What Is People Operations? Key Differences Between People Operations vs. Human Resources, Explained

Did you know that 95% of workers say their emotional wellness impacts their productivity? 

This is why taking care of employee needs isn’t just something HR does to be nice — it’s actually good company performance too. 

While many leaders traditionally fixate on the bottom line, many organizations are flipping the script and focusing on what really drives success — their people! This fresh approach is at the heart of People Operations, the forward-thinking side of HR that's all about empowering the employees who make your business thrive.

Wondering how People Operations can elevate your HR strategy? Let’s explore how this forward-thinking approach goes beyond traditional HR to create a thriving workplace where employees — and your business — can reach their full potential.

What Is People Operations?

People Operations, also known as People Ops,  is a method of optimizing HR by putting the employee first in the organization. While traditional HR focuses on administrative tasks like payroll, compliance, and benefits, People Ops takes a more strategic, employee-centric view.  It humanizes the employee experience, ultimately improving bottom-line HR KPIs like employee engagement and retention. 

How do organizations do this? By putting employees first! In many instances, it looks like businesses are spearheading employee-focused initiatives like DEI programs and career development opportunities. They may also improve their company culture with benefits like greater work flexibility and a competitive benefits package.

The exciting thing about People Operations is that it delivers real results when it boosts employee engagement. High engagement drives significant business outcomes—Gallup’s research shows that engaged teams see a 23% increase in profitability.

This is why a People Operations team is becoming so important to HR — improving the work experience for employees is the primary way to attract and retain top talent, which only benefits a business. 

People Operations vs Human Resources

People Ops brings a fresh, dynamic approach to workforce management that stands apart from traditional HR. While both are vital, People Ops takes HR to the next level. Here’s how.

1. Employee Experience First, Not Just Admin Tasks

• Traditional HR: It’s all about paperwork—payroll, benefits, compliance, and handling employee issues as they come up. It keeps the engine running.
• People Ops: Flips the script and makes the employee experience the star. It’s about crafting a workplace where people thrive from day one, focusing on growth, wellbeing, and engagement to build an energized workforce.

2. Strategic Game-Changer vs. Basic Taskmaster

• Traditional HR: Manages day-to-day operations, from hiring to firing, and keeps the company compliant. Necessary? Absolutely. But it’s mostly reactive.
• People Ops: Thinks long-term, playing the strategic game. It’s proactive, aligning people strategies with business goals. It’s not just about getting employees in the door—it’s about helping them grow and lead, making them the driving force behind company success.

3. Powered by Data, Not Gut Feelings

• Traditional HR: Relies on past experiences or intuition to make decisions.
• People Ops: Runs on data! It uses real-time analytics to track engagement, predict turnover, and measure the impact of wellness programs. This insight allows People Ops to act before problems arise, driving results with precision.

4. People-Centered, Not Policy-Centered

• Traditional HR: Traditionally operates with a business-first mindset, focused on keeping things compliant and running smoothly.
• People Ops: Recognizes that happy, engaged employees are the business’s secret weapon. By creating a positive, thriving work environment, People Ops aligns employee goals with company success, driving retention and productivity like never before.

5. Culture and Wellbeing as Priorities, Not Afterthoughts

• Traditional HR: Makes sure policies are followed and boxes are checked.
• People Ops: Makes workplace culture and well-being the priority. It champions initiatives like DEI, mental health programs, and flexible work environments, knowing that when employees feel valued, they deliver their best work.

6. Tech-Enabled and Forward-Thinking, Not Stuck in the Past

• Traditional HR: Often relies on manual processes or outdated software for tasks like payroll or benefits.
• People Ops: Supercharges the HR function with cutting-edge technology. Automation takes over the admin tasks, allowing People Ops to focus on innovative solutions that elevate the entire employee experience.

In short, People Operations isn’t just a department—it’s a transformation. It’s about moving from a reactive HR function to a powerful, employee-first engine that drives engagement, productivity, and growth.

Key Functions of People Operations

People Operations focuses on several core areas that drive employee engagement and long-term success. These functions go beyond traditional HR tasks, emphasizing people-centered strategies that align with both employee needs and business goals.

Talent Acquisition and Recruitment Strategies

People Ops isn't just about filling positions — it’s about building a team that embodies your company’s values and adds to its culture. This can be integrated into talent acquisition and recruitment activities, especially by prioritizing DEI and using fair hiring practices.

Employee Onboarding and Development Programs

Rather than treating onboarding as a one-time event, People Ops views it as the first step in a continuous journey of growth. This approach creates holistic onboarding experiences and ongoing development opportunities, giving employees the chance to expand their skills and knowledge. Ultimately, this drives both personal and organizational success.

