It is vital for human resource professionals to track and assess their HR strategies’ efficiency.
That’s why they use specialized metrics to gather and analyze information about an array of workforce dimensions. While there are many possibilities to choose from, not all metrics are equal. Likewise, not all are suitable to help your particular organization.
There’s a lot of information out there to navigate through as you seek to exceed your goals, remove obstacles to success, and promote a culture consistent with your mission, vision, and values. But it’s not insurmountable.
You can learn how to develop and utilize HR metrics to gauge performance and support your organization’s strategic vision. From selection to implementation, discover the key steps for creating human resources metrics that truly matter to your organization’s success.
Understanding Key Performance Indicators (KPIs) in HR
Key performance indicators, or KPIs, are an essential tool in gauging whether an HR department is meeting its objectives. They can play a critical role in strategic decision-making and enhancing problem-solving abilities that align with organizational goals and objectives.
It’s important to distinguish between common HR metrics and KPIs. Because while all KPIs are metrics, not all metrics are KPIs, which have distinct characteristics, such as:
Specificity
Measurability
Attainability
Relevance
Direct connection to broader organizational goals.
HR teams use these vital indicators about such things as employee turnover rates, employee engagement, training effectiveness, development assessments, and pay equity. Analyzing these crucial data points can pinpoint sectors that are ripe for enhancement and make HR activities consistent with the larger organizations’ goals.
These measurements can then be turned into actionable insights that elevate human resources from a purely operational arm into a pivotal, future-shaping part of the organization.
And, for the record, the more specific your metrics are, the better. Identifying Crucial HR Metrics for Your Organization At first glance, selecting suitable HR metrics for your organization may feel like trying to solve a Rubik’s Cube. It can appear overwhelming due to the vast variety of choices available.
However, when you track your organizational objectives, it becomes clear which HR metrics you can accurately apply. After that, decoding the puzzle is easy and even enjoyable.
(To learn more about what KPIs are all about, click here.)
Your organization-specific list will almost certainly include the group of HR metrics listed below. They’re designed to provide you with vital insights about the efficiency of your HR measures and areas for growth…
1. Recruitment Metrics
The success of any thriving organization depends on its recruitment. But without proper benchmarks, it can be tough to determine if your hiring is effective and efficient.
Therefore, recruitment metrics are critical measures in assessing these processes. They give you insights into how effective your processes are.
For instance, one focus is on the time to hire: how long it takes between when the recruitment process begins and when a suitable candidate accepts his or her job offer. This is an essential measure of how quickly your candidates of choice move through the pipeline. Or how about your cost per hire. Recruitment costs reveal the financial investment that goes into securing each new hire within expected salary bands.
HR authoritySHRM pins the employee cost per hire at $4,683 on average. How close are you to that figure?
Quality of hire is another important consideration – an assessment that gauges what advantages newly hired personnel add based on aspects like performance, team and/or organizational assimilation, and ongoing work contributions. Your organization itself must also exude attractiveness that draws potential applicants into competitive landscapes. The Offer Acceptance Rate elucidates this appeal by showcasing how many extended offers actually result in hires. HR teams are increasingly adopting refined tools such as talent analytics and predictive models to both:
Sharpen prospect identification skills during recruitment exercises, and
Devise stronger employee retention approaches after the contract has been signed.
2. Retention Metrics
Bringing in new talent through recruitment is one thing, but maintaining it through high retention rates is another vital aspect of organizational health. Elevated retention not only lessens the financial burden associated with frequent recruiting and training of newcomers, but also cultivates a sense of loyalty and trust among employees—crucial for ensuring stability and promoting growth within the organization. The Employee Turnover Rate (ETR) serves as an important indicator in this context, providing a measure of how many individuals leave over a given period. To calculate this rate, divide the total number of those left by the total number of employees at the start, and then multiply that figure to express it as a percentage. Monitoring for potential turnover during an employee’s initial year can flag underlying issues detrimental to both your employer’s brand and hiring finances. Thus, tracking first-year turnover holds considerable value amongst key employee metrics here. Assessing both voluntary exits—where employees choose to leave—and involuntary ones, gives comprehensive insights into job satisfaction (or lack thereof), which may be hindering successful staff retention. Imperative for grasping overall workplace morale while safeguarding against attrition is examining overtime per full-time equivalent (FTE), revealing average overtime across your workforce. This not only sheds light on potential burnout risks impacting worker contentment—which affect your retention rate, and subsequently affect continuity—it also identifies undue strain, potentially accelerating employee departure rates. By keeping these crucial data points in check, organizations are better equipped to cultivate environments that encourage continued employment tenure alongside deepening commitment from their personnel. 3. Employee Engagement Metrics
To achieve organizational success, it’s crucial to keep employees fully engaged. That’s why metrics exist to assess employee engagement.
