The Key HR Metrics You Need to Measure

Human resources metrics are the key performance indicators that help businesses track their human capital and measure the effectiveness of their human resources initiatives.

Photo by RODNAE Productions

Numbers are obviously important to business leaders and financial executives. Often the metrics related to employees are not tracked and reviewed as to whether they are improving or declining.  This is interesting because employees often are one of the largest costs a business has.

Consider some or all of these:

• The total cost of your workforce including benefits

• Sales or profits per employee ratio

• Billable hours per employee may be looked at in professional roles

• Hiring metrics

o   Cost to hire

o   Time to fill per position type

o   Average time to full productivity

o   New-hire turnover rate

• Total employee turnover

• Total training investment

• ROI of training

• Absenteeism

• Number and percent of A, B & C employees

Tracking these metrics is a must for any business wanting to build a solid, data-driven people management strategy. This data can help businesses make better decisions in their strategic planning process and ensure they focus on having the right systems and processes relating to one of the biggest costs within their organization; their employees.