Tuesday, August 31, 2010

“There is no HR in Asia”

Since I remember, Westerners in China often complained that “there is no HR in Asia”. The statement mostly suggested lack of high caliber human resources talent, weak HR architectures and “me too” HR practices and policies. True, for many years, little investments have been made in China in upgrading HR departments. However, HR has always been of a great consideration, particularly among MNCs and companies set-up by foreigners. Additionally, senior management and company owners have always played a key role within major areas of human resources management like recruitment and selection, retention, development, compensation and staff reduction.

After spending several years in China, the phrase got however a different meaning to me. “There is no HR in Asia” pertains to mediocre managerial skills and almost non-existent support of thereof by HR. Traditionally, line managers are poorly trained in people issues. In addition, Western managers face the intercultural challenge with lack of Chinese language skills and pitiable training in cross-cultural subjects.

Finally, one misconception prevails among Chinese and Westerns executives. In their attempt to improve HR and people management they hire a HR person or a HR team to fix all corporate culture issues and make the company live by first-class people management practices. But delegating people management to human resources specialists does not work. No! No!

HR can merely equip line managers with the necessary skills and competencies to handle people management issues. HR can overtake huge part of paper work, supply tools as well as design and align practices, and only in cooperation with line managers ensure their effectiveness.

Without close relationship between HR and line management, HR cannot bring about results. HR lacks the most immediate and up-to-date information about employees competencies and performance. HR alone also lacks authority in the organizational ladder and hence they may only have little impact on employees` behavior.

In conclusion, there will be no HR in Asia, as long as line and general managers do not fill responsible for the day-to-day 'people-management' activities at their companies.

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