In this fourth national study from the Center for Effective Organizations about the human resources function in large corporations, the focus is on measuring whether the human resources function is changing and on gauging its effectiveness. It is the only long-term national study of this important function. Practices are identified that enable HR functions to be high value-added strategic partners. The study focuses particularly on whether the HR function is changing to become an effective strategic partner. It also analyzes how organizations can more effectively manage their human capital. The present study compares data from earlier studies to data collected in 2004.