CREATINGPEOPLEADVANTAGE2026FourPowerMovesfor the CHROMarch2026 byPohtip kolo Jens Baie, Fank Breting Fang ruan Suketu Shah Peck Kerm tow,Anthory ArigansloAita Troncosq Luras van Wes, Amy Durane UriksS Brx, andKa HefitzBOGWFPMA
Contentsod68ExecutiveSummary19Appendix1: RegionalVariationsIntroduction21Appendix 2; How CompanyToday's HR PrioritiesSize ShapesHR Priorities,HR'sRole in Creating22Appendix 3; MethodologyBusinessValue24Appendix4; Definitions12Leading the Digital andof the 28 PeopleAlTransformationManagementTopics15Building Workforce and26leadership CapabilitiesAcknowledamentsFourPowerMovesfor the28 SupportingOrganizationsCHRO of the Future18Conclusion30ForFurtherReading
Executive SummaryTheresultspoint tofourmoves for CHROs。 Deliver business value through HR.CHROs shouldleadership teans, deploing igtal and Al toinot only improve the performance of the HR functionepvices eficienty and efectively, building butexpand their focus tomoredirectly conect peoplepabitiesto trvestrategc prinitie-indudingfefforts with the strategic business priorities. EverythingAl transfoation-looking ahead to meetthe CHRO doesshould be viewed through this lens.ly evolving skilland workforce needs, and ultimatelydoes this serve abusinessoutcome?,hes alue. But many HR teans silstugetoerform at that level.imperative of modernizingdecades, BCG's Creating Peoplel and Al to better support business units,tnership with the World Federation,lso leadigthe boaderAl transfomatin of theations(WFPMA), haveprise, which has massive workforce andnce in helping CHROs positionhis year's analysis--whichore than 7,000 HR and businessand leadership capabilities. In alis at 28 people management topics andenvironment, CHROs must developiesa allevels to help the company winKeyfindings:strategy, explicitly linked to business outcomes, and Stronger HR capabilities lead to greater businessvalue. Companies that have higher capabities in areal。Anchor the change.Finally, CHROsneed toensureand well-being, recruiting.that hanges taerot.Thirequirestig lernland onboardting, and sustainabity can better suporpperating rhythms, embedding newbusiness objectives, by helping leaders shape and developperformance management schemes, andthe workforce more strategially.However, HR functions are stronger in traditionalg in subjectsThey illustrate that with therightnce and employee relations, and recruitingos and theirteams can evolve from aLkand onboarding continue to benefit from automation support function to a driverof outsized business valueadata diven prcess. These ar important, butthey are foundational and won't drive outstandingbusiness performance.CHROs aren't vet capitalizing on digital. Digitalblutons made the bigestjumpin emsofitureimportance among respondents--improving 13 ranks to-but it should likely be ranked even higher. Currentcapabilities in this area are among the lowest overall,Small and medium-sized enterprises(SMEs)need tocatch up in theiradoption of digital. Large companiesare more likely...