Optimizing Business Growth through CHRO & CIO Collaboration

According to the World Economic Forum Future of Jobs 2023 report, machines are expected to perform about 42% of all current tasks in the workplace by 2027. As the lines between humans and machines continue to blur, organizations must evolve their approach to optimize both people and technology to drive business performance.

Traditionally, the role of the CHRO has been to maximize productivity and business performance by leveraging human capital. The CIO has been focused on doing the same using technology. As technology becomes increasingly embedded in day-to-day work, and generative AI tools that function as assistants to employees are more widely adopted, organizations should consider whether it’s time for a Chief Performance Officer – someone who can develop strategies to fully leverage the unique capabilities of both people and technology.

For many organizations it is likely too early to consider such a bold move, but business leaders should start to think about how to enhance the relationship between HR and IT. In many organizations there is still a wide gap between the two functions. The CHRO and CIO often report to different executives, do not fully understand each other’s mandates, have different goals/KPIs, and lack the time and resources to truly collaborate.

To evolve this important relationship between two business-critical functions, senior leaders should:

1. Update reporting relationships – ensure the CHRO and CIO report to the same executive – preferably the CEO.
2. Make strategic planning a team sport – require HR and IT to work collaboratively on business plans. Take advantage of the opportunity for strategic discussions about how to get the tasks required to execute business strategy done using the right resources.
3. Align KPIs – look for opportunities to reward both groups on the same goals. Consider traditional HR goals like employee satisfaction and employee turnover, and traditional IT goals like adoption rate of new technology and number of data security incidents.

Bridging the gaps that exist between HR and IT is critical in today’s digital world. By taking steps now, organizations will be well positioned to leverage the unique strengths of their workforce and technology, gain a competitive advantage, and ensure sustainable longer-term success in an increasingly automated world.

For more insights on the leadership skills required to succeed in today’s never normal environment, contact us at learn@horn.com.

About the Author

Michelle Moore is the Managing Director at HORN, a division of Gallagher Benefit Services (Canada) Group Inc. Michelle has over 25 years of global experience, working with organizations to use human capital to solve complex business challenges, and with individuals to maximize personal effectiveness and career success. She has expertise across a broad range of industries, and specialized knowledge regarding innovation and digital transformation.

About HORN

We transform cultures and capabilities by better customizing solutions to the specific needs and context of our clients’ businesses and people. Our mission is to provide transformative organizational solutions and unforgettable personal learning that profoundly shifts how people think, work and lead.

For over thirty-five years, we’ve been catalysts in advancing the thinking, behavior and performance of thousands of leaders across six continents, 48 countries and every major industry. Learn more at www.horn.com.