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The informal business-partner model has existed for well more than 100 years, when effective support functions, including HR, have contributed to business results. Formalizing how HR professionals can create more value as business partners has been our focus for the last 10 to 15 years. Now we can reflect on what we have learned in the past decade about the relevance of the business-partner model and see clearly the challenges that lie ahead.
Looking Back: Nine Lessons Learned
First, the business-partner model is not unique to HR; all staff functions are trying to find ways to deliver more value to top-line growth and bottom-line profitability. If they are not delivering definitive and sustainable value, they have been given the mandate to change, or face elimination or outsourcing.
Second, the intent of the business-partner model is to help HR professionals integrate more thoroughly into business processes and align their day-to-day work with business outcomes. This means focusing more on deliverables and business results than HR activities.
Third, being a business partner may be achieved in many HR job categories, typically in one of four positions:
1. Corporate HR
2. Embedded HR, working as HR generalists with line leaders
3. HR Specialists, working in centers of expertise to provide technical expertise
4. Service Centers, building or managing technology-based e-HR systems
Fourth, business success is more dependent today than ever on softer organizational agendas, such as talent and organization capabilities.
Fifth, just as general managers turn to senior staff specialists in marketing, finance and IT to frame the intellectual agenda and processes for these activities, they also turn to competent and business-focused HR professionals to provide intellectual and process leadership for people and organizational issues.
Sixth, our research shows that the HR profession as a whole is quickly moving to add greater value through a more strategic focus. At the same time, some HR professionals are not able to live up to the new expectations. In any change effort, there is typically a 20-60-20 grouping. The top 20 percent of individuals asked to change already are doing the work that the change requires. The lower 20 percent will never get there. With training, coaching and support, the other 60 percent can make the move. And we see this...