When it comes to organisational expenditure, workforce costs are right up there. As such, it's never been more important for a business to have a clear view of the value of its human capital, and how that contributes to long-term growth.
But measuring human capital goes much further than just the financials. Done accurately, it's a process that lets you optimise your workforce so that it adds value to your organisation and helps you retain a competitive advantage.
So what should you be measuring, and what are the benefits to your business? Join us as we dive deeper into why you should get involved.
Human capital is made up of areas like your workforce’s education, skills, capabilities, experiences, and even personalities. When measured using a thorough set of metrics, it gives you a clear picture of where your teams excel, and where they may be lacking.
Skills gaps are a classic example: it could be that your business is falling behind with its digital or engineering capabilities, putting you at risk of a talent shortage. Or maybe you need to diversify personality types in your workforce to maintain high-functioning teams. But unless you’re looking at ‘human capital’ more holistically, you’re unlikely to reap the benefits…
In a nutshell, measuring human capital helps organisations to develop and achieve their long-term growth plans. By establishing metrics that fit with the organisation’s goals, HR professionals are able to collect, analyse and report on rich data, mapping out the strengths and weaknesses within their teams.
Not only does this enable you to address any areas that need attention by building plans for learning and development; it also allows you to be more transparent with stakeholders and demonstrate compliance against relevant legislation.
Long term, this even gives you the ability to compare your human capital investments with outcomes and ROI, improving decision making and organisational efficiencies across the business.
ISO 30414 is a new HR Standard that lets you effectively monitor and develop your workforce against a global benchmark. It's made waves amongst market leaders since it emerged in 2019, and it isn’t difficult to see why.
With this internationally recognised HR framework, you can create a data-driven human resource strategy. You'll get a full picture of your workforce, plus guidelines for both internal and external human capital reporting – delving into areas such as ethics, leadership and productivity.
Whether it’s obligatory for you to report on how your teams are made up, managed and paid, or if you simply want to maximise on the value of your human capital, the certification is perfect, and will put you on the path to becoming a market leader.
Centre for Assessment (CfA) offer a full implementation and support service as well as verification audits against ISO 30414. We will help you assess your HR management and metrics, then work closely with you to ensure they’re successfully aligned to internationally-recognised standards.
To find out more about the ISO 30414 certification, speak to our team on 0161 237 4080, or visit our website.