This can provide insights into job and employee satisfaction, as well as the overall commitment of staff within the organization.
We cannot overstate the significance of these metrics. They impact work quality and employee growth rate and retention, and shape the organizational culture. The Employee Engagement Survey from the Best Christian Workplaces, which is determined through survey responses, stands out as one such metric. It offers valuable perspectives on whether employees would recommend their workplace to others. And it provides a clear picture of organization-wide engagement levels. Another important indicator is the absenteeism rate: the average frequency at which employees do not attend work. A higher-than-average absence rate could indicate underlying challenges in key areas such as:
Organizational governance
Leadership effectiveness
Workplace conditions
Work-life balance and harmony.
These four elements are integral to shaping employee contentment and dedication. As they improve, so does productivity and efficiency. Metrics require data in order to implement data-driven HR strategies With access to vast amounts of data, HR strategies have transitioned from mere intuition to solid, evidence-based insights. By harnessing the power of HR analytics, organizations can not only refine their talent acquisition tactics, but they can also diminish employee turnover and bolster overall workforce engagement. That’s why it’s crucial to delve into how applying a data-centric approach to your human resources practices could revolutionize the efficiency and effectiveness of those processes. Collecting and Analyzing HR Data HR data’s quality and applicability form the foundation of any effective data-driven HR strategy. Strategies fail when they lack precise and relevant data, which is why HR departments can employ various software tools to:
Craft customized reports and extract insights from KPIs.
Streamline data gathering from a variety of sources.
Apply sophisticated analytics to support informed decision-making processes.
Convert intricate datasets into practical, actionable insights.
Note those last two in particular. Because there’s more to an efficient HR strategy than just amassing large quantities of data.
It’s also about evaluating which training initiatives actually deliver and which ones don’t.
For instance, HR teams can monitor salary average overtime metrics to effectively manage both internal and external costs – particularly during periods when staff shortages lead to frequent and costly overtime. And an all-encompassing view of total HR-related expenditures is crucial for assessing its financial efficiency. Sifting through employee data for relevant feedback or assessing how technology investments pay off are two more examples. And the list goes on from there. Aligning HR Metrics with Organizational Objectives
Ensuring that HR metrics are in sync with an organization’s broader goals is essential for success. This entails navigating shifts within an organization and maintaining a strategic focus.
Human resources departments should establish specific targets across several areas to support central organizational aims. For instance:
Aligning the organizational structure
Developing compensation strategies
Enhancing employee skill development
Refining performance review processes
Managing transitions effectively.
In turn, they can use these data analytics for various purposes, such as:
Projecting future labor market trends that could indicate either talent deficits or surpluses in particular sectors.
Applying predictive analysis techniques for early detection and addressing potential skills shortages.
Correlating recruitment efforts directly with projected talent needs.
It can be helpful to benchmark these goals against industry leaders. This can help HR teams stay informed about current trends concerning consumer demands and workforce expectations. Of course, each organization will have specific considerations that may or may not deviate from top-ranking competitors.
Addressing Pay Equity in HR Metrics These days, it’s imperative for organizations to address pay equity as part of their human resource metrics.
This goes beyond meeting legal requirements. It’s a fundamental part of sound ethical HR practices.
Pay equity means ensuring that employees who perform similar roles receive equal pay – regardless of personal attributes such as race, sex, ethnicity, age, or religious beliefs that are unrelated to job performance. Therefore, metrics that assess how well these practices are in place are essential. Ideally, they should measure them over time to ensure they eventually lead to proper pay equity.
To achieve it, employers should take the following steps:
Perform audits dedicated specifically to pay equality.
Implement impartial criteria when determining salary.
Increase transparency surrounding remuneration.
Amend any discovered imbalances.
Most organizations with a properly maintained and applied pay equity metric end up rewarding motivated employees. This then ultimately improves retention and lowers turnover overall. Establishing Benchmarks and Targets Defining benchmarks and targets for each of the HR metrics you use is critical, and it’s important to get top management involved in the process.
You want to match benchmarks and targets with your overall organization’s strategy and individual departmental considerations. But also, evaluate your metrics by comparing with different HR departments in other organizations that are similar in size and performance. Each HR metric’s goals must represent a meaningful step toward achieving key long-term organizational objectives and goals. Benchmarking best practices include:
Selectively choosing appropriate competitors
Verifying data sources for reliability
Establishing realistic objectives
Upholding an ongoing commitment toward benchmark activities.
