The theory behind Systemic HR is powerful, but real implementation taught me lessons no framework could.. HR is no longer just about payroll and compliance. It is about driving business impact. Josh Bersin’s research shows that HR teams evolve through four maturity levels, and understanding these stages changes how leaders design their people strategy. 📌 Level 1: Transactional HR Early projects are mostly admin: payroll, compliance, reviews. Necessary, but not a growth driver. 📌 Level 2: Efficient HR Global HR systems brought shared services and standardised processes. HR became cost-efficient, but still seen as “support.” Gartner reports 65% of HR leaders face this perception. 📌 Level 3: Solution HR Here, HR ties programs directly to business outcomes with measurable impact. HR earns its place as a trusted strategic partner. I designed an onboarding program that reduced early attrition by 20%, showing how HR can drive real business results. 📌 Level 4: Systemic HR HR becomes an internal consulting partner. HR operates holistically, solving business challenges across functions, not in silos. This is where HR shifts from fixing problems to shaping the entire organization’s growth and future. The takeaway is simple. Each level adds value, but the leap from Level 2 efficiency to Level 3 and 4 transformation is where HR becomes a true driver of business growth. Where do you think most HR teams sit today, focused on efficiency or moving toward systemic problem-solving?
A very clear framework Sharad Verma From my own observations over the past two to three decades, I would argue that fewer than 23% of CHROs truly operate at Level 4. Moving from efficiency to systemic HR requires more than processes or programs. It takes HR stepping into the role of business shaper, not just business supporter.
Sharad Verma - thanks for sharing the evolution of HR over the decades. India being as diverse as it is, I believe the level of HR's value addition varies according to the industry and the size of the organizations. IT/Service start-ups surprisingly might be more systemic compared to a large pharma or a mid size manufacturing org. What are your thoughts on this? That said, most HR thought leaders might be aiming for the level 3 or level 4.
Absolutely and thank you for sharing this. The real shift happens when HR starts sitting next to managers, solving problems together, and seeing how a change in onboarding, communication, or leadership support actually transforms the team. That’s when HR stops being a function and starts being a force for growth.
Most HR teams believe they’re “evolving” through frameworks — but systemic HR isn’t a stage, it’s a state of consciousness. The real shift happens when HR stops seeing itself as inside the organization and starts acting as the organizing intelligence of the enterprise. Systemic HR doesn’t manage people systems; it rewires how the system thinks about people. The question isn’t whether HR is efficient or strategic. The question is — can HR sense weak signals before they become workforce crises? Can it anticipate culture fractures the way finance anticipates liquidity risks? Until HR becomes the system’s early-warning radar — not just its compliance compass — we’ll keep mistaking process evolution for systemic transformation.
Love this breakdown, especially the jump from “support” to “strategic partner.” That’s the real unlock. HR isn’t just about keeping the lights on anymore. It’s about designing the architecture of growth. Your onboarding win is a textbook example of HR driving impact. I’d say most teams are still orbiting Level 2, not because they lack vision, but because they’re stuck in legacy expectations. Time to break the mold and build HR as a business engine.
Sharad Verma your post captures perfectly how HR matures from operations to true business impact. I have seen very often in my career that: - The biggest leap is the mindset not structural. Moving from Level 2 to 3 requires HR to stop measuring activity and start measuring business outcomes. - Systemic HR thrives on integration, not ownership. The real breakthrough happens when HR stops “running programs” and instead enables business leaders to own culture, capability, and change. Thanks for sharing.
This is such a clear breakdown of HR maturity and its real impact. The jump from efficiency to solution- and systemic-focused HR is where the real business value emerges. It’s not just about processes or compliance anymore, it’s about shaping strategy, enabling growth, and creating measurable outcomes.
Sharad Verma, your insights are spot on. HR's evolution is crucial for business growth. Transitioning to a strategic partner mindset is the need of the hour. Let's hope more leaders recognize this shift.
You are doing transformational work Camille, you are a true asset. Have appreciated your support beyond traditional HR functions.
Chief Human Resources Officer | HR Transformation | Talent Management | Organizational Development | CSR Leader | ESG Accredited | Top 10 HR Leader India 2023
2wThe shift from efficient to systemic HR is pivotal. Many HR departments still grapple with moving from supportive roles to being strategic drivers. It's inspiring to see examples showcasing the measurable impact on business outcomes.