Tensions caused by responding to cost-cutting

Senior HR and wider business leaders are both clearly focused on

Senior HR and wider business leaders are both clearly focused on the short-term business priority of cost management. The challenge for HR is to balance the tension between responding to short-term cost imperatives and keeping longer-term people issues firmly on the agenda, as these are what will really make the difference to sustainable performance. That’s according to a new research from the Chartered Institute of Personnel and Development (CIPD) based on a survey of 369 business leaders and 107 senior HR professionals. The report, HR Outlook: A variety of leader perspectives, reveals that although 64% of business leaders and 71% of HR professionals cited cost management as their top priority, when it comes to what keeps them awake at night, HR is more likely to be worrying about longer-term people issues. Most notably, leadership development (41% of HR respondents versus 18% business leaders) and talent development in line with future skills needs (27% HR versus 18% business).

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