Daily NewsView All News
HR professionals in the UK are facing increasing pressure to clearly demonstrate the financial return on investment of staff development, according to research from talent and career management specialist Right Management.
Two thirds of UK-based senior HR executives believe that they are already highly effective at measuring the impact of their talent management initiative. Despite this, 85% responded that they are under increasing pressure to demonstrate the outcome of these initiatives in monetary terms.
The increased demand for monetary-based metrics was most acutely felt in the Asian markets of India (93%), China (91%), and Singapore (93%). The pressure appears to be less severe in Western Europe but there is still clear pressure on HR teams. HR executive in Germany (61%) and in France (75%) reported increased pressure to prove clear return on staff development investment.
Mark Hodgson, talent management practice leader, Right Management said: “It’s a tough call to demonstrate the return-on-investment on talent management initiatives. Typically, it’s been measured by collecting ‘happy sheets’ based on feedback from employees but this is fairly light touch, which is no longer enough to satisfy the board. Today’s economic climate is compelling HR executives to demonstrate that their talent development initiatives are worth the investment by using convincing metrics, which indicate a substantial monetary return-on-investment.”