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Reinventing HR: From Support Function to Strategic Lever for Your Company’s Growth

Human Resources are no longer just a support function. By reinventing them, they can become a strategic lever essential to your company’s growth.

Key Takeaways:

  • Strategic Positioning: Involve HR in strategic discussions from the outset.
  • Goal Alignment: Align talent and competency management with the company’s ambitions.
  • Direct Impact: Proactive HR enhances performance, reduces turnover, and increases organisational agility.

Introduction

In many companies, Human Resources (HR) are often relegated to the status of a mere support function. Confined to “staff management,” they are usually the last to be informed of the company’s overall strategy. Yet their potential goes far beyond this limited role.

Imagine for a moment: HR as a genuine strategic lever for the company. Utopian? Not at all! I can assure you that this is not only possible but essential for the long-term success of any organisation.

So, how can HR be transformed from a reactive department into a proactive player in the company’s strategy? How can they be involved from the outset in action plans to optimise their implementation? And most importantly, how can they become a major asset in improving team performance and strengthening engagement?

Ready to rethink HR’s role in your company?

Take a 10-minute break ☕️ and dive into this article.

Here, you’ll find some insights on how to turn your HR into a true growth engine!

Understanding and aligning with the company’s goals

The first step to turning HR into true strategists is to deeply understand the company’s goals. It’s not just about skimming through the key points, but truly immersing oneself in the organisation’s vision, mission, and growth ambitions.

Gone are the days when HR was the last to know. HR must be at the heart of strategic discussions, not just spectators at the end of the table. This central position allows them to fully grasp the company’s challenges and directions.

Once this understanding is achieved, HR can move to action. How? By translating these major strategic goals into concrete, operational plans.

Let’s imagine your company wants to conquer a new market. HR won’t just sit idly by! Their mission would extend to several key aspects:

  1. Identifying the essential skills needed to succeed in this expansion
  2. Developing training to boost internal talent
  3. Adapting recruitment strategies to find the missing gems
  4. Aligning performance objectives and compensation with this new venture

Thus, HR is no longer limited to a reactive role but becomes a proactive player in executing the company’s strategy. They become a true engine of the company’s transformation and growth.

But for this to happen, HR must be integrated from the very first discussions about the company’s strategy to be able to ANTICIPATE these transformations.

The benefits of strategic HR alignment

When Human Resources fully embrace their role as a strategic partner, the company reaps significant benefits. Here are three particularly noteworthy ones:

  1. Improved Overall Performance: By aligning talent with objectives, the company can see a marked improvement in performance. Employees are not only more competent but also more motivated, with a better understanding of their role in the organisation’s success.
  2. Reduced Turnover: Strategically aligned HR helps create an environment where employees feel valued. The result? Fewer departures, reduced replacement costs, and a more stable team. It’s a virtuous circle that benefits everyone.
  3. Increased Agility: In an ever-changing world, a company’s ability to quickly adapt to market changes is essential. This agility largely stems from proactive HR management, capable of anticipating and adjusting to the company’s needs in skills and talent.

However, it’s important to remain vigilant.

A misalignment between HR strategy and the company’s strategy can have detrimental consequences. Here are some warning signs to watch for:

  • Conflicting objectives between HR and general management
  • HR being siloed, isolating them from the company’s day-to-day realities
  • A lack of motivation and engagement from employees, indicating a disconnect between stated values and actual practices

Ultimately, integrating HR from the start in strategic thinking is not just an option anymore; it’s a necessity.

HR is not just there to handle administrative tasks or organise seminars. They are the architects of company culture, the guardians of employee engagement, and essential strategic partners.

Today, viewing HR as a strategic lever is, in my opinion, indispensable. A company where each employee understands their value and role is better equipped to meet all challenges.

By making HR key players in your strategy, you’re not just optimising performance; you’re building a strong and unified company culture, ready to face the future with confidence.

Some insights on transforming HR into a strategic partner

To truly position Human Resources as a strategic partner, here are four insights to consider:

(1) Strengthening Collaboration with Management

HR must be seen as strategic partners and not just a support service.

This means giving them a voice in key company decisions. Close collaboration between HR and management ensures that HR initiatives are not only relevant but also perfectly aligned with the organisation’s strategic goals.

(2) Harnessing the Power of Data

In today’s digital age, data is a valuable asset for HR. It allows them to identify trends, anticipate talent needs, and evaluate the effectiveness of the actions taken.

For example, if turnover rates increase, an in-depth data analysis can reveal underlying causes and guide the implementation of targeted, effective solutions.

(3) Cultivating Innovation and Continuous Learning

Innovation is a key factor in competitiveness, and HR is ideally positioned to instil this culture within the organisation. By implementing continuous training programmes, encouraging cross-department collaboration, and creating environments conducive to creativity, HR can transform the company into a true incubator of innovative ideas and a learning organisation, capable of quickly adapting to market changes and staying ahead in its sector.

(4) Aligning Talent Management with Company Goals

It’s not just about recruiting the right profiles but ensuring that each employee evolves in a role that directly contributes to the company’s objectives. HR can develop personalised career plans that meet both the employees’ aspirations and the organisation’s strategic needs.

This approach not only optimises talent utilisation but also strengthens employee engagement and retention.

By implementing these strategies, HR can position itself as a true catalyst for the company’s performance and growth. They no longer simply react to needs but become proactive, anticipating challenges and seizing opportunities to shape the organisation’s future.

Conclusion

HR is not just a support service. It’s a strategic engine for the company. By aligning them with overall goals, organisations can not only perform better but also be more flexible and innovative.

So, dear leaders, next time you’re defining a strategy, think about inviting your HR to the table from the very beginning. You might be surprised at how valuable their contribution can be to your company’s future.

And who knows, perhaps this enhanced collaboration will be the boost you needed to take things to the next level!

Author

Founder of the coaching & consultancy firm Kachōwa. I leverage my expertise to support businesses in their growth and transformation projects on HR-related topics.

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