Copyright © 2017 DHR International, Inc. All Rights Reserved. CHROs in Higher Education • 1

WHITE PAPER • JULY 2017

CHROs: The Missing Link in the Higher Education Management Structure

JENNIFER BIEHN, PARTNER, HIGHER EDUCATION PRACTICE

MONICA BURTON, PARTNER, HIGHER EDUCATION PRACTICE

JERRY MCGRATH, MANAGING PARTNER, GLOBAL HUMAN RESOURCES PRACTICE

Copyright © 2017 DHR International, Inc. All Rights Reserved. CHROs in Higher Education • 2

The Case for a

Cabinet-Level

CHRO

The chief human resource officer plays a critical, impactful and

highly influential role in the private sector. Yet surprisingly, in

higher education, the position often is not optimally leveraged.

Several factors have posed challenges to the role’s assimilation—including colleges and

universities’ traditional structure, environment of shared governance and available pool of

HR leaders who would opt to work in an academic setting.

A CHRO position, however, can greatly enhance a university’s hiring, talent management,

retention and other human capital efforts. This white paper will examine:

▪ Key reasons higher education institutions can benefit from having a CHRO;

▪ Factors that have prevented schools from adding or fully investing in the position;

▪ Challenges that exist when trying to recruit candidates from outside of higher education;

▪ And highly effective methods CHROs can employ to play a bigger role in decision

making at their college or university.

In the private sector, chief human resource officer positions are standard—and critical to

the enterprise’s success.

The role, in recent decades, has emerged as part of the CEO’s team of executives,

leading to the development and implementation of HR and talent strategies and tactics

that work to build shareholder value. CHRO’s have a broad portfolio of responsibilities that

impact the entire ecosystem of the enterprise, and in recent years, have taken on an

expanded set of responsibilities at many organizations.

Some CHROs, for example, are being asked to utilize data analytics to improve recruiting

and other functions, according to Deloitte’s 2016 Global Human Capital Trends report.

Sixty-two percent of businesses feel they aren’t using that type of big data to its fullest

potential.

Although many corporate CHROs have influence in their company’s decision making

process by providing deep insight into hiring trends and other business elements, higher

education institutions have generally been more reticent to acknowledge the value a

CHRO can provide. In some institutions, the role doesn't exist; in others, it is significantly

underutilized.

Colleges and universities that have hired and empowered a CHRO to lead, however, are

able to address a number of evolving challenges that help build their employment brand—

including:

Copyright © 2017 DHR International, Inc. All Rights Reserved. CHROs in Higher Education • 3

Greater churn in the workforce: Workers are changing jobs more frequently than they

did decades ago. A 2016 LinkedIn study found the average number of companies each

generation has worked for within five years of graduating has increased steadily over the

past 20 years. Millennials, in particular, have held more jobs.

As a result, a number of universities are experiencing a growing need to prepare for

potential vacancies, according to Mary George Opperman, vice president and chief human

resources officer for Cornell University.

“Perhaps this is a long-term effect of the downturn—graduates prioritize experience over

‘things’ … They don't buy houses as quickly; they’re more mobile and like to travel,”

Opperman says. “That will cause particular challenges in organizations like higher

education, which has relied on workforce stability. But it is also a great opportunity for

CHROs to establish themselves as part of leadership—more rapid turnover may put more

focus on job design and talent management.”

CHROs’ leadership in succession planning and establishing and maintaining a robust

talent pipeline can help satisfy schools’ hiring needs.

“Some universities have taken for granted that staff employees will stay for many years,”

Opperman says. “The idea that the non-faculty is in ready supply, and will come and stay

in the same job for many years may well be a fading reality. We are going to have to work

harder and be more creative to keep and attract talented people.”

CHROs can also spearhead efforts to promote the school to candidates, according to

Michael Bazigos, Ph.D., managing director, Accenture Strategy, who is a graduate adjunct

faculty member at Columbia University and a former Pace University associate dean.

“Brand building is usually understood to serve the goal of attracting more and higher

quality applicants,” Bazigos says. “But there is another brand play possible: CHROs can

show the strength of the institution as an employer—they can provide a value proposition

on how to build the employer brand at the university to attract more people into the hiring

process. The lower selection ratio will result in better hires.”

