Is HR losing its soul? Balancing strategy with the human touch in modern HR

3 minute read

As HR's role in strategic decision-making grows is it at risk of losing its human-centred focus? Roger Clements, chief growth officer at Matrix Workforce Management Solutions, explores how HR can maintain its personal touch while embracing its expanding influence in the boardroom

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Matrix is a leading provider of workforce management solutions that aims to revolutionise the way employers attract, recruit and manage their indirect workforce

Scales with a heart to represent the human touch on one side and cogs to represent strategy on the other

As HR professionals you might often find yourselves navigating a delicate balance between representing the workforce and aligning with corporate objectives. The question I frequently ponder is: as HR's influence expands into the boardroom are HR pros at risk of losing the human touch that is so central to the role? This is a question that has taken on greater urgency as businesses increasingly rely on HR to not only manage personnel but also to shape strategic decisions.

The expansion of HR's influence is undoubtedly a positive development. It reflects the growing recognition that human capital is as critical to a company's success as its financial assets. Skills are in short supply and the modern workforce demands more than just a salary; they seek flexibility, wellbeing and a sense of purpose. The indirect workforce is also growing and companies are beginning to appreciate the agility this brings. In this context HR's role has never been more crucial in attracting and retaining skills and talent.

However, as HR begins to take its rightful place at the board table we must be vigilant. There is a real danger that in efforts to be seen as strategic partners HRs might inadvertently shift their focus away from the ‘human’ aspect of human resources and become over preoccupied with the ‘resource’ element. This could lead to a scenario where HR is more concerned with metrics and efficiency than with the wellbeing and development of employees.

The question then becomes how can the personal touch be maintained while handling more strategic responsibilities? The answer, I believe, lies in striking the right balance.  I believe that HR must continue to represent both the workforce and management, ensuring that their interests are seamlessly aligned. Trust and transparency are key to achieving this balance. Employees need to feel that HR is genuinely on their side, even as they work to support broader business objectives. This is where the human touch must not only be preserved but amplified.

One area where this balance is particularly critical is in the communication function. In many companies internal communications are embedded within HR rather than marketing. This ensures that messages are not only aligned with the company's strategic goals but are also delivered in a way that builds trust and reinforces the relationship between the employer and the workforce.

There is no doubt that HR professionals also have a significant role to play in educating the business. With their seat at the board table they have the opportunity to influence decision-making in ways that keep the soul of HR intact. Issues like flexibility, location strategy and employee wellbeing should be at the forefront of these discussions. By bringing a balanced voice to the boardroom HR can ensure that decisions are made with a full understanding of their impact on the workforce. This, in turn, helps to maintain the soul of the function.

The rise of the temporary and agile workforce presents another challenge. How do HR professionals maintain a strong, human-centred culture in a workforce that is increasingly transient? The answer lies in creating a visible and tangible culture that resonates with both the direct and indirect workforce. This culture and the employer value proposition (EVP) must be instilled from the very first weeks of employment as the indirect workforce, by its very nature, is transient. HR plays a crucial role in getting this right, ensuring that even transient workers feel connected to the company's values and mission.

There are also times when HR's human touch is put to the test, such as during downsizing or redundancy programmes. In these situations HR is often seen as the friend of the workforce, yet it is also the bearer of bad news. This dual role can be challenging but it is precisely here that the soul of HR comes into play. The training and support provided in these difficult circumstances are unmatched and it is this human element that makes HR so vital.

Finally, the increasing reliance on automation presents another challenge. HR professionals are often tasked with making decisions about where automation can replace human employees. This is a difficult balance to strike as the soul of HR is preserved even as new technologies are embraced.

So is HR losing its soul? I don't believe so. Instead I think HR is evolving and sharing its soul in new ways. By staying true to the core values of the profession - trust, transparency and a commitment to the wellbeing of employees - HRs can navigate these challenges and ensure that the role remains a vital, human-centred function within the business world. The future of HR depends on the ability to maintain this balance and to keep the human touch at the heart of everything.

Roger Clements, pictured below, is chief growth officer at Matrix Workforce Management Solutions. You can read more industry insights from Matrix here.

Headshot of Roger Clements from Matrix

Published 11 September 2024
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