CallMe! recently gave a talk at HR.com entitled, The 80/20 Rule: How to Identify the Right Human Capital Metrics for Your Organization. We are including the introduction and the slides for our readers:
What are the right few human capital metrics to help us navigate our businesses through changing environments?
HR professionals – and the organizations they serve – often struggle with how to establish a core set of HR metrics that accurately capture HR’s impact on the organization and generate real business insight. Simply picking measures from a list is like searching for a needle in a haystack. There is a better way.
This presentation introduces a systematic approach for identifying the right metrics for any organization. By using a blend of standardized and customized measures, a company can track human capital performance along widely understood and benchmarked metrics while also creating tight alignment with unique business objectives.
The majority of measures on a human capital dashboard (around 80%) can be standardized, drawing from known metrics with well-established definitions. These metrics are often easier understood by end-users and benefit from readily available benchmarks.
However, a portion of human capital metrics (about 20%) must be customized to reflect unique business conditions and measure, monitor and evaluate organizational initiatives. HR teams can quickly and efficiently determine the best customized metrics for their businesses by employing a “cascade approach”. Working from the top-down, this structured approach starts with the strategic goals of the business and drills down to the detailed metrics that measure whether HR is achieving its strategy.
For more information, or to discuss how we can help your organization identify and measure the right metrics, please email us at firstname.lastname@example.org.