In recent years, it’s become increasingly apparent that there needs to be a shift in the way businesses approach their workforce management. Globally, traditional HR departments are gradually rebranding to People and Culture departments and embracing innovative HR practices. The new title recognises the imperative need to prioritise employees’ wellbeing and goes well beyond mere semantics. If you are an HR or People & Culture professional in 2023 the time is now to embrace this shift wholeheartedly and not just for namesake. In this article I’ll explore 4 fundamental reasons why people professionals need to adopt this new approach.

Valuing people

The move from HR to People and Culture indicates a shift in mindset, emphasising the significance of each individual within an organisation. The People & Culture approach acknowledges and appreciates the value that each person brings to the workplace. It is essential for organisations to create environments that foster collaboration, innovation, and personal growth. No longer should employees be viewed as a ‘resource’ to be managed and controlled. Innovative HR practices ensure employees are valued for their unique contributions, skills, perspectives, aspirations and goals. In doing so, employees can bring their true selves to work, and are more engaged, innovative and loyal to their organisation.

Increasing engagement

Employee engagement is essential to organisational success, health and longevity. People & Culture prioritises the creation of inclusive and engaging work environments. The goal is for employees to feel motivated, empowered, connected to the company’s mission and happy to come to work. When employees feel they belong, they will naturally seek opportunities for growth and development; in turn offering greater contributions to the organisations’ wider strategic goals and objectives.

Creating a Transformational Culture

Culture can make or break an organisation. Traditionally HR has often focused on policies and procedures, while disregarding the needs of people, alternatively People & Culture instead seeks to nurture an engaging workplace culture. People & Culture seeks to align employees’ beliefs and values with the company’s mission, foster a sense of purpose and build and maintain a collective identity that employees feel connected to. A well-crafted workplace culture improves employee retention, helps to attract top talent, and creates a competitive advantage for the organisation.

Looking towards the future

The business landscape is ever-evolving, recent advancements in tech, societal shifts, the political landscape, globalisation and workforce dynamics often create changes that effect the nature of work. To stay afloat and ultimately thrive in these challenging circumstances, organisations need to be agile, adaptable, authentic and courageous. Innovative HR practices can support organisations in this quest by cultivating a learning culture, embracing innovation, and supporting the acquisition of new skills. In doing so, organisations can stay ahead of the curve and remain competitive.

As I’ve said many time before:

“HR stands at an inflection point. One way (the status quo) leads to greater levels of irrelevance. The other (the human way) leads to HR becoming one of the most strategically important functions of our organisations.” Watch the launch of ‘People & Culture’ an HR culture transformation consultancy which supports organisations with making this shift below.