worklife Article: The High Cost of Silos – Trillions Lost When HR, Company Goals Are Out of Sync

It’s become a cliché of business: working in silos is almost always a terrible idea.

With that in mind, fresh research reveals a stark reality for HR leaders in particular, as more than 8 in 10 companies report critical misalignment between their department’s initiatives and those of the broader business, contributing to an estimated $8.9 trillion in annual economic losses.

It is a disconnect that’s about much more than just organizational efficiency. Rather, it can have a profound, direct impact on employee satisfaction and retention and, in fact, contributes to more than 80% of workers actively seeking out other jobs.

The findings — from a survey of 500 HR leaders and 1,200 employees by the talent intelligence platform Eightfold AI, in association with 3Sixty Insights — point to a growing crisis in workforce management, according to experts.

No competing priorities

“HR and a company’s larger goals aren’t competing priorities — they’re intertwined,” said Katya Laviolette, chief people officer at the tech company 1Password. “People drive business results, not profits alone. When HR operates in sync with business objectives, organizations are better positioned to recruit, retain and develop the talent needed for sustainable growth.”