How to put people at the heart of company decision making

How to put people at the heart of company decision making

Introducing a HR strategy that automates simple tasks and frees up time to focus on building a positive, people-focused company culture

Introducing a HR strategy that automates simple tasks and frees up time to focus on building a positive, people-focused company culture

  • There are many misconceptions about the role of HR, which are often driven by a lack of visibility.
  • When managers take accountability for people tasks that were traditionally considered part of the personnel function, it’s often seen as an indicator of good leadership; a sign that the people at the top of the company communicate well with their team. In many instances, there’s not always a need to call on HR to settle issues surrounding things like contracts, training, appraisals or bonuses.
  • It’s more common to call on HR when a more technical or complicated people-related issue comes up. For example, when there’s uncertainty around regulatory or legal requirements surrounding employment, HR may be brought into the conversation as subject matter experts.

Misconceptions about HR are driven by a lack of visibility.

  • A natural downside to this way of working is that many employees will only ever come across a HR professional when they’re being interviewed, or having to go through some sort of formal performance management or disciplinary process. This means that HR is sometimes seen as the department of ‘hiring and firing’, or that the ‘H’ in HR stands for anything other than human.
  • I believe there’s a better way to approach the integration of HR in organisations: one that still allows leaders to stay connected with the people in their teams while placing the focus on core company values to better care for both colleagues and customers
  • HR is the custodian of fairness, equality and inclusion in any business. This means that they’ll put systems and processes in place to make sure that you’re not discriminated against. You may not see them at any point during the selection process, but if you’re treated with dignity and respect, we’ve done our job right.
     
     

How should I be managing and developing performance in my organisation?

  • The key to managing performance is open and transparent conversations, where the employee feels in control of their own destiny.
  • Both employer and employee know what’s expected of them, what they’re great at, and where they need support. It’s not rocket science, this approach builds engagement, which is better for business.
  • Research shows engaged employees generate 43% more revenue than disengaged counterparts. High engagement can also lead to a tripling in profit growth, an 87% reduction in staff turnover and a 20% improvement in performance.

Why quick fixes aren’t enough

  • There’s no question that many businesses set out to do the right thing. Leaders often strive to live and breathe the core values of the companies they run, so that their actions, behaviours and decisions are consistent with these values and their organisation’s overall purpose.
  • Some of the ‘quick fixes’ that businesses choose to demonstrate that they value their people and communities include:
  • Flexible reward and recognition schemes
  • Paying at least the living wage
  • Developing a pipeline of leaders within the business
  • Reinvesting profits in community investment schemes to demonstrate social value

Quick fixes won't create a lasting and positive culture

  • While these actions are all commendable, there are wider and more strategic decisions that can be taken to create a lasting and positive culture. This is where a dedicated HR expert can help.

A new model for HR

  • Executives, directors, boards, business owners and leaders might consider moving from the Ulrich model (where HR is separated into roles such as employee champion, change agent, strategic partner and administrative expert) to a more evolved HR network model – one that builds on the success of existing business partnering relationships.
  • Nowadays the majority of service centre work can be dealt with via automated workflows, AI, chatbots and self-service apps, allowing people to take care of admin tasks themselves. This means that tasks like managing annual leave balances, recording absences and related documentation or making basic queries about salary payments no longer require the resources they once did.
 

The team that previously would have managed such tasks will now be free to manage self-service platforms and related processes. In larger organisations, personalising and tailoring these platforms to the needs of the people who use them can be achieved without sacrificing efficiency or compliance.

HR needs to change. It’s time to focus on ‘people not process’

Meanwhile, HR project teams can act as internal consultants, focusing on work that is directly informed by the company’s people strategy. Their expertise can call upon a blend of internal and external resources, with subject matter experts working on important strategic areas of work such as:

  • Organisational development
  • Organisation design
  • Diversity and inclusion
  • Rewards

By following a model like this, HR becomes a network of change, engagement and influence. Your people team becomes a key part of wider business decision making, blurring the traditional boundaries of HR and putting people at the very heart of what the company does.

HR networks are excellent at building and growing relationships, managing change and engagement and work to achieve the wider strategy goals. When you consider all this, it seems natural to include HR in your decision making process.

Don't know where to start when it comes to supporting your team through the Cost of Living Crisis?

We are passionate about finding ways to help bosses do the best they can to look after their people.

Some of what we’ve outlined here is simple, but implementing activity that’s targeted to help those that need it most often gets businesses in a pickle. Primarily because they get bogged down about treating all employees the same.

If you need help to work how to support those that need it in a way that’s fair and legal, then please drop us a line. We’d be happy to talk to you.