New research identifies four key drivers to unlock human capital potential as organisations navigate business transformation

Singapore, 5 August 2025 – The Institute for Human Resource Professionals (IHRP) today released findings from a comprehensive study “Driving The People Agenda Of The Future” that reveals significant opportunities for Singapore organisations to strengthen their human capital practices. The findings were shared at IHRP Learning Day 2025, graced by Guest-of-Honour Shawn Huang, who is Senior Parliamentary Secretary at the Ministry of Manpower. Conducted by Mercer, the research analysed survey responses from 272 business and HR leaders, as well as HR diagnostic data from 990 organisations.

Key Finding: Strengthening Leaders’ Accountability for the People Agenda

While 83% of C-suite executives surveyed acknowledge HR’s positive impact on business outcomes, only 50% of HR professionals reported that people-related Key Performance Indicators (KPIs) effectively influence business metrics. Just 53% of senior leaders feel that management is actively involved in advancing the people agenda with the necessary skills to do so.

“This research exposes the vulnerabilities in how Singapore organisations approach human capital management,” said Aslam Sardar, Chief Executive Officer, IHRP. “The gap between expressed commitment and tangible action represents unrealised potential and can hamper national competitiveness.”

Four Critical Drivers Identified

The study identifies four essential areas requiring attention:

1. Strengthening Leadership Accountability: Organisations must integrate people-related KPIs into C-suite and corporate scorecards while redirecting investments toward high-value HR initiatives. People managers require enhanced training to effectively develop and engage their workforce.

2. Transforming HR Beyond Operations: With 72% of HR functions primarily focused on operational work, which exceeds the global average of 64%, Singapore organisations risk falling behind. The research advocates for a “diamond model” structure where administrative work comprises only 20% of HR capacity, enabling an impactful mix of 60% core work and 20% strategic initiatives.

3. Building Future-Ready HR Capabilities: Only 53% of respondents from the Human Capital Perceptions Survey (HCPS) of the national HCDT database, believe HR can develop strategies supporting business needs. Critical skill gaps exist in areas such as People Analytics, Artificial Intelligence, Business Acumen, Workforce Planning, and Change Management – aspects which are essential for addressing Sustainability Reporting, Generative AI, and Strategic Workforce Planning.

4. Elevating Employee Experience: According to Mercer Global Talent Trends 2024, Singapore employees report lower satisfaction levels, with only 54% saying they are thriving compared to 65% globally. A concerning 61% of Singapore organisations remain at basic “Level 1 Formative” stage in integrating employee experience into HR practices.

“The study conducted by Mercer highlights an important opportunity for Singapore organisations to elevate their human capital strategies. While 83% of Singapore’s C-suite leaders recognise the importance of HR in driving business success, true transformation depends on empowering leaders, managers, and colleagues at every level.” Peta Latimer, President, Mercer Asia shared. “Strategic HR is vital, but real progress comes through everyday people management—supporting, motivating, and enabling employees. HR must work in tandem with organisational leaders, as building a resilient, future-ready workforce requires shared ownership of well-being, capability development, and the employee experience,” she reflected.

“These findings represent both a wake-up call and an opportunity to change for the better,” noted Aslam. “Organisations that act decisively to address these gaps will gain significant competitive advantage in attracting, retaining, and developing talent for the future of work.”

Access the report at: https://ihrp.sg/research-insights/driving-the-people-agenda-of-the-future

IHRP Launches People Manager Role Badges to Bridge Leadership Capability Gaps

IHRP is proud to announce the launch of two new Role Badges, namely the Responsible People Manager and Progressive People Manager Role Badges, which is designed to empower managers with essential skills and to equip for effective team leadership.

Responsible People Manager Role Badge focuses on:

· Workplace Fairness and Inclusivity

· Performance and Transition Management

Progressive People Manager Role Badge focuses on:

· Team Engagement

· Team Growth and Development

These Role Badges are tailored to equip managers and leaders with the competencies needed to drive responsible and progressive team management. They directly address the study’s finding that only 53% of C-suite leaders surveyed feel that management is actively involved in advancing the people agenda and possesses the necessary skills to do so.

The Responsible People Manager Role Badge is available from today, while the Progressive People Manager Role Badge will be launched in Q4 2025.

New Partnerships and Support Pledges to Advance Responsible People Management

To further strengthen this key agenda, IHRP and Tripartite Alliance for Fair & Progressive Employment Practices (TAFEP) have signed a partnership agreement to co-develop and co-brand the Responsible People Manager Role Badge, a symbol of responsible, future-ready leadership. The signing ceremony was witnessed by Guest-of-Honour and Senior Permanent Secretary Shawn Huang and representatives from IHRP CEO Aslam Sardar, and Faith Li, General Manager, TAFEP.

“TAFEP is proud to partner with IHRP to co-develop and co-brand the Responsible People Manager Role Badge. This new initiative equips people managers and supervisors with capabilities to carry out their roles with confidence and in line with fair employment principles, which in turn will help their teams to thrive. It is an important capability building piece that aligns with TAFEP’s efforts to build fair and progressive workplaces in Singapore,” shared Ms Faith Li, General Manager of TAFEP.

In a show of support, Singtel has pledged to enrol their people managers in the Responsible People Manager Role Badge journey. This move underscores the company’s commitment to equipping its leaders with the skills and knowledge needed to build high-performing teams.

The commitment was formalised in the presence of GOH; IHRP CEO Aslam; TAFEP GM Faith; Eng Sing Soon, Vice President, Group People & Sustainability, Singtel; and Amos Tan, Assistant Chief Executive and Chief Core Skills Officer of NTUC LearningHub.

“NTUC LearningHub is honoured to be amongst the first to partner with IHRP in the development and accreditation of our training programmes, leading to industry-recognised credentials. This will empower people managers to deepen their skills and foster fair, harmonious and respectful workplace relations aligning with the legislation and tripartite guidelines,” said Amos Tan, Assistant Chief Executive and Chief Core Skills Officer, NTUC LearningHub.

Organisations interested in participating in the People Manager Role Badge can contact IHRP directly.

About the Research

The study employed a national HR Progression Model, assessing organisations across five key dimensions: Strategic Orientation, National Policies & Development, HR Ecosystem Partners, Business Workforce, and HR Skills and Capabilities. Data collection included the IHRP C-Suite Survey 2024 (n=30), IHRP HR Industry Survey 2024 (n=242), and Singapore’s national Human Capital Diagnostic Tool database analysis.

About Institute for Human Resource Professionals (IHRP)

The Institute for Human Resource Professionals (IHRP) is set up by the tripartite partners: the Ministry of Manpower (MOM), the National Trades Union Congress (NTUC) and Singapore National Employers Federation (SNEF) to professionalise and strengthen the HR practice in Singapore.

IHRP sets the benchmark standards of excellence for HR and human capital development in organisations. Through a range of national human capital programmes such as the IHRP Certification, Human Capital Diagnostic Tool, IHRP Skills Badges and IHRP Knowledge Partner Programme, and being appointed as the Job Design Centre of Excellence, IHRP aims to develop HR as a strategic enabler of business and workforce transformation and foster a vibrant HR services eco-system to drive innovation and change.

For more information, please visit ihrp.sg