More often than not, the role of Human Resources within an organization focuses on tactical, transactional responsibilities. The hiring and firing of employees, dealing with crisis or legal occurrences and managing personnel issues take precedence over strategic planning for the company. However, organizations valuing HR and the C-Suite are realizing what a critical asset their perspective can be. This is especially true when it comes to hiring top talent, motivating employees, and ensuring people are truly valued within the organization.
It’s overlooked that the HR department has one of the most, arguably THE most, essential role within an organization. If you believe that a company is only as good as its employees, you quickly realize that selecting the leaders, managers, doers and thinkers either propels a business forward or drags it down.
Lasting Benefits
An authentically engaged workforce has more benefits that extend beyond the office walls. Invested employees are your best form of advertisement and referral sources. These resources share company projects and accomplishments with their networks online and offline. They willingly share job openings and encourage colleagues to apply. They become genuine brand advocates that reach potential customers and clients of your product or service. And, most importantly, engaged employees result in a more profitable business. Studies show that companies who have high employee engagement can generate over $42 million in a company of 10,000.
A 2011 study* revealed that companies utilizing HR and the C-Suite in a strategic capacity experience a 40% lower turnover, 38% higher employee engagement and more than twice the revenue per employee than companies who view HR primarily as a transactional function. It’s important to remember that candidates and potential employees are experiencing your company as a brand, not just a place to work. The lines between talent acquisition and marketing are becoming more blurred. It’s essential that HR have a direct line and combined strategy with marketing executives.
Branding Opportunities
In thinking about the candidate experience from start to finish, potential employees are drawn to strong, inspiring brands. It’s essential that the images being communicated outward are also authentic to what is happening inside your walls.
Delivering Value
Overall, human resources is a prime area of any organization to offer strategic insight. This group assists with company fiscal growth and adds value to the both the employer brand and public image. Ensuring they have a place at the C-Suite table is an essential element for moving your brand forward, and attracting top quality employees for years to come.
*Bersin & Associates Research Report, June 2011