From Strategy Reflection to Strategy Integration
Today’s HR measurement systems commonly reflect strategic or business outcomes,
but do not integrate talent with them. For example, in organizations that must grow profits, HR
measures efficient HR operations. Or, the organization must embrace digitization, so HR
measures the number of HR transactions on the web. Or, the organization must increase
solution-selling, so HR measures the amount of solution-selling pay bonuses for salespeople.
Certainly, such measures reflect the strategic concepts, but true strategy integration requires
identifying the “pivotal talent pools” that have the largest strategic effect, and then measuring
the changes in their actions that “move the needle” on key processes.