HR That Means Business: Focusing on Value Creation
Next generation HR transformation positions HR as a vital player in helping create shareholder value
For the past 10 years, HR has focused on transforming its operations and improving its transaction efficiency. And while significant improvements have been made, the impact of those improvements often seems limited. After all, HR operations and administration typically represent less than one percent of a company’s revenue, so even significant efficiency improvements can have a relatively small impact on the bottom line.
To make a real difference, HR should focus on activities that help create value for the other 99 percent of the company. The good news is the opportunities for HR to do just that are significant and increasing.
Companies face a wide range of talent-related challenges that are expected to have a major effect on performance. A competitive global market for talent. International expansion. Market pressure for sustained revenue growth. Intense regulatory scrutiny.
In the years to come, how effectively a company addresses these kinds of business issues will determine its results. We believe that HR is uniquely qualified to help the company address these issues. This book addresses our vision for the strategic role that HR can play in helping to drive overall business value.
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