First of two parts
When you survey the most frequent users of analytics and metrics in the corporate world, not surprisingly, you find that HR ranks at the very bottom.
Compared to finance, which is ranked No. 1, human resources compares poorly with only half of its functions being classified as advanced users and three times more HR functions are classified as non-users.
HR shouldn’t be surprised to learn that the executive team came in No. 2 because they (along with finance) are at the forefront of demanding more metrics and analytics from HR. The remaining business functions, operations, R&D, marketing, and sales all had a higher percentage of advanced metrics users than HR in this excellent 2013 AMA/i4cp study. Read more…
Look at the metrics most recruiters track below and tell me which ones are truly important.
- Time to fill;
- Number of applicants;
- Number of job offers;
- Cost per hire;
- Time to start; Read more…
Second of two parts
Yesterday, I started you off with three (3) simple measures that by themselves are enough to give you a snapshot — but accurate view – of talent’s impact on your business organization.
Today, here are three more metrics for your consideration. When added together, these six (6) will help you truly gauge the impact your talent has on making your business successful. Read more…
First of two parts
In a world where it’s easy to get a “snapshot assessment” of your personal physical health or your organization’s financial or IT security effectiveness, what could be more valuable than an easy-to-conduct executive level “snapshot assessment” of talent management and HR?
Unfortunately I have found that most in HR are satisfied with a subjective or low-level tactical assessment, which instead of business impact, covers spending efficiency, lean staffing, and whether managers and employees are satisfied with us.
In order to be considered as credible, this snapshot must instead be strategic, and it should mirror the executive snapshots that are available in finance, customer service, and IT. In order to assess how well you’re doing, a benchmark number must also be provided so that you can compare your results to your direct competitor firms. Read more…
No one could argue that being proactive and smarter about what you do is a bad strategy.
Big Data enables proactive, evidence-based decision-making throughout the enterprise — and yet, HR continues to struggle with adopting this approach. HR should be lining up to take advantage of the insights Big Data analysis offers, but that hasn’t happened just yet.
Still, the pressure is on for HR to step up to the plate and not only make decisions that align with business goals but to actually become part of the business’s advisory and planning process. Read more…
“HR should be every company’s ‘killer app.’ What could possibly be more important than who gets hired?” — Jack Welch, former General Electric CEO
I wish more CEOs and their respective CFOs agreed with Jack Welch’s statement.
The companies that do follow this mantra seem to prosper (GE, Google, Facebook, Mayo Clinic, Starbucks, and others that invest in hiring and developing talent.) Quality hires impact a company’s ability to execute its mission, reach its milestones, be profitable and ultimately increase shareholder value.
Here’s how to measure this quality: Read more…
I’m not always a big fan of SHRM — particularly how SHRM’s Board of Directors has chosen to operate — but this week, I think SHRM got big footed and forced to back off something that might have ultimately been a good thing.
In case you missed it, the American Staffing Association (ASA) and a number of other related organizations are crowing about forcing the Society for Human Resource Management to back off an effort they were leading to create standards around the reporting of HR metrics to investors.
According to a story on SHRM’s website, “This standard was to consist of a series of metrics intended to show the value of human capital in a manner that would be compelling to investors in publicly traded companies” according to Lee Webster, HR standards director for the SHRM. Read more…
Of all the developments and trends in human resources, what would be at the top of your list?
Would strategic HR be there? How about outsourcing; or should that be in-sourcing? Does employer branding and the “war for talent” belong there? And where would technology fit in, especially the trend away from so-called best in class components and toward integrated systems?
Not an easy call is it? Just since the start of the recession in late 2007 HR departments, and the profession itself, has seen a remarkable shift in both function and practice.
Strategic HR, a concept that began to percolate about the same time companies changed the personnel division to the HR department, got jumped into the C-suite consciousness shortly after the layoffs began. It was helped along by the angst created earlier by Keith Hammond’s wake-up call to the profession in Fast Company titled Why We Hate HR. Read more…
Billy Beane, the Oakland A’s General Manager, described in Moneyball the need to rethink his team’s business (baseball) and make a scientific investigation of the sport by determining what qualities in an athlete converted into wins or baseball advantage.
HR leaders have a very similar opportunity in front of them today. HR analytics, if properly employed, can dramatically impact the bottom-line performance of an organization in multiple direct and indirect ways.
There are several things to keep in mind for those contemplating making HR analytics a focus for their organization: Read more…
For the first time in the history of the profession, human resource practitioners now have a uniform way to measure and compare one of HR’s oldest metrics. The American National Standards Institute has accepted the profession’s proposal for determining cost-per-hire.
Enshrined alongside such venerable standards as those that gave us the first computer languages, and set the size of paper at the local office supply store, the new cost-per-hire standard
now allows a company anywhere in the U.S. to compare this element of recruiting efficiency to those of others, elsewhere, including among its own divisions and branches.
“The approval of this standard as an American National Standard establishes a milestone for the HR profession. It affirms that HR has indeed a ‘technology’ that its professionals must apply, improve and preserve,” said Lee Webster, SHRM’s director of HR standards. “The HR profession and its stakeholders can now begin to make business decisions based on credible, transferable, and inter-operable human capital analytics.” Read more…