Every business should conduct market analysis in several areas, including sales, marketing, and HR. Changes occur rapidly in HR management because of the environment and the issues that can arise in the field. Several areas that change rapidly include:
- Technological change
- Demographic issues
- Workforce accessibility
- Restructuring of the organization
- Quality concerns of employees
- Economic change
- Diversity issues
As economic challenges and changes occur in all industries, HR must conduct research to ensure its company is remaining competitive in the market. In addition, as occupational shifts, such as decline and growth of jobs and positions in the company, occur HR must stay on top of the changes and meet the demands of the company and the market. For example, as technology grows and more functions become automatic through the use of computer systems and the internet, job positions will decline or change to those with more of an IT background. HR must stay abreast of these changes and how they impact the organization and how other companies are using them in the market.
In addition, as more companies are expanding globally, HR must be aware of global competitors, or how business is conducted globally if the company chooses to expand to other countries. Every country has their own way of conducting business, especially when it comes to employee management. HR must be aware of these differences and how to address them on a continuous basis. Several areas must be addressed by HR, and most can only be done by conducting market analysis in those particular fields.
Have you ever conducted a market analysis? What types of things did you look for?