This issue focuses on the tools HR people are using to demonstrate the
impact of their interventions on the bottom line. If you want to know where to
find the relevant articles, you’ll find the page numbers promoted prominently
at the top of the front page.
The use of metrics, balanced score cards, performance indicators and a whole
paraphernalia of related approaches is increasing as HR directors fight for
cash for their initiatives and try to justify their existence. But
demonstrating the value of progressive HR practices is really only the first
phase of a mammoth challenge – the ultimate aim should be to get board members
to view their staff as a value, or an asset that can be calculated, rather than
a cost. As HR directors know to their frustration, there is still a long way to
go.
This is despite the fact that the CIPD has banged on about the evidence
demonstrating the impact of progressive HR practices on the bottom line at
every available opportunity. This is all very well, but the way to change the
minds of top executives is to demonstrate the value of HR in a language they
understand, and to show it working in their organisations. There are many
high-calibre HR directors already achieving this, but they are in great demand.
Real change will only come when there is a much bigger pool of senior HR
professionals with the experience and capabilities to drive this agenda
forward.
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The problem is that at the moment there is a vacuum in HR managers’
continuing professional development at the highest levels. Every time senior HR
people gather they bemoan the fact that the CIPD qualification has no relevance
at their level. Sadly, they also point out that the institute is making no
concerted effort to fill the gap in senior HR development. If the institute won’t
address this need, then someone else will have to.
By Noel O’Reilly
