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Personnel Today

HR strategy: What are your people worth?

by Personnel Today 24 Sep 2002
by Personnel Today 24 Sep 2002

This week Personnel Today tackles the holy grail of HR –
measuring human capital.

Some companies have started to grasp the human capital challenge, as our
research with Deloitte & Touche confirms, but how many take it seriously? The
figures are not encouraging.

Most organisations are struggling to measure the worth of their people
because human capital is such a complicated asset to value. Add the fact that
annual reports to shareholders do not have to include this information makes
avoiding it more compelling.

But human asset accounting will become a standard benchmark in annual
reports and could become a legal requirement too.

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Another certainty is that the current economic climate will force companies
to take metrics more seriously. Fundamentally, businesses are about people and
the bursting of the technology bubble and debacle over creative accounting only
underline this.

In this issue, our wealth of coverage on human capital should inspire you.
Finding a way to measure the people value of your business is a significant
opportunity. Get it right, and it will be a powerful argument for HR to be
included as a key strategic player.

Personnel Today

Personnel Today articles are written by an expert team of award-winning journalists who have been covering HR and L&D for many years. Some of our content is attributed to "Personnel Today" for a number of reasons, including: when numerous authors are associated with writing or editing a piece; or when the author is unknown (particularly for older articles).

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HR held back by inability to measure human capital

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Personnel Today
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