HR Transformation: How a New HR Model Drives Long-term Value | EY – US

HR Effectiveness

As HR organizations continue to evolve their operating models to deliver value, this article provides one model, the People Value Chain, based on three core components: 1) The digital people team. Adopts, innovates, and shares a suite of innovative front-end tech-driven services, harnessing the latest artificial intelligence (AI) and machine learning2) People consultants. Provides strategic guidance and expertise to the business to address problems, providing the people lens, and working on agile teams. 3) Virtual global business services (VGBS). Delivers cross-functional service management, providing scale while reducing cost through virtually connected, global pods.  The authors indicate that HR can migrate 72 percent of its work to VGBS and the digital people team. The article provides ideas for evolving the HR operating model and function, such as adjusting HR’s KPIs to things it can influence, not just what it controls. Last, while many consultant-based articles (such as this one) use phrases as “the Dave Ulrich approach must be left behind for a new model” when presenting (and marketing) their model, it is important to acknowledge that these models are anchored in the work that Dave pioneered and continues to evolve.

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