June 13, 2025 Executive Compensation Human Capital Management Articles

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Human Capital Management

Expanding the Board’s Human Capital Skill Set

Attracting and retaining high-level talent is crucial for ensuring long-term organizational sustainability, resulting in human capital management (HCM) becoming a key area of board oversight.

In our analysis of corporate governance structures in 2024, Semler Brossy found that more than half of the boards in the S&P 100 have expanded their compensation committee charters to reflect this growing focus. As the board’s scope expands, so should the skill sets and experiences required of directors.

Skill Sets Are Diversifying

Until recently, most board members were former CEOs, chief financial officers (CFOs), government officials, or nonprofit heads. Our recent analysis of S&P 100 data, however, shows that many boards now have at least one member with a background in technology (86%), sales or marketing (49%), cybersecurity (38%), and risk management (58%), as well as industry-specific skills.

Crucially, more than one-third of boards (36%) now have members with HCM experience. This includes former chief human resources officers (CHROs), chief operating officers, or executives from talent-focused organizations. HCM expertise on boards in every sector indicates that the benefits are considered industry agnostic, as stronger talent strategies can benefit businesses in every sector.


View the full article as it was originally published.

Blair Jones

Todd Sirras

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