Diversity at the HR Corner Office has become a central theme in workplaces today, and it is a trend that is likely to continue until we achieve a balanced and inclusive work environment. While every part of an organization shares the responsibility for promoting and ensuring D&I, the ultimate accountability lies with the CEO and the HR function. In particular, we aimed to investigate how organizations have incorporated diversity in one of the most pivotal roles, the role of the HR Head.
The HR function is often associated with a higher percentage of women. This raises a question: could the presence of women in leadership positions within HR help streamline and strengthen the implementation of D&I initiatives? To explore this, we conducted a study to assess the diversity of HR leadership across companies.
This study was based on data from the career trajectories of over 200 women who have held HR Head positions in the past three years. We tracked these movements across leading MNCs and Indian companies with 500+ employees across various industries. As we analyzed this data, we uncovered some surprising and insightful patterns that offer a unique perspective on both HR and D&I across different sectors.
What stood out most were the demographic trends and the fascinating HR industry insights that emerged from this research. The study not only provided a snapshot of how organizations are evolving in terms of leadership diversity but also highlighted the broader implications for diversity and inclusion strategies in the workplace.
Key Findings
Xpheno identified five key trends from these 200 HR Head appointments, outlined below.
Gender Shift
While the trends could be anybody’s guess, it was surprising enough to note the quantum of shift: in over 60% of cases, women had replaced a male incumbent. If generalized, the choice is more than clear. While the reasons in the background may be subject to a larger discussion, the actions have clearly mandated a confirmed trend indicator.
External Hire Vs Succession
Only 15% of the Women have risen vertically to take on the no. 1 role, and 85% have been external hires. While this suggests an inadequate talent pipeline internally, it also indicates a willingness to hire from outside, nonetheless. It also demonstrates the priority associated with the gender choice for the role.
MNC vs. Indian Firms
MNCs outnumber Indian companies in this trend, with two-thirds of the movements occurring in global corporations. This is likely driven by greater sensitivity to these issues from their global headquarters. However, it is interesting to note that amongst Indian firms, 60% have experienced a gender shift from male to female.
Younger HR Heads
It also emerged that the age of these 200 HR Heads role is also undergoing a correction; average age of the new torch bearers being 39, with over 42% of them being in the 36-40 years bracket.
Sectoral Behavior
Technology, Services / Consulting and Financial Services by the virtue of a lead advantage are ahead in the overall female HR Head pack, but a significant shift is emerging in the traditional industries such as Manufacturing, Auto, Chemicals and Pharma, with gender shift being more pronounced in these sectors (almost ¾) as compared to the prior where the shift is about just about 50%.
Embracing Diversity in HR Leadership – A Step Towards an Inclusive Future
A study of over 200 women in HR Head roles reveals a significant shift toward greater diversity in leadership within the HR function. The trend is clear: organizations are increasingly turning to women to fill this critical position, with over 60% of HR Heads replacing male incumbents. While the internal talent pipeline might not be thoroughly equipped for such transitions, external hires are helping to accelerate diversity at the top.
Global companies, particularly multinational corporations (MNCs), are leading the charge, but Indian companies are also showing a positive shift, especially in traditionally male-dominated sectors such as manufacturing and the Automotive Industry. Additionally, the increasing age of HR leaders, with a significant portion in their late 30s, suggests that the future of HR leadership is not only diverse but also younger and dynamic.
The findings underscore the growing importance of diversity & inclusion in shaping the future of HR and corporate leadership. As businesses continue to prioritize diversity & inclusion (D&I), the role of women in HR leadership will undoubtedly play a pivotal part in driving lasting change.
Ultimately, this study paints a hopeful picture for the future, where more diverse voices lead the way in HR, promoting inclusive practices that ripple across the entire organization.
