Hay Group study finds HR professionals making slow strides in becoming strategic business partners

Inefficient processes and disconnected disciplines holding HR back from being a front seat strategic business partner

Sydney – 14 June, 2012 – Human resource professionals are making slow strides in becoming strategic business partners within their organisations, according to new research Next generation HR from Hay Group, the global management consultancy.

Only 27 per cent of those surveyed in Australia and New Zealand believe HR is making a significant strategic contribution to their organisation; most respondents (66 per cent) positioned themselves somewhere in the middle of the scale, confirming that there’s still much room for improvement. Globally, 34 per cent consider HR’s strategic contribution as significant, with 60 per cent being positioned in the middle.

The research, which surveyed over 1,400 HR professionals and senior management from around the world including Australia and New Zealand, found that the cost-cutting and efficiency priorities – introduced to weather the economic storm of recent years – have now evolved to a focus on driving performance, productivity and growth. Meanwhile, the emerging HR concerns for the years ahead lie around developing an increasingly mobile workforce and ensuring the right people are in the right roles and doing the right work.

Hay Group research highlights that building a workforce for the future is the growing priority. “As market demands continue to change, organisational success will hinge on HR’s ability to connect human capital decisions with business strategy. HR will need to stop clinging to traditional processes and inefficient silos, and move toward an integrated approach that links work and people to business results. Such change is critical if HR is to transition to its rightful place of strategic business partner,” said Anand Shankaran, Hay Group’s Head of Consulting in Australia. 

Download full press release here.