ROLE OF HR IN BUSINESS VALUE CREATION

Dr.S.SUNDARARAJAN

Associate Professor-MBA

The state of the man’s evolution can be judged by the degree of value creation/addition  in any man-made systems like manufacturing, education, marketing, governance ,etc. Man is the prime source that creates other inanimate or animate resources. HR that has been passing through different  forms with the introduction of factory system in the 18th Century like  Time Office, Personnel Management,  Manpower Planning and Development, HRD,  HR, Talent Management, etc., helps create all these secondary resources  in general and human in particular. This underlines the significance of HR in all man’s activities. Hence value creation in HR business is more wanting than in other areas of functioning.Value addition by all to accommodate and handle change which is inevitable is the most urgent requirement of the day in business.

1. Value Creation by HR is a hot topic these days. Voices in the boardroom are loud and clear. Expectation is that, like marketing, sales or research and development, etc., HR has to start creating value in business and if it cannot create value than its best suited to sit outside the organisation with an outsourced service provider of transactional activities”.

2. HR Must Lead Change – It’s no longer debatable. To become better business partners, human resource management leaders must shed their tactical skins and transform into value-creating change agents.

3. “Grow people + Grow business = creating value”.

4. Non-stop unforeseen turbulence, straining organisational objectives, who will survive fittest, who will triumph, only the agile, in business it means sense-making, risk management , situational problem analysis, analytical sharpness for bank insurance acid management as technology becoming  disruptive so fast.

5. New capabilities, new qualities, in the way HR managers organise the people and the relationship among people, more strategic approach.

6. Business Strategy:- Going to the business teams – talking about the new capabilities – something imposing on the HR – Leaders focusing HR to add more value.

7 out of 10 not reaching full potentials….find why them excel so that new hires do not fail – HR Data – integration and analysis – Gold mine evidence based information – increase profitability –reduce uncertainity and master HR Processes – Cycle – job portal – screening – selection – on boarding – appraisal – evaluation – development – leaving.

8. HR analytics – we have data but mining what is important to take a call..

9. The future is VUCA. The future is now. Get ready to revolutionized.

10. Stop – treating people like paper clips – Remove cost – Remove work that doesn’t add any value – Remove waste – Remove admin – New breed of leaders who are adoptable, flexible, people leader – Working practices – remote working.

In this fast-evolving business world, corporates have a multiple challenges. But how they deal with them reveals their eagerness to embrace the future and their desire for real change. New challenges need newer solutions, not reprocessing the old resolutions or “doing more of the same”. Hence the roles of the HR need high emotional quotient to boost diversity at work.