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What Happened to HR? February 19, 2014

Posted by Tim Rodgers in Management & leadership, Organizational dynamics.
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In 1996 I started a new job at Hewlett-Packard’s facility in Vancouver, Washington. The site at that time was supported by a large HR organization that had about 10-15 full-time staff. In 2001 I transferred to a different HP location with slightly fewer employees, but only about 4 HR professionals. In the years that followed the HR function was transformed from a locally-based, hands-on organization to a self-help model with a handful of regional support staff.

I suspect that most large corporations went through a similar transition in the first decade of the century. Today’s HR organizations seem to be focused on recruiting, hiring and on-boarding; benefits administration; supporting downsizing and other termination events; and generally keeping the company out of legal trouble. It’s becoming hard to remember, but HR used to be a lot more than that, at least at those companies who considered their human resources to be a source of strategic advantage.

Obviously a lot of money was saved by reducing the size of the HR organization, and I’m sure it was assumed that line managers and web-based training could meet the needs of the business, and some things were given  up because they weren’t considered to be all that important. I understand that it’s unlikely that we will ever return to the old days of large HR organizations, but if we expect managers and leaders to pick up the slack, then we should remember what HR used to do and ask whether those things still have value.

I’ve been thinking about all this after finding my notes and readings from a class that I took in HR during my MBA program in the late 1990s. In those days HR was described as a key partner, working side by side with other functional leaders to ensure that policies matched the strategic needs of the business. HR professionals led programs in organizational design and improvement, change management, and competitive benchmarking. They worked with line managers to identify future leaders, and design career development opportunities and succession plans. New managers were provided extra training and support for their transition. Staffing plans were based on a long-term view that considered the specific skills and intellectual capital that the company needed, and the company-wide perspective of HR helped ensure that new initiatives were not starved for resources.

I realize that few companies can afford to keep full-time HR personnel to do all those things. My point is that if we don’t, then either we’re saying that we don’t care about those things, or we expect somebody else to do them. If human resources are important to the company, then line managers and other leaders will have to step up and assume the responsibilities of a virtual HR organization.

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Comments»

1. Julie - February 20, 2014

Good article. I believe the investment in soft skills training has also evaporated with detrimental results. At HP we used to have not only leadership training, but also training in conflict resolution skills and even how to effectvitiley communicate with different personality styles.


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