HR processes as a driver for profitability and growth

A recent survey shows that smart HR-processes has a positive effect on the economic outcome. Most important for boosting the profit is management development, talent management and performance management. How is your company working with managing and leading your HR-processes?

Companies with well-designed HR processes have up to 3,5 times higher growth and 2,1 times higher profit margin compared to companies with undeveloped employee policies. These results are published in the new report ”From capability to profitability” by Boston Consulting Group and World Federation of People Management Associations (WFPMA).

The survey is based on a questionnaire answered by more than 4 200 managers and HR managers in over 100 different countries. The questionnaire measures the knowledge level in 22 HR areas and the results are compared to the company’s economic result.

By continuously measuring the gap between how the HR processes (recruitment, introduction, development, exit) are planned to be executed and how they are experienced, the processes can be developed. Quicksearch encourage every company to ask each new employee about how the experienced the recruitment process, the introduction, and training through the use of a continuous follow-up.

Source: People Management