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