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Abstract It is nearly unanimous that HR can and should add more value to corporations. The best way to do this is by being a business partner—by directly improving the performance of the business. This can be accomplished by effective talent management, helping with change management, influencing strategy, and a host of other value‐added activities that impact effectiveness. But HR does not seem able to position itself as a business partner in many cases. To analyze the problem HR has in transitioning to a new role, think of HR as a business and what products it should offer. © 2005 Wiley Periodicals, Inc.
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