Human Resources is about the people (it’s even in the name), so when it comes time to perform analysis and providing reports, the entire process can seem a little cold. However, the reality is that to truly improve the performance of any organization requires a certain amount of tracking, reporting and analyzing of key performance indicators (KPIs).

KPIs go beyond the pure data and develop reports that provide important data. This level of intelligence gives any department the power to quickly improve or alter their trajectory by continually tracking these trends, typically in the form of an easy-to-ready dashboard. For example, if your training efforts are not being utilized, then tracking the percentage of low performing employees gives data to help improve the training and determine if hiring practices are in need of a change to improve the initial selection process.

We have discussed KPIs and what to measure, but let’s further discuss the why.

Building a Baseline

To measure anything first requires a baseline – a foundational metric set that gives you a starting point. It is impossible to measure anything unless you know if that metric is trending up or down. This is an important part of generating KPIs for any human resources department.

There are significant benefits to developing measurable metrics. It is easier to answer those big questions everyone wants to know. Where are the trouble spots? How long does a particular process take? Are the employees getting what they need from a program? This is where KPIs excel.

KPIs Can Improve the Human Element

Tracking metrics and analyzing the information may seem like a cold, calculating effort. However, by employing the science behind well-written KPIs, you can speak in a more focused fashion on the actual challenges within your organization.

The purpose of utilizing KPIs is not to become robotic in your approach to human resources. It’s quite the opposite. Think about this scenario – you have at your fingertips the percentage of low performers, percentage of high performers and the percentage of employees receiving regular performance reviews. We know that consistent feedback improves performance and moral. Now you can quickly see if there is a trend. Make recommendations to improve the metric of employees receiving regular performance reviews and see if the percentage of underperformers goes down.

Let’s think about that scenario for just a moment. By utilizing KPIs, you will uncover a root cause, initiate quick action, and make positive impact in the lives of your organization’s employees and managers. KPIs are truthfully very focused on humans.