This snippet gives a glimpse on the challenging times ahead for HR professionals.
Due diligence is a term associated generally with mergers and acquisitions. A due diligence review helps the merging entities identify the presence of any hidden liabilities for the integrated business. This review not only helps organizations to have a re-look at their decision and its feasibility but also helps in identifying the critical areas that need immediate attention for the process to be successful.
Usually this is considered to be the domain of financial and legal experts who focus on the financial costs and contractual obligations. The traditional belief has been that HR does not have any role to play in this due diligence process. However this is no longer true!
The HR due diligence assesses the human capital of an organization. It critically reviews components like - organizational culture and structure, organizational capabilities and leadership, employee compensation and benefits, industrial relations, pending employee litigations, HR policies and procedures, key talent analysis, and performance management and people fit.
HR professionals increasingly are gaining better access to the strategy boardroom… and this is good news…
Gear up friends…
Dr. Meenakshi Khemka
Globsyn Business School
Due diligence is a term associated generally with mergers and acquisitions. A due diligence review helps the merging entities identify the presence of any hidden liabilities for the integrated business. This review not only helps organizations to have a re-look at their decision and its feasibility but also helps in identifying the critical areas that need immediate attention for the process to be successful.
Usually this is considered to be the domain of financial and legal experts who focus on the financial costs and contractual obligations. The traditional belief has been that HR does not have any role to play in this due diligence process. However this is no longer true!
The HR due diligence assesses the human capital of an organization. It critically reviews components like - organizational culture and structure, organizational capabilities and leadership, employee compensation and benefits, industrial relations, pending employee litigations, HR policies and procedures, key talent analysis, and performance management and people fit.
HR professionals increasingly are gaining better access to the strategy boardroom… and this is good news…
Gear up friends…
Dr. Meenakshi Khemka
Globsyn Business School
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