HR departments have numerous responsibilities, but recruiting, sourcing and selection get the lion’s share of attention at organizations, regardless of size.
This was the main finding in WorldatWork’s “Study on HR Organization Structure,” which examined how HR departments allocate resources to various functions. The survey, which had responses from 892 organizations, also found that while analytics is becoming a hot area in HR and companies are adopting sophisticated platforms to generate insights, HR departments are devoting a minimal amount of time to people analytics.
“Analytics must be a top priority in HR,” said Scott Cawood, CEO of WorldatWork. “It’s incumbent upon HR professionals to learn and leverage analytics to help their organizations perform and compete in our data-driven, on-demand and fast-moving organizations. Having a grasp of how to strategically use data and analytics to drive decisions in hiring, and to increase employee engagement, productivity, and retention, offers HR a different way of adding tremendous value.”
Companies with fewer than 500 employees are likely to have 1.8 people spending at least a few hours of their time each week on recruiting, sourcing and selection, while organizations with 10,000-plus employees are likely to have more than 29 people spending a few hours a week supporting the effort.
Despite its increasing importance, some of which was fueled by the pandemic, organizations do not have adequate personnel dedicated to employee well-being. The survey found that even as organizations increase in size, resources devoted to personal well-being do not scale accordingly. Regardless of organization size, well-being is likely to only have one to two people supporting the effort.
“As organizations grapple with the consequences of the pandemic on their workers, personal well-being will require a significant increase in scope and effectiveness by HR to cultivate a culture where people perform at their absolute best,” Cawood said. “A genuine commitment to well-being will likely be the differentiator in your ability to effectively retain your top talent.”
Other key findings:
- Resources devoted to people analytics do not correspond with interest in this growing field. HR departments of companies with 10,000-plus employees allocate on average 5.1 people to spend a few hours per week on these initiatives.
- Among “specialist” titles analyzed, total rewards professionals emerged as the least likely to focus on a single function. The role demands attention to multiple HR functions, with the exceptions of recruiting and training.
- 63% of organizations said they are doing a very good/good job at addressing workplace equity including removing bias from core processes, addressing pay equity and creating an inclusive and diverse work environment.
About the Author
Brett Christie is the managing editor of Workspan Daily.