Top KPIs for HR Department
First, a KPI is a key performance indicator. What this means is it is a way to measure specific areas of business. This can be between business, department, or project.
These KPIs benefit a company by showing them what they need to do and what they need to change. They are used to show the business’s long term goals. So here are a few of the top KPIs for human resource department. These are ones that you should implement in your business if you haven’t already.
New Hire 90-Day Failure Rate
This is an important part of your hiring process and needs to be tracked. Tracking this can help you understand if your training is not getting through the employees, this would show in a low number of new hires succeeding in staying on in your business. You need to know if the training is not enough to help your hires succeed as employees.
Employee Productivity Rate
This will help you to know how well your employees are working. It allows the employees to be tested to see whether overtime is needed or not. This is a huge benefit to knowing how you need to structure your hours and overtime. It is definite need for any list of KPIs for human resource department.
Rate of Internal Job Hires
This is a great tool to determine the growth in talent within your company. This will help to see how your associates are growing and what talents they are developing.
This is one need for every company. It is important not only to hire outside of a company, but to hire inside as well. Internal hires are a plus as it also helps raise the satisfaction of your employees. It let’s them know they have the opportunity to move up in their company. That also gives them a push to work harder in the tasks they are assigned.
Rate of Internal Referral Hires
If your employees are happy with their job, then they will often refer others to the job. Then you save time on the hiring process. This will bring others to you and you can record the talent and abilities of the friends your employees have. You can also create a satisfaction KPI to help track the satisfaction of your employees.
Cost per Hire
Knowing what it costs you to hire an employee is a really handy thing. That way you can track the costs for your company when you go through the steps to hire several new people at once, you know the cost of all hires total. That will bring about a plus to your company.
This can help your company when you are looking to cut costs as well as it allows you to know just how many employees you can afford, and how many you can’t.
This is a small list of KPIs for human resource department, however, there are many, many other KPIs available to implement into your company.