Human Capital Benchmarking Survey 2023
Purpose
The purpose of human capital benchmarking is to assess and compare an organization’s human capital management practices, strategies, and performance against industry standards or competitors. It involves measuring and analyzing various metrics related to the organization’s workforce, such as employee productivity, engagement, retention, skill levels, and compensation.
1.
Performance evaluation
Benchmarking allows organizations to evaluate their human capital performance against industry peers or best practices. It helps identify areas of strength and areas that require improvement, providing insights into how effectively the organization is managing its workforce.
2.
Identifying gaps
By comparing key human capital metrics, organizations can identify performance gaps and areas where they lag behind their competitors. This information can guide decision-making and strategic planning to close those gaps and improve overall performance.
3.
Setting goals and targets
Benchmarking provides a basis for setting realistic and achievable goals for human capital management. It helps organizations establish targets based on industry benchmarks or the performance of top-performing organizations, driving continuous improvement.
4.
Informing decision-making
Human capital benchmarking data helps organizations make informed decisions about workforce planning, talent acquisition, employee development, and retention strategies. It provides insights into emerging trends and best practices in human resources, enabling organizations to stay competitive in the talent market.
5.
Competitive Advantage
Benchmarking helps organizations gain a competitive edge by identifying areas where they can differentiate themselves from competitors. By focusing on human capital practices that drive innovation, employee engagement, and performance, organizations can position themselves as employers of choice and attract top talent.
6.
Employee Engagement and Retention
Benchmarking allows organizations to evaluate their human capital performance against industry peers or best practices. It helps identify areas of strength and areas that require improvement, providing insights into how effectively the organization is managing its workforce.
7.
Cost Optimization
Benchmarking helps organizations identify opportunities for cost optimization by comparing their human capital investment against industry standards. It allows organizations to evaluate the efficiency and effectiveness of their HR processes, such as recruitment, training, and performance management, and identify areas for cost savings.
8.
External communication
Benchmarking data can be used to demonstrate an organization’s human capital performance to external stakeholders, such as investors, customers, and potential employees. It can enhance transparency and build trust by showcasing the organization’s commitment to effective human capital management.
Overall, human capital benchmarking provides organizations with valuable insights, enables them to learn from others, and drives continuous improvement in human capital management practices, leading to enhanced organizational performance and competitive advantage.
Industries
- Commercial Banks
- Microfinance Banks
- Insurance Sector
- Manufacturing durable
- Manufacturing non-durable
- Health and Pharma sector
- Telecom and IT sector
- Oil & Gas Sector
- Social sector
- Public Sector
Human Capital Benchmarks
- Workforce Productivity Rate
- Human Capital ROI
- Workforce Turnover Rate
- Critical Positions Turnover Rate
- Succession Readiness Rate
- Leadership Trust Rate
- Workforce Competency Rate
- Learning & Development Rate
- Workforce Engagement Rate
- Workforce Health & Safety Rate
- Gender Diversity Rate
- Gender Pay Gap Ratio
- Executive to Worker Pay Ratio
- Discrimination Incidents Rate
- Number & nature of performance reviews
- EBIT /Revenue/Cost/Profit Per Employee
- Human Capital ROI
- Cost per Employee
- HR to Operating Cost Ratio
- Human Capital Value Added
6. Total Workforce Costs
7. External Workforce Costs
8. Total Costs of Employment
9. Ratio of the Average Salary and Remuneration
10. Cost Per Hire
11. Hiring Costs
12. Turnover Costs
13. Recruitment to HC Cost Ratio
14. Unfilled Vacancies Ratio
15. Opportunity Cost of Unfilled Vacancies
16. Opportunity Cost of Voluntary Turnover
17. Training to HC Cost Ratio
18. Compensation Cost to HC Cost Ratio
19. Salary Cost to Compensation Cost Ratio
20. Benefits Cost to Compensation Cost Rati
21. Gender Diversity Ratio
22. Age Diversity Ratio
23. Disability Diversity Ratio
24. Other Diversity Ratio
25. Leadership Team Diversity Ratio
26. Employees Age Segment Ratio
27. Employees Service Segment Ratio
28. Number of Qualified Candidates Per Position Advertised
29. Quality of Hire
30. Average Length of Time to Fill Vacant Position
31. Average Length of Time to Fill Vacant Critical Business Position
