How Can HR Prove Its Strategic Value in Your Organization? Let's Discuss!

What steps can an HR professional take to highlight HR's strategic importance?

What steps can an HR professional take within his or her organization to highlight the importance of HR as a strategic business partner?

Is HR viewed as a strategic business partner?

In your opinion (based on your own personal experience), is HR viewed as a strategic business partner within most organizations?

Currently, the answer is no. The best way is to get a copy of Huselid's research, simplify it down to the basic points, and show it to the board. Mark Huselid showed that companies that focused on HR outperformed the rest. Dave Ulrich, Lynda Gratton, Fitz-enz, and Pfeffer have all conducted lengthy research studies that you can use.

For HR to become a strategic partner, it has to speak the language of the board. That language is money and figures. So, measure things like the cost of employee turnover and employee satisfaction. Show that strong HR leads to bottom-line profits. The evidence is available; use it. Explain Reichheld's loyalty effect, the value-profit chain, etc.

Basically, show that HR matters using the language of money, revenue, and profits. Move beyond simply being a cost.

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