Developing
HR Scorecard
visit: www.exploreHR.org 1
You can download these
excellent slides at :
www.HR-Management-Slides.com
visit: www.exploreHR.org 2
HR
Strategy
Map
visit: www.exploreHR.org 3
HR Strategy Map
Drive Long term
Shareholder Value
Enhance ROI of HR Strategic Enhance Employee
Initiatives Productivity
Financial
Enhance “Internal
Create Positive Work
Customer” (Employee)
Environment
Satisfaction
Internal
Customers
Apply Excellent Develop Strategic Implement Best Optimize
Recruitment Employee Talent Management Performance
Process Competencies Practices Management System
HR Internal
Process
Learning
Develop Internal HR Deploy HRIS System
Capabilities
visit: www.exploreHR.org 4
HR
Scorecard
visit: www.exploreHR.org 5
HR Scorecard
Strategic Objectives Key Performance Indicators
Drive Long term • Shareholder value
Shareholder Value • Shareholder value growth
• ROI of HR Strategic Programs
Enhance ROI of HR
and Initiatives
Strategic Initiatives
Enhance Employee • Profit per Employee
Productivity • Revenue per Employee
visit: www.exploreHR.org 6
HR Scorecard
Strategic Objectives Key Performance Indicators
Create Positive • Ranking in “Best Place to Work Annual
Work Environment Survey” (conducted by Fortune
Magazine)
• % of Employee Turn Over
Enhance “Internal • Employee Satisfaction Index
Customer” (Employee)
Satisfaction
visit: www.exploreHR.org 7
HR Scorecard
Strategic Objectives Key Performance Indicators
Apply Excellent • Average lead time to recruit employees
Recruitment Process • Recruiting cost per employee
• Performance of New Recruits during
the First Two Years of Employment
• Average Lead Time to Develop Strategic
Develop Strategic Competencies
Competencies
• Average Lead Time to Close Strategic
Competencies Gap
• % of Strategic Competencies Available
within the Organization
visit: www.exploreHR.org 8
HR Scorecard
Strategic Objectives Key Performance Indicators
• Number of Qualified Talents per
Implement Best Talent
Strategic Positions
Management Practices
• Progress of Talent Development Plan
(actual vs. plan)
• % of Senior Managers who Have Been
Promoted Internally
• Average Competency Assessment
Optimize Performance
Scores
Management System
• Number of Performance Feedback
Session Conducted per Year
visit: www.exploreHR.org 9
HR Scorecard
Strategic Objectives Key Performance Indicators
• % of HR Employees who Develop
Develop Internal HR
Capabilities
Individual Development Plan
• % of HR Employees who Fully
Execute Their Individual
Development Plan
• Progress of HR Portal
Deploy HRIS System Implementation (actual vs. plan)
• Accuracy Level of HR Database
visit: www.exploreHR.org 10
Template
“Performance
Scorecard
Table” for HR
Manager
visit: www.exploreHR.org 11
Template : KPI Table for HR Manager
visit: www.exploreHR.org 12
Template : KPI Table for HR Manager
Key result areas are the
main goals that HR
manager needs to
accomplish. In this sample,
we have four key result
areas.
visit: www.exploreHR.org 13
Template : KPI Table for HR Manager
• Key performance
indicators are
measurable indicators
used to evaluate your
performance level
• Every Key Result Areas
must have at least one
KPI.
• Total number of KPIs
shoud be 8 – 10 items.
visit: www.exploreHR.org 14
Template : KPI Table for HR Manager
Weight of each KPI
should be defined.
Weight of KPI is
determined based
on the scale of
priority. Total weight
should be 100.
visit: www.exploreHR.org 15
Template : KPI Table for HR Manager
Targets are
defined based
on historical
data and
future
expectations.
Targets can
be
percentage,
number, or
score –
depending on
the type of
KPIs.
visit: www.exploreHR.org 16
Template : KPI Table for HR Manager
Actual is the actual
results. Or target
achievements.
We should develop
reporting system to
capture these results.
visit: www.exploreHR.org 17
Template : KPI Table for HR Manager
visit: www.exploreHR.org 18
Template : KPI Table for HR Manager
Formula to calculate
score : Actual / Target x
100 (for KPI Maximize,
the higher the better) or
Target / Actual x 100
(KPI Minimize; the
lower the better).
visit: www.exploreHR.org 19
Template : KPI Table for HR Manager
visit: www.exploreHR.org 20
Template : KPI Table for HR Manager
Formula to obtain
Final Score = Score x
Weight /100
visit: www.exploreHR.org 21
Template : KPI Table for HR Manager
Final Score is used to determine
bonus allocation, salary increase,
and promotion.
visit: www.exploreHR.org 22