These metrics should also include measuring how well managers are doing their jobs, how fast employees move up in the company, and how much it costs to train each employee.
Monitoring and Adjusting HR Metrics as Necessary Human resource management is an area of constant change and realignment. It’s important to always keep an eye on your processes so they’re properly aligned with the firm’s needs and goals. It’s also essential to research how setting benchmarks and goal evolution can improve HR metrics. Once again, pair them with flexible strategies that allow for constant improvement.
This should ensure a thriving, cohesive workforce that’s in tune with the organization’s goals. HR functions must constantly evolve their metrics to effectively navigate today’s tumultuous world. By refining key indicators such as cost per hire, employee engagement rates, and eNPS (Employee Net Promoter Scores), organizations can enhance hiring practices while also highlighting improved areas.
That, in turn, should benefit the company financially and in terms of employee morale–a win-win all around.
In Conclusion…
In the dynamic world of HR, metrics are a compass to guide strategic decision-making.
From recruitment to retention, and employee engagement to pay equity to organizational alignment… putting this data to good use can transform HR from mere support to a strategic driver.
It all comes down to:
Identifying the right metrics
Aligning them with organizational objectives
Monitoring and adjusting them.
When organizations do this, the results can be immensely positive. Many organizations prosper when results are measured. This process allows organizations to monitor goal attainment, identify areas for improvement, and make informed decisions. They serve as a framework for evaluating employee performance and aligning performance and actions with strategic goals.
FAQs About Creating Human Resources Metrics for Your Organization
Q: What is the difference between HR analytics and HR metrics?
A: HR metrics focus on specific quantifications that monitor and assess various HR functions. Whereas HR analytics examine extensive HR data to glean strategic insights.
By leveraging HR analytics, organizations can make informed decisions regarding talent acquisition, employee engagement, workforce planning, and retention strategies – just to name a few areas of improvement.
Q: How can an organization use HR metrics to create value?
A: HR metrics are crucial for monitoring essential hiring and retention processes, including employee performance, compensation patterns, and levels of engagement. They offer valuable insights that help pinpoint successful initiatives, areas for improvement, and further ways to grow.
Q: How can recruitment teams use HR metrics?
A: Metrics such as cost per hire and time to hire can serve as indicators of the recruitment process’ effectiveness and efficiency. And once an organization has that information, they can better evaluate what is working and what isn’t in order to improve their searches.
Q: Why are retention metrics important?
A: Once someone accepts a job offer, there’s no guarantee they’ll stay the full year, much less longer. Organizations that have insights into employee satisfaction levels tend to have better reputations and retention – which of course make for better work environments in general.
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For further actionable insights, reach out to In HIS Name HR here. We help organizations build high-performance human resource programs designed to build your workplace into the productive, engaging, effective, integrity-filled space you want it to be.
Rise with us by implementing our high-performance remote human-resource programs to help find great people!E-mailus here.
Mark A. Griffin is president and founder of In HIS Name HR LLC. Connect with him on LinkedIn and Twitter
Be Bold if We Believe Jesus Is the Lord, Then We Must Be Bold at Work
Join us on this episode of Encouragement at Work. Mark Griffin meets with Peter Demos. Peter entered the family restaurant business at age 12 when he started working as a dishwasher in his dad’s Western Sizzlin’ restaurant. From there, his experience in the food industry and serving others gradually grew under the tutelage of his father, who imparted to Peter many aspects of what it takes to run a successful business.
After graduating from high school, Peter earned a B.S. in sociology from Middle Tennessee State University before studying law at the University of Missouri. He went on to earn his Doctor of Jurisprudence degree, during which he discovered that he could better fulfill his passion for helping people in the food industry.
In 1999, Peter returned to his parents’ family restaurant, Demos’ Restaurant, with the single goal of growing the organization. His experience as a restauranteur grew, and he was given the position of chairman on the Board of Directors for the Rutherford County Chamber of Commerce and president of the Tennessee Hospitality Association. Currently, he is the president and CEO of Demos’ Brands and Demos Family Kitchen, owning six restaurant locations across middle Tennessee, including PDK Southern Kitchen and Pantry, and multiple other businesses.
Peter is a highly sought-after leadership source expert and speaker on business, leadership, and faith. In addition, Peter also serves as an adjunct professor at Lipscomb University, where he teaches a class on leadership and management. Today, Peter and his wife, Kristin, work closely together in both business and ministry. They are now teaching their two children to also serve God with their lives.