An increased commitment to talent development and retention: In addition to hiring

new employees, given workers’ increased mobility, holding on to valued staff members will

be important to maintain future productivity levels.

HR leaders can play a crucial role in employee engagement efforts to help universities

retain current employees who were ultimately hired to help provide an optimum

experience for students.

Copyright © 2017 DHR International, Inc. All Rights Reserved. CHROs in Higher Education • 4

“Talent management—the all-around development of talent in new and effective ways—

will be a priority in the future as a way to attract and retain a diverse and talented staff

workforce,” Opperman says. “HR can be an essential part of the leadership of higher

education, if it’s really managing a vibrant talent management and succession planning

program.”

A growing focus on diversity, equity and inclusive excellence: HR had a central role

in developing Pratt Institute’s diversity program, according to Tom Greene, Pratt’s director

of human resources.

Having HR intrinsically involved from the beginning has helped ensure consistency.

“We’ve been an advocate for this to be considered in almost every aspect of the

organization’s functions—for example, in hiring decisions, evaluating candidates on their

knowledge and experience regarding diversity and inclusion,” Greene says. “With every

search now, we try to identify spots where criteria can be included in job specs.”

Staying ahead of the compliance curve: HR’s compliance involvement has increased,

in part, due to the increase in regulations, according to Opperman.

“Long ago, universities were exempted out of many employment laws that covered other

employers; that’s not the case now,” she says. “Also, the reality is there are a lot more

compliance and regulations now, and HR needs to determine how best to manage these

risks without becoming defined solely by risk management.”

Avoiding potential labor law and other regulatory fines, and the reputation issues they

could cause, has helped fuel the trend, according to M. Scott Morris, who currently serves

as the executive vice president of people for Singularity, a Silicon Valley-based think tank

and business accelerator. Morris also has been the CHRO for several institutions across

the country, including Georgia Tech and the University of Colorado.

“Large, public universities are still very focused on publicity and compliance,” he says.

“There have been a lot of new regulations in the last 8 years. It is difficult for a lot of

administrations to feel like the focus should be on employee engagement when every year

there is a new piece of regulation—which has the potential for public embarrassment if the

institution isn’t compliant.”

Employee communication and management issue efforts: In some institutions,

tension can exist between the administration and the academics. A CHRO, acting as an

ombudsman, can help manage communication with various groups to enhance

relationships and cooperation across various constituencies and create efficiencies.

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“Similarly, employee issues are going to be a major concern at any organization,” Greene

says. “Organizations can benefit from getting HR

Where is HR today in Higher Ed?

Because human resources touches every aspect and layer of an organization—from the

dorm room to the board room—CHROs are particularly primed to offer a big-picture view,

which can aid in strategic planning and other efforts that ultimately will advance both the

organization and its students.

The relationship and trust a CHRO shares with the most senior leaders, Morris says,

makes all the difference.

“I’ve had a wide variety of experiences,” he says. “In the best scenario, the senior vice

chancellor and provost said, ‘We hired you because I believe you’re the best in the

country. Go design a plan that you think will make us great.’”

Buy-in and consistent support from key leadership members can help CHROs enact

change.

“My focus has always been on building data-driven processes for talent acquisition,

effective recruitment marketing and employment branding, and teaching managers to

build trust relationships,” Morris says. “But those things take time, and paradigm changes

and require a lot of senior level support. They are infinitely easier when the president,

provost and chief business officer already understand their value.”

Although some organizations seek HR’s strategic input, it is perhaps more common that

HR needs to advocate for inclusion in strategic planning and demonstrate that it has a lot

to offer beyond the traditional HR operations.

“HR professionals should not be discouraged by any initial reluctance to increasing their

responsibilities,” Greene says, “as they gradually work to expand their role and show how

they can complement the organization’s existing leadership—while, at the same time,

alleviating any concern that they may be trying to usurp anyone’s authority.

“You can identify opportunities to demonstrate the increased value you can offer without

detracting from the traditional HR functions, and also ensure that there is no overstepping

of boundaries so there’s not a perception you’re trying to tell anyone how to run their

department or teach their class.”

The traditional higher education institution reporting structure has been one of the

challenges to making more of an impact, according to Opperman.

