities & Predictions
2021:AYear of Renovation
The COVID-19 pandemic has forever altered work as we know it. While where works gets
done has received the most attention in 2020, weve also seen dramatic changes in the
type of workthat gets done and whem how and who gets the work done. The changes to
the work environment are as extraordinary as weve ever seen\'.
For example, in a recent poll of 150 CEOs of America\'s largest companies, a stunning
85% said theyd be reducing office space in 2021, many by as much as 50%. Not a Single
CEO said they planned to expand their office space in the coming year (Bigman, D.). This
reduction is for good reason; more than half of U.S.employees currently working from
home Saythey\'d like to keep their remote arrangements beyond the pandemicand one-
third wantthe option to telework at least sometimes. Only 11% said they rarely or never
wantto work from home (Parken).
The move to virtual work not only drastically alters entire markets such as commercial
real estate, but Sparks a cascade of shifts in leadership behaviors, team construction，
collaboration norms, gig workers, compensation and benefits, taxation workforce needs
and expectations forflexibility among other areas，
反
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While much of what happened in 2020 put HR in the spotlight, is clearthat the
pandemic has also significantly altered the role of HR, particularly that of the CHRO. ItSs
been said manytimes that Surviving and thriving duringthe pandemic often boiled down
to the strength of HRleadership in any organization. The strategic importance of HR has
been accelerated and elevated this past year一atrend we expect to continue given the
public commitment made by CEOs to make significant progress in DE&l, the priority the
inyestment Community is placing on environmental, social and governance factors (ESG)，
and the new human capital data reporting redquirements set forth by the U.S. Securities
and Exchange Commission (SEC).
| 12021 Priorities & Predictions |
Fortunately, the best- and next-practice data, information and insights i4cp has collected Next Practices
from tens ofthousands of business professionals throughout the past year (see pg 3for icp defines next Practices asS
details) has afforded us a unique perspective, as does the expert insight gleaned from strategies tnat strongy
， ， ， ， ， ， ， correlate to better market
members of i4cp\'s boards, outlined in more detail herein. Through this multi-faceted
performance but are currently
lens, clarity emerges around where organizations will exert their collective efforts as we in limited use一typically
enter 2021, which is best captured in five priorities: by high-performance
organizations.
As leaders take stock of the changes their organizational
cultures underwent duringthe pandemic (and will no doupt continue to experience
post-pandemic) efforts to intentionally change (renovate) culture will increase.
The goal ofthis undertaking in 2021is future-proofing the organization to be
more resilient and agile during the next unplanned event. The impetus for Culture
renovation is strengthened greatly by the elevated importance the workforce，
consumers, and investors now place on the organization\'s sense of purpose (i,e,，
why ij does what it does). Significant damage to afirm\'s brand and shareholdqer value
looms ifits culture does not reinforce the organizations purpose. Culture change
efforts will be necessary to incorporate both the newfluidity in the workplace and
leadership capabilities that will be required to Succeed.
The continuous
development of knowledge, skills, and capabilities to capitalize on opportunity and
mitigate risk is essential for future business agility and sustainability. Purposeful
partnership and movement一both internal (across functions and business units and
with employees) and external (across suppliers, customers, competitors, academia)一
proved pivotal to some organizations in 2020 and will be a difference-maker in 2021.
Persistent racial, social, and
economic inequities that exist on a global scale were forced out of the shadows and
into the spotlight in 2020. In response, many organizations moved from aspirational
rhetoric to public DE&l goals, mostly in response to stakeholder demands and
rulings on human capital data disclosure. Organizations will continue to feel
increasing pressure to attain these stated goals, both at the corporate and board
level and held accountable to Show significant progress against those goals.
The long-anticipated changes to
disclosure of material human capital data is now established for U.S. public
companies. Many are wrestling with the risk; disclosing too much or not enough
can equally create backlash and affect both consumer and employer brands.
Organizations are preparingforafuture in which detailed data about a companys
workforce and culture is open to a引. Complicating matters will be the continued
confluence of many ESG and human capital metrics.
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