Why HR Matters

Ok, so everyone who reads this post probably knows I'm an "HR guy".  And I've been an "HR guy" for almost my entire professional life; since I graduated from college over twenty years ago.  So it should come as no surprise that I'm defending my profession.

But I'm going to do so with a twist.

My professional experience working with executive leadership (the C-suite) has taught me that few executive business leaders truly respect and understand how significantly their HR team can positively impact their business.  Now there are a lot of HR teams out there that can't.  But there are just as many who can.  And I'm not talking about soft, non-quantifiable improvement like morale and engagement.  I'm talking about increasing revenues and profits!  In fact, I will climb out on a limb and say that in some businesses HR plays a more significant role in financial success than communications, legal, finance and marketing put together!  Often HR can play a more important role in financial success than any functions other than sales and operations.  And if you want to optimize the sales and operations in your business who do you call on?  That's right, HR!

So I'm going to pull back on my own reigns because I can feel a rant building.  But my message with this post is simple - "people are the life blood of just about every business".  And what function has a greater impact on the people in your business than any other?  Easy answer right ... HR!

Because I'm sure the B3AW readership is packed with those occupying C-suite roles, I'm going to provide all of you three simple rules to improve your business.  These rules were given to me by one of the most business savvy people I've ever met, and a professional who I am also privileged to call a mentor and a friend.

So here goes.

There are only three ways to make more money in your business:  (1) sell more, (2) sell the same amount at a higher price, or (3) reduce your costs.  Yes, it's that simple.  Now, think about how you (as a C-suite executive) will go about executing any of these strategies.

(1) If you want to sell more, who do you count on?  Your people.
(2) If you want to sell your product/service at a higher price, who do you count on?  Your people.
(3) If you want to reduce your business costs, who do you count on?  Your people.

So the trifecta of improving your business all comes from one singular and crucial resource.  That's right, your people.  And what function do you rely on to ensure that you have the right people - people who motivated, engaged, productive, show good business judgment, and make the right decisions for your business?

I think you can answer that one.  And that could make you a more knowledgeable, informed and strategic C-suite executive than most.

Am I bitter?  No.  Am I out to show my C-suite executives the light by building and leading a best-in-class HR team?  Yep.