Nearly half of chief HR officers report to their school’s chief business officer; only about a

quarter deal directly with the president, according to the College and University

Professional Association for Human Resources.

Copyright © 2017 DHR International, Inc. All Rights Reserved. CHROs in Higher Education • 6

“University leaders often put the HR person under the finance person; that’s a long

standing organizational framework from back in the day when HR was mostly a

bureaucratic function,” Opperman says. “The ‘people person’ sits organizationally below

the ‘numbers’ person—that’s something you don’t find in many businesses and

corporations.”

“The CHRO voice needs to be heard,” she says, “instead of being filtered through the

financial view.

“That’s very, very important; the reporting relationship continues to be a consideration,”

Opperman says. “Typically, CHROs in higher education want to participate in a more

influential manner. But the reporting relationship is not the only factor in being part of the

organizational strategy.”

If a CHRO is not part of the president’s cabinet or council and wants to provide more input,

seeking out access to colleagues may help.

“I have a colleague who does report to the business officer, but also sits on the president’s

council—so the reporting relationship is operational, but the CHRO’s voice is being heard,”

Opperman says. “The CHRO is participating alongside deans and others in the decision

making process on a regular basis.”

Some collegiate HR leaders may not actively pursue opportunities to contribute to

university-wide planning because they think some of the corresponding subject matter

doesn't relate to their work or areas of expertise.

Being involved, however, can help the HR leader understand where the university is going

and how the workforce is being engaged to meet the mission.

“We know that HR professionals do their best work when they understand the ‘business’

they support,” Opperman says. “This is true in universities, too. Higher education is always

changing, and we need to understand those changes so we can support the emerging HR

needs. Understanding emerging trends and needs will help us when we need to recruit

and develop talent.”

Certain schools view HR in a custodial way. Due to the nature of the work, the CHRO role

can essentially be an administrative gatekeeping-type function—which can be a lost

opportunity.

During Morris’ time at Georgia Tech, he was responsible for running 13,000 paychecks a

month, which proved to be a time-consuming task.

“When you have responsibility for payroll and benefits, you absolutely, positively, have to

get them right,” he says. “When I have had those responsibilities, they took a portion of my

attention away from other things we wanted to do, like talent management and building an

HR business partner model. Payroll in higher education is completely different than it is in

the corporate world—outsource when possible to groups who truly understand the

differences.”

Copyright © 2017 DHR International, Inc. All Rights Reserved. CHROs in Higher Education • 7

Because of the way universities traditionally handle hiring faculty and other academics,

which may not involve HR, a higher education CHRO’s role in top tier recruiting is often

marginalized. Recruiting, across the enterprise, in the private sector, on the other hand, is

led by the CHRO.

“In most schools, the faculty are chosen by the faculty—the role HR plays, in terms of

talent acquisition, is different than it would be at a corporation, and the CHRO role is then

seen as different,” Opperman says. “You deal with talent acquisition for everyone else. If

you can provide support services for the faculty to aid their faculty recruitment efforts,

that’s great. We try to support dual career employment needs, benefits, work/family and

other programs.”

HR leaders in higher ed are typically homegrown within the function. Unlike the corporate

realm, where 68 percent of CHROs spent some time outside of HR during their career,

according to a report from the Cornell Center for Advanced Human Resource Studies,

higher education human resource professionals tend to be from within HR and from within

the institution.

The practice may be a contributing factor to the CHRO role’s slow acceptance in higher

ed—and can result in HR leaders ending up with an underwhelming and undynamic status

in an institution.

“Typically, HR leaders have worked their way up through the ranks and have very little

external perspective,” Bazigos says. “That may be changing, but in general, it’s been an

administrative function in colleges and universities.”

Many may have a Society for Human Resource Management SHRM-CP or SCP

certification, Morris says, but without outside experience, can remain mired in the

traditional view of what HR does—which won’t necessarily inspire leadership to change

the role.

“The system seems self-reinforcing to me—as they move up, a lot of higher education HR

professionals tend to spend their time focused on getting the transactions right,” he says.

“There’s nothing wrong with that; in fact, it is critical—but that work then becomes

associated in their minds with ‘what HR does,’ as opposed to workforce effectiveness.”

CHROs from the private sector sometimes find it hard to fight for all the necessary battles

at once, according to Morris; they may not understand how universities operate, how to

prove their case to senior leaders—or how to prove it to other HR professionals.

