Human beings are the heartbeat of the organisation! How can organisations create a solid competitive advantage? How can they foster a culture of excellence? How can they promote a positive work culture? In today's dynamic business world, which department stands out as the midwife and catalyst of organisational excellence and transformation?
It is the department of human resources management. Known by various names such as people operations, employee experience, organisational development, human capital management, people and culture, workforce solutions, employee success, human resources development, people enablement, people and performance, talent and culture, and people strategy.
What makes a world-class HR department? What constitutes a phenomenal HR department?
The evolution of the human resources department has been through the industrial revolution, scientific management, human relations movement, civil rights movement, globalisation and technology, strategic HR, gig economy, flexible work, data analytics and AI, employee experience, knowledge economy, employee empowerment, social responsibility, agile and lean principles, employee well-being and work-life integration, remote work and virtual teams, talent mobility, employee advocacy and voice, emotional intelligence, flexible and agile organisations, remote talent acquisition and onboarding, continuous feedback and performance management, learning and development as a strategic priority, and diversity, equity, and inclusion.
These days, HR practice emphasises the essence of strategic alignment or strategic congruence, which is the consistent connection of all HR functions to the business vision, mission, and core values of the organisation.
There are countless merits accrued when people's strategies are interwoven with business aspirations. Empirical analysis shows that there will be improved organisational performance, heightened employee engagement, escalated agility and adaptability, better talent management and cost optimisation, improved decision-making, enhanced organisational culture, better risk management, amplified innovation, and competitive advantage.
How does the board, CEO, and HR curate strategic congruence through people? To engineer strategic convergence means understanding organisational goals, conducting departmental assessment, developing a strategic plan, fostering communication and collaboration, establishing performance metrics, allocating resources effectively, investing in training and development, implementing change management processes, aligning individual goals with departmental objectives, and fostering a culture of continuous improvement.
Lack of deliberate sensitisation and investment or lack of employee engagement is often indicated by the fact that over 90 percent of attendees cannot verbalise their vision, mission, and core values.
Toxic culture is one of the prevalent complaints in organisations. Positive cultural transformation catalyst benefits are good for business. Findings suggest improved employee morale, enhanced collaboration, increased innovation, greater adaptability, stronger employee engagement, enhanced organisational agility, improved customer satisfaction, greater organisational resilience, higher retention rates, and enhanced employer brand perception.
A review of literature indicates that boosting employee engagement is crucial. Through stakeholder engagements, HR initiatives like employee recognition programmes, performance feedback and coaching, training and development opportunities, wellness programmes, flexible work arrangements, employee assistance programs (EAPs), regular communication, team building activities, career development opportunities, and employee surveys and feedback mechanisms lead to improved productivity, higher retention rates, enhanced morale, escalated employee loyalty, better customer satisfaction, reduced absenteeism, higher profitability, enhanced collaboration, greater innovation, and a stronger employer reputation.
Remarkable HR departments ought to be data-crunching places. Data-driven decisions are the cornerstone of contemporary organisational success. Comparative research shows that the perks encompass informed decision-making, better resource allocation, improved efficiency, increased accountability, enhanced performance tracking, proactive problem-solving, optimal risk management, enhanced transparency, improved forecasting accuracy, and greater competitive advantage.
World-class HR departments should have HR analysts to spearhead the mathematical computation of HR data. Being data-rich is enough.
A thoroughbred HR expert knows change management goodies. By cascading them to every player in the organisation, the upsides include smooth transitions, reduced resistance, elevated employee morale, escalated organisational agility, optimised communication, faster adaptation to market changes, refined teamwork, alleviated disruption, greater innovation, and sustainable growth.
Human resource audits and certified human resources auditors have become common. They help identify areas for improvement, ensure legal compliance, enhance HR efficiency, optimize resource allocation, improve employee satisfaction, enhance organisational performance, mitigate risks, streamline processes, increase accountability, and support strategic decision-making.
Governance issues have a bearing on the hygiene of the organisation. These include accountability, transparency, participation, rule of law, responsiveness, equity and inclusiveness, effectiveness and efficiency, integrity, sustainability, and strategic vision.
When every nut and bolt is covered, the fruits are legal adherence, ethical standards, trust and credibility, minimized legal risks, protected reputation, a positive work culture, enhanced employee morale, increased stakeholder confidence, avoided regulatory penalties, and sustained long-term success.
Post-COVID-19 has seen organisations adopt a wellness perspective. Analysis shows that this is a great blueprint due to increased productivity, reduced absenteeism, enhanced employee morale, improved employee retention, lower healthcare costs, reduced stress levels, better employee engagement, enhanced organisational culture, improved work-life balance, and a stronger employer brand and reputation.