32. Transition and Future Workforce Capabilities Assessment (Talent Pool)
33. Percentage of Positions Filled Internally
34. Percentage of Critical Business Positions Filled Internally
35. Percentage of Critical Business Positions (in relation to other positions)
36. Percentage of Vacant Critical Business Positions (in relation to all vacant positions)
37. Internal Mobility Rate
38. Employee Bench Strength
39. Turnover Rate
40. Voluntary Turnover Rate
41. Voluntary Critical Turnover Rate
42. Turnover Reasons
43. Involuntary Turnover Rate
44. Female Turnover Rate
45. Female Turnover Rate in Leadership Positions
46. Job Offer Acceptance Ratio
47. Unfilled Job Ratio
48. New Hire Retention Ratio
49. New Hire Performance Ratio
50. Recruitment Staff to Total Employees Ratio
51.Total Training and Development Cost
52. Training Participation Rate
53. Average Formalized Training Hours Per Employee
54. Training Participation Rate by Category
55. Workforce Competency Rate
56. Training Staff to Total Employee Ratio
57. Internally Trained Ratio
58. Succession Effectiveness Rate (Home Grown Leaders)
59. Successor Coverage Rate
60. Succession Readiness Rate (Ready Now)
61. Succession Readiness Rate (Ready in 1–3 years)
62. Succession Readiness Rate: (Ready in 4–5 years)
63. Career Growth Ratio
64. Career Path Ratio
65. Employees Promotion Ratio
66. Employees Rotation Ratio
67. Leadership Trust Ratio
68. Span of Control Ratio
69. Leadership Development Ratio
70. Engagement/ Satisfaction/ Commitment Ratio
71. How to Measure Business Impact and ROI of Engagement
72. Number and Type of Grievance Filed
73. Number and Type of Concluded Disciplinary Action
74. % Employees Trained on Compliance and Ethics
75. Disputes Referred to External Parties
76. Number, Type and Source of External Audit Findings and Actions arising from these
77. Grievance Resolution Ratio
78. Total time to Handle Grievance
79. Lost Time for Injury (LTI)
80. Number of Occupational Accidents (Accident Rate)
81. Number of People Killed During Work (Fatality, Death or Mortality Rate)
82. Percentage of Employees Who Participated in Training
83. Near Miss Incidents
84. Number of Employees
85. Number of Employees Directly Hired
86. Full Time Equivalents (FTE)
87. Contingent Workforce: Independent Contractor
88. Contingent Workforce: Temporary Workforce
89. Absenteeism (Unplanned Leave)
90. HR Employees to Total Employees Ratio
Process Flow
CEO HR Metrics
Zahid Mubarik SHRM-SCP, SPHRi, GPHR
CEO HR Metrics
President SHRM Forum Pakistan
Member ISO HR Standards Technical Committee 260
Member Pakistan Stock Exchange Task Force on ESG
Zahid Mubarik is an internationally acclaimed visionary thinker, writer, speaker, thought leader and influencer on human capital development, analytics, diversity and inclusion. He is the founding member of ISO Geneva Technical Committee 260 for developing HR global Standards. He actively took part in ISO face to face meetings for global HR Standards development at American National Standards Institute (Washington DC), British Standards Institute (London), Standards Australia (Melbourne), The Royal Netherlands Standardization Institute (Rotterdam), Association Française de Normalisation (Paris), Singapore Standards Council (Singapore), The National Standardization Agency of Indonesia (Bali) and UNI-Ente Nazionale Italiano di Unificazione (Milan). Zahid has the honor of being distinguished speaker in international conferences and seminars on human capital analytics at Las Vegas, Beijing, Moscow, Baku, Hanoi, Dubai, Abu Dhabi, and Tokyo. His analytical papers and expert talks have been featured by national/international media including Microfinance Gateway World Bank Washington, CNBC, Dawn, Business Recorder, Business Plus TV and Gulf Economist.
Zahid served as Global Chair of ISO Working Group on HR Metrics Standards. During his leadership, ISO published two global HR standards including ISO 30410: Impact of Hire and ISO 30411: Quality of Hire. He also served as member of Working Group developing ISO 30414: Guidelines for Internal and External Human Capital Reporting. He groomed and facilitated certification of 500+ consultants/practitioners worldwide with a heavy concentration in Tokyo Japan. Zahid is SHRM USA Partner in Pakistan. SHRM is world largest HR association having 325,000+ members in 165 countries. He introduced SHRM competency based global HR certifications in Pakistan and developed more than 200 people. He served as Board Director The Centre for Global Inclusion USA. He introduced Global Diversity, Equity & Inclusion Benchmarks Standards in Pakistan and facilitated 65 large multinational and national corporations in implementing Global DEI Benchmarks Standards. Zahid is a member of Pakistan Stock Exchange and Pakistan Institute of Corporate Governance Task Force on ESG Disclosure. He has a knack in using human capital analytics to transform organization on (S-Social) part of ESG. He is the Chief Editor of HR Magazine Workforce Tomorrow.