Top-40 HR metrics for executives

Financial Management:

1

HR cost Per employee

Personnel expenses per 1 employee - all personnel expenses, such as wages and bonuses, vacation pay, sick leave pay, training pay, social package pay & e.c.

2

Revenue Per HR cost

Measures the amount of revenue generated by the organization per dollar spent on human resources (HR) activities. In other words, it is a financial metric that measures the effectiveness of their HR strategies and makes data-driven decisions to optimize their HR investments in contributing to the organization's revenue.

3

Revenue Per FTE

The Total Revenue divided by the number of FTEs. Measures efficiency and productive use of human capital because it links the time and effort associated with the firm’s human capital to its revenue output. If the revenue-per-FTE ratio increases, it might indicate that more output is being produced per FTE.

4

Salary Ratio of production and non-production personnel

The purpose of this metric is to provide insights into the organization's compensation strategy and whether there are any significant disparities in pay between production and non-production personnel.

Workforce Planning:

5

Staff Structure

Shows the number of personnel in general for the company and among departments, in dynamics and over a period of time - the number of production personnel, administrative, the number of employees by levels.

Allows you to see the growth rate of the number of departments and see the disproportions.

According to the company's goals, plans may have to be made to increase or decrease the number of people in departments. From this report and graph, you will be able to see the achievement of the necessary level of performance. Additionally, companies may have a practice of accumulating a certain ratio of positions such as PM, QA, designer, admin, accountant, HR, etc. for a certain number of developers. Based on this, a short and long-term recruitment strategy can be built, changes to financial reserves can be made to realize them, procedures can be modified, additional offices can be sought, and so on.

6

Span of Control (Average and Median) 

Number of direct reports per people manager. 

It is necessary to analyze that the proportion of management norms / workload per 1 manager is observed in accordance with the company's policy for effective management of employees.

7

Ratio of administrative and production staff

This metric measures the balance between support staff and those involved in the core business operations. A higher ratio of administrative staff to production staff indicates that the organization is investing more in administrative functions.

Having a higher administrative staff to production staff ratio could lead to increased bureaucracy, slower decision-making processes and higher administrative costs which may impact the bottom line. Therefore, it is important for organizations to regularly review and monitor this ratio to ensure it is aligned with their business objectives and goals.

8

Salary Averages

The amount of wages under departments, in dynamics by months, for years

9

Promotion Rate

Average rate at which employees are promoted, will allow you to evaluate how much the rate increases in each level and show the ratio of growth between levels of employees

Training:

10

Training Expenses per Employee

The total cost of your organization’s training courses and programs designed for the total number of workers, by department or personally

Productivity:

11

Underload/overload of working hours

The ratio of the norm of working hours in a month to the average for the department, for each employee will effectively distribute the load between employees

12

Downtime/Bench

Refers to the amount of time during which employees are not working or cannot perform their job duties due to various reasons such as equipment failure, system downtime, maintenance work, or any other disruptions. The downtime metric can be measured for a specific department, team or the entire organization to identify the root cause of the problem and take corrective measures.

13

Average Downtime

It is the average length of time that employees are not able to work within a given timeframe, usually calculated by dividing the total downtime by the number of incidents. It is used to track the overall efficiency and productivity of an organization as frequent and prolonged downtime can impact the company's revenue and employee morale. For example, a high Average Downtime rate could indicate the need for equipment upgrades or maintenance to minimize disruptions and maximize productivity.

Recruitment:

14

Recruiting funnel

It is necessary to take into account the number of responses to the vacancy, invitations to interviews, meetings with candidates, transitions to the final interview, sent offers, hiring.

15

Time for vacancy

It will allow you to predict the required time to close similar vacancies and plan the load on the recruiter.

16

Offer Decline Rate

Percentage offers that are declined will allow you to see how relevant the company's offer is to the market.

17

Recruiter Conversion Rate

Allows you to evaluate the most productive recruiters by the number of employees hired

18

Source Conversion Rate

Knowing the sources that bring you the most good candidates makes the recruiting process much easier.

Productivity:

19

Days employee vacations

Allow to analyze how many vacation days employees use in each department

20

Sick days

Analyze how many days of absence from work due to illness in each department

21

Progress employee objectives

Allows you to evaluate the progress on fulfilling goals

Turnover Rate:

22

Turnover Reason Code

Understanding the reasons for the dismissal of staff will allow you to see problem areas that need improvement.

23

Voluntary Turnover Rate

The turnover rate includes only those employees who leave your organization voluntarily.

24

Turnover Rate by employee level

Allows you to assess the turnover depending on the qualifications of the employee

25

Talent loss risk

Employee turnover among high-performing and high-potential employees in your organization or can calculate according to one-to-one data from HR people partner

Retention:

26

Average Tenure

The opposite of your turnover rate is that you divide the number of employees who remained in your organization over a given period by the number of total employees.

Training:

27

Training Participation Rate

Percentage of employees who participated in company paid training.

28

Average Training Hours

The time investment in training at an individual level will allow you to see how much training is in demand among different categories of workers.

Engagement:

29

Job Satisfaction

Average job satisfaction of employees calculated on the basis of surveys of employees or on one-to-one data from HR people partners.

30

Compensation Satisfaction

Average satisfaction with remuneration among employees calculated on the basis of surveys of employees or on one-to-one data from HR people partners.

31

Satisfaction HR activities

This metric reflects the extent to which employees are engaged and happy with HR initiatives, events, and overall efforts made by the HR department to improve the workplace environment, culture, and employee experience. This metric can be evaluated through regular employee surveys or feedback gathered through direct communication channels. Ultimately, a high level of satisfaction with HR activities and events can lead to higher employee retention, productivity, and satisfaction overall.

32

Survey Participation Rate

Allows you to evaluate how many employees participate in company surveys, to understand the relevance of the coverage of answers

33

Complaints by Category

Complaints of employees by category allow you to see the existing problem areas in the company's policies

34

Work / Life Balance

This ratio is calculated based on surveys of employees

Workflow HR:

35

HR manager load

Allows you to regulate the number of accompanied employees for one HR manager

Benefits:

36

Benefit Participation Rate

The percentage of employees that participated in a particular optional benefit Plan or Program.

Workflow HR:

37

Schedule of HR meetings

HR conducting scheduled meetings for onboarding and adaptation, individual Interviews, professional reviews allows you to control the implementation of regular tasks of HR managers and allows you to be sure that company employees receive proper HR services

38

Probation period end

Monitoring the completion dates of the end of probation period of employees and conducting appropriate procedures for extending or termination of labor relations.

39

Labor contracts end

They allow you to renew the labor relations in a timely manner and consolidate this in labor contracts.

40

Unused vacation days

Monitoring the balance of vacation days in the current calendar year allows employees to provide the correct amount of vacation.