Performance Management and Feedback Processes

Employees need feedback to engage fully in their role, and in People Ops, feedback is seen as a vital tool for engagement and growth. To maximize individual and team performance, this department establishes performance evaluation systems and feedback mechanisms. This helps People professionals provide more support for employees and teams to reach their full potential through clear, actionable insights.

Employee Wellness and Benefits Management

A People Operations department also takes care of employees' wellbeing by implementing wellness programs and managing benefits. It aims to foster a healthy and supportive work environment that prioritizes employees' holistic wellness, including physical and mental wellbeing.

The Strategic Role of People Operations

People Operations is all about bridging the gap between the company’s human resources and the overall business strategy. This often looks like creating a work environment that fostersproductivity and satisfaction. By aligning policies and practices with the company’s goals, People Ops helps HR drive long-term success. You can bring this strategy to life through:

• Clear Communication: Regularly sharing updates about company goals, achievements, and challenges with employees can help give them a sense of purpose. When it comes to management and fulfillment, good communication may look like offering feedback and actively listening to employee concerns and suggestions.
• Recognition and Rewards: Implementing a formal employee recognition program that acknowledges outstanding performance helps to reinforce culture in a positive way. Rewards, both financial and non-financial, boost morale and help employees understand the behaviors you would like them to maintain or emulate.
• Career Development: Offering training, workshops, and mentorship programs help employees develop new skills and progress in their careers within the organization. This gives people a reason to stick around and become a leader in your organization, boosting retention rates and company loyalty.
• Work-life Wellness: It humanizes employees when the company supports them in both their personal and professional commitments. Companies can build a culture of work-life wellness through carefully selected benefit offerings and a variety of other wellness-centric efforts. 
• Employee Involvement: Involving employees in decision-making that affect their work demonstrates trust, which is central to a people-focused approach. Seeking employee input on projects, policies, and changes also fosters a sense of ownership and empowerment.
• Wellness Programs: You can implement wellness initiatives to support employees' physical and mental wellbeing. Offering benefits like gym memberships or mental health resources promotes a healthy work environment.

Integrating Data and Analytics

By leveraging HR technology and data-driven insights, People Operations professionals can gain valuable information on employee performance and other HR objectives. This data-driven approach enables HR teams to make strong decisions based on employee actions and objective evidence rather than intuition alone. 

Predictive analytics in HR are also handy, which allow organizations to anticipate future talent needs and identify potential high-performers. This ultimately helps mitigate employee turnover risks and brings out the best in your workforce. 

Measuring Success and Impact

You can evaluate the effectiveness and return on investment of your People Operations initiatives with these key HR metrics:

• Employee Engagement Score: Try measuring the level of employee engagement through surveys or assessments to understand how connected and committed employees are to the organization.
• Employee Turnover Rate: Calculate the percentage of employees who leave the organization within a specific time frame to gauge retention efforts and identify potential issues.
• Time-to-Fill: Consider measuring the time it takes to fill vacant positions to assess the efficiency of the recruitment process and talent acquisition strategies.
• Diversity and Inclusion Metrics: Some metrics track diversity and inclusion efforts. For example, the percentage of underrepresented groups in leadership roles can be a key metric for setting new hiring and career advancement objectives.
• Employee Satisfaction Surveys: You can also use regular HR surveys to measure overall employee satisfaction and identify areas of improvement.

Perfect Your People Ops Strategy with Wellbeing

People Operations succeeds by putting people first. This is effective because supporting workforce wellbeing actually boosts employee performance! Nine out of 10 employees say their emotional and physical wellbeing impacts their productivity, a major indicator of success for any company.

A comprehensive wellbeing program makes this philosophy a reality. Providing your employees with the tools they need to move, feel, eat, and sleep well sets the stage for supercharged performance — which is exactly why 95% of HR leaders see a positive return on investment from their wellbeing program.

Ready to put your people first? Speak with a Wellhub Wellbeing Specialist today and watch your team—and your business—thrive!

You May Alson Like:

• The Ultimate Guide to Launch and Run a Successful Employee Wellbeing Program (A Step-by-Step)
• Why Work-Life Wellness Can Save The Workforce As We Know It
• What Are the Essential HR Functions?

Resources

• Sorenson, S. (2023). How Employee Engagement Drives Growth. Gallup. Retrieved August 7, 2023 from https://www.gallup.com/workplace/236927/employee-engagement-drives-growth.aspx 
• Wellhub (2024, May 16). Return on Wellbeing 2024. https://wellhub.com/en-us/resources/research/return-on-wellbeing-2024/ 
• Wellhub. (2023, October 18). The State of Work-Life Wellness 2024. https://wellhub.com/en-us/resources/research/work-life-wellness-report-2024/