Pat O’Donnell, Managing Partner at executive search firm, Principal Connections, discusses the evolving relationship between the CHRO-CEO in 2025.
In recent years, we have witnessed how the relationship between the Chief Human Resources Officer (CHRO) and the Chief Executive Officer (CEO) has evolved into one of the most strategic partnerships in business leadership. Once perceived as a supporting role focused on administrative HR functions, the CHRO is now a crucial driver of business transformation. Above all, this shift reflects major changes in workforce dynamics; especially the increasing impact of artificial intelligence (AI) and automation as well as the growing emphasis on employee well being and organisational resilience.
The CHRO as a business leader.
Today, the CHRO’s role extends far beyond traditional HR responsibilities. In fact, many CEOs now recognise that people strategy is business strategy. With talent shortages, remote working complexities, and generational shifts in the workforce, CHROs are key to ensuring long term business sustainability. What’s more, they are now deeply involved in decision making processes from mergers and acquisitions to digital transformation and corporate governance.
One of the most significant changes in recent years is the CHRO’s role in leveraging AI and people analytics. Advanced workforce analytics provide real time insights into employee engagement, productivity, and retention trends. Notably, CHROs use these insights to advise CEOs on strategic initiatives ensuring that talent decisions align with corporate goals and drive competitive advantage.
The CHRO-CEO partnership: a new era of collaboration.
The CHRO and CEO now work as co-architects of workplace culture, employee experience, and business resilience. CEOs depend on CHROs to navigate complex labour market conditions, regulatory shifts, and evolving employee expectations.
A defining aspect of this partnership is the shared commitment to building a purpose driven organisation. Employees increasingly seek meaningful work, ethical leadership, and companies that align with their values. Meanwhile, CHROs are responsible for embedding purpose into business strategy. And ensuring that culture and engagement initiatives resonate across all levels of the enterprise.
Another key focus is workforce adaptability. In an era where automation and digitalisation are reshaping functional roles, CHROs lead the charge in upskilling and reskilling initiatives. The CEO and CHRO collaborate to future-proof the workforce. Thus ensuring that employees are equipped with the skills needed to thrive in a rapidly evolving economy.
Core areas of CHRO-CEO alignment.
The deepened CHRO-CEO partnership is evident in several critical areas:
- AI-Driven Talent Management – the CHRO leverages AI to enhance recruitment, employee engagement, and performance management, ensuring the right talent aligns with business needs.
- Well-Being and Mental Health – with workplace well-being now a boardroom priority, CHROs develop strategies that prioritise mental health, work-life balance, and employee satisfaction.
- Diversity, Equity, and Inclusion (DEI) – CHROs in the main continue to lead DEI efforts, ensuring that organisations embrace diverse talent, foster inclusion, and drive equitable business practices.
- Agile Workforce Planning – CEOs and CHROs collaborate on flexible work models, hybrid work strategies, and digital-first workplaces that enhance productivity and employee engagement.
- Crisis Preparedness and Workforce Resilience – CHROs help CEOs build resilient organisations by implementing strategies for navigating economic uncertainty, geopolitical risks, and industry disruptions.
The future of the CHRO-CEO relationship.
If we look beyond 2025, the CHRO’s influence will only expand as businesses become more people-centric. The organisations that thrive will be those where CHROs and CEOs operate as true partners in driving innovation, culture, and employee experience. Meanwhile, CEOs must continue to empower CHROs with the resources and authority to influence company-wide decisions.
In an era defined by rapid change, the CHRO-CEO relationship represents the backbone of sustainable business success. By working together, they can create agile, purpose-driven, and high-performing organisations ready to meet the challenges of the future.
About the author
Pat O’Donnell is Managing Partner at Principal Connections – executive search, part of Agilium Worldwide LLC. He is a leading authority and trusted advisor in recruiting CEOs, CHROs, Board Directors and C & D Suite executives for companies across Ireland and internationally. Mr. O’Donnell is especially talented in conducting confidential and complex engagements as well as sourcing diverse candidates from the global market. He is also noted for his exceptional understanding of boardroom dynamics.
Mr. O’Donnell holds’ an Honours undergraduate Law Degree from the National University of Ireland Galway, a Master’s Degree in Commercial Law from University College Dublin’s School of Law and a Diploma in Human Resource Management from the National College of Ireland amongst other academic accolades. He is Certified Level A and B by the British Psychological Society as well as a Certified Hogan and EQi Assessments Practitioner.