Author of: Afraid to Trust: One Man’s Journey into the Love of God and On the Duty of Christian Civil Disobedience. Peter brings his insight on critical organizational aspects that should be considered in any organization’s HR department to be successful in these tumultuous times. Listen in as Peter and Mark give encouragement for work.
Concerned about the HR programs at your organization? The benefits of having a trusted partner guide you and your team to excellence are invaluable. Contact us today. You—and your employees—will be glad you did.
Rise with us by implementing our high-performance remote human-resource programs to help find great people! E-mail us here.
Mark A. Griffin is president and founder of In His Name HR LLC. Connect with him on LinkedIn and Twitter.
Introducing Arturo Del Rio Jr., a seasoned leader renowned for revolutionizing sales dynamics and cultivating thriving team cultures. Unlike the conventional belief that internal competition drives sales excellence, Arturo champions a different approach—one that nurtures collaboration over cutthroat competition.
With a remarkable track record steering sales teams at industry giants like Mass360 and Sungard Availability Services, Arturo’s expertise transcends traditional boundaries. His entrepreneurial ventures, including successful exits from application development and AI tech firms, underscore his innate knack for fostering innovation and driving tangible results.
In a recent triumph, Arturo helped launch Set-Aside Queen, catapulting it to a staggering $700k ARR within a mere six months. Now, as Partner and Chief Mission Outreach Officer at Pro-Life Payments, he continues his legacy of transformative leadership.
Tune in as Arturo shares his visionary insights with host Mark Griffin, unraveling the secrets to instilling motivation and unity within sales programming. Moreover, delve into the world of Pro-Life Payments—a trailblazing enterprise offering cutting-edge merchant services with a humanitarian twist.
Pro-Life Payments isn’t just about transactional excellence; it’s a beacon of purpose-driven commerce. From seamless payment processing to revolutionary Dual Discounting features, they empower merchants while championing life-saving initiatives. Their commitment to donating 15% of revenue to Preborn.org is a testament to their unwavering dedication to making a meaningful difference.
Join us in embracing a new era of business—one where profitability harmonizes with philanthropy. Experience the power of commerce to bless lives and transform communities. Learn More Here about Pro-Life Payments and embark on a journey where every transaction fuels hope and saves lives.
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Concerned about the HR programs at your organization? The benefits of having a trusted partner to guide you and your team to excellence are invaluable. Contact us today. You—and your employees—will be glad you did.
Rise with us by implementing our high-performance remote human-resource programs to help find great people! E-mail us here.
Mark A. Griffin is president and founder of In HIS Name HR LLC. Connect with him on LinkedIn and Twitter
Just a couple of decades ago, the term “Generative AI” may have sounded like a Star Wars concept or character. Today though, you’d be hard-pressed to find any large (or small) organization that doesn’t have its finger on the pulse of artificial intelligence innovation.
As Matt White wrote in his 2023 Medium article, “A Brief History of Generative AI”:
“ Generative AI will be the most disruptive technological innovation since the advent of the personal computer and the inception of the internet, with the potential to create tens of millions of new jobs, permanently alter the way we work, fuel the creator economy, and displace or augment hundreds of millions of workers in roles from computer programmers to computer graphics artists, photographers, video editors, digital marketers, and yes, even journalists. Even with all the hype around generative AI this year, its true power has not yet been seen or felt.”
And there has been plenty of hype. Yet, believe it or not, generative AI is not a brand-new concept.
It’s been researched and even primitively implemented since the 1960s, when Joseph Weizenbaum developed the first chatbot named ELIZA. A natural language processing (NLP) program, it was designed to simulate conversations with a human user by generating responses based on the text it received.
This technology and research only increased over the next few decades. In 2012, for instance, Geoffrey Hinton and his team used convolutional neural networks (CNNs) in the field of speech recognition. And then in 2022, a variety of diffusion-based image services were released – including OpenAI’s ChatGPT.
A recent Salesforce survey showed that 45% of the U.S. population is now using generative AI. It also found that:
65% of these users are Millennials or Gen Z.
75% are looking to automate tasks at work, particularly for communications.
68% say it will help them better serve their customers.
The full group of people exploring this technology include college students, independent contractors, and CEOs of Fortune 500 companies. And as generative AI stands now, it appears there’s no going back.
This might sound intimidating, but think about it this way… With 65% of employees experiencing burnout in 2023, this may just be the innovative solution we’ve been looking for.
One of the many organizational operations that’s seeing a major shift via generative AI-based question-answering capability is HR service delivery. And as deployments bring productivity and fresh insights to the staff function, this engagement will likely rise.
