The Real Value of HR
The promise of Human Resources is to set a standard for how we work together in an organization. Take this mission statement from a Human Resource Department:
The Human Resources Department will serve as a strategic partner along side of administration, faculty, and staff in supporting the mission of the Institution. The Human Resources Department will take a leadership role in providing services that support the organization by promoting the concept that our employees are our most valuable resource and will be treated as such. The Human Resources Department will act as catalysts enabling all employees to contribute at optimum levels towards the success of the business.
Unfortunately, HR gets a bad rap, often because they are forced to take on issues that should be dealt with within a department. When a manager has difficulty with one of her employees, the easy solution is making it HR’s problem. When an employee takes issue with management, HR is there to listen.
When it’s at its best, HR serves as a positive enabler, helping the employee solve their own problem. Too often it feels as if HR operates as a parent, setting limits or fixing situations, versus setting an example for what it is to help others help themselves.
This is not an easy task. Some people don’t want to help themselves. They want someone or some group to fix their situation. In these situations HR can play a useful role in helping the employee learn why it is important to solve their own problems and how to get there, versus using HR as a venting session.
For Human Resources to truly be an enabling partner, Senior Management needs to charge it with encouraging all levels in the organization to work at solving their own problems, to do the difficult work of demonstrating honest communication and working to build trust at the local level.
HR’s best asset is to help, not fix. Fixing doesn’t work; it only keeps the same dysfunctions in place.
Broadening the Definition of “The Bottom Line”
I don’t like change. If you say you do, there is a good chance you are either a masochist, a consultant, or just plain lying. Sure, there are a lot of benefits to change—it can even be inspiring, but do you really seek it out? Or is it just that you are adept at responding to it? Love it or hate it there is no denying that change is disruptive, plain and simple.
In business, you’re constantly faced with change – new markets, economic forces, staffing issues, software upgrades, the list goes on. The work of the 21st century business leader is to evaluate how to deal with this endless list of opportunities and challenges, and filter it through the “bottom-line” – financial measures that reflect the health of the organization.
Besides financial measures, what else should leaders take into account in making strategic decisions? How about “Trust Equity”, or how well you and your people operate transparently with each other.
Do you not say your most important assets are those you surround yourself with? Ideally, this core group of bright, articulate and entrepreneurial individuals operate as your eyes and ears, evaluating economic, market and technology changes.
Does it matter if your financials are solid but there’s tension across department? Should you care if your staff isn’t operating to their potential but you’re still making money or expenses are under control? How often do we honestly step back from the fires we are dealing with and ask the broader question “If we were a really solid team, how much more could we do?”
Face it. You really don’t know what’s going on. Your direct reports will do everything in their power to show how well and on target they are, while avoiding news that may concern or upset you. This should come as no surprise. It’s human nature to look out for ones security.
This is a core benefit of building trust equity. Trust is the means to an end, the most important end is knowing what’s going on around you. Although we often operate by the principle “No news is good news”, it’s “What you don’t know that will kill you!” Building trust allows you to manage down in a way that encourages people to uncover issues they don’t think you want to hear.
