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Getting HR Right: The Difference Between Organizational Success and Failure

In the intricate machinery of a business, Human Resources (HR) often serves as the engine that powers culture, leadership alignment, and organizational performance. While some leaders may view HR as a compliance-driven function, the truth is that getting HR right can be the defining factor in whether a company thrives or collapses.

As QORVAL founder and six-time Fortune 500 CEO Jim Malone (1942-2021) famously stated, “Culture is determined by the worst behavior the organization tolerates.” This profound insight underscores the essential role of HR in cultivating and sustaining a strong, values-driven workplace culture.

The Case for HR at the Executive Table

For organizations of substantial size and complexity, HR leadership needs a permanent seat at the executive table. When HR leaders have a voice in the C-suite, they provide invaluable insight into talent strategy, organizational design, leadership development, and culture management — all of which directly impact the bottom line.

Without HR representation in executive decisions, companies risk neglecting the human capital implications of strategic moves. Whether it’s a merger, a turnaround, or a significant expansion, understanding how leadership decisions affect employees is critical. Companies that sideline HR often struggle with low engagement, talent attrition, and fractured cultures.

When Fractional HR Leadership Makes Sense

For smaller companies, hiring an experienced full-time Chief Human Resources Officer (CHRO) may not be financially feasible. In such cases, bringing in a fractional HR leader — an experienced professional who serves as an outsourced, part-time executive — can be a powerful solution.

A fractional HR leader brings the knowledge and expertise of a high-level executive without the full-time cost. They can provide guidance during key growth phases, manage compliance, advise on culture and leadership issues, and mentor internal HR staff. In particular, companies undergoing change or facing crisis situations can benefit from the steady hand of a seasoned HR strategist.

Culture as a Competitive Advantage

Culture is not a collection of slogans on a wall — it’s the lived experience of employees, shaped by leadership behaviors, policies, and everyday decisions. Jim Malone’s words ring especially true in this context. When toxic or unethical behavior is ignored or excused, it sets the standard for what is acceptable. Conversely, holding individuals accountable for their actions builds trust, clarity, and alignment.

HR serves as the guardian of this culture, ensuring that values are embedded into hiring, onboarding, performance management, and leadership development. When companies get HR right, they create an environment where employees feel valued, motivated, and empowered to perform at their best.

Choosing the Right HR Leader: The “Wartime Consigliere”

In times of transformation, turnaround, or crisis, organizations need more than a traditional HR leader. They need a “wartime consigliere” — a trusted advisor who can navigate uncertainty, make tough decisions, and guide the organization through challenging times.

Here are 10 critical factors to evaluate when selecting an HR leader for these high-stakes moments:

1. Strategic Vision: Can they align HR strategy with the company’s business goals and anticipate workforce challenges?
2. Change Management Expertise: Have they successfully led organizational transformations, mergers, or restructurings?
3. Crisis Leadership: Can they handle layoffs, cultural shifts, and leadership transitions with resilience and empathy?
4. Cultural Stewardship: Are they capable of reinforcing the company’s values while eliminating behaviors that undermine culture?
5. Business Acumen: Do they understand financials, market conditions, and operational complexities to make informed HR decisions?
6. Executive Influence: Can they hold their own in the C-suite, challenging assumptions and contributing to strategy?
7. Talent Management Mastery: Do they have a track record of identifying, developing, and retaining high-performing talent?
8. Data-Driven Decision Making: Can they leverage HR analytics to provide actionable insights and measure the impact of initiatives?
9. Legal and Compliance Knowledge: Are they well-versed in employment law and capable of mitigating legal risks during turbulent times?
10. Emotional Intelligence and Resilience: Can they navigate difficult conversations, build trust across the organization, and maintain composure under pressure?

Conclusion

Getting HR right isn’t a luxury — it’s a necessity. Whether through a seasoned CHRO or a fractional HR leader, companies that invest in strategic HR leadership position themselves to build resilient cultures, navigate change, and drive long-term success.

As Jim Malone reminded us, the behaviors we tolerate define our culture. By empowering HR leaders to act as stewards of integrity and accountability, organizations create environments where people and performance thrive. When HR is done right, the result is not just a successful business — it’s a legacy of leadership, culture, and enduring value.

Paul Fioravanti, MBA, MPA, CTP, is the CEO & Managing Partner of QORVAL Partners, LLC, a FL-based advisory firm (founded 1996 by Jim Malone, six-time Fortune 100/500 CEO) Qorval is a US-based turnaround, restructuring, business optimization and interim management firm. Fioravanti is a proven turnaround CEO with experience in more than 90 situations in more than 40 industries. He earned his MBA and MPA from the University of Rhode Island and completed advanced post-master’s research in finance and marketing at Bryant University. He is a Certified Turnaround Professional and member of the Turnaround Management Association, the Private Directors Association, Association for Corporate Growth (ACG), Association of Merger & Acquisition Advisors (AM&MA), the American Bankruptcy Institute, and IMCUSA. Copyright 2025, Qorval Partners LLC and/or Paul Fioravanti, MBA, MPA, CTP. All rights reserved. No reproduction or redistribution without permission.