Are HR Functions of Increasing Importance?

When I hear people within HR extolling the increasing importance of HR functions in the age of AI, I can’t help wondering what planet they may be living on.

Back in July 2020, I made the case that HR functions needed to wake up and smell the coffee. Conflating the strategic business and talent challenges presented by the dizzying array of technology advances with HR’s incumbency position struck me as being tone deaf.

HR is founded on necessity. A need to run payroll, maintain benefits, administer programs, hire and fire people, and be ombuds-people for compliance. The very things that AI promises to automate.

The challenges businesses currently face are of an entirely different and new nature. Specifically, debottlenecking decision-making, agility, speed and enabling a digital savvy workforce. Indeed, the currencies of existing HR; hierarchical organizations, grade levels, career ladders, annual cycles, and top-down cascades are the very things that businesses need to escape.

So, can HR reinvent itself from process wardens to organization liberators?

On International HR Day, I think it apt to once again lay down the challenge. If HR is to be relevant, necessary, essential in the coming years, it will need to completely rethink how it goes about developing people. Less emphasis on recruiting, reward, learning, and administration…. More on business consulting, strategy, finance, entrepreneurship, and bureaucracy busting.

You can read more about David’s digital age manifesto for HR and HR professions careers here and here.

Read Also :  HR at the Heart of Transformation: Shaping Purpose-Driven, Future-Ready Workforces in the Energy Sector

From Support to Strategy: HR’s Decisive Shift Toward Leading the Future of Work

Trust, Technology, and the Human Touch: Shaping the Future of HR

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David Oxley

David Oxley

Advisor, Investor, and Co-author of the award-winning Shey Sinope career ad- vice book series. David began his career as a management consultant and later held senior HR leadership roles in Eu- rope, the USA, and Asia, including po- sitions as CHRO and Group HR Director. In recent years, he has helped organi- zations successfully navigate crises and lead large-scale transformations.

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