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Human Capital Management Systems

HR Process Flow Charts

Example: Pepsico – North East Africa – Human Resources and Payroll Flowchart

 

Key Performance Indicators

  1. Unique KPI Identifier Number – Assigns a unique identifying number to each KPI on your list.Some KPI projects start as an attempt to simplify and reduce an excessive number of existing KPIs. Others begin with a “clean sheet” in an organization with few existing metrics. Regardless of your starting point, numbering KPIs is imperative to managing an inventory that could easily be hundreds of KPIs long.
  2. Individual KPI Title – Describes the KPI clearly and succinctly.
  3. Organizational area of KPI – Identifies the operational department, functional group, or business process the KPI monitors.To get a quick overview of measurements by business area, KPIs must be organized by the department, group, or process they measure. Some metrics may cover the entire business, but most will nest in distinct organizational areas. The 80/20 rule applies to KPIs: 80% of KPIs will be at the departmental and process level, 20% are at the enterprise or executive level.
  4. KPI Definition — Provides a simple, one sentence statement of the KPI.Each KPI definition should be no longer than a sentence and allow the reader to quickly understand what the KPI measures. The work product (or “output”) should be identified, as well as the organizational area producing the work.
  5. KPI Type – Categorizes the KPI into one of five major KPI types:A. Volume – the raw amount of throughput or work products
    B. Productivity – work volumes processed over time (per employee or department)
    C. Service – metrics related to customer-expected cycle times and standards
    D. Cost – company expenditures at an individual unit level (typically by work product)
    E. Quality – error rates, rework, etc., that track the quality of finished work products
  6. Directional Significance of KPI – Indicates whether the numerical output of the KPI should be high or low.Bigger isn’t always better. End users of KPIs need to know whether high or low values indicate high performance. For some KPIs, a high value is better: New Loans per Bank Employee, Calls Handled per CSR, etc. For others, however, a lower value is better: Customer Complaints per Day, Average Handle Time, etc.

    Determining whether a high or low value is better is not always straightforward. As a simple rule, ask yourself whether more or less of the item being measured will improve performance.

  7. Why it Should be Measured – Explains clearly why each KPI should be implemented and monitored on an ongoing basis. This is the most difficult part, and you will need this information to overcome any internal resistance.Each industry generally has a set of standard measurements. Not every company, however, tracks the same KPIs. A particular business may have a pressing need that requires immediate attention, but as business needs change, the same KPI may no longer be at the top of the list.

    KPI selection is often subjective and requires internal debate among peers and management. To make conversations about KPIs constructive, and to keep meetings focused and more objective, KPI rationales and reasoning should be thoroughly documented.

    Tips for documenting KPI rationales:

    • KPIs range from enterprise-level to process- or employee-level importance—make sure the rationale is tailored to the appropriate level of measurement
    • Document the reason for measuring the “leading” input of each KPI and how it can be affected by changes in work volumes
    • Document the “lagging” output of each KPI to educate end users about the ideal result or goal of the process being measured and how it can be improved with different input levels
    • Focus on describing cause and effect—each KPI can accelerate root cause analysis
  8. KPI Calculation Rules – Describes, in a narrative format, how to determine each numerical value included in the KPI.Numerators and denominators are identified and defined. Details of what is included in each value ensure an apples-to-apples comparison across the KPI.
  9. KPI Formula – Provides a simple, inarguable formula that includes the numerator and denominator of the KPI. The formula for each KPI outlines a mathematical relationship of two operational metrics.

Data Collection

Forms collect data through each step of employment cycle

 

 

 

Reporting

Custom reports can be automated to meet the needs of any internal or external reporting requirements

 

 

 

Analytics

Data can be processed and analyzed to identify actionable intelligence required for continuous improvement and optimized outcomes

 

Dashboards

Dashboards provide visual presentations of data and analytics that can be quickly interpreted without needing to read through spreadsheets and crunch numbers

 

Modules

Start with basic modules and scale up with additional custom system features as needed