This post is an extension of a comment I made 2 days back. While HR has made progress in terms of the kinds of tools, tech and products available today, overall, as a function we have not elevated ourselves. There are some bright spots spread across but they are not enough
Let me qualify that all the amazing HR stuff you read, hear about probably applies to 10-15% of companies globally, and majority of them MNCs. Generally, HR is operating sub-par.
Let me share a few examples that I come across almost every day.
- Our performance management system doesn’t take into account “How” on individual performance
- Our performance management system is not effective and employees are not engaged
- We don’t have an internal or external EVP strategy in place or anything around employer branding
- HR leaders still needs approval for almost all spent from the CEO
- Our HR policies have not been updated or aligned by business
- Our HR compensation policies are not available for employees
- We still have a full-on manual recruitment process
- We don’t have any any SLAs or metrics to measure efficiency
- We don’t have a formal grading structure
- We don’t run any kind of HR analytics
- We have no salary ranges
The list goes on …
Some of the above comes from top and recognized employer brand names in different markets. The fact that HR leaders still have to get approvals from CEO for discretionary spent and we are continuing to have the same debate on topics after years, proves to me we are nowhere close to where we need to be.
- The ownership in my view lies with HR leaders
- They are the ones who direct the function and how HR can be strategic partners
- They build standards and structures that supports business growth and sustainability
- They need to be pushing the needle and thinking about how to simplify and optimize
- They along with CEO are custodians of the culture in the company
- They call out bad behaviors and hold leaders responsible
- They help and ensure their teams are always upskilling
- They develop and implement a stretched agenda that adds real value to business
The list goes on …
A good HR leader not only impacts the function and its people but has a profound impact on the business. If we have to move the needle as a function, we need leaders who are not just messengers. In far too many companies I see HR talent being wasted and potential not fully realized because of sub par agendas, poor leadership, no real push to improve things.
We can forget about generative AIs and impact of AI when we are still dealing with such fundamental structural and operational issues.
As I learned very earlier in my career, 𝗳𝗶𝘅 𝘁𝗵𝗲 𝗯𝗮𝘀𝗶𝗰𝘀 𝗮𝗻𝗱 𝘀𝗶𝗺𝗽𝗹𝗶𝗳𝘆 𝗮𝗻𝗱 𝘁𝗵𝗮𝘁 𝘄𝗶𝗹𝗹 𝘁𝗮𝗸𝗲 𝗰𝗮𝗿𝗲 𝗼𝗳 𝟵𝟬% 𝗼𝗳 𝘁𝗵𝗲 𝗽𝗿𝗼𝗯𝗹𝗲𝗺𝘀.