The Role of Generative AI in 3 Key HR Processes
Executive teams already expect HR to be an insightful partner across their organizations, and GenAI brings this future to life. Moreover, this technological partnership can act as a model for other departments on using this vital, still-evolving technology in innovative ways.
Knowing that, let’s look at the role of generative AI in HR development and how it can affect the future of the workplace.
“Strive to use this evolving technology to drive the entire organization forward through your HR processes while keeping people productive, satisfied, and engaged.” – Mark A. Griffin
Efficient and Targeted Recruitment
Recruiting requires assessing applications, shortlisting prospects, and arranging interviews – all of which take time. Often lots of it.
But AI algorithms can quickly review applications, determine relevant skills and expertise, and present comprehensive lists of qualified individuals. So HR managers can use them to save valuable energy, time, and resources.
One such platform already implementing this is Eightfold’s Talent Intelligence Platform. The company states on its website:
“Our deep-learning AI Talent Intelligence Platform uses the world’s largest talent data set to provide unmatched clarity into internal and external talent so you can make confident decisions and drive real change across your organization.”
With technology rapidly increasing each year, more platforms like Talent Intelligence are bound to appear.
Data-Driven Decision Making
Generative AI can also assist HR managers in making decisions by evaluating tremendous amounts of employee data. From there, it can take that information and generate useful insights.
By exploring historical behaviors and trends, for instance, AI algorithms can identify elements that impact staff satisfaction, current skill gaps, and future workforce needs. This data-driven strategy enables HR departments to:
Helping leaders and employees set goals aligned to organizational KPI’s
Make enlightened workforce planning decisions
Come up with effective talent management plans.
It’s hard to overstate the value capability here. Just think how much more productive an organization would be with those areas properly assessed and sorted out!
Retention, Wellbeing, and Engagement Analysis
Finally, AI-powered insights can have a significant, positive impact on staff engagement, retention, and satisfaction.
Organizations dealing with staff exhaustion and motivation issues could utilize this tool to analyze data more efficiently and reach viable conclusions more quickly. To say nothing about how they can uncover hidden threads and patterns that traditional surveys might otherwise overlook.
Overworked and/or understaffed HR departments will somehow, someway fall short of properly addressing their companies’ goals. It’s inevitable. But AI can step in to lower their burdens, giving them the capability to act on information in much more productive ways.
There’s Plenty More Where Generative AI Came From
In summary, AI is transforming HR processes in sectors such as:
Talent management
Employee experience
Training
Career growth
Performance management
Retention
And who knows how many more areas it can positively affect from here!
By integrating AI technologies, HR managers can streamline operations, improve customization, and make data-driven decisions that benefit everyone – their larger organizations, individual employees, and customers alike. This “new” universe we’re experiencing might seem intimidating at first glance.
But it doesn’t have to be.
You just have to know how to put it to good use. Once you do, you might be surprised at how much more you and your organization can accomplish.
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Concerned about the HR programs at your organization? The benefits of having a trusted partner to guide you and your team are invaluable.
That’s what In HIS Name HR is here for – to guide you and your employees to the bigger and better places you envision.
When you contact us, make sure to ask about our high-performance remote human-resource programs to help find great people! Email us here today.
Mark A. Griffin is president and founder of In HIS Name HR LLC. Connect with him on LinkedIn and Twitter.
Every day, employees who are disengaged, distracted, or discouraged cost employers time, money, frustration, and opportunities. Rob Marchalonis is committed to changing that. Nothing motivates a team more than when they share in the success or gains they help achieve. Through Rob’s leadership he has been able to take many organizations to the next level. Not just for-profit organizations, but nonprofit organizations as well. Listen in and learn how incentives and variable compensation plans can motivate and energize your employees to achieve remarkable results.
As a former CEO, Rob understands the challenges organizations are under. Rob is the creator of IncentShare and founder of LSP123. Years of hands-on experience as CEO, marketing director, engineer, entrepreneur, coach, and consultant have given Rob deep insight into organizational dynamics, motivation, incentives, and sharing to get results. He has advised thousands of business and nonprofit leaders.
Rob’s experience as an entrepreneur, engineer, and 25+ years as a hands-on CEO has given him deep insight into the power of effective Leadership, Strategy, and Process deployment to fuel workforce productivity and results. Connect with Rob on LinkedIn or contact him here.
Concerned about the HR programs at your organization? The benefits of having a trusted partner to guide you and your team to excellence are invaluable. Contact us today. You—and your employees—will be glad you did.
