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12 - The Chief Human Resources Officer – Delivering people who can deliver

Published online by Cambridge University Press:  19 August 2009

By
Preston Bottger  and
Paul Vanderbroeck
Edited by
Preston Bottger
Preston Bottger
Affiliation:
IMD International, Lausanne
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Summary

When you ask, ‘What's the purpose of an HR organization?’ then the answer is to develop the talents and skill sets of your people and to drive the performance of the company.

(CHRO, global US car manufacturer)

In the past decade, there have been strong calls for the chief human resources officer (CHRO) to be a very close partner to the CEO in the area of corporate strategy. This idea is of course very appealing to many HR people because it places the function at the centre of the business. But, to whatever degree that ‘people are the key to business success’, the reality is that HR is first and foremost a service function.

The CHRO has responsibilities for putting the right people in the right jobs with the right reporting relationships, at the right time, at the right cost. This is a service task.

Now, to supply the diverse people needs of the business, the CHRO must act on the requirements of the firm's business system: products, customers, competitors and the company's internal structure and culture. The methods used by the company to make products, serve customers and thereby create wealth are key determinants of the kinds of people to be recruited. And, the requirements of the business system must also drive the processes by which people are developed, motivated, retained and compensated.

As illustrated in Figure 12.1, it is the firm's business system that sets the parameters of the CHRO's role.

Type
Chapter
Information
Leading in the Top Team
The CXO Challenge
 , pp. 223 - 246
Publisher: Cambridge University Press
Print publication year: 2008

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References

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