“HR is the right hand of the company”.

Often dismissed as a back-office department, many business’s Human Resources departments are disconnected from strategy and undervalued by leadership. It was treated as a cost center rather than a contributor to growth.

When no longer limited to managing payroll and paperwork, HR can become a central driver of business success. In many forward-looking organisations, Human Resource business partners are now the right hand of the company, shaping workforce strategy and aligning people operations with core business goals.

1 – Human Resources as a Strategic Compass
Human Resources has transformed from a primarily administrative role into a key strategic partner within organizations. Today, HR works hand in hand with leadership to plan workforce needs, develop leadership pipelines, and ensure that people strategies are closely aligned with the company’s long-term vision.

This strategic focus allows HR to guide businesses through complex changes, whether that means rapid scaling, restructuring, or entering new markets, helping ensure transitions are smooth and sustainable.

The impact of HR goes beyond just managing people. It involves shaping culture, influencing productivity, and driving overall business performance. By embedding itself into core business processes, HR helps create agile organizations capable of responding to evolving market demands. This proactive partnership positions HR as an indispensable advisor and architect of future success rather than a mere support function.

2 – Compliance and Risk Management
Alongside its strategic duties, Human Resources holds critical responsibility for managing compliance and mitigating risk. Especially in Singapore, HR must be deeply knowledgeable about legal requirements such as those surrounding foreign worker employment permits, quota limits, and levy payments according to Ministry of Manpower (MOM).

Accurate validation of work passes, and diligent documentation are essential to avoid regulatory penalties that can severely impact the business.

By taking ownership of compliance, HR acts as a legal safeguard for the company, ensuring that talent acquisition and workforce management adhere to evolving laws and standards. This vigilance protects the organization from costly fines and reputational harm and is vital to preserving business integrity and supporting sustainable growth.

3 – The Value of Foresight
The strategic right hand anticipating shifts in the job market, hiring trends, and workforce dynamics before they impact the business. Human Resource professionals stay ahead of evolving talent demands and changes in employee expectations to ensure their organisations remain competitive and agile.

In Singapore, several key trends are shaping the workforce landscape in 2025:

• Emphasis on Skills-Based Hiring: Employers are increasingly prioritising competencies over traditional qualifications. Talent hunters now focus on assessing candidates’ skills and potential rather than solely relying on academic credentials.
• Rise of Flexible Hiring Models: We are seeing a surge in contract and project-based positions in the past few years. Companies are adopting flexible hiring arrangements to manage costs and adapt to changing business needs.
• Increased Demand for Tech and AI Skills: AI is the hot new thing everywhere – as Singapore solidifies its role as a global hub for technology and innovation, there is a growing demand for AI specialists, data scientists, and cybersecurity experts.
• Focus on Work-Life Balance: Strong work-life balance has become a top priority for talent in Singapore. Companies that offer flexible work arrangements and support employee well-being are more likely to attract and retain top talent.

This forward-thinking approach will help enable your business to maintain momentum and confidently attract and retain the right talents.

4 – Effective HR Is a Smart Business Investment
Good Human Resource practices can help your company save money and may even generate more revenue in the long run! By streamlining HR processes like recruitment, onboarding, and employee engagement, businesses reduce costly turnover and avoid expensive compliance issues. It also boosts productivity and morale, which leads to better performance and growth.

By creating a more motivated and stable workforce, businesses are ultimately protecting their bottom line and driving sustained success.

Learn how much you could potentially be saving in HR with our survey here.

5 – Culture and Competitive Advantage
The culture of a company, how people collaborate, perform, and grow, is a direct result of HR’s influence. Human Resource policies shape employee experience, retention, and morale.

When employees feel valued and supported, productivity increases. When these systems break down, the entire business suffers, from increased hiring costs to reputational decline.

Beyond internal culture, HR also plays a critical role in competitive positioning. In industries competing for top talent, the HR function can determine whether a company stands out or struggles to attract strong candidates. When HR is empowered to build a strong employer brand and implement people-focused policies, the company benefits at every level.

HR Support That Scales With You
Human Resources is no longer a background function. It is a core driver of business health and continuity. When HR operates strategically, it creates value, strengthens resilience, and ensures compliance in a fast-changing world.

At Verti Human Capital, we support companies at every stage of their HR journey. Whether you need help with talent acquisition, payroll management or secondment services, our team is equipped to deliver efficient solutions.

We work as your trusted partner, so you can focus on growing your business while we handle the people, processes, and policies that keep it running smoothly. Reach out to us at contactus@verti.sg or +65 8923 8819.

All information accurate as of 6 August 2025

Sources: Business Insider