10 metrics to measure the effectiveness of Human Resource function

10 METRICSTO MEASURE THEEFFECTIVENESS OFTHE HR FUNCTION

10 METRICSTO MEASURE THEEFFECTIVENESS OFTHE HR FUNCTION

P R E S E N T E D B Y

D r W i l f r e d M o n t e i r oE x e c u t i v e D i r e c t o r

S Y N E R G Y M A N A G E M E N T A S S O C I A T E S

w w w . s y n e r g y m a n a g e r . n e t

M U M B A I - I N D I A

Many HR departments say they

are a "business partner,“but few can provide any real

evidence that they are having astrategic business impact.

Many HR departments say they

are a "business partner,“but few can provide any real

evidence that they are having astrategic business impact.

2copyright 2007 -Dr Wilfred Monteirowww.synergymanager.net all rights reserved

After studying CEO expectations of HR,I've compiled a list of the kind of

questions,which CEO's might wantanswered about how their "human

resources"give thema measurable competitive advantage .This is also a approach to designing

the HRD balanced scorecard!

copyright 2007 -Dr Wilfred Monteirowww.synergymanager.net all rights reserved

After studying CEO expectations of HR,I've compiled a list of the kind of

questions,which CEO's might wantanswered about how their "human

resources"give thema measurable competitive advantage .This is also a approach to designing

the HRD balanced scorecard!3

Are the people we havethe mostproductive in the industry?

What is our"Revenue per employee"?

Is it higher than ourcompetitors?

1 What is our"Revenue per employee"?

Is it higher than ourcompetitors?


Are we overpaying our employees forthe output they produce?

Is there evidence that our benefitsprograms really attract

or keep people?2

Is there evidence that our benefitsprograms really attract

or keep people?

5

copyright 2007 -Dr Wilfred Monteiro www.synergymanager.net all rightsreserved

2

How does HR manage its problememployees and chronic non

performers?What percentage of "poor"

performers become "verygood" performers within a

specified span of time,

as a result of our HRD efforts?

3 What percentage of "poor"performers become "verygood" performers within a

specified span of time,

as a result of our HRD efforts?

6copyright 2007 -Dr Wilfred Monteiro www.synergymanager.net

all rights reserved

Does having great employees reallymake a difference in our

industry?

Has HR identified the jobs/ functionalareas where having great people is

essential for

corporate success (a CSF)?

4Has HR identified the jobs/ functional

areas where having great people isessential for

corporate success (a CSF)?

7copyright 2007 -Dr Wilfred Monteiro www.synergymanager.net allrights reserved

Does having great employees reallymake a difference in our

industry?

Does adding more or higher quality HRresources make a difference?

Is the Return on Investment in HumanResources higher than the ROI on Capital

or for plant and equipment?

5Does adding more or higher quality HR

resources make a difference?

Is the Return on Investment in HumanResources higher than the ROI on Capital

or for plant and equipment?

8copyright 2007 -Dr Wilfred Monteiro www.synergymanager.net all rights

reserved

Show that our voluntary turnover rate is lower than ourcompetitors for:

Key executives Top performers Individuals with "key" competencies and All individuals in hard to hire positions

Do we retain our key / mostproductive peopleat a higher rate than our bestcompetitors?

6Show that our voluntary turnover rate is lower than our

competitors for: Key executives Top performers Individuals with "key" competencies and All individuals in hard to hire positions


6

Do we attract and hire the very bestpeople we can afford?

Show that you have made our firmthe Employer of Choice in our

industry.

What is the average time andtrouble needed to hire people

7Show that you have made our firm

the Employer of Choice in ourindustry.

What is the average time andtrouble needed to hire people


Employee Engagement Level

Do we have a clear understanding ofhow many of our staff are

• Actively engaged• Marginally engaged• Actively disengaged

8Do we have a clear understanding of

how many of our staff are• Actively engaged

• Marginally engaged• Actively disengaged


Are line managers effectie partners andstake holders in HR policies and

programs??

