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Quotations to Live By

"No amount of advertising will make up for a bad product"

Rishad Tobaccowala, Chief Innovation Officer, Publicis Groupe Media

Tuesday, April 3, 2007

Why most HR functions are NOT strategic

I have received lots of enquiries about this topic. Almost every HR seminar, conference, gathering that I have been to, this topic is regularly discussed. You can't even escape this topic when reading journals and magazines.

How to be more strategic? Well, let me start with a simple illustration. Read the following statements:
  • Average training hours per staff
  • % of staff attending training
  • # of training programs
  • % of training programs conducted
  • Training needs analysis conducted
  • Competency models developed
  • Training budget as % of payroll
What's wrong with this picture? Don't get it? OK, now read the following list:
  • competency modeling
  • learning culture
  • knowledge management
  • e-learning
  • reengineering
  • hr audit
  • performance management system
  • succession planning

What's wrong with this picture? Still don't get it? Well, now try reading this list instead:

  • Business model innovation
  • Business plan implemenation
  • Business Continuity Planning
  • Strategic Risk Management
  • Product innovation
  • Services innovation
  • Market Leadership
  • Competitive differentiation

The first and second lists make CEOs and BODs uninterested if not irritated. The third list is what CEOs and BODs really want to discuss.

Get the picture?

-TURD-

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