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11 Core Areas

Compliance and Ethics

Compliance and ethics is a key area for many organisations
and HR is often responsible for ensuring these areas are
understood and implemented. To comply, the relevant
metrics are:

  • Grievances
  • Disciplinary Actions
  • Training Completed
  • Disputes Audits
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Costs

Employee-related costs are an important focus for any organisation. It is a measurement that global organisations and investors are keen to understand, especially the ROI regarding productivity across geographical locations. Within this core area the focus is upon the following metrics:

  • Overall workforce costs
  • External employee costs
  • Average of salary and remuneration
  • Total cost of employment
  • Cost per person hired
  • Overall recruitment costs
  • Turnover costs
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Diversity

Certain aspects of reporting diversity will vary by country, however this can still be measured and will lead to important information both internally and for external stakeholders. The core area covers metrics for workforce diversity across the following headings:

  • Gender
  • Age
  • Disability
  • Other relevant factors of diversity such as minorities or vulnerable groups
  • Diversity of the leadership team
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Leadership

Leadership naturally affects organisational success. Selection of suitable and potential leaders is of paramount importance and within this core area the following is measured:

  • Trust in the leadership of the organisation
  • Span of control
  • Leadership development
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Organisational Culture

It is important that an organisation has a strong culture strategy in order to be both competitive within its industry and sector and also to attract and retain the best talent. The standard measures the culture across the following metrics:

  • Employee engagement
  • Satisfaction levels
  • Commitment
  • Labour turnover / retention rate
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Organisational Health, Safety and Wellbeing

The standard focuses on the investment in health, safety and wellbeing, together with how it is prioritised. An organisation that puts people at its centre will receive greater commitment and loyalty. Metrics used within this core area consist of:

  • Hours lost to injuries
  • Occupational accidents
  • Training participation
  • Death in service
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Productivity

HR sometimes needs to increase the trust of employees and the respect of employers. Specific evidence-based metrics will be highly beneficial to the HR function.

  • EBIT
  • Revenue
  • Turnover and profit per employee
  • Human capital return on investment
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Recruitment, Mobility and Turnover

This is the measure of an organisation’s capability in maintaining the continuity of its workforce. The ISO sees this as a simple process of in, through and out. There are no fewer than 14 metrics here. An example of these are:

  • Recruitment of staff: length of time, number & quality
  • Mobility: internal candidates appointed, mobility rate
  • Turnover rate of leavers
  • Critical turnover rate
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Skills and Capabilities

Skills and capability are an enormous advantage within a competitive arena. Employee learning is a key factor.Areas of focus include:

  • Total costs invested within learning
  • Number of employees receiving training
  • Average hours training per employee
  • Competency rate of the workforce
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Succession Planning

Succession planning is closely linked to the sustainability of an organisation’s workforce. The development of employees is critical for future success. Therefore identifying talent, nurturing it through development programmes and structuring it in readiness for future growth is essential. Metrics that cover this area include:

  • Effectiveness of succession historically
  • Coverage rate
  • Readiness rate
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Workforce Availability

The area for workforce planning is a critical area for the sustainability and continuity of the organisation. The information is valuable for both internal and external stakeholders and is the measure for both the composition and availability for the whole workforce. The measures associated here include:

  • Number of employed staff
  • Contingent workforce (Contracted and temporary)
  • Absenteeism
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