The concept of "Human Operations" is my brainchild, born from a desire to reimagine how Human Resources (HR) integrates with overall Business Operations.
At its core, Human Operations connects the 7 Core HR Functions—
Recruitment & Selection
Training & Development
Performance Management
Employee Relations
Employment Law & Compliance
Compensation & Benefits
Administration, Payroll, & HR Software
—with broader business activities such as strategy, supply chain, finance, and technology. The ultimate goal is to streamline these functions to help businesses grow efficiently and profitably. But why is this necessary if HR is already a subset of Business Operations?
Playing Devil’s Advocate: The Distinction Between HR and Business Operations
Technically speaking, HR already fits within Business Operations. If we define Business Operations through nine critical functions—
Strategy and Planning
Supply Chain Management
Operations Management
Finance and Budgeting
Human Resources (HR)
Customer Relationship Management (CRM)
Technology and Innovation
Compliance and Risk Management
Marketing and Sales
—HR is one cog in a larger machine. It handles essential internal processes like recruitment, compliance, workforce management, and employee development, all of which are critical to the functioning of a business.
So, what makes Human Operations unique? Why redefine HR when it already functions within the broader realm of operations?
Defining "Human Operations"
Human Operations is more than just the amalgamation of HR with other operational functions; it's about creating a holistic, integrated approach to business growth and efficiency. The key difference is mindset. In traditional settings, HR is often siloed, focusing solely on internal processes related to workforce management. Human Operations seeks to break down these silos, positioning HR as a strategic partner that directly influences every aspect of business operations. Here's how it works:
Strategic Workforce Alignment: HR is not just about hiring talent but aligning the recruitment process with long-term business goals. This involves workforce planning that anticipates future talent needs based on business strategy. For instance, as the company expands into new markets, HR should proactively build talent pipelines to meet the needs of these new ventures. This shift makes HR an active player in the company’s growth strategy.
Employee Engagement as a Customer Satisfaction Tool: One of the most overlooked connections between HR and business operations is the impact of employee engagement on customer experience. Engaged employees are more productive, provide better service, and contribute to a positive brand experience. By framing HR’s employee engagement efforts as part of customer relationship management (CRM), Human Operations brings a new level of operational importance to traditionally HR-centric tasks.
Leveraging Technology: In a world where business technology plays a significant role in operational efficiency, HR is no exception. Human Operations integrates HR tech like Learning Management Systems (LMS), Applicant Tracking Systems (ATS), and Employee Resource Planning (ERP) systems with broader operational technologies. The idea is to drive both employee productivity and overall business efficiency, ensuring that tech investments serve both the human and operational sides of the business.
Operational Compliance and Risk Management: Traditionally, HR handles compliance related to employment law and workforce regulations. In Human Operations, compliance isn't just an HR responsibility—it's integrated into overall risk management, including financial and operational compliance. This holistic approach ensures that HR is aligned with the company’s risk management and regulatory strategies, creating a seamless, compliant operation from top to bottom.
The Benefits of Human Operations
By viewing HR as more than a back-office function, Human Operations positions people management as a crucial strategic driver of business success. Here’s how:
Improved Scalability: As companies scale, complexity increases. Human Operations simplifies this complexity by ensuring that HR processes are fully integrated with business operations, allowing the company to grow without friction between departments.
Increased Operational Efficiency: When HR and business operations work in tandem, there’s less duplication of effort and more streamlined processes. For instance, onboarding new employees can be aligned with operational needs to ensure new hires are ready to contribute to business goals from day one.
Stronger Business Performance: By aligning HR efforts—like recruitment, training, and performance management—with business goals, Human Operations ensures that employees are equipped to contribute to the company’s strategic objectives.
Holistic Decision-Making: In Human Operations, data from HR processes, like employee performance and turnover, are tied directly to business operations. This allows for holistic decision-making where workforce metrics directly impact operational strategies and vice versa.
What Makes Human Operations Different?
The key distinction of Human Operations is its full integration with the other facets of business operations. Where HR is traditionally focused internally, Human Operations places HR at the core of business strategy and decision-making. It’s not just about managing people but about ensuring that human capital aligns with and drives business success.
For example:
Strategic Workforce Planning involves HR working closely with the finance and strategy teams to determine future workforce needs based on company growth projections.
Employee Engagement Metrics can be used by marketing and sales teams to improve customer satisfaction through better-trained, motivated employees.
HR Technology plays a dual role, driving both employee productivity and operational efficiency, creating a seamless operation where human and business capital is optimized.
In a rapidly evolving business landscape, the integration of HR with business operations has never been more critical. Human Operations bridges the gap between HR and broader business functions, positioning HR as a key strategic driver that ensures organizational growth, efficiency, and scalability. This holistic approach brings together the strengths of HR and operations to create a unified, streamlined process that can respond dynamically to the challenges of modern business.
By breaking down silos and focusing on full integration, Human Operations ensures that HR is not just an internal function but a vital part of business strategy, working in tandem with every operational facet to build a stronger, more agile company.
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