Published Date: 11th December 2024
Many New Zealand organisations are grappling with an HR capability gap at Senior Advisor and HR Business Partner level. This critical challenge was a key focus at a recent HR forum hosted by Beyond Recruitment. Our amazing expert panel led the discussion: Abbey Macalister (Head of People & Operations, Ministry for Regulation), Gina McJorrow (National HR Support Manager, Te Whatu Ora Health NZ), and Nick McKissack (Chief Executive, HRNZ) – accompanied by our own Sandy Eaton (Regional Manager – HR & Professional Services, Beyond Recruitment).
With 40 senior HR leaders in attendance, we were privileged to engage in an open and insightful discussion about HR practices across Aotearoa. Attendees came from public, private, and not-for-profit organisations of varying scale.
Here, we share the common challenges HR leaders are facing – and explore potential pathways to address them.
Challenges for HR Business Partners and Senior HR Advisors
Inexperienced HR Teams
A key trend that emerged during the discussion is the growing skills and experience gap within HR functions. Particularly in the talent shortage post-Covid, hiring managers (under pressure to resource their teams) onboarded relatively inexperienced candidates for “Senior Advisor” roles. In an effort to retain existing kaimahi, many also prematurely promoted Advisors to Senior Advisor. With more junior people in Senior roles, the level of experience and capability previously expected at Senior Advisor level isn’t always being met.
New Zealand’s HR Business Partnering is not generally as mature as overseas. A reason for this may be around the limited size of our population, as well as the smaller scale of our organisations. Attendees reflected that true Business Partnering is a harder model to do well in smaller organisations of sub-1000 people.
The result is a capability gap where many people no longer bring either the depth or breadth of experience that would have traditionally been expected at this level. However, strong – and trusted – HR expertise is needed more than ever. With restructures and redundancies on the rise across government organisations, experience in complex Employment Relations (ER) case management, for example, has never been more essential.
Blurring Distinctions
One factor exacerbating these challenges is that the distinction between HR Business Partner (HRBP) and HR Advisor roles is often unclear.
HR Business Partner is a commonly used title, but there is a question around whether HR functions (and organisations more generally) know how to use Business Partners effectively. HRBPs should work closely (in partnership!) with senior leaders and managers to understand the strategic plan – where the organisation is going, and what can be done from a People perspective to achieve that. HR Business Partnering can be quite commercial in nature.
In contrast, HR Advisors provide advice to internal stakeholders around organisational policy, and guide cases in line with policy and legislative requirements.
Often these two roles are operating without the degree of separation that they need to have. We may see this merging/muddying of water happening more often as HR teams are compressed in a bid to save on cost. The group discussed how hybrid roles without clear commissioning can lead to either the strategic or the operational deliverables being lost.
How did we get here?
The rise of premature promotions in HR does not have a single cause. At the heart of the issue, as our panellists noted, is the desire to retain good talent. Organisations understandably want to reward top-performing HR employees with promotions to keep them on board. However, this raises an important question: is it better to let them move elsewhere for their next step rather than advancing them prematurely into roles they may not be ready for? Implementing a purposeful learning and development programme could enable managers to answer this question with more confidence.
The topic of remote work generated significant debate and was identified as a major contributing factor to HR capability challenges. Attendees noted that less-experienced kaimahi miss the hands-on learning opportunities and subtle cues that are only noticeable when you’re in the office, such as a change in an employee’s body language or a candid water cooler conversation. This can lead to ER problems escalating unnoticed. Many agreed that culture and engagement deserve more attention when managing remote teams.
Additionally, inflating HR job titles or salaries to attract ambitious younger candidates has created confusion around expectations. With advertised salaries for HR Advisor roles ranging from $50,000 to $150,000, many candidates are left uncertain about where they fit.
The Effects of an HR Capability Gap
The discussion raised several real-world examples of what can happen when organisations rely on HR Business Partners and Senior HR Advisors with inadequate breadth or depth of experience.
Managers and leadership teams might receive incorrect guidance or information, which can undermine their confidence in the advice and, in turn, encourage them to seek advice outside of HR.
A lack of competency in HR advice can create broader ripple effects. It often leads to inefficiencies that require senior staff to step in and limits the organisation's ability to drive meaningful change or respond effectively. (For HR practitioners, the stakes are personal, too. Poor advice or decisions can damage their confidence and sense of self-worth.)
Such effects can increase an organisation’s risk exposure. For high-risk areas such as ER, where mistakes can be costly, theory-based training isn’t enough. Attendees collectively agreed that HR practitioners need significant hands-on ER experience to be confident and effective – especially at Senior level.
In the public sector, where change initiatives are frequent of late, these issues are just as noticeable. In recent consultations with senior change contractors, we observed that rushed processes and cost pressures have led organisations to increasingly rely on internal teams to manage change. This shift has added significant strain to HR teams, particularly in employee relations (ER), further highlighting capability gaps.
Rushed or cost-focused change processes may have delivered initial savings, but we’re hopeful that future initiatives will use the expertise of experienced change contractors – because change is ongoing, not a one-off, and it’s crucial to get it right.
How can we Fix It?
Complex challenges, of course, require more than one solution. For effective hiring and development of HR talent, discussion participants highlighted several overarching strategies, including:
1. Clarifying HR Roles
Define your HR roles with precision – what capability does your team require (now and in the future), and how can this specific HR role complement it? Do you need advisory capability, or are you looking for a truly strategic business partner? How does this tie into your broader organisational design?
Avoid re-using outdated position descriptions or advertising aspirational roles or job titles that misrepresent the actual responsibilities of the role.
When working with recruitment agencies, clearly communicate your needs and ensure the job title is level with the role’s scope. (Recruiters with genuine HR expertise will know when to seek clarification about the job description and provide healthy challenge at scoping stage!)
2. Assess Candidates’ Experience Levels against your Requirements
Invest in a robust assessment process when recruiting – whether you are hiring direct, or through a recruiter.
Consider how a candidate’s specific experience will translate and fulfil your organisation’s needs. For instance, HR professionals from smaller organisations often gain broader hands-on exposure across the breadth of operational HR – but might not bring deep expertise in areas like ER. Working in larger organisations can lead to deep specialist skills in one aspect of HR, albeit with less hands-on involvement across the full gambit of the function. Which will work best for your team’s needs? Can you commit to actively coaching your new employee in their development areas?
Including technical exercises during interviews helps assess candidates’ practical skills and approach to mahi.
3. HR Professionalisation and Standardisation
New Zealand’s small, broad-scope HR teams benefit from using a tailored framework developed for the local professional environment. Adopting industry standards, such as HRNZ’s accreditation program, can provide structured development and improve capability across the HR profession.
There is a strong argument for the HR profession to come together to collectively develop a clear HR career pathway. This could include formalising secondment opportunities across the system to ensure up and coming HR practitioners have the breadth and depth of experience they need to be effective. We also discussed cross-organisational workshops for developing kaimahi to learn from each other and other leaders.
Final Thoughts
Tackling HR capability gaps requires clear role definitions, thoughtful hiring, and a mature professional development framework. With the right groundwork before starting the recruitment process for a critical HR role, leaders can drive efficiency across their organisation and minimise employment-related risks.
Engaging with a recruitment partner with proven HR expertise can provide you with the resources you need to fulfil these goals and build thriving HR teams. At Beyond Recruitment, we connect employers with HR professionals who enable them to drive positive change in their organisations. If you would like to discuss hiring for an HR role or advice on refining your HR capabilities, please reach out to our HR specialists, Sandy Eaton or Kirsty Clarke, or contact our team.
