the first article I presented a blueprint for alignment of HR metrics with business objectives (also shown below). Here, I will look at how more concise and business-focused presentation formats and reporting allows HR to revolutionise its alignment to business objectives, articulate its value and improve its credibility. In the first article, talent management was used as an example of how HR can become more strategic in its use of data, and we discussed how existing talent data covers areas such as:In the second of two articles that provide a blueprint to guide HR functions in overhauling their data approaches, Nick Kelmsley, co-director at the Centre for HR Excellence, Henley Business School, offers an example of how this could be applied to something tangible: talent metrics. In
- time to hire;
- percentage internal versus external hire;
- total attrition;
- basic performance data - for example, rating profiles; and
- basic succession data - for example, roles with successors ready to take over.
- Percentage of occasions a critical role is filled by the named successor. This is a really insightful metric. Succession planning is an area where there is a tendency to use process metrics instead of outcome metrics. Measuring the percentage of roles with “ready now” successors alone does little more than identify how many empty boxes we have on a chart. It will not tell us if John Smith is successor to 12 different roles, or if we end up recruiting externally because Annette Dubois does not want to move to Dubai. We need to measure what actually happens.
- What happened to those people we said were great three years ago? How many HR functions actually measure this? If these people are still broadly where they were, or have left, then something is clearly wrong with how we identify potential, or act on it. Another insightful metric in the same arena is to examine promotions over a period of time and correlate this with ratings of individuals’ potential. One organisation I worked with identified th