NOTE: This article is not written by me. Read it from http://www.linkedin.com/groupItem?view=&srchtype=discussedNews&gid=52264&item=268498134&type=member&trk=eml-anet_dig-b_pd-ttl-cn&fromEmail=&ut=0wvyit7bKhwBU1 written by Mr. Vinayak Nadkarni.
But content is so relevant that I can see HR professionals limiting themselves to lower levels day in and out
A must read for aspiring HR professionals
The reason why most people in HR don't make it to the top is because they have not groomed themselves to becoming ‘HR-driven business managers'. I can classify HR managers into five distinct categories based on the work they do:
Level One: This is also the bottom most level, referred to as ‘HR administration' in which documentation, data gathering, record-keeping, and MIS are the main focus areas. This work is largely clerical and ‘outsource able'
Level two: It revolves around monitoring and execution in which the focus is on collecting information, ‘reminding' people, getting forms filled and statutory obligations fulfilled. These may also include data analysis and feedback to the top management. The measures are quantified in terms of appraisal forms filled in time, capacity utilisation of training centres, recruitment and retention rates of employees
Level three: Here, designing and implementing are vital activities wherein the focus is on reviewing the existing systems, redesigning and starting new practices in performance appraisals, incentives/performance-linked pay, learning and development and employee engagement
Level four: Here, one is busy strategizing, innovating, integrating and leading. In this level, the HR manager has to be aligned with business goals and his/her concerns shift from having a ‘good HR' to more of a ‘business driven HR' set-up. The HR person at this level is constantly looking for what is called as ‘next practices'. At this level, HR focuses on building leadership across the organization by using multiple tools including 360 degree feedback, development centres, top management team-building exercises, etc. Here, HR becomes talent-focused and the concern is on acquiring, retaining, nurturing and multiplying talent
Level five: And finally, this is the most evolved and progressive level focused on making HR a business partner. Here, managers realize that there can be no business without talented people at all levels and particularly at the top. They believe in the philosophy that people make business and therefore, ‘business-driven talent management' is essential. The focus shifts from tangibles to intangibles and from immediate and short-term performance goals to building long-term capabilities and from quarterly results to intellectual capital-building and shareholder value enhancement. Dave Ulrich calls this ‘outside–in HR'. I call this ‘business-focused HR'. The trouble with most HR people today is that they are stuck at the lower levels. A large number of them fail to grow beyond the first three levels. Many of them get habituated to hiring consultants and outsource their work rather than doing significant HR tasks themselves. How can you grow to be a CEO when you outsource recruitment, training, competency-mapping, employee engagement surveys and restrict yourself to being ‘materials managers' arranging for tender documents and finding out least expensive consultants? Shouldn't a modern-day HR manager understand customers and other stakeholders and direct the talent to be business-focused? Such HR managers can't grow to be CEOs. Our B-schools in HR do not prepare HR to be CEOs and in fact aim at preparing them for the first two or three levels of HR sadly.All CEOs are required to be good HR people and past leaders have demonstrated this. It is high time HR recognises the potential they are sitting on and change their ways.Almost all successful CEOs of the past and current corporate scenarios are good ‘people managers'.
Level One: This is also the bottom most level, referred to as ‘HR administration' in which documentation, data gathering, record-keeping, and MIS are the main focus areas. This work is largely clerical and ‘outsource able'
Level two: It revolves around monitoring and execution in which the focus is on collecting information, ‘reminding' people, getting forms filled and statutory obligations fulfilled. These may also include data analysis and feedback to the top management. The measures are quantified in terms of appraisal forms filled in time, capacity utilisation of training centres, recruitment and retention rates of employees
Level three: Here, designing and implementing are vital activities wherein the focus is on reviewing the existing systems, redesigning and starting new practices in performance appraisals, incentives/performance-linked pay, learning and development and employee engagement
Level four: Here, one is busy strategizing, innovating, integrating and leading. In this level, the HR manager has to be aligned with business goals and his/her concerns shift from having a ‘good HR' to more of a ‘business driven HR' set-up. The HR person at this level is constantly looking for what is called as ‘next practices'. At this level, HR focuses on building leadership across the organization by using multiple tools including 360 degree feedback, development centres, top management team-building exercises, etc. Here, HR becomes talent-focused and the concern is on acquiring, retaining, nurturing and multiplying talent
Level five: And finally, this is the most evolved and progressive level focused on making HR a business partner. Here, managers realize that there can be no business without talented people at all levels and particularly at the top. They believe in the philosophy that people make business and therefore, ‘business-driven talent management' is essential. The focus shifts from tangibles to intangibles and from immediate and short-term performance goals to building long-term capabilities and from quarterly results to intellectual capital-building and shareholder value enhancement. Dave Ulrich calls this ‘outside–in HR'. I call this ‘business-focused HR'. The trouble with most HR people today is that they are stuck at the lower levels. A large number of them fail to grow beyond the first three levels. Many of them get habituated to hiring consultants and outsource their work rather than doing significant HR tasks themselves. How can you grow to be a CEO when you outsource recruitment, training, competency-mapping, employee engagement surveys and restrict yourself to being ‘materials managers' arranging for tender documents and finding out least expensive consultants? Shouldn't a modern-day HR manager understand customers and other stakeholders and direct the talent to be business-focused? Such HR managers can't grow to be CEOs. Our B-schools in HR do not prepare HR to be CEOs and in fact aim at preparing them for the first two or three levels of HR sadly.All CEOs are required to be good HR people and past leaders have demonstrated this. It is high time HR recognises the potential they are sitting on and change their ways.Almost all successful CEOs of the past and current corporate scenarios are good ‘people managers'.
