How HR Can Finally Get a Seat at the Table
Dan Schawbel
LinkedIn Top Voice, New York Times Bestselling Author, Managing Partner of Workplace Intelligence, Led 80+ Workplace Research Studies
Historically, HR has struggled to secure a seat at the executive table due to several factors. One primary reason is the perception of HR as a primarily administrative function rather than a strategic partner. Traditionally, HR was seen as responsible for managing personnel records, payroll, and compliance, which, while essential, were not viewed as critical to the company's overall strategy. This perception was often compounded by a lack of quantifiable metrics demonstrating HR's impact on business outcomes, making it difficult for HR leaders to argue for a more influential role in strategic decision-making. Additionally, HR's focus on employee welfare and compliance sometimes contrasted with the business-centric focus of other executive functions, leading to a perception that HR was more of a cost center than a driver of value. As a result, HR was often excluded from key strategic discussions, limiting its influence and visibility within the organization.
But everything changed during the pandemic, which significantly elevated the role of HR within companies, transforming it into a central, strategic function. As organizations faced unprecedented challenges, such as managing remote work, ensuring employee health and safety, and navigating rapidly changing regulations, HR became crucial in guiding companies through these complexities. HR leaders were tasked with developing and implementing remote work policies, maintaining employee engagement and morale, and facilitating communication across dispersed teams. Additionally, HR played a vital role in addressing mental health concerns and supporting employees' well-being during a time of heightened stress and uncertainty. The need for rapid adaptation to new working conditions and the emphasis on maintaining a positive organizational culture amid the crisis highlighted HR's strategic importance. This shift has led to greater recognition of HR as a key player in shaping company strategies and ensuring business continuity, earning HR leaders a more prominent and influential seat at the executive table.
In today's rapidly evolving business landscape, HR's role is expanding to encompass strategic initiatives that drive organizational success. A recent survey of senior business leaders found that the HR department today has significant influence over purchasing: HR is seen as one of the top five decision-making functions by half (49%) of executives, putting it ahead of marketing, tech, legal, and procurement.
For HR to gain a "seat at the table" and be recognized as a vital part of the executive team, HR professionals must demonstrate their ability to contribute to the company's strategic goals and show how their initiatives directly impact the bottom line. Today, I explore how HR can transform its role from a support function to a strategic partner and gain the influence it deserves within the executive suite.
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HRBP/ HCM Strategy Director - Expertise in Employer Branding and Employee Relations/ Employee Assistance/ Employee Experience and HRIS/ Benefits/Payroll Vendor Liasion.
2 个月That is why HR professionals should look at the HR costs on an annual basis and recalibrate the expense so more value is driven and distributed amongst the employees and thus it affects strengthening the employer’s brand as well. HR should constant look for a win win situation and negotiate with HR vendors and insurance brokers whenever possible. Best practice is benchamerk on a semi annual basis .
Administration specialist
3 个月The two P's maker deptt, Policy & Politics, with no offence to any one
Human Resources Specialist
3 个月Indeed!
People Leader | Change Manager | Project Manager | Scrum Master | Operations Manager | Regional Manager | AML/CFT | Country Manager | Six Sigma | Senior Sales Manager | Banking | Finance | FMCG | Beverage Industry
3 个月HR should always have a seat at the table, they are important! Immensely.
Financial Consultant
3 个月Absolutely agrees with you that HR is very often seen as a cost to an Organization as compared to other income generating departments such as Sales & Marketing or projects with clients. It is time for employers to start to honor HR as an important entity alongside the other departments for growth of the Organization!