CHRO and People Leader Crisis: Recommendations for CEOs on navigating forward
In today’s rapidly evolving business environment, the role of CHROs and People Leaders has never been more critical, yet more challenging. Findings from Blu Ivy’s latest whitepaper, “CHRO and People Leader State of the Nation: It’s Time for CEOs to Act,” shed light on a looming CHRO and People Leader crisis threatening organizations across North America.
As CEOs and CHROs digest these alarming results, it’s clear that strategic action is essential to mitigate the risks of a mass exodus of HR leaders and re-establish a culture of engagement and productivity.
In our latest episode of Blu Thread Conversations, we dive into the findings from Blu Ivy’s latest whitepaper with Co-Founder and Managing Director, Stacy Parker. In this episode you will discover actionable recommendations for CEOs to mitigate the CHRO and People Leader crisis risks and establish a renewed partnership with CHROs and People Leaders.
Learn how to create a strategic roadmap for the future and ensure a robust pipeline of top talent. Listen now!
Episode Chapters:
(02:23) There is a serious CHRO and People Leader crisis at hand
(10:27) What did we learn about what matters most to HR leaders today?
(13:46) How crucial is a compelling EVP for organizations today?
(15:17) Research shows organizations are not static; they’re always changing
(16:57) Organizations are seeing shifts in what matters most to talent
(21:30) CEOs need to establish a renewed strategic partnership with CHROs
(22:33) CEOs should have semi-annual C-Suite and Core Leader deep listening sessions
(23:52) Having highly trusted, highly efficient and engaged leaders is competitive advantage
(27:30) There are multiple generations in the workforce right now
(29:58) Blu Ivy launches Employer Brand and Culture Index to help CEOs make decisions
(33:49) Advice for sharing EVP activation across the organization
(38:14) 90% of CHROs say they need more resources or support
(42:01) One piece of advice for CEOs and HR leaders based on this research
CHRO and People Leader Crisis at Hand
In this podcast episode we discuss some of the startling findings from our whitepaper: 57% of CHROs are considering making a significant career move within the next eight to twelve months. When expanding to include People Leaders, this number jumps to a staggering 75%. These numbers aren’t just alarming; they are a call to action for CEOs and top executives. This pattern of burnout and frustration among HR leaders mirrors the broader organizational challenges faced in the wake of economic volatility, geopolitical tensions, and the relentless pressures of crisis management.
HR leaders have spent the last few years navigating companies through unprecedented challenges, consequently sidelining their core roles of shaping culture and strategizing long-term growth. Instead, they have been mired in crisis management, cost-cutting, and short-term solutions—leading to a growing disconnect and sense of undervaluation from the C-Suite.
What Do CHROs Really Need?
- Technology and AI Tools: Immediate investment in technology and AI is paramount to enhance HR efficiencies. These tools can significantly alleviate administrative burdens, allowing HR leaders to focus on strategic initiatives. Technological integration also helps HR teams better understand and measure their impact on business outcomes.
- Resourcing and Support: HR leaders are calling for more resources. With many teams having faced headcount cuts and budget freezes, there’s a dire need for additional support to handle the overwhelming workload. Enabling HR to invest in consultative partnerships can bolster their capacity to manage both day-to-day operations and strategic projects.
- Leadership Connectivity: It’s crucial for CEOs and the C-Suite to establish stronger connections with their HR teams. Engaging in meaningful conversations, understanding their daily challenges, and offering unwavering support are essential steps in rebuilding the partnership. A simple lunch or candid conversation can bridge gaps and foster mutual respect and cooperation.
“CHROs are not just crisis managers; they are strategic partners. Their insights and experiences are invaluable in shaping a resilient and adaptive organizational culture,” Stacy Parker.
The Role of a Compelling EVP
The Employee Value Proposition (EVP) is more significant than ever. It is the promise that an organization makes to its employees, outlining why they should join and stay. A compelling EVP is critical in retaining top talent, especially in challenging times.
Many organizations have developed EVPs but have failed to activate them due to financial constraints. Now, more than ever, it’s time to bring those promises to life. An authentic EVP helps in connecting employees’ contributions to the broader organizational mission, thereby enhancing engagement and loyalty.
However, as the research points out, EVPs need to evolve. Organizations are not static, and neither should be their employee value propositions. Regularly updating and refreshing the EVP to reflect current realities is essential. Moreover, embracing the concept of an “anti-EVP”—clearly stating what the organization is not—can help in setting realistic expectations and attracting talent that aligns with the company’s values and culture.
The Importance of Developing a Leadership Value Proposition (LVP)
In addition to a robust EVP, the concept of a Leadership Value Proposition (LVP) has emerged as an essential tool for fostering a thriving organizational culture. An LVP is a clearly articulated promise to leaders that aligns with what they value most in their professional journeys.
Developing an LVP begins with deep listening exercises aimed at understanding the unique needs and aspirations of senior leaders. CEOs and CHROs must engage directly with their leadership teams, soliciting honest feedback on what works and what doesn’t within the organizational framework. Don’t neglect to include the CHRO and their team in this important listening stage. This process may include conducting in-depth interviews, holding strategy sessions, or even bringing in neutral third parties to ensure unbiased insights.
A well-crafted LVP addresses the following:
- Vision and Strategic Alignment: Leaders need to see a clear connection between their roles and the overarching strategic objectives of the company. An LVP helps crystallize this alignment, showing leaders how their contributions drive overall business success.
- Support and Resources: Just as HR leaders require adequate resources; senior leaders need the tools and support necessary to execute their strategic responsibilities efficiently. The LVP should outline commitments to providing these resources, from technological aids to specialist support teams.
- Recognition and Reward: Recognition plays a crucial role in leader engagement. The LVP should encapsulate how the organization plans to recognize and reward leadership efforts, fostering a culture of appreciation and motivating leaders to strive for excellence.
- Personal and Professional Development: Leaders are often focused on the growth of their teams and the organization, but they also need opportunities for their own development. The LVP should encompass programs and initiatives aimed at enhancing leaders’ skills, knowledge, and career progression.
By integrating these elements, an LVP offers a tailored approach to ensuring that leaders feel valued, supported, and aligned with the company’s mission.
Conclusion
To navigate through these turbulent times and mitigate a CHRO and People Leader crisis, CEOs and CHROs must act decisively. Re-aligning with HR leaders, investing in essential technologies, providing vital resources, and revitalizing both the EVP and LVP are immediate steps that can help mitigate the risks of leadership turnover and bolster organizational culture. The time to act is now. By addressing these needs head-on, organizations can pave the way for a sustainable, resilient, and engaged workforce, ready to tackle future challenges with confidence and cohesion.
For a deeper dive into these insights and actionable strategies, download Blu Ivy’s latest whitepaper.
Blog Contributor:
James Powell
Vice President Client Strategy & Creative
Blu Ivy Group
About Us
Blu Ivy Group is a global leader in employer branding, organizational culture, and recruitment marketing. We help organizations across the private, public, and not-for-profit sectors build extraordinary employee experiences, magnetic employer brands and high-performance cultures.
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