“Bringing really progressive individuals in from the outside is challenging for higher

education because universities operate so differently from the corporate world,” Morris

says.

Copyright © 2017 DHR International, Inc. All Rights Reserved. CHROs in Higher Education • 8

A History of Insularity

Recruiting candidates from outside of academia for higher education CHRO positions can

potentially bring professionals with valuable and varied proficiencies into the role.

However, convincing private sector candidates to make the move to higher ed can be a

challenging sell.

University and external HR compensation often doesn’t align. At educational institutions,

the average CHRO salary is $113,706, according to the Resources. The average

corporate CHRO salary is $157,000 a year; the amount could be as high as $249,457 for

some positions, according to compensation listing site PayScale.

Although universities offer perks like tuition benefits and the chance to work in a student-

centric, mission-driven environment, compensation is a persistent issue.

“University salaries are sadly and famously lower than private sector salaries,” Bazigos

says. “Some schools are finding ways to stress the intangible, which goes back to their

employer brand.”

Colleges and universities also typically offer a very different atmosphere than the private

sector.

“It can be challenging for someone from a corporate environment to come to higher

education,” Greene says. “The culture is likely to be different, and the amount of resources

and nature of higher education shared governance would probably be a change from the

person’s prior experience. HR can assist in facilitating the adjustment to ensure a

successful transition and help the new employee adapt and take advantage of the benefits

and strengths of the higher education environment.”

Top CHRO candidates also may want considerable visibility at the board level and with

other university leaders, which schools can be unaccustomed to providing, as a robust

board relationship hasn’t always been a component of the CHRO role.

“An effective CHRO can’t be buried in the organization—she/he needs to have the skills to

work with the university leaders and with the board,” Opperman says. “And external hires

won’t want to be hired if they have little involvement with top issues and leadership. They

will expect regular board involvement.”

The time commitment involved in a higher education position can also vary from what

private sector executives are used to.

“People who solely worked in the business world rarely spent their weekend running

events for people’s parents,” Bazigos says. “People can view it as volunteer or low-paid

labor.”

Although corporate life can involve long hours, Opperman describes academic work as “a

different kind of tired.”

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“It doesn't stop,” she says. “I will say to people, ‘Our customers live with us; they don't go

home.’”

Although universities sometimes set out to find an external candidate with diverse enough

experience to enact change, even if the person accepts the position, providing the

leverage to make that happen once he or she is hired isn’t always a guarantee, according

to Opperman.

“An appetite at recruitment to bring strategic change, make organizations efficient and

manage and develop talent is often there—but the CHRO comes into an organization with

a definite culture, and she/he will need some support to understand how to make change

within that culture,” he says. “When the HR person comes from the corporate world,

they’re heading into a very different environment with consensus-based decision making.

The tactics are different to make changes in that environment.”

Future potential for Higher Ed HR

Although the higher education realm hasn’t yet made the CHRO role a mainstream

position, a growing number of universities are starting to recognize the position’s value,

according to Morris.

“A number of institutions are starting to make the CHRO position a full vice president-level

role,” Morris says. “Higher education is slowly waking up to the fact they need to

proactively manage human capital. They’re just late to the game.”

To gain credibility, he suggests CHROs switch the approach they may instinctively take to

sell new programs and initiatives.

“In general, academics—including the leadership of many institutions—are really data

driven,” Morris says. “I generally don't talk about outcomes first with academics. Instead, I

talk about how I came to my point of view— ‘Let me tell you what my hypothesis was and

how I have researched it. Here are the data which seem to support the strategy we are

going to follow.’”

Greene recommends advocating for more input by providing concrete examples that

support the function a CHRO wants to add.

“Continuously provide real value and demonstrate how being more involved at an earlier

stage leads to smoother implementation of that new function,” he says. “That always gets

peoples’ attention.”

Bringing in a candidate from outside higher education can offer universities a fresh

perspective on the role.

Salary can be a deterrent—but schools shouldn't automatically assume candidates won’t

be interested in a higher ed position, or that the pay will necessarily be less.

