Maximizing Human Capitai:
Demonstrating HR Value With Key Performance Indicators
Nancy R. Lockwood, SPHR, GPHR, M.A.
Abstract
To drive value and optimize company performance, human capital—the collective knowledge, skills and abilities of people that contribute to organizational success—is an asset to be leveraged. Based on corporate culture, organizational values and strategic business goals and objectives, human capital measures indicate the health of the organization. The effective use of key performance indicators (KPIs) that measure human capital outcomes, such as talent management, employee engagement and high performance, illustrates the firm's business, financial and strategic goals, promotes partnership with senior management for organizational success and demonstrates HR value to the C-suite.
