The Methodological Provision for Measuring the HR Department Efficiency

Abstract

Modern trends in the development of enterprise are associated with an increase in the role and significance of the staff management system, which led to an increase in the role of HR services. To achieve high performance of the division, it becomes necessary to assess its activities. Therefore, the article is aimed at generalizing theoretical provisions, forming and developing methodological provision for assessing the efficiency of the HR service. The publication examines the scientific-theoretical approaches to assessing the work of HR service, which allows to substantiate the need to use HR metrics and propose a system of HR metrics according to the directions of HR processes: selection and location, adaptation, assessment and certification, professional training of staff, formation of personnel reserve, and motivation. The proposed HR metric system takes into account the specifics of the enterprise’s activities, as well as the balance that remains between short- and long-term goals, financial and non-financial indicators, main and auxiliary parameters, etc. Another feature of the proposed methodological provision is the determination of standardized (threshold) values, which was carried out on the basis of the benchmarking method. The analysis of the obtained evaluation results is proposed to be carried out using the HR service performance matrix. The developed matrix is a tool for analyzing the efficiency of the HR service, identifying the main problems according to various directions of HR processes and planning the budget of the HR service. The proposed tool is theoretically substantiated and is based on two indicators: the proportion of the budget for working with staff in the total amount of staff costs and the integral indicator of the efficiency of performance of the HR service.