As 2019 begins, many HR departments and company investors are looking for the International Organization for Standardization (ISO) to release its guidelines for internal and external human capital management reporting, which should be soon.
These standards are important to HR departments because they’ll have to meet them, and they’re important for investors because they think the reports will help to predict company success. Items like hiring the best talent, wage growth, and top-notch training are all of high interest to people investing money in companies.
According to CFO.com, there will be 23 metrics that the International Organization for Standardization will ask companies to publicly report on. These metrics will be divided into nine different categories:
Ethics - Including number & type of employee grievances that are filed, number of disciplinary actions that are taken, and the percentage of employees that complete training on ethics and compliance
Costs - The total cost of your workforce
Diversity - This includes numbers on age, gender, disabilities, and “other indicators of diversity”
Leadership - Leadership trust, which will be determined by surveys given to employees
Safety, health, and well-being - These metrics include lost time for injury, number of work accidents, and number of people killed during work
Recruitment, mobility, and turnover - The average time it takes to fill open positions, average time it takes to fill critical positions, percentage of positions filled internally, and turnover rate
Skills and capabilities - Total training costs to your organization
Workforce availability - The number of employees you have, along with the number of full-time people you employ
While it may take time for organizations to be in full compliance of the new standards, they may be better off adopting to these standards sooner rather than later. As noted earlier, investors are very interested in these metrics, and if a company doesn’t have them available, they may risk losing out on investors.
Many companies are worried about how long it will take them to collect all of the data that the ISO wants them to publicly report.
With a human capital management system, that data collection becomes much easier and less time-consuming for HR departments.
Interested in hearing more about how a human capital management system might benefit your business?
Talk to an HCM expert today to see if an HCM system is right for your business.