Rise with us by implementing our high-performance remote human-resource programs to help find great people! E-mail us here.
Mark A. Griffin is president and founder of In HIS Name HR LLC. Connect with him on LinkedIn and Twitter
How does the Bible affect employers? Listen in and understand why the Bible matters. When we have a happy and fulfilled faith-driven society, we, in turn, have prosperous communities. Learn how you and your organization can contribute to this outcome.
We believe that children need to hear Biblical truth, especially in today’s culture. They are bombarded with so many things on a daily basis that have the potential to impact them negatively. Bible2School is offered to children in 2nd, 3rd, and 4th grade because that is the age their brains start to develop morals and values and their thinking goes from concrete to abstract. In fact, kids at this age often ask big, life questions. Thanks to the national released time rulings, we can help these children learn about God’s love for them during their public school day!
Listen in and meet Kori Pennypacker, CEO of Bible2School. Kori’s faithful journey with Bible2School began in 2009 as a volunteer. Her love for the mission grew, and she quickly became the Executive Director just two years later. Today, Kori serves as the organization’s CEO, where she oversees the mission and builds relationships with businesses, churches, and community leaders on the topic of the importance of spiritual training for children nationwide.
Kori thrives on building relationships, and she loves inviting people into the Bible2School team as valued members, volunteers, and donors. Kori’s courageous leadership, humility, and expertise have been paramount to the growth of the Bible2School program.
Concerned about the HR programs at your organization? The benefits of having a trusted partner to guide you and your team to excellence are invaluable. Contact us today. You—and your employees—will be glad you did.
Rise with us by implementing our high-performance remote human-resource programs to help find great people! E-mail us here.
Mark A. Griffin is president and founder of In HIS Name HR LLC. Connect with him on LinkedIn and Twitter
Research shows that front-line leaders contribute as much as 60% to your employee engagement survey results. What are you doing to increase leadership capacity across your organization?
Come learn some strategies that NASA employed over the last 30 years to build better people leaders. Fortunately, these strategies are not rocket science! Any organization can take similar approaches. In fact, our guest, Brady Pyle, is bringing those approaches from NASA to his new role with a 350-employee non-profit organization. What have you done in the past?
Brady took an early retirement from NASA in February 2023 after a 30-year career in HR, culminating in his role as Deputy Chief Human Capital Officer, where he supervised 12 HR Executives. Brady was a two-time recipient of NASA’s Outstanding Leadership Medal and played a key role in NASA being named Best Place to Work in the Federal Government for 11 Consecutive Years.
Brady has blogged about leadership over the last 10 years at OutOfThisWorldLeadership.com, earning recognition in Feedspot’s Top 100 Leadership Blogs.
Brady currently serves as Vice President of Human Resources at Space Center Houston—a leading non-profit science and space exploration learning center that serves as Official Visitor Center for NASA’s Johnson Space Center.
Concerned about the HR programs at your organization? The benefits of having a trusted partner to guide you and your team to excellence are invaluable. Contact us today. You—and your employees—will be glad you did.
Rise with us by implementing our high-performance remote human-resource programs to help find great people! E-mail us here.
Mark A. Griffin is president and founder of In HIS Name HR LLC. Connect with him on LinkedIn and Twitter
Whether you are a Christian For-Profit, Ministry, Church, Camp or Higher Education Institution, recruitment can be difficult. Even before Covid-19, employers had difficulties finding qualified candidates. Many organizations did not know where to look for candidates or could not find employees skilled to match available positions. Many organizations face the same situation, the problem is less a dearth of potential suitors than knowing where or how to search for an ideal match. I believe the best way to find qualified candidates is to focus first on establishing long-term relationships. Only then will your network proactively refer candidates to you because they know of and trust your organization. We believe having a great strategy in place will pay dividends in the recruitment of exempt and non-exempt staff, regardless of your organizations, product, or service.
Consider your favorite brands and businesses. Maybe they include a clothing company, a coffee shop, or perhaps a particular hotel or car. Whether you realize it or not, you’ve developed a relationship with these brands. Think back to when you first discovered that brand or business. For example, you chose a random coffee shop one day. What drew you in the door? Was it the aroma of the roasting beans? The cozy ambience, the savory scones? Or the friendly employees? What made you choose to return, again and again? What made you rave about this place to your friends, family, colleagues? Subconsciously, we develop relationships with the things we care about, just like we do with the people we care about. Relationships are the key to the success of any organization.
