In the contemporary business landscape, the role of Human Resources (HR) leaders has undergone a remarkable transformation. Once considered a support function primarily focused on administrative tasks, HR is now recognised as a strategic partner integral to driving organisational success. 

However, despite this evolution, many HR teams still struggle to secure a seat at the executive table. The perception that HR is not a revenue-generating function—at least not overtly—continues to undermine its value in the eyes of some executives. Nevertheless, the evidence is clear: HR plays a pivotal role in aligning workforce capabilities with business objectives, driving employee engagement, and ensuring the long-term viability of organisations.

Ruhie Pande, Group Chief Human Resources Officer (CHRO) at Sterlite Power, an industry expert with over two decades of experience across diverse sectors, articulates the necessity for HR leaders to deeply understand business dynamics and the evolving nature of the workplace. In a recent episode of People Matters Unplugged, she emphasised the importance of HR leaders getting "under the skin of the business" to navigate the complexities of today’s hyper-connected and dynamic environment. 

Tune in to the complete discussion here.

The evolving role of HR leaders

Gone are the days when HR operated in isolation. Today, HR leaders are essential in solving pressing business challenges. According to Pande, talent management has evolved from traditional administrative functions to become a critical driver in addressing business issues. HR leaders are no longer just facilitators of hiring and compliance; they are strategic partners who influence the direction of the organisation.

This shift necessitates that HR professionals maintain a delicate balance between operational efficiency and employee engagement. Pande points out that “As organisations face rapid transformations, HR leaders must be agile and adaptable. Whether responding to changing business needs or managing the complexities of a multi-generational workforce, HR must remain at the forefront of these changes.”

The emergence of Millennials and Gen Z in the workforce has introduced new expectations regarding work-life balance, flexibility, and inclusivity. HR’s role is to integrate these diverse generational perspectives into the organisational culture, fostering collaboration across age groups. As Pande notes, understanding the values and expectations of these generations is critical for cultivating a productive and engaged workforce.

The technological shift in HR

Technology integration is a cornerstone of modern HR practice. The adoption of artificial intelligence (AI), data analytics, and other technological advancements has revolutionised the way HR leaders approach decision-making and employee engagement. Pande highlights that HR must leverage these technologies to enhance their strategic role within the organisation.

The report from The Adecco Group indicates that employees using AI tools save an average of one hour each day. This time savings allows HR leaders to focus on value-adding activities such as coaching, talent development, and fostering employee engagement. By automating routine tasks, HR can redirect its efforts toward initiatives that directly contribute to business success.

Pande emphasises the importance of creating personalised employee experiences to retain top talent. “Organisations that invest in employee-centric programs—tailored to meet individual needs—are more likely to enhance employee motivation and align personal growth with organisational objectives. Personalised employee experiences are critical,” she asserts, reflecting a broader trend in HR towards individualised engagement strategies.

HR as change managers

The evolution of HR has positioned leaders as change managers, not just supporting the business but actively driving transformation. Pande notes that with the constant shifts in the business landscape, from new product launches to emerging industries, HR leaders must guide their organisations through these changes. This proactive stance involves fostering a culture of innovation and continuous learning.

As organisations face increasing pressures from competition and technological advancements, HR leaders must cultivate resilience within their teams. “This requires upskilling and reskilling employees to adapt to new challenges. By promoting a culture of agility, HR can ensure that organisations remain competitive and responsive to the evolving marketplace,” she says. 

In Asia, the workforce is characterised by immense cultural and generational diversity. Pande emphasises the importance of navigating these complexities with sensitivity and inclusiveness. As organisations strive for diversity, it is not enough to ensure representation; they must also cultivate equity through differentiated policies and an inclusive culture where every employee can thrive.

“The discussion of diversity also extends to managing talent mobility in Asia’s diverse markets. HR leaders must be well-versed in complex labour laws and immigration regulations governing cross-border assignments and expatriate roles. By deepening their understanding of these regulations, HR professionals can maintain compliance while implementing competitive talent strategies,” she states. 

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• Healing workplaces: Addressing the silent epidemic of burnout through culture transformation
• International coffee day: Your office brew might be healthier than you think – Here’s Why!

A call for business acumen

To truly impact business success, HR leaders must deepen their understanding of fundamental business concepts, including financials, market dynamics, and strategic priorities. Pande argues that, “HR’s role is no longer confined to traditional boundaries such as recruitment and performance management. Instead, HR professionals are expected to align talent strategies with broader organisational goals, contributing to sustained growth and innovation.”

Building strong relationships with business leaders is essential for HR to drive strategic initiatives effectively. “By taking a holistic approach to talent management and actively engaging with other departments, HR can demonstrate its value as a strategic partner. This collaborative mindset is critical for breaking down silos and fostering a unified organisational culture,” she concludes. 

As People Matters Unplugged Season 3 dives "From Inspiration to Action," we focus on turning strategic insights into tangible HR outcomes. Stay tuned for episodes that shape the future of work.