PHR vs SHRM: A Guide to Understanding Key Differences

PHR and SHRM certifications are the key requirements to advance your career in human resources. Both are highly respected in the HR world, but choosing between them can be confusing. Both focus on different areas of HR expertise and follow unique exam structures.

Whether you are starting in HR or aiming for a leadership role, you must not proceed blindly without direction. So, learn about the in-depth details of PHR and SHRM first before deciding which path to take.

1. Issuing Organizations: PHR is issued by the HRCI, while SHRM certifications are issued by the Society for Human Resource Management.
2. Certifications Available: PHR offers PHR and SPHR, but SHRM leads you towards SHRM-CP and SHRM-SCP.
3. Focus Areas: PHR is More tactical and focuses on day-to-day HR tasks. SHRM is more strategic and is based on the SHRM BoCK.
4. Eligibility Requirements: Both have specific education and work experience requirements, but SHRM is often more flexible for degree holders.
5. Exam Format: PHR uses knowledge- and scenario-based questions. However, SHRM exams are competency-based with situational judgment items.
6. Recertification: Both require ongoing education or work experience to maintain certification.

This guide breaks it down explicitly to help you make a smart and confident choice.

Part 1. Key Differences Between PHR and SHRM Certification

The key differences between PHR and SHRM are that the PHR focuses on the technical and the day-to-day operations of human resources. On the other hand, SHRM is centered around strategic thinking and business decision-making in HR.

Here is a brief overview of each certification for a thorough PHR certification vs SHRM review:

What Is the PHR Certification?

PHR certification stands for Professional in Human Resources and is actually a qualification that you get from the Human Resource Certification Institute. It’s more suitable for HR professionals who must deal with the technical and operational aspects of HR management.

Importantly, PHR deals with the day-to-day tasks and execution of HR functions. That’s why you may call it a solid choice for professionals who are mid-level in their careers or those working under HR leadership.

Pros of PHR Certification:

• Recognized and respected in the HR industry.
• Focuses on practical, functional knowledge of HR operations.
• Ideal for specialists in recruitment, compliance, and employee relations.
• Offered by HRCI, an organization with a long-standing reputation in HR certification.

Cons of PHR Certification:

• Less emphasis on strategic HR and leadership skills.
• May not be as forward-looking or widely adopted in modern HR practices compared to SHRM.
• Not based on SHRM’s competency model, which is preferable for some employers.

What Is the SHRM Certification?

SHRM certification gives you two clear certification tracks, which are SHRM-CP (Certified Professional) and SHRM-SCP (Senior Certified Professional). Both issued by one of the prominent organizations in the HR industry, the Society for Human Resource Management.

These United States credentials work around the comprehensive framework SHRM Body of Applied Skills and Knowledge. Here, HR certification seekers can gain measurable real-world skills such as strategic thinking and executive-level leadership coaching.

Hence, if you are looking to execute business decisions and lead teams, then acquiring SHRM certification will be the ideal choice.

Pros of SHRM Certification:

• Globally recognized and founded on a competency-based model.
• Focuses on human resource strategic skills for higher-level roles.
• SHRM is widely supported and valued by HR departments.
• More flexible eligibility paths, especially for degree holders.

Cons of SHRM Certification:

• May not go as deep into technical HR operations as PHR.
• The situational judgment format of the exam can be difficult for some test-takers.
• Some employers still prefer HRCI certifications for certain roles.

Have a look at the extensive comparison table below to get in-depth insights into PHR and SHRM certifications:

Part 2. What Is the Pass Rate for PHR vs. SHRM?

The pass rate for PHR and SHRM show a slight difference, even though both exams work in the same way of testing your real-world HR skills. On average, the PHR exam has a pass rate of around 65% to 70%, depending on the test group. This shows the exam leans more toward detailed knowledge and technical understanding.

For SHRM-CP and SHRM-SCP, the pass rates usually happen to be around 70% to 75%. These exams focus more on judgment, business strategy, and real-world scenarios, which can feel a little more approachable if you’ve had hands-on HR experience.

Of course, both certifications require serious prep, but SHRM’s slightly higher pass rate suggests its test style might feel easier to some professionals - especially those who learn better through problem-solving rather than pure memorization.

You might also contact some recognized HR consultation providers to enhance your pass rate for any certificate that you choose.

Part 3. Which Certification Should You Choose?

PHR certification might be the right fit for those involved in the technical side of HR, like handling employee relations and HR operations. It’s designed for HR pros who manage the daily tasks and policies within an organization.

On the other hand, SHRM certification makes more sense for the leadership side of HR. This qualification focuses on business strategy and decision-making, which is great for future HR managers.

Both are great options, but each serves a slightly different purpose that you carefully analyze before making up your mind.

So, take all this into consideration when choosing between PHR certification and SHRM and think about what kind of roles you want to take on next.

Conclusion

In conclusion, you are now well aware of the whole PHR vs SHRM debate and specific aspects you can cover in each. You can confidently go for PHR to strengthen your technical HR knowledge and focus on everyday HR tasks.

However, SHRM is the better match for strategic thinking and higher-level roles. No matter which one you choose, both certifications will help you grow as an HR professional and open new doors in your career.

Interested in getting assistance from expert guidance? Reach out to Polaris Pathways for your HR journey and become stress-free.

FAQs

Which credential is better for beginners in HR?

PHR can be a friendly choice for beginners because it focuses more on simple hands-on HR tasks. However, you can also go with SHRM-CP if you got a bit more experience, as it involves a strategic level of work.

Can I take both PHR and SHRM certifications?

Yes, you can take both certifications to earn a well-rounded HR skill set. Essentially, having the knowledge of both credentials can boost your professional resume even more.

Do employers prefer PHR or SHRM?

Some employers value PHR for roles focused on compliance and HR operations. However, others prefer SHRM for positions that require leadership and business strategy.

Which exam is easier, PHR vs SHRM?

Many HR professionals feel that SHRM is slightly easier to approach because the exam uses more situational and judgment-based questions. On the contrary, PHR focuses on pure technical knowledge, which makes it a little bit difficult.

How do I know which HR qualification is good for my career?

To learn about which HR qualification is good for your career, you can always contact Polaris Pathways for expert advice. It helps you explore options and guides you towards the HR certification that best fits your future growth.