The high-impact HR operating model
HR has a new mission. Here’s the plan.
Nearly 40 percent of the measurable difference between high- and low-performing organizations can be traced back to leadership development and people management. Improving performance in both of these areas is part of HR’s new mandate. What’s been missing is a high-impact operating model to go along with this ever-expanding role.
The need for HR transformation has evolved in recent years from a focus on productivity and efficiency to an emphasis on impact and strategic business partnering. Yet today, more than two out of every five companies say their HR operations still have a “weak” impact on organizational success . As a result, organizations now expect HR to deliver more value in more ways. To set the talent agenda in a global Open Talent Economy. To contribute to performance and engagement. To use technology and analytics to deliver bottom-line results.
Making this all happen takes a sharp focus on three principles.
It’s about the business. Business imperatives and insights about the workforce have to guide how HR operates, not the other way around.
Nimble is key. When HR demonstrates agility and flexibility, it unlocks high business performance throughout the organization. It also sets a standard for performance in other functions.
Beyond the organization. The importance of industry, social networks, customers, the external market, and other stakeholders must be reflected in how HR operates.
The High-Impact HR Operating Model is a new way to visualize the roles and relationships any HR organization must understand today. It’s designed to help HR meet the growing expectations of the business, efficiently and with added value.
After all, that’s why HR exists in the first place, isn’t it?
1 High-Impact HR: Building Organizational Performance from the Ground Up, Bersin by Deloitte, July 2014