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Talent

As pressure on HR mounts, it’s time to redefine the function

Lihua Fan

March 27, 2026

Talent

As pressure on HR mounts, it’s time to redefine the function

Lihua Fan

March 27, 2026

Photo by Product School on Unsplash

In many organizations, HR is still viewed primarily as a support function—responsible for hiring, compliance, performance management and employee relations. Yet in environments defined by intense execution pressure, constrained resources and organizational structures that are still evolving, this traditional positioning often fails to support how the organization actually operates.

In my recent work across the United States, I have not been operating inside fully staffed, process-mature enterprises. Instead, I have worked within early-stage organizations characterized by multi-state operations, geographically dispersed projects and extended industry cycles. Within these contexts, one realization became increasingly clear: Human capital is not merely a back-office function—it is a form of operational infrastructure that directly influences execution stability.

When organizations must continue moving forward under imperfect conditions, the role of HR must inevitably be redefined.

Execution without organizational stability is not agility—it is risk.

Why traditional HR models break down under execution pressure

In capital-intensive start-ups with long industry cycles and remote operating locations, resource constraints are not temporary—they are structural. Cash flow, leadership bandwidth and access to critical talent rarely allow for the ideal scenario in which every role is filled by top-tier performers.

Leaders are therefore forced into continuous trade-offs:

  • Which roles must remain stable, and which can remain flexible?
  • Which capabilities must be internalized long term, and which can be supplemented externally at specific stages?

Traditional HR models assume organizations possess sufficient talent optionality—that roles can be built methodically through a “one role, one person” approach. Under high execution pressure and persistent uncertainty, this assumption no longer holds. Waiting for the “perfect hire” often slows execution and risks missing critical windows altogether.

When project managers turn over frequently, technical roles remain unfilled, or operations are located far from major labor markets, workforce challenges cease to be purely recruiting problems—they become operational risks. In execution-driven environments, such delays are rarely theoretical; they can halt site readiness, disrupt vendor sequencing and push revenue timelines further out. HR is no longer tasked with filling positions, but with preventing accountability from diffusing in an environment where staffing will almost always remain incomplete.

In such contexts, the central question is rarely: “Who is the ideal candidate?”

More often, it becomes: “Given unavoidable constraints, how does the organization continue to move forward?”

Redesigning workforce models when talent is scarce

Once the challenge shifts from “Can we hire enough talent?” to “How do we sustain execution despite persistent talent gaps?”, organizations must fundamentally rethink workforce design.

Read the full article here.

In companies, HR is still viewed as a support function, responsible for hiring, compliance, performance management and employee relations.
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