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Hr as Business Partner

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HR as a Business Partner

Introduction
Human Resources (HR) is a vital component of any business, but is often seen as a cost centre for a company which manages and operates various functions such as recruitment, payroll, compliances and other administrative HR functions. Of course, these are activities, which the HR team undertakes, performs, and perceivably does not present itself as a division that does not count towards the company revenues. However, strategic HR has an immense contributory role that drives business forward through aligning of the goals of HR to business results

Linking HR to Business Results
Most business have specific goals they aim to achieve. These could range from increasing revenue, to increasing profitability or improving operational efficiency. How can HR contribute towards achieving these goals? The approach would be to define priorities which and targets which result in the outcome.

For example, to increase the revenue of the company, you require experienced sales professional in untapped markets. A specific target for the HR team would be to increase the senior workforce count from X to Y in the new market. It would then require the HR to develop talent strategies for the workforce, if the company is taking the merger route, it would need to focus on managing the people, and refocus supporting the high growth market business units

In case of increasing profitability, HR would evaluate cost reduction strategies with minimal impact on productivity. Help the management decide on optimal outsourcing and off shoring strategies and focusing on reducing own HR costs. A specific goal for the HR would be to reduce operational expenses by X percent for a business unit.

Key Business Competencies
HR brings with itself certain internal competencies, which helps them achieve the above targets. These include but are not limited to

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