HR Strategic Involvement Critical for Business Success, Study Reveals

A recent study by HR.com's Research Institute reveals that organizations with strategic HR involvement are significantly more competitive, with HR departments facing critical skill development challenges that impact overall business success.

The research found that companies with robust HR strategies are nearly seven times more likely to engage in comprehensive strategic planning and more than twice as likely to view HR as a genuine strategic partner. However, substantial skill gaps persist across key competency areas.

The study identified notable discrepancies between HR professionals' perceived importance of critical skills and their actual proficiency. For data and analytics, 80% acknowledge the skill's importance, yet only 34% believe HR demonstrates adequate proficiency. Similarly, while 89% recognize change facilitation as crucial, merely 47% consider HR highly competent in this domain.

Strategic thinking presents another significant challenge. Despite 92% acknowledging its importance, only 51% believe HR has achieved a high level of competence in this area. These gaps suggest an urgent need for HR professionals to develop more advanced strategic capabilities.

The findings underscore the transformative potential of HR when positioned as a strategic leadership function. By bridging these skill gaps, HR departments can move beyond administrative roles and become critical drivers of organizational innovation and performance.

The comprehensive report recommends that HR leaders focus on developing data analysis skills, change management capabilities, and strategic thinking to enhance their organizational impact. These improvements could help HR transition from a primarily supportive function to a proactive strategic partner.