Now more than ever organizations must break out of mediocrity. Organizations have an obligation to their people to strive for excellence, to be world class, and to be high performing. Far too many organizations, ministries, churches, and nonprofits fall victim to a defeatist attitude, thinking no one wants to work anymore, we can never find candidates, Covid-19 has ruined our chances of growing, often giving up before they’ve hardly begun.
IN HIS NAME HR believes an organization should strive to become—and maintain—excellent; and will remain intact no matter the storm. People can become discouraged, even disillusioned, by the slow deterioration of service or quality they witness within organizations. Leaders must become focused to allow organizations to grow versus failing. We should do everything with excellence, or not do it at all.
If you, as an employer, have drifted from your organizations vision, try recalling what initially ignited your excitement and passion for that organization. How did you feel when you gained your first big client or made your first big sale? Elated, no doubt! Inspired! How did you feel when you got the keys to your first office and saw your nameplate on the door?
If you’ve lost your pizazz at your current organization, can you recall when things went awry, or your enthusiasm began to fade? How can you gain that excitement again? Simply put, if you as a leader, are not excited about your organization, chances are employees won’t be either. To attract excellent employees who will experience that same initial enthusiasm, you might have to do a bit of housecleaning first. Let’s look at what that might entail:
First, create an awesome workplace. Create the kind of work environment where you would want your loved ones to work. The best way to attract people is to first make the people who currently work for you and agree your organization is a best place to work! Create a process and check in regularly with your employees to make sure they are satisfied with their working environment. When employees feel encouraged, noticed, and heard, they’re much more likely to be productive and perform well. Take time to listen to them. Find out what motivates them and makes them tick. Go out of your way to make each employee feel recognized. Learn their favorite coffee flavor, their pet’s name, or their favorite hobbies. If they’re due a raise or a proper bonus, give them one. Make sure that if an employee were to run into a future employee on the street who asks about their work environment, they’d have nothing but stellar things to say about you and your company.
Next, develop a clear employer brand. Organizations should be marketed to candidates. Given that the competition for quality candidates is fierce, you want your organization to look its best and stand out. Create a recruitment benefits fact sheet that affirms to your potential employees why they would want to work for you. List the benefits, but also include employee testimony. See an example of a recruitment benefits fact sheet here. Create only job posts that reflect the culture of your organization—that’s critical. Build excitement. (Creativity and humor go a long way.) Do you have a cool coffee bar in the break room, annual employee barbecues, team building events, or an onsite gym? Perhaps you’ve got a great city view, offer flexible working hours, or host an annual super fun holiday party. Asking employees why they love working for you also reminds themof the reasons and renews their enthusiasm. You can see why taking the time to take this step is a real win–win.
Lastly, create your network. Most organizations, because of turnover among or an absence of HR professionals, do not have a formalized network through which they can broadcast vacancies. And that’s a problem. Organizations should consistently mine for talent, and the surrounding community should be aware of the organization and have a general idea of what they do and what their hiring patterns and processes are. At any given time, you should ideally have a pool of candidates to choose from. No one wants to find themselves scrambling at the last minute, searching frantically for employees the way folks did during the 2021 COVID-19 employment crisis Having a reserve of candidates to call on, and a robust network, ensures you hire only the top, sought-after candidates.
In high-performing organizations, the community knows who you are and what it is you do. If they don’t know, you have a community relations problem. To succeed, organizations must spend time marketing themselves as a great place to work. Doing so is also an effective form of marketing to potential customers. People want to buy products and services from organizations that treat their employees well. The problem is that many organizations do not create such a network list. Ask yourself: “Does every one of my friends and family know what I do?” If those closest to you are not aware of your company or could not easily tell someone else what you do or what you represent, your networking may need serious work. Network today, and it will pay dividends in years to come.
Due to developing relationships takes years, it’s imperative to start as quickly as possible. To begin, have your person that is responsible for HR set up appointments and start meeting and networking with organizations in your area, such as these listed below, to improve awareness of the opportunities you offer.
Colleges – Many have student work and career centers. Consider creating internships, which are the perfect opportunity to showcase your company and assess potential employees with little risk to you.
High Schools – Get to know the guidance counselors, as many can be very helpful. If certain schools offer career days, consider setting up a booth and speaking with students. Make sure you bring adequate marketing material to pass out.
Vocational and Trade Schools – Forging relationships with these will provide you the technical employees you need.
Refugee and Immigrant Placement Organizations – This is a wonderful opportunity to help people start a new life. Just because someone is a refugee or immigrant doesn’t mean they don’t possess desirable skills and expertise.
