For most CHROs, Leadership and management development takes priority in 2025, while the focus on developing HiPo employees notably diminished!
Nicolas BEHBAHANI
Global People Analytics & HR Data Leader - People & Culture | Strategical People Analytics Design
?? Just 18% of CHROs reported having an HR strategy that is seamlessly aligned with their organization’s broader goals.
?? More than half of CHROs (51%) identified leadership and manager development as a top priority in 2025, making this topic the most frequently cited focus among these leaders
?? Other top areas of focus for HR in 2025 include organization design and change management (30% selecting as a top priority), enhancing the employee experience (28%), and optimizing talent management strategies (27%).
?? Many CHROs identified economic and financial pressures among their most significant challenges. Specifically, 61% of CHROs cited wage inflation and 45% pointed to rising operational costs as key challenges.
?? Employee engagement, attraction, and retention are among the greatest organizational talent challenges that CHROs are facing, according to a new interesting research published by SHRM using data ?? from insights collected in December 2024 from 212 CHROs spanning diverse organizational sizes and industries.
? Top CHROs priorities for 2025
Researchers discovered that one topic stood out as the clear top priority for CHROs’ HR teams in 2025 — leadership and manager development. In fact, more than half of CHROs (51%) said this objective is one of their top three HR priorities in 2025.
Additional key HR priorities highlighted by CHROs include:
?? Organizational design and change management
?? Employee Experience (EX)
?? Talent Management
?? Learning & Development (L&D)
?? Performance management
?? Recruiting
This top-cited priority reflects a trending shift in focus within the HR function itself, where a greater emphasis is being placed on leadership and manager development. In addition, this shift may be in response to changing priorities or interests among working populations themselves. As more workers show waning interest in becoming leaders at their organizations, HR may be preparing to minimize a future leadership deficit. At the same time, with nearly 1 in 4 workers projected to be 55 years or older, the impending retirement of many workers will create significant gaps in management and leadership roles that organizations must be prepared to address.
? Cultivating leadership and management skills remains an absolute priority!
Researchers highlighted that many CHROs prioritizing leadership and management development in 2025 are focusing on building fundamental leadership and management skills across their organizations.
?? Notably, 40% identified leadership skills—such as inspiring and motivating teams—as their top focus, while 39% emphasized management skills, which are crucial for effectively overseeing and directing team operations.
?? In contrast, far fewer CHROs prioritized coaching (10%) or the development of high-potential employees (10%) within this area.
?? Researchers conclude that, beyond focusing on leadership and management development, CHROs’ priorities for 2025 reveal a strong alignment with advancing strategic organizational objectives.
While foundational HR functions like employee and labor relations, performance management, recruiting, and total rewards remain critical, an increasing number of CHROs are shifting their focus toward shaping broader business outcomes. Key priorities include spearheading organizational design and change management initiatives, elevating the employee experience, and enhancing talent management capabilities. Together, these focus areas highlight HR’s evolution into a strategic partner, seamlessly aligning workforce strategies with the ever-changing demands of the business landscape to drive long-term success.
?? ???? ???????????????? ????????: I found this report on HR priorities absolutely fascinating. It provides a compelling insight into how HR strategies evolve over time, yet certain core priorities, such as leadership development, consistently remain at the forefront year after year. The enduring emphasis on cultivating leadership skills highlights its undeniable importance to organizational success.
However, what struck me the most was the notable shift in 2025, where the focus on high-potential (HiPo) employees has seemingly diminished. This is particularly surprising given that HiPo employees have long been considered the backbone of organizational talent, driving innovation and business outcomes. Their contributions are often critical to maintaining a competitive edge.
It’s possible that this reduced focus stems from budget constraints or changing workforce dynamics, but it raises an important question: could this be a temporary adjustment, or does it reflect a broader strategic pivot? If HiPo development takes a backseat, organizations might face challenges in succession planning and long-term growth.
Thank you ?? SHRM researchers team for these insightful findings:
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19 分钟前Nicolas BEHBAHANI Thanks for sharing research from an influential and credible organization. SHRM helps shape the HR profession and Johnny C. Taylor, Jr., SHRM-SCP and his team do outstanding work. HR prioritization is such an important topic, especially with the proliferation of genAI tools. https://www.dhirubhai.net/pulse/next-step-genai-human-resources-proliferation-vs-dave-ulrich-wyn8c? What is interesting to me is that all of the investments in what I call human capability (talent , leadership, organization, and HR) seem to be seen as priorities. It may be that each organization's priorities may vary depending on what circumstances they are facing. For example, a company with older leaders who are closer to retirement may face more leadership challenges while a start up company working to grow quickly may face attracting talent.
Many thanks Nicolas, You have shared the most valuable date and your personal view. Indeed, every year top priority is Leadership skill. Moreover HiPo employees retention is based on the Organizational Leadership. Operational costs enhancement and wage fluctuation also top priority at Asian countries, India now. Budget constraints and changing workforce migration dynamics are challenges for organization now. Thanks
Entrepreneur | People | Culture | Employee Listening | Leadership | Growth | Organizational Performance
2 小时前Nicolas BEHBAHANI Super fascinating representation of 2025 HR priorities! What's great is seeing Employee Experience as a top-three priority for 2025. CHROs recognize that engaging and retaining talent requires more than just compensation strategies, it demands creating meaningful workplace experiences that connect employees to organizational purpose. The emphasis on foundational leadership skills alongside employee experience initiatives shows a holistic approach to workforce management, addressing both the quality of leadership and the day-to-day reality of employees. I'm a firm believer in seeing your employees as your first customers. Your people are your biggest opportunity as well as your greatest risk.
I build effective Compensation & Benefits structures for GCC-based organizations. To win in the talent market.
2 小时前Leadership development remains a cornerstone of organizational success. Sustained investment in strong leaders shapes long-term business impact. Nicolas BEHBAHANI
HR Strategist. Lecturer and International Speaker on HRM and Value Management.
3 小时前I love this research Nicolas. It is about time that CHROs focused on leadership and management development. Focusing on HiPo employees is fruitless if you are then going to lose them due to poor leadership. When I attended an All-Party Parliamentary Group (UK Houses of Parliament) to participate in a debate on management back in 2009, the Chartered Management Institute highlighted that, in a survey that they had carried out, 47 per cent of workers surveyed had left jobs due to bad management. During the discussions it became clear that many of those in management positions had been promoted based on their technical skills with little, if any, thought given to the leadership of people. Little seems to have changed. People don't leave bad managers, they leave organisations that have failed to provide managers with the leadership training, coaching and mentoring needed to ensure that they act in a manner that provides value to all stakeholders (including employees). Great post Nicolas - thank you for sharing, what for many, should be good news.