A New Paradigm for HR 1

Running head: HEADLINERS: A NEW PARADIGM FOR HR

Headliners: A New Paradigm for HR

Walter A. Van Stone

Address: 4607 Spring Creek

Arlington, TX 76017
Phone:
Email: vanstonew@netscape.net
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Abstract

This article suggests that, human resources as a profession must

change the nature of its profession by contributing as an added value

business partner (quantitative terms); otherwise HR as we know it

today may not exist. It summarizes the circumstances and issues that

impact the development of a strategic human capital plan, a basic

strategic HR plan that aligns with a firm’s strategic business plan for

achieving a competitive advantage, and which HR functions can

contribute. In addition the article also profiles the important

fundamentals of a new HR paradigm. Lastly, it advocates the need for

professional standards, HR metrics, knowledge and certification of HR

professionals. (Pilenzo, 2009)

HR-Shape up or Ship out

In this article “A New Paradigm for HR”, Pilenzo (2009) first

analyzes the current HR condition, and outlines how HR can become a

strategic business partner by examining an organization human capital

fit to its business plan. As the author points out in order to transform

HR into a strategic business partner HR must first assess its current

condition. Currently HR is viewed-through numerous mediums- as the

department that has all the answers to every firm’s organizational

challenges. That being said, the author cautions that this mind-set is

hazardous to the profession. First and foremost it is important to

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understand- with respect to context in developing a strategic HR plan-

firms are not stagnant, they evolve, grow, mature, change and

“require new and different ways of looking at the future in three

dimensional terms or, with outside the box thinking that is often

lacking in HR” (p.64). Secondly, firm’s that do have strategic HR plans

often fail to include a global view of its organizational human capital

plan with its business plan. “HR professionals, especially in the U.S.,

tend to have a narrow and functional view of the use of human capital

and how it can be leveraged in the context of a business enterprise.”

(p.64).

Using Competitive Advantage in HR

The holy grail of a strategic business plan is establishing an

organizations strategic position within its industry through the concept

of competitive advantage. In order for HR to align its strategic plan

with a firm’s strategic business plan it must understand the concept of

competitive advantage. Using competitive advantage in HR will allow

HR as a profession to articulate strategies that place it at a beneficial

position with other departments in an organization. In other words,

using the definition of competitive advantage to; transform the HR

profession into a strategic business partner.

New HR Paradigm

According to Pilenzo (2009) HR executives must have an array of

“business skills that can be layered over an expertise in human capital

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management in such a way as they become indistinguishable from one

another” (p.67). Therefore the HR profession must reinvent itself. To

do so, the author proposes three key elements that should be

implemented: “…substantially redefine the tactical, strategic and

operational role of HR in organizations; fully develop the concept of

quantitative measurement of outcomes; and expand the body of

knowledge in HR to include operational expertise and performance

standards” (p.68). By redefining HR executive roles and responsibilities

HR as a profession can begin to change the attitudes, behaviors and

patterns of the organization as well as the attitudes of their business

executive counterpart. This transformation would result in the creation

of a new organization development oriented consultancy within human

resources.” (p.68)

Creating Credibility

As Pilenzo (2009) points out; to create credibility HR must

implement quantitative measures, through HR metrics. Using metrics

in HR will link the HR strategic plan to the organizations strategic plan.

Metrics are the major communication vehicles to which its firm’s

business executives, customers, and stockholder understand.

“However, in order to gain full organizational support for HR what is

required are better ways to quantitatively measure the HR contribution

primarily because the current practice is sorely lacking.” (p.70).The

author drives the point home by using an analogy of not using a

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metrics to golf. “Not using metrics in HR is the equivalent of playing

golf without pars, or even a score card” (p.71). In addition to using

metrics to communicate HR can use metrics for developing

professional and ethical standards. Moreover, HR can create credibility

by continuing to develop the knowledge and credentials of its

profession through certification.

Conclusion

The challenges to HR is that it must leverage its human capital

by changing the nature of its profession by contributing as an added

value business partner; otherwise HR as we know it today may not

exist. HR must recognize the circumstances and issues that impact

the development of a strategic human capital plan, and that its basic

strategic HR plan must aligns with a firm’s strategic business plan

through achieving a competitive advantage, for which HR functions can

contribute. In addition, HR must also shape the important

fundamentals of a new HR paradigm. Lastly, HR must become

advocates for the need of professional standards, HR metrics,

knowledge and certification of HR professionals.

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Reference

Pilenzo, R.. (2009). A New Paradigm for HR. Organization Development

Journal, 27(3), 63-75. Retrieved January 15, 2010, from ABI/INFORM Global.
(Document ID: 1851849321).
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