What Does a Chief Human Resources Officer Do?

Within human resources (HR), the chief human resources officer (CHRO) develops and executes HR strategy for an organisation’s talent management, succession planning, and more. A leader focused on people can drive employee retention and benefit a business's bottom line.  Continue reading to gain a deeper insight into the CHRO role, its advantages for business, and how to become one.

What is a chief human resources officer?

The CHRO is a newer addition to the C-suite leadership as businesses have come to recognise the importance of having a strategy for people management.

The CHRO executes HR strategies with overall business objectives in mind, such as:

• Change management

• Compensation

• Organisational and performance management

• Succession planning

• Talent management

• Training and development

Importance of a CHRO for a business 

The CHRO is a strategic leader who leads managers and is indirectly responsible for all employees. The role also entails communicating HR implications to the executive team, shareholders, and the board of directors.

When businesses have a CHRO, they gain someone who typically:

• Creates succession plans for the executive management team

• Develops procedures and strategies to achieve business operation objectives

• Handles grievances, complaints, and disciplinary issues

• Implements cost-effective and competitive recruiting and retention strategies

• Knows employment-related laws and regulations

• Manages company culture

• Oversees talent acquisition, training, benefits, and career and leadership development

• Supports the company mission and strategic vision via HR efforts

Job outlook and average salary 

The demand for CHROs is rising, as evidenced by at least 25 new hires across India between June and December 2023 [1]. Among the companies that have welcomed new CHROs are Wipro, Dabur, Welspun, Mphasis, Lenskart, ITC Infotech, Godfrey Phillips India, and InsuranceDekho [1]. 

According to Glassdoor India, the estimated base pay for a CHRO is ₹32,35,945 per year, with the option of earning up to ₹10,35,945 on average in additional pay, which could include bonuses and commission [2]. 

Everyday responsibilities of a chief human resources officer 

A CHRO can work in any number of business settings, whether in private or public companies. You could also work with an independent HR provider. Larger health care, government, financial, and educational enterprises are more likely to have CHRO roles.

As a CHRO, expect to perform these tasks:

• Plan and implement change.

• Set policy for hiring, mentoring, developing, rewarding, and promoting talent. 

• Manage compliance, performance, benefits, and payroll.

• Be accountable for employee well-being, development, and professional success.

• Foster organisation-wide communications. 

• Help value short-term costs versus the long-term value of investing in human resources.

• Foster diversity and equity in the workplace. 

Key skills CHROs need 

As a leader in the human resources area, the CHRO needs to have many technical and workplace skills. These abilities can include a range of the following.

Technical skills 

To be a CHRO, you’ll need to demonstrate various technical skills. These could include proficiency in:

• Accounting and finance

• Business data and analytics

• Employment law

• Ethical business practices

• Global and cultural awareness

• Leadership and management

• Project management 

• Technology

Workplace skills

A CHRO should also excel in: 

• Analysis

• Attention to detail

• Communication (verbal and written) 

• Conflict resolution

• Organisation

• Problem-solving

How to become a CHRO

Many avenues can lead you to the chief human resources officer position—even if you lack the necessary background. However, the traditional route to becoming a CHRO includes the following steps.

Earn a bachelor’s degree. 

A CHRO’s career path typically begins with a bachelor’s degree and will later require extensive education. A Master of Business Administration (MBA) or a Master of Science or Arts in human resources or a related field can help you land in the CHRO seat.

Gain professional work experience. 

Professional work experience is required to pursue a career as a CHRO. Any background in recruiting, managing, assessing, and coaching people can help you become a candidate for the role.

The typical progression for jobs in human resources follows:

• HR assistant: An entry-level position that helps with onboarding new employees and informing existing employees about HR policies and benefits

• HR specialist: Role with a specific area of responsibility, such as benefits or employee engagement

• HR manager: A management role oversees programmes and policies with a more holistic view of the organisation’s objectives

• HR director: A higher-level management role with more of a strategic focus while overseeing the others on the HR team

Of course, working your way up within human resources isn’t the only way to gain relevant experience. Taking on leadership roles and volunteering for people-related projects can also help you develop the necessary skills in people management.

Cultivate a growth mindset and relevant skills. 

While CHRO positions represent a growing opportunity, many organisations still don’t have an HR leader at the C-suite level. To be hired as a CHRO, you’ll need to demonstrate understanding outside of training and benefits like leadership, business operations, and strategy. Taking coursework in financial operations or business analysis can help enhance your resume and show an understanding of the levers that make a business successful. 

As a CHRO, it will be essential to cultivate a growth mindset and motivate others.  Articulating the company vision and inspiring people to accept change is critical to being a successful CHRO. Some relevant skills to have include:

• Strategic decision-making skills 

• Data literacy 

• Ability to access employees 

• Ability to identify talent gaps or skills 

At the same time, show your willingness to try new things and learn from your failures. A CHRO will ask employees to do the same. 

Consider certifications. 

Consider getting certified by industry groups. The Society for Human Resource Management offers SHRM-CP and SHRM-SCP certifications. The SHRM Certified Professional (SHRM-CP) tests basic HR practices and principles knowledge. More experienced HR employees can seek SHRM Senior Certified Professional (SHRM-SCP) credentials. This certification exam is more strategically oriented and focuses on skills related such as:

• Developing HR policies and procedures

• Overseeing the execution of integrated HR operations

• Directing an entire HR enterprise

• Leading the alignment of HR strategies to organisational goals 

You might also look into credentials from the Human Resource Certification Institute, including these:

• Associate Professional in Human Resources (aPHR), which is for entry-level HR employees

• Professional in Human Resources—International (PHRi), which is for established HR practitioners working outside of the United States

• Senior Professional in Human Resources (SPHR), which takes a more holistic approach to HR skills at the strategic, leadership level 

Take the next steps on Coursera.

The CHRO position necessitates proficiency in various technical and workplace skills. There are many ways to expand your skill set in human resources. On Coursera, you’ll find multiple programmes to support your endeavours. For example, you might consider taking Human Resource Management: HR for People Managers or Leading: Human Resource Management and Leadership. You can also develop your facility in a particular area by taking Human Resources Analytics or Hiring Practices courses. These courses can help provide you with leadership skills to advance your career.