In December 2009 PeopleStuf reached out to thousands of HR professionals globally to ask them what was going on in their world. The overwhelming response was that whilst times are tough and morale is wavering there are real opportunities to make a distinctive contribution.

The survey asked a number of key questions including the changes they had experienced both personally and within their HR function over the last year, their priorities to meet these challenges, their top three challenges, the issues they have faced and current skills gaps. Their response was overwhelming and edited highlights are given below. For a full report you should visit www.peoplestuf.com/resources/originalthinking

Key skills gaps emerging within HR

When asked where they thought the skills gaps are within their HR function, the top two answers, with 67% and 55%, were business acumen and courageous leadership respectively. The lowest answer was HR professionalism (16%). Around a quarter to one third of the respondents thought customer focus, building relationships and results driven were skill gaps while innovation was considered a skill gap by 48% of the respondents.

Last year was challenging

When asked what changes they had noticed in the last year, 75% mentioned that they personally had experienced an increase in both business skills requirements and business demands while 86% had experienced an increase in business demands within the HR function. One half to two thirds had seen a decrease in both budgets and head count and 50% felt both greater professional challenges and saw an increase in tension within the HR function.

With regards to priorities, two thirds of the respondents mentioned an increase in managing talent and in managing change and cultural transformation. In meeting those challenges, however, 80% saw an increase in their workload and in changing business priorities and two thirds experienced an increase in internal politics.

Simply put, life has got harder for HR. Organisations are demanding more from HR but are reducing both budgets and headcount. Priorities are changing more often and internal politics have increased. The need for talent and change management programmes has increased over the last year. To make it more challenging, the rest of the organisation expects HR to already have the technical skills to do their job. What HR is being asked to do is increase their business skills and knowledge, presumably to ensure that their technical knowledge can be better applied to business issues and priorities.

What choices does HR have?

One choice is for HR to continue to take the tried and tested route by focusing on the efficiency agenda, relying on their technical skills and knowledge to provide ‘more of the same’ but cheaper and faster. Based on the ‘trust me I’m an HR professional’ approach, such programmes are often shrouded in ‘HR speak’ with little interest shown in demonstrating where they support business objectives.

At PeopleStuf, we believe that this ‘State of the HR Nation’ survey supports both our personal experiences in the HR front line and that of our many delegates and clients in demonstrating that this choice will lead to the marginalisation of HR. As the resourcing and shared services experiences of many organisations will testify, a third party will almost always be cheaper (but not necessarily better) than an internal function.

The other choice is to recognise that HR needs to become part of the organisation and not a Cinderella function. As this survey highlights, the starting point for HR is to focus on up-skilling its business acumen and become more courageous in its leadership. Before it can become a ‘partner’, HR must be able to talk to, understand and be understood by, the rest of the business.

What does this mean for you?

In our own corporate experience and that in dealing with hundreds of senior HR professionals, managers and directors, we think this feedback reflects commonly held perceptions of life in HR at the moment. We know that being in HR is tough, but we also know that you’re not alone.

Having great HR technical knowledge is now a given. To be employable in HR, you need to be able to apply that knowledge in the context of your organisation (business acumen) and have the skills, foresight and mental toughness to demand more from yourself and the business (courageous leadership). We also know that doing all of this by yourself can be lonely and we encourage you to draw upon the strength of other like-minded individuals – both in your immediate organisation and externally.

Taking the next step

Now is the time for you to become a leader and focus on where you can best support your business. Only by ensuring that you have the capability to sensibly engage with the business and to speak up and speak out where necessary, will you build the credibility needed to become a true strategic partner.

About PeopleStuf

At PeopleStuf we work with HR professionals like you to help you create innovative people solutions and courageously apply them. We help you to bridge the gap between academic vision and consulting rhetoric to guide and inspire you and your HR community to move from being 'followers' to leaders.

If you’d like some practical hints and tips on how to increase your business acumen and become a courageous leader, go to www.peoplestuf.com/resources/originalthinking


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