Aligning HR Strategies with Business Goals: How Do You Make It Work in Your Organization?

How to develop and implement HR strategies and initiatives aligned with the overall business strategies?

To develop and implement HR strategies and initiatives that are aligned with the overall business strategies, it is essential to first understand the goals and objectives of the organization. This includes conducting a thorough assessment of the current HR practices, identifying areas for improvement, and setting clear and measurable objectives.

Once the objectives are established, the next step is to develop a comprehensive HR strategy that outlines how these objectives will be achieved. This may involve developing new policies and procedures, implementing training programs, or restructuring the organization's workforce.

To ensure the successful implementation of HR strategies and initiatives, it is important to engage key stakeholders across the organization. This includes working closely with senior management, department heads, and employees to gain buy-in and support for the proposed changes.

Regular monitoring and evaluation of the HR strategies and initiatives are also crucial to ensure that they are effective in achieving the desired outcomes. This may involve collecting and analyzing data on key performance indicators, conducting employee surveys, and making adjustments as needed.

By following these steps and staying aligned with the overall business strategies, HR professionals can play a vital role in driving organizational success and achieving sustainable growth.

Dear Colleague,

Talent Acquisition

Redefine job descriptions in line with business strategies/objectives and recruit talents based on that for each talent acquisition.

Talent Management

Your KRA system, KPIs, and overall PMS system should be powerful tools aligned with the business strategies and objectives. These need to be clearly documented, measured, and well-monitored during regular review sessions with each talent, including PIPs, feedback on business expectations, and incentivizing and reward plans.

Talent Development

Ensure all your training and development efforts are connected to business objectives/future plans, focusing on leadership development, career progress, and alignment with the business.

Organization Design

Structure the organization in a way that suits the business structure and strategies.

Review all your HR sub-systems to meet the needs of both people and the business. This realignment process will provide a valuable experience for the team.

All the best and God bless,

Dr. P. Sivakumar
Doctor Siva Global HR
Tamil Nadu

Dear Manisha Thakur, you have asked a query; however, you have not provided the context of your query. Are you a student or a working professional? If the latter, then what is the nature of your industry, finished product or service, the customer profile, the region to which the products or services are provided, and so on.

Examples of the difference in business strategies

a) Reliance and Amazon (in India) are both retail companies. While the former relies on physical stores, the latter relies on e-commerce. While Reliance holds the inventory of the products across the stores, Amazon has developed its fulfillment centers (central warehouses) to store the goods. For HR, the paradigm itself shifts from one company to another.

b) The top-notch Indian IT companies like Wipro, Infosys, etc., relied on the recruitment of freshers and grooming them; HCL Infotech always hired experienced software professionals. While the employee cost remained the same, the output per employee for HCL Infotech was far higher.

c) This point is completely different from points (a) and (b) above. The HR strategy also depends on the organization's culture, and the organization's culture is shaped out of the CEO's mindset. Dr. Vishal Sikka, on becoming CEO of Infosys, tried to bring a culture of "design thinking" to the entire company. This was a radical change in the functioning of Infosys. A successor of Dr. Sikka restored the old culture of the company. The HR strategies changed as the CEOs changed.

Uniqueness is the hallmark of the business strategy. Therefore, what works for one company may not work for another company. While Dr. P. Sivakumar has given a broad list of the points to align HR strategy with the business strategy, customization is not that easy.

Thanks,

Dinesh Divekar