In this difficult and confusing economic environment, organizations are searching for leaders who will provide the knowledge and direction to survive today and grow tomorrow. As one pundit put it, "we can´t just cut costs and hope to save our way out of this economic downturn."
Indeed, successful organizations will utilize this time to form strategies and implement actions that will increase their competitive advantage in the marketplace. Where is this transformational leadership to come from? I suggest that Human Resources step forward and fill the leadership vacuum. The time for HR to be a valued, strategic partner is now!
In the year ahead, I believe the emphasis for most organizations will be on increasing organizational performance. What are some of the components or determinates of organizational performance? One component is an effective employee performance management program that integrates individual and group performance with organizational goals - well, that´s already within the province of HR.
Setting goals, determining measures/metrics and appropriate reward systems for both individual and organizational performance would undoubtedly be another component- and that too is already within the province of HR.
HR typically owns or facilitates organizational development efforts such as establishing functional mission statements, clarifying lines of responsibility, as well as training and career development programs. These efforts can have immediate and dramatic effects on organizational efficiency.
What else is already an HR mandate? Establishing talent management programs that not only retain but immerse the current talent in their work and the challenges of a performance-oriented organization. Also, establishing programs that distinguish between good and superior contributors, and then, rewarding and publicly recognizing top talent.
HR is also in the best possible position to shape a culture that best aligns employee behaviors and organizational goals. HR can help meet operational objectives by recruitment and retention practices that ensure the right staff with the right competencies for the right assignments. This is where HR can help to improve the organization´s productivity. The list of actions HR is already qualified to take is long, which means that there is much valuable work that HR can do for the organization right now. (See Joe Foley´s article for more specific suggestions.)
The road ahead is not an easy one. As organizations have cut back, one of the harder hit areas has been HR. Yet it is imperative that HR professionals remain focused on the actions that are essential to organizational success and avoid the temptation of falling into an administrative quagmire.
HR professionals today have both a significant challenge and a tremendous opportunity to step up and provide leadership in these uncertain times. Those who strive to provide such leadership will make meaningful contributions towards the future success of their organizations and raise the perception of Human Resources as a valued strategic partner. Carpe Diem!
