Anyone may find it strange or unbelievable how can HR is the CEO. It’s mind-boggling, but it is true. HR guys or others have never realised this because we never deep-dived into the depth of HR. Nowadays, if any HR guy becomes CEO, everybody gives big applause as if something very unexpected has happened, but nobody realises HR itself is the CEO. HR is also required to carry full knowledge, skills and competencies and is an interdisciplinary subject of the highest order. Let me analyse it a little bit. What are the deliverables or KRAs, or Objectives of the HR guy? HR manages Talent for the organisation.
HR has to build Organisational Capability and Performance Management.
Rewards and Recognition, Growth of individuals and the organisation, motivation and morale of the employees, and create a Vision and Mission for the company for long-term growth, Sustainability, Environment protection, and CSR.
Skilling or Competency development, organisation transformation, building culture, succession planning, leadership development, coaching and mentoring, KRAs for the person or the teams or the results for the organisation, Manufacturing excellence which is again through team member involvement and motivation, building world-class organisations again through cultural change etc., retention of Talent, agility in the organisation, creating DNA of the organisation, increasing productivity, innovation and creativity. In each of these areas, you will find it is the CEO’s and HR’s role. It is the exact role whether you are the CEO or CHRO. Why then is HR not considered as CEO?
It’s because HR has not entirely understood its position or does not want to come out of its shell or the comfort factor. If the HR professionals can realise their role and deliver on that, it becomes synonymous with the part of the CEO.
HR can deliver on the expectations of the Board or stakeholders of the company. If people drive business or people create the business, then who goes people?
Today HR is the periphery of business. However, HR is the nucleus of the organisation, with the right skill-building.
HR can deliver as CEO, or HR is CEO.