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Creating an Effective HR Strategy

HR Maturity Model. Transactional vs. Strategic HR: Moving from Reactive Governance to Proactive Transformation

What is a People or HR Strategy?

A People Strategy is a clear, succinct and purposeful document that outlines how an organisation will effectively manage and develop its workforce to achieve its business goals. It’s like a compass that guides all people-related activity, to ensure it is aligned with the overall strategic direction of the business.

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What does this guide cover?

Step 1: Setting the Scene – Identify your company’s unique qualities and establish a compelling employer brand by answering questions about your company’s identity, culture, and reputation.

Step 2: Establish the Direction – Define your HR vision and mission statements that align with the overall business strategy, outlining long-term aspirations and core values.

Step 3: Establish the HR Priorities – Identify and prioritise key HR pillars (e.g., talent acquisition, performance management) based on your organisation’s needs and challenges.

Step 4: Develop an Action Plan – Create specific objectives, prioritise HR initiatives, allocate resources, and set timelines for achieving your HR strategy goals.

Step 5: Measure, Review & Iterate – Regularly evaluate and adjust your HR strategy, track key performance indicators (KPIs), and engage stakeholders to ensure ongoing alignment with business needs and success.

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