HR BUSINESS PARTNER

METRICS collated by Selwyn Thomas

HR BUSINESS PARTNER METRICS

The Measure:

Input Measure Output Measure Outcome Measure

HR BUSINESS PARTNER METRICS

Input Measures: The investment in people for productive use. Typical input measure:
Training Remuneration

(to measure what is the return from that investment)

HR BUSINESS PARTNER METRICS

Output Measures: This can be considered in two ways

Actual services & goods produced

(Eg. No. of customers served per employee)

Key financial performance areas

(Eg. Profit per employee / Revenue per employee)

HR BUSINESS PARTNER METRICS

Outcome Measures: These consider how people respond. This describes a response of human resources to a set of conditions. Examples:
Resignation rate Employee Engagement

HR BUSINESS PARTNER METRICS

Checklist of Measures: Average Revenue per employee Average cost per employee Average Profit per employee Return on Human Investment ratio
Formula: (revenue - (costs - total remuneration)) The ratio indicates for every $ invested in paying people, the return in profit generated

Remuneration / Revenue
Cont.

HR BUSINESS PARTNER METRICS

Checklist of Measures: (Continued) Remuneration / Cost Average Remuneration per employee Absence rate (Outcome Measure) Resignation rate (Outcome Measure) Training spend / Compensation

HR BUSINESS PARTNER METRICS

DATA AVAILABILITY

Available Data: Absence, Resignations, Engagement

Data to be available: Cost, Remuneration, Revenue, Profit & Training

HR BUSINESS PARTNER METRICS

NEXT STEP Define: Cost, Remuneration, Revenue & Profit. Identify: Sources of information/data.
Suggest that we endeavour to capture as much as data possible to provide quality HR Business metrics

HR BUSINESS PARTNER METRICS

Conclusion: The suggested metrics should help HR Metrics not to be looked in isolation but from a business perspective. These metrics should provide insights as to how these factors impact and influence the business.