To effectively manage and develop the performance of an HR shared service department, it is tremendously important to have a robust framework of KPIs (key performance indicators) in place. To influence day to day operations or to proactively foresee the upcoming work peak, the usage of big data bundled to key parameters will guarantee a fact based direction.
Indeed, it is also quite important to have a predefined target value per KPI as a manageable standard which contributes to organizational success.
Peter Drucker, the inventor of the modern business management had said:
If you cannot measure it, you cannot control it. And if you cannot control it, you cannot manage it. It’s as simple as that.
KPIs are very powerful to observe and to control the quantity and quality of the respective HR Services unit. The usage of KPIs for management actions also has limitations especially when it comes to non-fact based presumptions.
A strong precondition for the usage of KPIs is the availability of functional technology. Having a system to manage all HR inquiries („Ticketing System“) in connection with an established ACD (Automatic Call Distribution) phone line is the minimum standard prior to the establishment of any smart KPI and its target value. As Peter said; we should be able to measure it.
Which KPIs are the right one?
In general, KPI dashboards are commonly used for real time data analysis and also for management reporting. Dependent on the organizational setup and needs, the KPI dashboards should be calibrated and adjusted.
You are interested having a non-committal workshop analyzing the best set of KPIs? Besides the „must haves“, we can define and develop additional, value adding KPIs your organization can benefit from.
Please don’t hesitate to contact me: oliver@hr-digital-now.de
