CHROs become more important as business goals shift
Nearly nine in 10 chief human resources officers (CHROs) believe their influence in the workplace is at an all-time high as business priorities become more talent-focused, according to a new report.
The International Workplace Group (IWG) recently polled more than 1,000 CHROs across the US and UK to find that they are working more closely with the C-suite than ever before.
In fact, 88% of the respondents said their influence in the workplace is at an all-time high. Another 89% also considered themselves as trusted senior advisers to their chief executive officers or business leaders.
According to CHROs, their role strongly influences the following:
- Profitability (96%)
- Productivity (95%)
- Talent recruitment (95%)
- Long-term employee retention (95%)
- Employee culture (94%)
The rise of CHROs at work
The majority of CHROs (84%) attributed their growing influence in the workplace to an evolving landscape where businesses are becoming more talent-focused.
More than half of the respondents said their organisations are putting more emphasis on the following:
- Employee wellbeing and happiness (64%)
- Attracting top talent (64%)
- Boosting productivity (58%)
- Greater focus on policy compliance and enhancement (53%)
The IWG's findings resonate with reports across the world. Findings from Hays this year indicate that chief people officers in Australia and New Zealand are now "heavily involved in business strategy, culture, and operational decision-making."
Bianca Herbst, Business Director, New Zealand Corporate and Specialist Recruitment, Hays NZ, previously told HRD that the pandemic accelerated the importance of culture, communication, and wellbeing at work.
"All of that really ended up falling under the CPO's remit," Herbst told HRD.
"And since then, we've had ongoing challenges: skills shortage, rising labour costs, increased focus on employee experience, introduction of new technology, AI. All of these things have continuously broadened their responsibilities."
Amid their evolving role in the workplace, Herbst advised HR leaders to continue leading with "purpose and humanity."
"Human skills, like empathy, communication, adaptability, they remain central to the success of any CPO and CPO function," she said.
