Businesses often invest a lot of time and resources into the sales and marketing teams, while ignoring the value of the human resources department. Without them, the rest of the company would be ineffective in their roles. Human resources teams are more important than ever. A strong HR strategy is critical if businesses want to grow and thrive. Here are some components of a good HR strategy:

Legal Compliance

Legal compliance is essential when it comes to HR. Human resources teams handle sensitive information, legal issues, and documentation that often requires additional compliance. It can be difficult to know when and how to handle legal issues in HR. It’s important to have a strategy around how these tough topics will be handled and how to ensure legal compliance. This can include anything from discrimination to harassment.

Understanding the Role of Technology in HR Management

Technology is a critical component of any modern HR strategy. The ability to use technology effectively can help HR managers do their jobs better, allowing them to gain more insight into employee behaviour and improve the overall productivity of their teams. You can even outsource and leverage HR management services from outside teams as a part of your overall HR strategy. Using technology can be helpful in many ways. You can conduct employee engagement surveys, offer training through learning management systems, and even use technology for benefits management.

Effective HR Leadership

Leadership is a critical component of any effective HR strategy. Human resources leaders must have the ability to inspire and motivate employees to achieve organizational goals, make tough decisions, and be accountable for their actions. They must also be able to effectively communicate with employees on an individual basis as well as across departments or branches within the organization. A good leader isn’t just someone who can manage people. They also have intuition and other soft skills that help them lead their department well.

A Comprehensive Understanding of Your Workforce

Understanding the demographics of your workforce will help you understand how to best serve them. This means knowing what motivates your workforce, where they are coming from, and creating a safe environment where they can do their best work.  

An Understanding of the Entire Organization

The most effective human resources strategy is one that understands the entire organization. In order to do this, you need to understand the business itself including its goals, how it earns money, and the direction it’s going in. You need to know how HR functions as a part of that. This includes knowing what you do for the business and how it impacts the organizational structure. You’ll also need to know about the different roles in the business and how they each help move the company toward its goals.

Leveraging Human Talent Effectively

Hiring the right people is one of the most important aspects of a good HR strategy. But your role in HR isn’t just to hire them and be done with it. But you need to understand their goals and how you can effectively leverage them for the company. You’ll need to retain the right people, develop them, and manage them well.

A Commitment to Investing in and Improving Your People

A commitment to investing in and improving your people is one of the most important components of a good HR strategy. Investing in your people is an ongoing process that should be viewed as an investment rather than an expense because it can help make them more productive and motivated. This means providing training opportunities even for entry-level staff. It means providing equal access to fun team-building activities.

A Willingness to Adapt to Change Over Time

A willingness to adapt to change over time is essential in the face of today’s rapidly evolving workforce. As your organization grows and evolves, it is important that you stay flexible enough to make changes that will help the company thrive in its new environment. You must also be able to change your mind when necessary. If circumstances change or new information or technology becomes available you may need to shift. Also, if it’s not working, then don’t do it anymore.


These are just a handful of the key components that make up a good human resources strategy. There are many more aspects to consider, including organizational culture and employee engagement. But implementing these into your strategy can make a big difference.