Redefining the HR Function
The world of work is experiencing a profound transformation. Driven by evolving employee expectations, technological advances, and increased societal focus on inclusivity and well-being, Human Resources (HR) is shifting from a traditional administrative function to a strategic, people-centric leadership role. This transformation is best encapsulated by the emergence of the “People and Culture” mindset.
No longer limited to policy enforcement and transactional tasks, HR professionals are now expected to design holistic employee experiences, steward organizational culture, and enable human potential. This shift is not merely semantic—it requires a rethinking of HR’s purpose, structure, and daily practice.
Strategic Priorities in a People and Culture Framework
The People and Culture approach centers on several key priorities: human-centricity, agility, equity, internal mobility, and cultural alignment. It recognizes that people want more than jobs—they want meaningful work, autonomy, fairness, and a sense of belonging. The task for HR is to create conditions where these needs can be met sustainably.
People and Culture teams take an agile approach to workforce planning, using real-time data to design responsive programs. Feedback mechanisms like pulse surveys, exit interviews, and employee journey mapping are used to inform improvements. Traditional performance management is replaced by continuous coaching and feedback. Learning and development initiatives are aligned to both business strategy and individual career goals.
In this model, organizational culture is viewed as a dynamic, shared system that must be actively shaped. HR collaborates with leadership to ensure that values are lived, not just stated. Moreover, diversity, equity, inclusion, and belonging (DEIB) are no longer siloed as compliance functions but are integrated across all aspects of talent strategy.
Benchmark Case: Unilever’s People and Culture Transformation
A benchmark example of this new mindset can be found in Unilever’s global HR transformation over the past decade. Recognizing the limitations of traditional HR models, Unilever redesigned its people function under the leadership of Chief HR Officer Leena Nair (now CEO of Chanel).
The company shifted its HR function toward three goals: making purpose central to every employee’s experience, embedding DEI into business practices, and creating a more agile, digitally enabled people organization.
Unilever launched a program called “Discover Your Purpose”, which enabled over 50,000 employees to identify their individual purpose and align it with their work. This initiative was built on the belief that people who understand their purpose are more engaged and resilient. The company also committed to building an inclusive culture, aiming for gender balance and diverse representation at all levels. DEI metrics were embedded in manager scorecards, and training was provided on inclusive leadership practices.
Furthermore, Unilever embraced agile teams within its people function, using cross-functional squads to rapidly prototype and deploy new HR initiatives. This included creating digital platforms for learning, feedback, and career development. The result was a dramatic improvement in employee engagement scores and internal mobility, with over 80% of vacancies filled internally.
This transformation positioned Unilever as a global leader in People and Culture, illustrating how HR can become a strategic driver of business success and social impact.
Implementation Considerations for Practitioners
Adopting a People and Culture mindset requires intentional change management. HR professionals must develop new competencies in systems thinking, design thinking, and data analytics. They must also champion inclusive leadership and become trusted advisors to senior executives.
Organizational readiness is key. Leadership buy-in, investment in digital infrastructure, and alignment with strategic objectives must be in place. HR teams should begin by assessing current practices, identifying culture gaps, and piloting programs that foster trust, transparency, and inclusion.
To maintain momentum, it is essential to build continuous feedback loops and celebrate small wins. Success should be measured not only through traditional KPIs like retention and performance, but also through human-centered metrics such as employee well-being, psychological safety, and internal career growth.
Conclusion
The shift from HR to People and Culture reflects a broader redefinition of the workplace itself—from a place of task execution to a space for human flourishing. As organizations become more complex and purpose-driven, HR must move beyond compliance to become architects of culture and experience.
The Unilever case demonstrates what’s possible when HR adopts this mindset at scale: improved business performance, deeper engagement, and a more equitable workplace. For HR practitioners, the path forward involves continuous learning, collaboration, and courage to lead change from the inside out.
The People and Culture transformation is no longer optional—it is the blueprint for future-ready organizations.
References
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- Chatman, J. A., & Cha, S. E. (2003). Leading by leveraging culture. California Management Review, 45(4), 20–34.
- Dweck, C. S. (2006). Mindset: The New Psychology of Success. Random House.
- Edmondson, A. C. (1999). Psychological safety and learning behavior in work teams. Administrative Science Quarterly, 44(2), 350–383.
- McKinsey & Company. (2020). The agile HR function.
- Morgan, J. (2017). The Employee Experience Advantage. Wiley.
- Nishii, L. H. (2013). The benefits of climate for inclusion for diverse groups. Academy of Management Journal, 56(6), 1754–1774.
- Unilever. (2020). Future of Work: HR Strategy and Purposeful Work Programs. Retrieved from unilever.com
