Why do so few HR professionals go on to become CEOs? The strategic value of a (often) underestimated role
In the world of management, HR professionals rarely rise to the position of CEO, due to a limited perception of their role. However, an HR professional who combines business and leadership skills can become a strategic agent of change
by Luca Brambilla* and Rossella Zaminga**
Can an HR professional aspire to become a CEO? The reality of the corporate world suggests that, in most cases, the answer is still no. CEOs predominantly come from finance, sales or, occasionally, legal backgrounds, whilst an HR background remains a rarity amongst the career paths leading to the top echelons of a company. There are only a handful of cases such as Leena Nair, now CEO of Chanel following her career as head of human resources at Unilever, or leaders such as Cristina Scocchia (Illycaffè), who, although not from an HR background, has always incorporated a strong ‘people-centred’ approach into her leadership.
There are many reasons for this phenomenon. The most obvious is linked to how the role is perceived: HR perhaps suffers more than other departments from its status as a corporate support function, often regarded as a ‘nice to have’ rather than a ‘must have’. Consequently, HR professionals – especially those who tend to approach their role in a transactional manner – risk being perceived as nothing more than an administrative cost centre. Conversely, those who are more committed to their profession, more business-oriented and actively promote the organisational culture are able to transform the role into that of an agent of change.
From pure technician to business partner
What, then, should an HR professional who acts as a strategic thinker be like? First and foremost, they must become thoroughly familiar with the company’s business dynamics. The term ‘HR business partner’, which came to the fore a few years ago, is based precisely on this premise. The word ‘business’, positioned graphically at the centre of the definition, highlights its importance: in order to become a partner capable of influencing corporate strategy, HR must be familiar with the organisation’s sector and speak the same language. Only this can enable them to engage in the discussion and speak with the authority of a business leader.
On the contrary, focusing solely on the technical aspects typical of one’s area of expertise undermines one’s ability to express oneself and make an impact, as well as diminishing the quality of working relationships.
Demonstrating value through expertise
This is not to downplay the importance of HR expertise: a focus on the business must not overshadow the ‘people’ aspect. But precisely because it is often perceived as secondary, the HR function must strive harder than others to demonstrate its value. For example, if a CFO proves to be inexperienced in their area of expertise, their abilities will be called into question; when this happens to an HR Director, it is the role itself that is perceived as fragile. There is an excessive overlap between the two levels – that of the individual and that of the role – which makes HR professionals even more accountable, not least in safeguarding the function itself.
