Report Finds the Majority of Managers Undervalue HR

A study by the Advanced Business Solutions in partnership with Source for Consulting found that 34% of business leaders believe HR Directors do not need to be involved in senior decision-making. In contrast, 73% of HR Directors felt a “critical” need for them to be present in boardroom decisions. Moreover, the remaining 27% of HR Directors felt  they should at least be represented in the boardroom.

The study involved HR, marketing and IT managers from 100 firms. The findings, which were published in December 2012, highlight that the strategic function of HR is either not fully understood, or recognised. There is a vast difference in the perception of Human Resources within companies. Some consider it an administrative role rather than a department that adds value to an organisation.

How do you suggest business leaders and HR Directors reach the same vision on the role of HR in an organisation?

Firstly it would be worth revising what the expectations and potential of a HR team are. If there is an underestimation of how valuable this department is to optimise productivity for an organisation; there needs to be discussion on board level to reach an understanding.

This will open avenues to discuss how HR Directors can be involved in talent management, coaching and skills development. Thus, targets can be set to not only gain the most out of the Human Resources team but also optimise opportunities for the business to develop and gain return on investment.

HR is far from an administrative role. A successful HR Director could make the difference between a good or great business. Find out how you could reach that potential by clicking here.

Kind regards

Laura Ashley-Timms - Director of Coaching

Report by Advanced Business Solutions, Surrey (2012)