The ultimate goal is to develop an open framework for the measurement of human capital that will make good people management and HR practices more visible, and encourage businesses to invest more strategically in their workforces.
In keeping with the collaborative ethos of this initiative, the project team will be seeking views and participation from a wide range of professional bodies, influencers and practitioners within HR, finance and management, as well as the investor community and regulators.
They will be examining existing practices, revisiting prior initiatives and research, and enabling new ‘open source’ HR tools to be developed which support employer organisations of all sizes and across all sectors. The project will seek to create a movement to change business behaviour, in which employers view investment in their staff, via skills and training, as a long term asset rather than a cost. The primary objectives are:
To better understand how developing and managing people releases and drives value
To clearly define the basic metrics for valuing talent and to promote agreement and consistency in how such measures are used
To develop a broad framework against which executives, employees, investors and others can assess how businesses of all kinds are developing their people and organisations to enable sustained and higher levels of performance
To support the development of openly accessible HR tools and applications to help organisations better value and invest in their people
Key insights and project milestones will be shared via a dedicated web hub, which has been launched today and already houses a wealth of valuable information on what we already know about human capital metrics. A newly published research insight paper written for VyT by Dr. Anthony Hesketh, explores why, after extensive academic research, consulting interventions and even a major government task force, agreement on how to quantify the value of our people still remains elusive. It also sets out the guiding principles for the working group’s research.
This RSA Project is working in partnership with Valuing Your Talent.