One of the accusations most frequently levelled against human resources development teams is that its operations are no more than sporadic reactions to crisis, making no essential difference to the organisation, its products or services, or its people. In other words, that the development of people does not add value to the business.
First of all, HR shouldn’t get ‘sniffy’ about this but be prepared to stand up and be counted. If it does add value, this should be clear and persuasive even to the most hard nosed CEO or business owner.
So here’s how HR adds value to a business
- Turning around a failing business unit / troubleshooting
- Identifying and delivering cost savings
- Preparing a business for sale, merger, acquisition or takeover
- Identifying and opening up new markets
Interim Executives are a cost effective and flexible strategic resource, and increasingly organisations are recognising the benefits of deploying their skills and expertise including:
- Importing and hiring experience quickly
- Project delivery and outcome focused, so the Interim Executive is not distracted by corporate politics etc
- Hands-on with full responsibility, recommends and implements based upon practical and proven experience
- Will coach, mentor and share wisdom with your existing staff
Increasing the value of human capital
People are increasingly referred to as human capital and if the workforce is an asset, it’s worth protecting that investment and getting it to appreciate. This can be done by looking after the welfare of people and investing in training and development leading to a more motivated and skilled workforce.
The bottom line
The net result is that you have reduced costs in litigation and putting things right, a more stable, motivated, skilled and productive workforce leading to fewer errors and customer complaints, increased sales and greater market share and ultimately, increased profits. That’s how HR adds value!