We found a match
Your institution may have access to this item. Find your institution then sign in to continue.
- Title
Principles in selecting human capital measurements and metrics.
- Authors
Chrysler-Fox, Pharny D.; Roodt, Gert
- Abstract
Orientation: Physical and natural resources have been surpassed by human capital as a resource of wealth creation. As a result, senior management relies increasingly on appropriate people information to drive strategic change. Yet, measurement within the human resource function predominantly informs decisions in support of efficiency and effectiveness. Consequently, dissimilar understanding of measurement expectations between these parties largely continues. Research purpose: The study explored principles in selecting human capital measurements, drawing on the views and recommendations of human resource management professionals, all experts in human capital measurement. Motivation for the study: The motivation was to advance the understanding of selecting appropriate and strategic valid measurements, in order for human resource practitioners to contribute to creating value and driving strategic change. Research design, approach and method: A qualitative approach, with purposively selected cases from a selected panel of human capital measurement experts, generated a dataset through unstructured interviews, which were analysed thematically. Main findings: Nineteen themes were found. They represent a process that considers the centrality of the business strategy and a systemic integration across multiple value chains in the organisation through business partnering, in order to select measurements and generate management level-appropriate information. Practical/managerial implications: Measurement practitioners, in partnership with management from other functions, should integrate the business strategy across multiple value chains in order to select measurements. Analytics becomes critical in discovering relationships and formulating hypotheses to understand value creation. Higher education institutions should produce graduates able to deal with systems thinking and to operate within complexity. Contribution: This study identified principles to select measurements and metrics. Noticeable is the move away from the interrelated scorecard perspectives to a systemic view of the organisation in order to understand value creation. In addition, the findings may help to position the human resource management function as a strategic asset.
- Subjects
CAPITAL shortages; MARGINAL efficiency of investment; CAPITAL budget; CAPITAL investments; HUMAN resource accounting
- Publication
South African Journal of Human Resource Management, 2014, Vol 12, Issue 1, p1
- ISSN
1683-7584
- Publication type
Article
- DOI
10.4102/sajhrm.v12i1.586