In conjunction with the UK Commission for Employment and Skills (UKCES) and several other entities, the CIPD has plans to launch the Valuing your Talent programme to help businesses understand how their staff drive value in their organisations.
The CIPD partnered not only with the UKCES but also the Chartered Institute of Management Accountants (CIMA), Investors in People (IIP), the Royal Society for the Arts (RSA), and the Chartered Management Institute (CMI) when planning this project. The group as a whole plans to develop a framework to measure human capital and make solid management and HR practises more visible.
The initiative’s main goal is to give employers the tools needed to effectively measure workforce skills and value and to provide evidence of the impact these factors have on total productivity and output. With clearly defined metrics, it will be much easier for human resource professionals to assess the value of a particular company’s people practices.
Based on the goals of the project, businesses may be encouraged to invest more strategically in their workforce – especially when today’s critical challenges include youth unemployment, poor corporate cultures, skills shortages, and leadership behaviours.
“However, despite efforts in the past, we do not have agreed measures and metrics that provide visibility on all these issues or any consistent ways of reporting of them," CIPD chief executive Peter Cheese states. "We have long talked of the intangible value of businesses, of which human capital is a major part, and now there has never been a better time to agree a common approach and way to start to make the intangible more tangible.”
Research and development of the Valuing your Talent programme is currently underway, with Dr Anthony Hesketh of Lancaster University Management School taking the lead.