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Measuring Human Capital: The Use of KPIs for
Measuring Effectiveness of HR

Program Objectives:

By the end of the program, participants will be able to:

  • Define measures, metrics and Key Performance Indicators (KPIs) and the role they play in measuring the effectiveness of Human Resources.
  • List the KPIs that should be used in measuring Human Resources as a function.
  • List and calculate the main KPIs that should be used to measure the efficiency of the critical processes in HR.
  • Define and calculate the main formulae for evaluating the financial contribution of HR to the organization.
  • Define and calculate the employee satisfaction index and use it to measure employee morale.
  • Explain employee turnover, its types and the various formulae used to calculate it.

    • This Program is designed for:

    Human Resources professionals who need to evaluate, and report on, the effectiveness of Human Resources to senior management. The program is also suitable for Human Resources managers and senior executives who are accountable for the overall contribution of the HR function.
    Duration : 5 days

    Program Outline:

    Key Performance Indicators Process KPIs
  • The Importance of Measuring
  • Measures, Metrics and KPIs: The Main
    Differences
  • Characteristics of Smart KPIs
  • Types of KPIs
  • Measuring Efficiency of Recruitment
    and Selection
  • Measuring Effectiveness of Hiring.
  • Using Hurdles per Hire (HPH) to Reduce the
    Use of 'Waste' in Selection
  • Using Aggregate Yield Ratios and Selection
    Rates
  • Measuring Effectiveness of Appraisal Systems
    • Organizational KPIs Employee Turnover
  • Organizational Appeal and Reputation
  • Salary Competitiveness
  • Human Value Added
  • Career Growth
  • Absenteeism Rates and Absenteeism
    Cost
  • Employee Morale
  • Turnover versus Attrition (Gross and Net
    Turnover)
  • Analyzing Turnover: How Should the Data
    Be Interpreted?
  • Healthy versus Unhealthy Turnover: When
    Is Turnover Good for the Organization?
    • Financial KPIs
  • Return on Human Capital and Labor
    Cost
  • Cost per Hire
  • Cost per Trainee
  • Opportunity Cost
  • Supervisory Ratios
  • Compensation and Benefits

    • Pre-requisites

    None:
    Duration : 5 days

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