Do well sell management on theimportance of people issues?

We educate managers and teams onthe HR implications of actions

they take (or might take).

9Do well sell management on the

importance of people issues?

We educate managers and teams onthe HR implications of actions

they take (or might take).

12


Is our over-all HR strategyaligned with our

business strategy?

Does our HR strategyreinforce our

corporate values and culture?Can we draw up a scorecard to measure HR’s

contribution to each parameters of corporatevalues/ corporate culture

10

Does our HR strategyreinforce our

corporate values and culture?Can we draw up a scorecard to measure HR’s

contribution to each parameters of corporatevalues/ corporate culture


Do you have any doubt or disagreement?I would welcome a debate…If you have any

point to add or best practices to shareI would welcome these as well.

Please email your response [email protected]

Do you have any doubt or disagreement?I would welcome a debate…If you have any

point to add or best practices to shareI would welcome these as well.

Please email your response [email protected]

14

• is a nationally acclaimed

stalwart in the field of

business management with

an illustrious career

spanning over 25 years

• He is a consultant and

advisor to Board of

Directors of leading

companies & Chambers of

Commerce;

• a management trainer of

high repute who has

conducted over 2250

seminars in India and

abroad in areas of business

strategy, marketing &

organization development.

• a Visiting Professor to

premier management

institutes and staff training

colleges throughout India.

Dr WILFRED MONTEIRO• is a nationally acclaimed

stalwart in the field of

business management with

an illustrious career

spanning over 25 years

• He is a consultant and

advisor to Board of

Directors of leading

companies & Chambers of

Commerce;

• a management trainer of

high repute who has

conducted over 2250

seminars in India and

abroad in areas of business

strategy, marketing &

organization development.

• a Visiting Professor to

premier management

institutes and staff training

colleges throughout India.

15website: www.synergymanager.netcopyright 2007 -Dr WilfredMonteiro

www.synergymanager.net allrights reserved

– http://wilfredmonteiro.blogspot.in/– http://negotiating-wizard.blogspot.in– http://salescoach-india.blogspot.in– http://the-sales-champ.blogspot.in– http://salesforce-excellence.blogspot.in– http://strategic-selling.blogspot.in– http://hrm-excellence.blogspot.in– http://personal-growth-guru.blogspot.in– http://thegreatmanager.blogspot.in– http://leadership-by-values.blogspot.in– http://therightetiquette.blogspot.in

Dr WILFRED MONTEIROplease view the blogspots I have developed for my participant ongoing learning

– http://wilfredmonteiro.blogspot.in/– http://negotiating-wizard.blogspot.in– http://salescoach-india.blogspot.in– http://the-sales-champ.blogspot.in– http://salesforce-excellence.blogspot.in– http://strategic-selling.blogspot.in– http://hrm-excellence.blogspot.in– http://personal-growth-guru.blogspot.in– http://thegreatmanager.blogspot.in– http://leadership-by-values.blogspot.in– http://therightetiquette.blogspot.in

16

http://www.slideshare.net/wpm999website: www.synergymanager.net

CONTACT US

Dr Wilfred MonteiroTELE : 91 22 9819843927

EMAIL: [email protected]

website:

www.synergymanager.net

copyright 2007 -Dr Wilfred Monteiro www.synergymanager.net all rights reserved

CONTACT US

Dr Wilfred MonteiroTELE : 91 22 9819843927

EMAIL: [email protected]

website:

www.synergymanager.netSYNERGY MANAGEMENT ASSOCIATES

since 1993

Designing Business Excellence ModelsCorporate Planning & Strategy Summits

Change Management InitiativesBusiness Leadership Development

Performance Management Systems17

10 metrics to measure the effectiveness of Human Resource function

Leadership & Management

Transcript of 10 metrics to measure the effectiveness of Human Resource function