C-suite leaders: HR is not playing a leading role in business priorities

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Recent research has revealed a gap between the type of metrics the c-suite wants, and what HR is actually providing, says Jessica Fuhl, a co-author of an in-depth study on HR’s impact

The pandemic has shone a light on the work of HR. Just under  three quarters of HR leaders (72%) told us that the crisis has helped them demonstrate their value and increased understanding of HR’s role, as HR and people teams sprang into action to respond.

However, despite this, 84% of c-suite leaders we polled here at Sage also told us that they were previously unclear on the value that HR brought.

As HR and people teams look ahead to the future, the pandemic has offered a window of opportunity. The message from c-suite leaders we polled in our brand-new research report was clear: HR need to take it.

Sage polled 500 HR and C-suite leaders to find out more about how aligned HR are to business priorities post pandemic, what role they’re playing in them, and how people analytics is being used to drive business decision-making. The report, Impact through Insights, is the second report in Sage’s HR in the moment research series. Overall, we found:

• 81% of c-suite leaders believe HR is aligned to business priorities.
• However, just 41% think HR is playing a leading role.
• 94% of c-suite execs say they have access to some form of HR analytics.
• Yet just 40% of c-suite leaders say their organisation uses people data to make business decisions.

How aligned are HR to business priorities?

The good news is that the c-suite is confident in HR’s focus, with 81% saying HR’s priorities are aligned with those of the overall business.[pullquote]We found c-suite leaders expect HR to lead more than HR leaders expect themselves to”[/pullquote]Both HR leaders and business leaders agreed on their top four business priorities. Financial performance took top place; leadership ranked second for both the c-suite and HR with a third (32%) of both groups agreeing this to be a business priority; business operations and digital transformation a