In today’s increasingly technological world, the role of the Chief People Officer (CPO) is rapidly changing into a Transformation Officer. As the focus shifts away from traditional HR leadership to AI transformation, there needs to be a balance with people development and cohesion with the CEO. We look at the changing responsibilities of the CPO and why it’s fast becoming one of the most strategically important roles in the C-Suite.
The future of the CPO
Chief People Officers (CPOs) have traditionally led HR teams with a primary focus on people development. However, many of the CPOs we work with are taking on more of a transformation leadership role. They are leading AI-driven change, designing how both people and AI work together, and they have increasing importance at board level.
AI is raising the expectations of what the CPO should deliver, including shaping how an organisation performs, changes and grows. As AI is rapidly becoming embedded in organisations, it’s no longer purely being used as just a tool. It’s assisting with everything from workforce development to workplace safety. With the ability to handle routine tasks and enquiries, AI implementation is freeing up HR teams to focus on strategy and culture.
But technology does not transform companies - people do - and the CPO is at the centre of such development. No longer will the CPO be regarded as solely focused on HR; they will act as a bridge between various departments to ensure ethical AI transformation.
The changing roles and responsibilities of the CPO
With the move away from a traditional HR focus to managing an AI-driven engine, this has several implications for the modern CPO. They need to be commercially fluent, data literate, digitally sophisticated and comfortable with ambiguity. CPOs need to be a transformation leader and a systems thinker, as well as being highly knowledgeable about human behaviour.
The changing abilities and responsibilities of the CPO are listed below:
• Commercial awareness and the ability to prepare for uncertainty
• Able to see how the whole organisation fits together
• Skilled in leading organisational transformation
• Confidence to manage data and governance
• Digital know-how relating to AI technologies
• Credibility as a board adviser
The CPO and CEO partnership
With the CPO needing to demonstrate credibility at board level, the relationship between the CPO and CEO is becoming the most important in the C-Suite. The CPO will be advising the CEO on governance and change adoption across multiple organisational functions. They will also be a key influence on the ethical use of AI, while leading AI-human integration. The CPO will lead measures preparing the workforce with the required skills and competencies.
CEOs will be seeking guidance from CPOs on a growing range of matters, from people development to AI adoption, cultural changes and data-driven decisions. There is already a greater reliance on CPOs advising on organisational strategies that consider technology, productivity and performance.
The shift in thinking
As organisations move away from the more traditional view of a CPO role as a functional HR leader, they will play a greater part in shaping an organisation’s culture. However, the CPO will be expected to carefully balance emerging technological advances such as AI transformation with employee engagement. They will need to strategically prioritise AI governance, while considering ethics and fairness in relation to human-AI integration.
The CPO will need to ensure that AI is embedded as a learning and behavioural change initiative that enhances employee and organisational performance. But their role is much more than that – they will have the ability to influence every aspect of the work ecosystem.
Conclusion
Chief People Officers (CPOs) face a considerably more difficult future than running a traditional HR department. As the architects of organisational performance, CPOs will have more influence and control over culture, leadership and strategy. There also needs to be cohesion between the CEO and CPO to take organisations forward into an AI-driven future.
If you are looking for your next CPO or considering your next leadership role, please get in touch.
Mandy Turpin
Director - Teare Executive Search
Mobile: 07557 020 234
