2018 Human Resources Plan – Be a Business Partner

For the last couple of decades, Human Resources has been singing the song about being a business partner.  I question whether we are using the right lyrics.  Often it is difficult to translate how HR activity affects the income statement or the balance sheet.  As a result, HR may appear to talk in platitudes versus communicating in the language of business.  It does not have to be that way.

The Approach

Recently I had a conversation with the CEO of a relatively new client for whom we are providing Fractional Human Resources support.  The purpose of my visit was to crystallize thoughts on a proposed 2018 Human Resources Plan and to ensure I was aligned with the executives’ thoughts and direction.  They were surprised at the approach I used in the meeting.

The meeting agenda included:

• Confirming the organization’s immediate and longer-term goals and objectives.
• Reviewing a SWOT analysis of the organization’s human capital situation and the HR function. This is a study undertaken by an organization to identify its internal strengths and weaknesses, as well as its external opportunities and threats.
• Proposing 2018 goals and objectives for the HR function, as well as longer-term goals that will influence the organization.
• Identifying resources (budget and headcount) available in 2018.
• Outlining reasonable tasks that could be accomplished, assigning priorities, responsibilities and due dates.
• Obtaining agreement on how the projects would be reported and evaluated.
• Providing alternatives should circumstance occur that might interrupt the plan’s  execution.

The leader observed that a similar planning process had been used in operational areas of the company but had never been applied in Human Resources.

The Two-Pronged Plan

The presentation to the CEO outlined a two-prong plan on what Human Resources could do for the organization.

1. Foremost was driving sales and reducing costs.
2. Secondary was serving the internal customer groups, i.e., the other functions and employees of the company.

The CEO needed to be comfortable that there is something in it for him/her because resources were being allocated to the HR function and there needed to be a return on the investment.  By taking the following steps, I believe HR can be treated more as an effective business partner.

• Identify and align how they will support the organization’s mission.
• Communicate their activities in specific action plans and due dates.
• Assign responsibilities and provide regular reports on progress achieved.
• Agree on an evaluation processes and metrics.
• Hold people accountable for expected results.

Taking these steps will improve Human Resources credibility and allow them to function more effectively as part of the leadership team.