I’m the New Head of HR, Now What? The First 90 Days
Key Takeaways:
- New HR leaders must align HR functions with business goals by understanding how the organization generates revenue and delivering HR initiatives that contribute directly to business success.
- Assessing current HR activities across different areas helps identify areas for improvement and informs strategic prioritization and resource allocation.
- Building the right team, investing in their development, and demonstrating clear priorities and values are crucial for establishing a collaborative and accountable HR culture aligned with organizational goals.
I’m the New Head of HR, Now What? The First 90 Days
Now that yoe got the job, what questions and actions should drive your first 90 days?
So, you just got the top HR job. Congratulations. Your business leader has said the right things. She wants a partner who will contribute to business success. Someone who will help build the talent and organization your company needs to ensure its growth and profitability in the future. You are expected to provide help to the executive team in what is needed for the organization to deliver on its aggressive financial and customer goals with a bold strategy that will be difficult to execute. You are also charged to help fix the HR function to deliver strategic value while maintaining excellence in administering HR processes. The leadership team is eager to hear your ideas.
Now that you’ve got the job you have coveted, what questions and actions should drive your first 90 days? You face several competing demands. You have to deliver results by both fixing the function and contributing business value; build relationships by creating a new HR team and connecting with the business team; manage expectations by delivering on old requirements and creating new expectations; and set an agenda with both a long-term view of where you want to go and a short-term view with clear quick wins. The five questions and sub-questions laid out below are designed to help you manage results, relationships, and expectations. We create these suggestions based on working on transitions with dozens of senior HR leaders. They are intended to help a new head of HR quickly reach high levels of productivity.
1. Do I walk the talk about our business?
Fixing the HR function occurs when it is aligned to deliver business results. Any changes you make in HR people, structure or practices should be done to reach business goals. Knowing the business requires the basics of mastering the income statement and balance sheet, reviewing the business strategy and understanding industry dynamics. The MBA basics allow you to then dive deep into the specifics of how the business works so that you can design and deliver HR work to accomplish those results.
Do I know how we make money?
Each business has a unique formula for making money. You need to learn who the customers are and why they pay your firm for products or services. You may want to do a process map of how your products/services are thought up, developed, and distributed to customers. This allows you to understand how value is created for your firm. In addition, you need to create a cash flow map that shows what happens to money that your customers give you. This map shows capital, supply, and administrative items as well as profit. These maps may come from discussions with line as well as finance and marketing colleagues. They may be surprised that your conversation with them focuses on products and cash more than people, but it is imperative to learn the business to fix the function. You may also look at recent presentations given at the board of directors or other senior management meetings where industry and firm overviews are regularly scheduled. Getting acquainted with the person or people who prepare these presentations will give you a good source of business insight.
Do I see how (and how well) the business operates from multiple points of view?
Different stakeholders have different views of what business is about. In the first three months, you have the luxury of asking the naïve but interested questions that help you understand their perspectives. These 30- to 60-minute meetings inform you about how the business operates and inform stakeholders about what insights you might offer. By the questions you ask them, you set a contract for how you deliver value to them.
- Talk to senior line managers about the business, their goals, their experiences with HR and how people and organization can help them deliver their goals. Learn how they think about people and organization and discern how their goals can be met through your initiatives.
- Talk to the corporate and divisional CFO about the financial requirements for success. Find out about the market value of the firm, particularly intangibles, and how investors perceive the firm’s current intangible value. Learn the financial metrics that matter most in this company and ask them to help put HR investments in these terms.
- Talk to customers about how your organization does relative to competitors. What are their buying criteria? What do they want more or less of from your firm? What is your firm’s current and desired reputation (or brand)? How could these target customers participate in designing innovative HR practices that deliver their desired experiences and brand?
- Talk to analysts and investors who value your firm in the public marketplace (or headquarters, if you are in a region or business). Find out what they look for in valuing your firm, how your firm ranks with competitors on intangibles, and what would have to happen to increase their confidence in you.
Do I have firsthand experience with the product/service?
Sometimes, when new to a company we don’t know the products or services. It is useful to act like a customer – buy the product, use the service, find out how competitors stack up and discover in what ways our products fulfill or fail the promise made to customers.
Do I have relationships with key people?
Outside of HR, get to know the people you will be working with. Ask them to talk about their goals and objectives and their challenges and concerns, so that you can work with them. Spend some private time with key colleagues. In these informal discussions find out answers to the following questions:
- Why did I get the job? What are the strengths I bring that you want me to deliver?
- What advice do you have for me about my team? Who are my strongest/weakest players?
- What do we do well currently? Where do we need to significantly pick up our game?
- What are some of the unique strengths and weaknesses of the organization that I should know about?
- What are the land mines that I need to be aware of and avoid?
- What executive styles work and don’t work here?
Inside of HR, get to know your direct reports and those who have been identified as high potentials. Spend time with them as a group and separately. Find out answers to the following questions:
- How do internal clients perceive HR?
- How do internal clients perceive the HR leadership team? What should you be focused on?
- What do you do well? Where are you weak?
- What does the organization say about HR that you need to address?
- How has HR measured impact on the business?
- What has worked/not worked for HR over the last three years?
- Who are the key players in this company?
- What are the land mines I should be aware of and avoid?
- What style works and what does not work here?
As you compare the responses between your key client stakeholders and the internal perceptions of HR, you will learn a great deal about the business issues and about the savvy of your HR team.
Do I make the business the focus of my formal presentations and informal discussions?
Talk about the business. In your meetings with HR professionals, begin with business updates. Send the message that you are concerned about the business — use financial, customer and strategic information to kick off your HR presentations. It sends a strong signal that HR is a business partner and anchors HR focus on business issues.
2. Do I have a broad map of the HR activities being done?
To fix the function, you need to find out and map what HR work is being done. This exercise can be a great team-building exercise with your top team as it gets everyone to summarize what’s going on and then look at the priorities together. If you are in a multiple-business organization, it is helpful to summarize and synthesize the work being done within and across businesses. We have used the following grid of businesses by HR activities in people, performance, communication, and work to synthesize existing HR work — see Table 1.
Look at the grid to see where HR investments are innovative, aligned, and integrated. Innovative HR work generally is recognized as industry standard and offers new solutions to old problems. Aligned HR work ensures that HR practices match with business strategy, e.g., by looking at the behaviors and outcomes that drive rewards or by the content of the training programs, you should be able to discern the business strategy. Integrated HR work means that when hiring, promoting, training, paying, or communicating, similar messages are being shared.
Table 1: Map of HR Activities