Global HR Standards (ISO 30414) – Leverage HR metrics for a health check of your organization
What HR metrics should you disclose publicly? And how might SAP products help you stand up and publish those metrics? These questions have become increasingly important as stakeholders demand transparency beyond the standard financial metrics.
In this blog post we will discuss how the ISO guidelines for human capital reporting and SAP Successfactors Workforce Analytics might help you along this journey.
ISO 30414 – a framework to help you get started
ISO 30414, Human resource management – Guidelines for internal and external human capital reporting, is the first International Standard that allows an organization to get a clear view of the actual contribution of its human capital.
The core of ISO 30414 is a set of important HR metrics that helps organizations to disclose strengths and areas for improvement along the employee journey. It can be leveraged as starting point for deeper HR and workforce analytics.
A subset of these metrics is recommended for external Human Capital reporting which is increasingly required by various organizations and administrations (e.g., Sustainability Accounting Standards Board (SASB), Security and Exchange Commission (SEC) and others). Customers and investors are looking equally for sustainable acting companies, where the ISO 30414 metrics can provide the needed transparency for metrics related to Human Capital.
Creating an HR Metrics Disclosure Strategy
The ISO guidelines provides a good starting point for determining the list of metrics your company might consider disclosing publicly. HR will be expected to provide a plan and the required tools to collect the data for these metrics in a reliable manner.
Start by reviewing the metrics described in the ISO guidelines and compare this to the metrics you are currently reporting to leadership. Then consider how you might source the remaining metrics and finally, consider which tool you will use for constructing a report on a regular basis for public disclosure.
Ultimately each company must determine which metrics are needed to satisfy their stakeholders.
Workforce Analytics can help you collect & publish metrics
An ISO 30414 standard template is now available with SAP SuccessFactors Workforce Analytics. As of now, the focus lies on metrics required for the external Human Capital reporting. This template can be tailored to meet the requirements for your organization. For example, you can adjust the metrics included and/or change the layout to include the corporate logo, colors, fonts etc. Reports are available on demand and can be distributed among responsible management.
The template can be setup to show the latest numbers from several areas because it is built on top of the metrics packs in SAP Successfactors Workforce Analytics. Metrics packs contain a collection of HR metrics for a specific area such as employee development, health & safety, attraction & retention, engagement, etc. The metrics are updated monthly from various SAP and non-SAP sources which will ensure that reports such as this ISO template automatically reflects the latest information from the underlying systems.
For more information about the new ISO 30414 template, be sure to check out the what’s new viewer.
For more information on SAP SuccessFactors Workforce Analytics and how to get started, check out the Activating SAP SuccessFactors Workforce Analytics blog and the 100 Critical People Analytics Questions: How Well Do You Really Know Your Workforce? solution brief.