Although HR has been involved with change management for the past several years, its role is now really taking shape. We take a look at what is happening in companies today.

HR needs to take a broader perspective than in the past

Historically, change management has centred on activity related to mergers and acquisitions, says David Kompare, a senior consultant with Hewitt Associates’ Corporate Restructuring and Change Group. More recently however, change management has also come to include spin-offs or divestitures, as well as global sourcing initiatives. In addition, change management can be the result of centralisation, business relocation, and outsourcing, he explains.

Regardless of the catalyst of change, HR is likely to be affected. "Change events have a fairly broad impact from an HR standpoint," Kompare says.

Opportunities for involvement

HR is involved with benefits, compensation, employment contracts, retention, and employee engagement, Kompare tells Expatica.

But because any kind of restructuring can have a significant impact on the employee population, HR is also involved in other areas, he says.

With regard to loss of jobs, for example, HR assumes a number of different roles, including but not limited to that of administrator and communicator. If a company is setting up operations in a new country where it has never done business before, there are likewise responsibilities for HR. Similarly, if functions are to be outsourced, whether HR functions or those of other departments, HR will be involved in some capacity.

Then versus now

Many of these responsibilities are new for HR.

As recently as four or five years ago, HR tended to be an administrator or an implementer of change, Kompare explains. Then, it was assumed that HR would be involved in benefits and similar areas related to staffing. This was largely HR's role.

"As the HR function has evolved over time, it has become strategic," says Kompare.

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