Copyright © 2017 DHR International, Inc. All Rights Reserved. CHROs in Higher Education • 10

The associate vice president for HR at the University of Texas at Austin, for example, a

school that’s ranked eighth on U.S. News & World Report’s list of colleges with the most

students, makes $189,960—nearly $33,000 more than PayScale’s average corporate

CHRO salary estimate. At Ohio State in Columbus, Ohio, the fourth largest school, the

university’s four HR associate vice presidents make six-figure salaries ranging from

amounts close to the University of Texas’ salary up to $303,000.

Even if pay for a higher ed HR position is less remunerative than for a corporate role, a

university job can provide HR leaders from the private sector with a key differentiator: a

higher value and purpose than working for a for-profit corporation.

“It can be an incredible community feeling,” Bazigos says. “You can get people working on

transformative initiatives, and it can be a source of inspiration. You tend to see people who

want a career change or are later in their career and want to ratchet back a bit—usually

more in fantasy than reality—and are usually willing to accept a bit of a haircut, salary-

wise.”

Increasing the CHRO’s clout—with either an internally promoted or externally hired

candidate—can help universities achieve better recruitment, retention and, in turn,

stronger overall productivity results.

The change may not be happening overnight; but industry members, including Greene,

have noticed some HR professionals are finding ways to take on a more influential

position at their university.

“For example, around recruitment and hiring, HR can provide a lot more than helping to

hire the right person,” Greene says. “It can also participate in determining what positions

are needed—and where—and defining the roles of the positions, what skills and

qualifications are necessary, developing methods to test applicants on those criteria and

ultimately developing an ongoing relationship with the new hire—focused on retention and

professional development to maximize the benefits for the organization.”

If changing demographics do lead to increased turnover at universities, and HR’s role, as

a result, becomes more closely tied to university leadership and decision making,

Opperman anticipates the general resistance to new HR-related ideas that exists at some

universities may dissipate more quickly.

“That could create great opportunities for a very different type of workplace in the future,”

she says. “And it could result in a really prominent role for CHROs that are up for that

more talent management-focused kind of job.”

Copyright © 2017 DHR International, Inc. All Rights Reserved. CHROs in Higher Education • 11

Contact Information Jennifer Biehn, Education, Sports and Nonprofit Practice Groups partner

jbiehn@dhrinternational.com

Jennifer Biehn’s portfolio of search experience includes C-suite and senior-level

engagements for a distinctive variety of organizations, membership associations and

foundations across the sports, entertainment, nonprofit and higher education industries.

She has led efforts to recruit senior administrative leadership and professional school

deans and vice chancellors, including engineering, business, research and the arts. Prior

to joining DHR International, Jennifer was a consultant with another prominent executive

search firm where she was a member of the nonprofit, education and sports leadership

practices.

Monica Burton, Education, Nonprofit, and Healthcare Practice Groups Managing

Partner

DHR International

mburton@dhrinternational.com

Monica Burton is an executive search consultant with more than 15 years of experience

recruiting senior leaders across diverse industries including higher education, healthcare,

nonprofit and managed care organizations. Her clients appreciate her dedication and

astute ability in identifying, assessing and recruiting the right talent for their organizations.

Prior to joining DHR International, Monica served as a consultant at Witt/Kieffer, an

executive search firm, where she managed C-suite and other senior level searches for a

distinctive array of institutions for whom she recruited leaders in business and academic

administration. Before Witt/Kieffer, Monica served as client partner of Korn/Ferry

International’s New York office where she developed a specialty practice in human

resources.

Jerry McGrath, Human Resources Practice Group Managing Partner and Global

Leader

jmcgrath@dhrinternational.com

Jerry McGrath manages searches for human resources leaders across a vast array of

industries and organizations, and his clients benefit from his more than two decades of

global experience in both corporate human resources and executive search. Prior to

joining DHR, Jerry was the leader of Caldwell Partners’ Human Resources Practice and a

member of the Financial Services Practice and served as the client relationship manager

for a number of Korn/Ferry International’s large global clients. He previously held positions

with UBS in the U.S. and Europe and was head of human resources for investment

banking at Credit Suisse First Boston, head of global recruiting and vice president of

human resources of the U.S. region for MasterCard International, and manager of HR

planning and development at Deloitte and Touche.

Copyright © 2017 DHR International, Inc. All Rights Reserved. CHROs in Higher Education • 12

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