three pillars · three verbs · three success metrics · one Ulrich model
HR function design — HRBP, COE, Shared Services
Dave Ulrich\'s 1997 model still defines the field. Three pillars, each with a different verb and a different success measure. Senior HR earns its seat by holding all three accountable to their own metric, not blurring them.
Three pillars, three accountabilities
COE
Centers of Excellence
verb — design
- · comp · benefits · talent · learning · OD
- · deep specialists, not generalists
- · build at scale, distribute to HRBPs
Measured by: program quality and adoption rate
SS
Shared Services
verb — execute
- · payroll · benefits admin · HRIS · case mgmt
- · efficiency engine
- · handles volume so HRBPs don\'t have to
Measured by: SLA, cost-per-transaction, NPS
HRBP
Business Partner
verb — partner
- · assigned to one business unit
- · translates between line and HR specialty
- · strategic — NOT a generalist
Measured by:business outcomes & leader trust
Where the model breaks
failure mode 01
HRBP without strategic skill becomes glorified ops.
The most common failure. Companies adopt the structure without investing in the capability uplift. HRBPs end up doing transactional work the Shared Services team should be handling — and the line leaders don\'t see them as strategic.
failure mode 02
COE deliverables don\'t get adopted by the HRBPs.
COEs build programs in isolation; HRBPs roll out something they didn\'t help design; line leaders see something that doesn\'t fit their business. Senior HR forces COE-HRBP linkage at the design stage.
failure mode 03
HR structure doesn\'t match business structure.
Centralized businesses with decentralized HR end up with HRBPs duplicating COE work. Decentralized businesses with centralized HR get programs that don\'t fit any of the BUs. The structure follows the business, not the other way around.
Exam Traps
HRBP is not a generalist
HRBP is a strategic partner to a business unit. Generalists handle broad operational HR. Different roles, different competencies.
Centers of Excellence vs Shared Services
COEs design (comp, talent, learning). Shared Services execute transactions (payroll, benefits admin). Different functions, different metrics.
Ulrich model needs maturity
Most failures come from implementing structure without capability. HRBP without strategic skill becomes glorified ops.
Decentralization vs centralization is a strategic choice
Match HR structure to business structure. Decentralized businesses need decentralized HR. Centralized need centralized.
Structure follows strategy
HR function design must follow business strategy. Imposing a model that does not fit the business creates friction.
COE for design, SS for transactions
Centers of Excellence design programs at scale. Shared Services execute transactions efficiently. HRBP partners with the business.
Comp COE designs pay structures. Talent COE designs learning. Each is deep in their specialty.
Transaction processing — payroll, benefits enrollment, HRIS. Efficiency-focused.
Each business unit has its dedicated HR partner. Strategic, not transactional.
Confused roles produce duplicated work and unaddressed gaps.
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