How to Build an HR Function That Drives Culture and Profitability
The Christopher Group, Agile HR Business Solutions
Boutique HR Executive Search & Consulting Firm. Named America's Best HR Executive Search Firm by Forbes.
One of the biggest misconceptions I see in executive hiring is that HR is a cost center — a necessary but non-strategic function focused on policies, processes, and keeping the company out of trouble. In reality? The best HR functions are profit drivers. When built right, HR fuels growth, strengthens culture, reduces turnover, and increases performance across the business.
But here’s the key: you don’t get that kind of impact by default. You have to build it intentionally — with the right structure, leadership, and business alignment. Here’s what I’ve learned from helping organizations across industries build HR teams that do more than just keep the wheels turning — they drive results.
- Start with the Business, Not the Org Chart
Too often, companies design HR around functions (recruiting, benefits, L&D) instead of outcomes. Instead, begin with key business questions:
- Where is the company going over the next 12–24 months?
- What kind of talent do we need to get there?
- What culture will support that growth?
- What are the biggest people-related risks we need to mitigate?
From there, we reverse-engineer the HR function to support those goals — not just fill seats.
- Hire an HR Leader Who Thinks Like a Business Partner
If your top HR leader doesn’t understand your P&L, can’t speak the language of your executive team, or isn’t proactively shaping the people strategy — you don’t have the right leader.
Modern HR is about connecting talent, culture, and performance. That means your HR leader needs to:
- Advise on org design that supports strategy
- Forecast talent needs based on growth plans
- Align compensation with business priorities
- Influence change at the leadership level
This kind of leadership requires more than experience — it takes strategic thinking, business acumen, and strong executive presence.
- Make Culture a Business Lever — Not a Slogan
Every company says culture matters. But the best companies treat it like a business system — something you measure, manage, and design intentionally. An HR function that drives culture isn’t just running engagement surveys. It’s:
- Partnering with leaders to define behaviors that support the strategy
- Embedding values into performance reviews, hiring, and rewards
- Equipping managers to lead with empathy and accountability
- Creating real alignment between “what we say” and “what we do”
When culture is connected to business outcomes, it becomes a multiplier.
- Align Talent Strategy to Financial Strategy
People decisions are business decisions — but not every HR function treats them that way. Want HR to drive profitability? Ensure your HR team is:
- Forecasting hiring against revenue targets
- Evaluating turnover by business unit or cost center
- Partnering with Finance to analyze cost-per-hire, ROI of development programs, and workforce productivity
- Helping leaders make smarter decisions about team structures and resource allocation
This kind of financial fluency in HR creates better decisions — and better results.
- Invest in Scalable Systems and People Analytics
An HR function that runs on spreadsheets and gut instincts won’t cut it in a competitive, data-driven environment. Scalable tech and actionable people data enable your HR team to:
- Spot trends before they become problems
- Identify high performers and flight risks
- Track DEI progress beyond just hiring
- Give executives clear, concise workforce insights
This isn’t just about automation — it’s about equipping HR to lead with insight, not just reaction. If you’re treating HR as an afterthought, you’re leaving money — and talent — on the table. But if you build an HR function aligned to strategy, led by the right people, and empowered with tools and data? You unlock a powerful force for growth, innovation, and culture.
As an executive recruiter, I help organizations go beyond filling a role — I help them build HR leadership that drives real business outcomes. If you’re ready to build a high-impact HR function, let’s talk.
About Carrie Longmire, Partner
As a servant minded and seasoned Human Resources professional with over 15 years of experience in all aspects of Human Resources, Carrie is a dedicated to and passionate about helping others achieve their professional goals. She understands the importance of a fulfilling career and how it greatly impacts one’s overall well-being and happiness.
Carrie takes the time to truly understand the needs and desires of those she works with, going beyond simply placing them in a job, but rather assisting them in achieving fulfillment in all aspects of their lives through the development and enhancement of their career. Her approach is service focused, personal, and “high touch.” She takes the time to build strong rapport with each individual to ensure the best possible career match. For more articles like Carrie's, sign up for our newsletter.