Edmonton and Calgary based companies rely heavily on human resources to measure the performance of employees and policies; however, the metrics and data available through human resources are often overlooked in regards to business planning and success.
While analytics can provide us with a way to improve efficiency, increase employee retention rates, and revamp growth strategies, the data frequently falls by the wayside. This typically occurs due to lack of understanding or the erroneous assumption that the evaluation and assessment of data is skewed by personal opinions from HR managers.
HR Metrics Encompass the Entirety of an Organization
In order for the metrics to be useful, a primary goal must be identified. For example, HR metrics can measure specifics including the following:
- Employee Scheduling and Hours Worked: Being able to compare hours scheduled versus hours worked can help a company determine if it is overstaffed, understaffed, or on target.
- Attrition: Hiring and training new staff is oftentimes one of the highest expenses in an organization. By measuring the data on employee resignations and reasons for leaving within a given timeframe, the business can make necessary adjustments to decrease turnover.
- Hiring New Employees: Assessing the costs of existing employees is only part of the equation. Being able to see details, such as the length of time between posting a job ad, interviewing, and hiring someone can be very eye-opening. Likewise, how much did that process cost.
- Retention: Good talent is hard to find, therefore, when good employees are properly compensated, they will likely remain loyal to a company. HR metrics can help identify if a lack of promotion is a key factor in top staff leaving.
- Employee Revenue: Easily assess employee performance by reviewing how much revenue they produce annually. If they’re underperforming, necessary changes can be made and if they exceed goals, they can be fairly rewarded.
In addition to the numerical data available through HR metrics, soft skills can be measured as well with a more hands-on approach from human resources. Soft skills include the way employees interact with others, as well as their work ethics and values; all of which are extremely important to a company’s profit margin.
These are just a few examples of the metrics that can be measured. The results can be used to create new goals, hold individuals more accountable, and restructure policies and processes. When major problems or inefficiencies become obvious, it is easier to identify the true underlying problem. Yet, without taking action, the data simply amounts to several numbers and an organization misses out on the opportunities to grow, improve, and become more effective.
Curious how to elevate your HR reporting and use data to make prudent decisions? Contact Atled Consulting Ltd. today to create custom HR dashboards or subscribe to a monthly membership and receive quarterly HR reports on your business. Call us to chat 1-866-285-3399 (toll free).