Jugraj Samra

Week 8 – Journal Assignment #6

HR is at the early stages of measurement and there has been much discussion around HR Metrics and HR’s role in developing metrics. In my view, HR Metrics are, or are not important to human resources because…

Yes, HR Metrics are important to human resources because HR Metrics are used to measure and optimize retention, recruitment and productivity within the organization.

Retention:

HR metrics should be developed to measure the turnover of the employees who are valuable to the organization rather than focusing on overall turnover rate of the organization. Organization should not be concerned when a poor performer leaves instead they should focus on retaining high performers and separate them out resignation rate.

Recruitment:

HR metrics should be developed to measure the voluntary and involuntary turnover rate as the recruitment involves lot of resources hiring and onboarding employees. The employees who are newly recruited make decisions quickly whether or not they will leave the organization and some recruits are involuntarily terminated because of bad decisions of hiring manager.

Productivity:

Productivity is an important part of organization and to improve productivity organization should invest money on training and this may appear as an expense to the organization but it later is recognized as an asset because the right training will show in the form of revenue in financial statements. It is the role of the HR to use HR metrics to optimize employee productivity to help increase the productivity of the organization.

Therefore HR metrics should be employed by HR for effective retention, recruitment and productivity within the organization