Business Leaders and a Seat at the Table
A recent study found nearly six in ten business leaders do not have an established relationship with human resources or that it would not occur to them to include human resources in implementing workforce plans.
What a hoot. It would not occur to them to include human resources in implementing workforce plans. Would it occur to them to include marketing in the implementation of a new advertising program? How ’bout R&D if they were to undertake a new product development initiative? How about including the CFO if they were going to change their financial management system?
Shocking that business leaders would exclude the one person (or group) in the organization responsible for managing the human resource of the company. But is this surprising? No. Not to me. I see it all the time.
When I present the results of a workforce engagement assessment to an organization’s senior leadership, it’s interesting (and informative) to see where people “sit around the table”. In most cases, the C-Suite people sit in the middle of the table, while the head of H.R. sits on the edges.
Here are some other results of the survey:
- One quarter of business leaders and nearly the same number of HR leaders see HR as not involved in developing strategy
- Only half of all business leaders rate HR as well versed in “financial acumen”. Eight in ten HR leaders consider themselves well-versed
- One in five business leaders perceive HR as not being able to find the right people for the job, not having bandwidth, or lacking responsiveness to business leader needs.
Ouch. Truth Hurts. Let’s take these one at a time:
- HR wont get involved in strategy until they are seen as strategic. Most HR people are perceived as tactical, reactive instead of proactive, followers and not leaders.
- I’m surprised the senior leaders were that positive in their assessment of the financial acumen of HR. Consider that over the last five years of speaking to large HR audiences, only one in 10 knows the true cost of replacing workers inside their organization. How many HR professionals you know subscribe to Fast Company, Entrepreneur, or Business Week? Can you define EBITDA? Can you explain the indicators on your company’s balanced scorecard?
- If you go along with number one and number two, the third one is a natural. One in five senior leaders doesn’t believe that HR is capable in their job. With one employee voluntarily quitting their job every second of every minute of every hour of every day of every week of every month of every year, it’s hard to disagree.
If we want HR to have a seat at the table, we need to make sure it’s not the kids table we are talking about.


