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How to transition your department from HR 1.0 to HR 2.0: Strategic HR


Update September 3, 2011: grab a copy of the power point presentation about strategic hr, presented by Ed Ebreo in our recent learning EB co presented by WSPH, HR Philippines, ExeQserve and Yahama Motor Phil. Inc


There is much talk about HR 2.0 or the  Strategic HR role , but in reality, HR is still caught in it’s transactional functions, these are:

  • Recruitment
  • Timekeeping and Payroll
  • Control and Admin Procedure
  • Company Orientations
  • And to some extent, Medical Services.

But what is strategic HR? And how can HR move from HR 1.0 (personnel) to  HR 2.0 or strategic HR? According to Dr. Sullivan, these are the steps an HR should take to successfully reinvent itself:


Read: HR 3.0 – The Digital, Social and Mobile HR


Level 1:  Information Management and Basic Transactions

  • Processing of new-hire documentation, payroll, separations and benefits enrolment and changes
  • Providing answers to employee and manager questions pertaining to policy, benefits, employment law

Level 2: Providing Functional Services

  • The formation of standardized processes and policies for requesting more staff, developing staff, compensating staff, and performance management.
  • Basic reporting on the status of talent management efforts

Level 3: Coordination of Efforts to Improve Productivity

  • Development of tools and strategies to retain key employees
  • The redeployment of employees from areas of low business impact to high
  • The introduction of non-monetary motivation and recognition systems
  • Usage of workforce analytics or metrics
  • Coordinated efforts for knowledge capture, sharing, and management

Level 4: Development of Competitive Advantage Through Talent

  • Competitive analysis of people programs found in competing organizations
  • Workforce planning and productivity forecasting
  • Employment branding
  • Competitive intelligence gathering

Level 5: Develops Solutions to Strategic Business Problems and Opportunities

  • HR involvement in turnaround swat teams
  • HR consultation in product design and development efforts
  • Analysis of workforce management impact on time-to-market and innovation
  • Management of performance culture
  • HR involvement in merger and acquisition planning

Please visit Dr. Sullivan’s site to read the complete article at


After learning of the different levels. what is your department’s strategic level now?



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