HR KPIs: 5 Important Metrics to Measure HR Department Effectiveness

Any company dreams of a bullish performance, right? To do this, it is necessary to establish the KPIs (key indicators) that will reveal the real performance of the business areas, so that the company can verify which areas are performing satisfactorily and which need to be improved. In the area of ​​human resources (HR), for example, it is no different. Want to know which are the main HR KPIs? Stay with us!

Top 5 HR KPIs

Turnover

In HR, it is a metric that reveals the amount of input and output of employees in a given time frame.

A high turnover rate may reveal that your company is not providing an adequate work environment – whether in the climate, benefits or salary – and so the employee stay rate is so small.

High turnover can also mean that HR is failing in the talent management process and is not recruiting people with the right profiles for the company.

The turnover is expensive for an organization, because in addition to spending on terminations, the company also needs to conduct new selection processes and stop production while new employees are not hired.

Organizational climate

Organizational climate is the quality of the work environment, perceived by the employees of the company.

To check whether this climate is pleasant (or not) HR must conduct an organizational climate survey.

The result of this climate research should be one of the most important KPIs of HR, as it reveals if the work environment is perceived as pleasant by the employees.

This research may reveal:

  • If there is clarity of objectives on the part of the leaderships.
  • If the relationship between members of the same team is healthy.
  • If the employee considers that the company has an adequate physical structure.
  • Among others.

When climate research reveals a perception of poor environment by employees, it is up to HR to take the necessary steps to reverse this scenario.

Absenteeism

This complicated and big word is one of the biggest nightmares of a human resources department.

It is a Latin term that means “absence.” For HR, it is nothing more than a KPI that indicates the absence rate in the work environment by employees.

This absence may be justified (for reasons of health or personal problems) or unjustified.

When it is justified, HR should seek to understand how it can assist the employee to return to his or her normal work routine. Therefore, it is common for companies to offer benefits such as medicine and health insurance to avoid absenteeism for health reasons.

When absence is not justified, absenteeism may reveal demotivation or abandonment of the job post, becoming another problem that we have discussed previously: turnover.

Absenteeism also serves to indicate delays or failure to meet the planned workload.

Accidents at work

According to data from the International Labor Organization, every 15 seconds, 160 workers are victims of work-related accidents around the world.

In companies that work with manual production or transport of cargo, for example, one of the most important roles of HR is to enable employees to know how to proceed in case of work accidents and, more importantly, to avoid them.

Therefore, a very important indicator to measure the success of your HR is the number of days without a work accident.

Training and Development Indicators (T & D)
One of HR’s most important roles is to train and develop employees for the organization.

However, this is a practice that involves many costs and time, so it is very important to prove the effectiveness of training and development practices.

And how to do that?

One of the alternatives for HR is to follow employee learning through an online training platform, which can even help reduce the cost and time spent on T & D practices.

Such a platform can provide some very important data, such as: hours spent per employee in training, management of skills of each professional profile, progress of employees on each learning path, and more.

Twygo, our online training platform, can help you with this metric and many others. It can: assist in training to prevent accidents at work, assist in improving the organizational climate, and more. Contact Twygo to know more!

Guestpost by Twygo

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