How to drive business growth with a successful people strategy

How to create a successful people strategy to drive business growth

When growth is the goal, it is vital to have the right foundations in place to sustain it. And as people are critical to the success of any business, adopting a people-centric strategy is key. In this article, we explore how to create a successful people strategy designed to drive business growth, while supporting the people in your organisation to enhance performance, productivity and wellbeing.

In the competitive landscape of today’s business world, businesses regularly find themselves grappling with limited resources, tight budgets, and fierce competition. In order to thrive in this environment, a well-crafted people strategy at the heart of your business can be the key differentiator in sustaining growth.

People Directors Divya Kanani-Jones and Rory Buchanan talk us through why people planning should start and align with the overall business strategy.

The benefits of a well-planned people strategy

There are countless benefits of a great people strategy. Here are just a few:

The right people in the right seats to support ongoing growth
Free up senior leadership time to focus on the business bigger picture, rather than being busy working in the business day to day
Clarity on operational and transformational goals and processes
Effective training, coaching and mentorship plans in place for both personal and professional development
Attract the best people to your organisation and retain them for longer
Drive performance and productivity through better employee engagement
Strategic alignment with the business agenda to ensure everyone is pulling in the same direction
Regulatory compliance and support
A clear roadmap for the future of your business

A people strategy spans many areas, from talent attraction and retention to succession planning, supporting the wellbeing and development of your teams and overarching organisational structure. It includes your corporate stance on Environmental, Social and Governance (ESG) as well as employee engagement, performance and much, much more.

“Essentially, it’s making sure that everyone in the organisation has clarity around what they do, that they are committed to that, and that they have the capability to do it. “Rory Buchanan, People Director

With so many variables to consider, how do you get started?

Develop clear understanding of where you are now, and where you are going

Gaining a clear picture of where you are at currently and where you want to go is a crucial first step. Without a clear vision and well-defined goals, it is impossible to put together an effective plan. A thorough assessment of what is working well versus what needs improving is needed at this point, as well as a temperature check of company culture and employee engagement.

Once you have agreed the end goals it is time to design your strategy: your roadmap for growth. It is within this strategic planning stage that it is so important to align the business goals with your people plan, as the two are inextricably linked.

Critically, when designing a people strategy to drive business growth it is important to consider the future requirements of the business, not just those of the current moment. That includes your resourcing and recruitment approach, training and development needs, and of course, succession planning.

“People planning should start with business strategy because it helps set the scene and context for the HR roadmap… It helps us elevate functional expertise, organisational design [and] helps us understand some of the bigger business challenges which, in turn help us identify people-centric solutions, which is really important when it comes to looking at the commercial value add.” Divya Kanani-Jones, People Director

10 steps to a successful, people-focused growth strategy

Define your vision, your goals and your business values and keep this front of mind when developing your people strategy
Identify your barriers to growth and ways to address them
Map the roles, skills and competencies your business needs now and will need in the future
Foster a positive workplace culture and employee value proposition which provides a fair, safe and equitable environment for all
Invest in employee training, development and wellbeing so that your leaders are equipped to lead, your managers are equipped to manage effectively, and everyone feels a sense of personal and collaborative accountability for performance and wellbeing
Develop your reward and recognition framework to motivate and engage your people
Adopt sustainable business practices within your chosen ESG plan
Embed great communication culture, which underpins engagement, feedback, performance management, motivation and stakeholder management, to name but a few
Plan, review, do. Build evaluation into your everyday practices to ensure a culture of continuous improvement
Be open to change. A people strategy is not static, just as business strategy is not static. You need to monitor and respond to external factors and have the leadership and operational agility to pivot when needed.

A people strategy is not just about hiring the right talent; it encompasses all aspects of managing and developing your workforce to align with your business goals. Your people are your most valuable asset: they drive innovation, deliver customer experiences, and execute strategies. An effective people strategy can help you maximize their potential, ensuring that every team member contributes to your business’s growth and success, as well as the collective wellbeing and fulfilment of the whole team. Be under no illusion: a well-thought-out people strategy is a necessity for SMEs aiming to thrive and grow in a competitive market, not a luxury. It empowers your workforce, aligns them with your business goals, and ultimately drives the success of your company.