Other Local Nonprofits and Organizations – Seek out ones that match your organizational values. Check LinkedIn and other social media platforms and/or make a list of friends you know who are involved in or have started a nonprofit organization.
Agencies on Aging – Many organizations help our seniors find meaningful work.
Churches – This is a logical place to connect with people. Start with five churches in your area and grow this network over time. Some churches host career or networking events; consider setting up a booth there. Many churches also offer mothers groups, like MOPS (Mothers of Pre-schoolers). As stay-at-home moms transition back to the workplace, they will be looking for an ideal environment. Consider speaking at one of these groups free of charge to put your name out there.
Radio Stations – Many (Like WJTL) have job posting programs to help the community.
Local Veterans Groups – A great way to connect with men and women who have served our country. Many will have extensive training and education. Nationally, the Children of Fallen Patriots Foundation has an extensive list of resources that organizations could support and develop relationships with.
As you tap into all your networking communities, create a checklist with the contact information of each organization’s contact person and be consistent in sharing vacancies/opportunities when they come available. You can easily create an e-mail blast to let people know when vacancies are posted. Also, in the checklist, include all the regular places you post the ads or send the vacancy info.
At the end of the day, you want your workplace to be excellent and a great place to work for all employees. By ensuring you are creating an ideal work environment, and make your branding known to your community, you’ve already taken the first important steps. Networking may take some initial effort, but in the end, it will be more than worth it. Relationships are priceless. Start creating them today!
If the pandemic, has you stressed out, let our 10 years of serving clients nationwide benefit you. We are the leaders in human resource consulting and outsourcing services from a Christian perspective. Let our experts assist you in in developing a plan for you to help in these hard times and save yourself unnecessary pain and stress!
In His Name HR helps organizations build high-performance human resource programs. E-mail us here.
Mark A. Griffin is president and founder of In His Name HR LLC. Connect with him on LinkedIn and Twitter
Governance can be defined as: The combination of policies, systems, structures and strategic frameworkwhich a governing body puts into place to ensure that the leadership of an organization makes appropriate decisions.
Or, in less fancy, layman’s terms: Overseeing the control and direction of an organization. Governance models refer to how the authority chain and framework interconnect. These models ensure decision-making remains effective and that correct accountability is assigned to board members and/or managers of an organization.
With more competition than ever in the workplace, both nonprofit and for-profit organizations consistently find themselves faced with challenges as they seek to maintain success and stay on course. Deciding on a particular governance model can be a challenge in itself, as each organization is unique. There is no right or wrong governance model; at some point, every organization must decide which one fits them best. Many organizations adopt a combination of various board governance models that often evolves with time. When organizations face a new life cycle or phase, when operations become unstructured, when roles become ambiguous and board members dissatisfied with their roles, or when a CEO, a college president, a church’s senior pastor, or several board members leave, it may be time to reevaluate one’s governance model.
Adopting a new board governance model might seem daunting. But it needn’t be. Changing models is a bit like changing one’s lifestyle. Let’s say that someone has spent the past few years eating cheeseburgers and Fritos and watching Seinfeld reruns from the comfort of their couch every night. One day, they wake up and realize they’d like to change their life, get healthy, swap the burgers for green smoothies and the reruns for time at the gym, working on their fitness. They might feel eager, but understandably a bit overwhelmed. Where to begin? Which way to go first? This is a bit like that. Changing governance models entails abandoning well-established ideas and replacing them with new ideas and roles. This change takes time, energy, resources and resolve. It may feel confusing at first. But over time, clarity and greater ease does come. With the right model in place, any organization can succeed.
Let’s take a look at the five most common board governance models for nonprofit organizations.
Advisory Board Governance Model
Many nonprofit organizations choose to use the Advisory Board Governance Model. An advisory board is the platform that an organization’s president or CEO consults for assistance or advice. The president or CEO may carefully choose a team of trusted individuals as part of this board. Each board member possesses a set of professional skills and unique talents that will be useful to the nonprofit, and in most cases, they provide these valued skills at no charge. A quality advisory board can boost the reputation and credibility of a nonprofit. This is an excellent model for nonprofits concerned with achieving high fundraising and public relations goals. The advisory board may serve as the main governing board of a nonprofit, or the organization could utilize additional models that offer special expertise, such as a young professional advisory board. This model is often appealing to board members, because these younger members bring valuable contributions to the table, and meetings tend to be informal and task-oriented. While this model can initially be effective, challenges arise when board members face liability issues because accountability mechanisms become ambiguous. This model is not limited to nonprofit organizations. The Advisory Board Governance Model can be the first step in governance for small but growing for-profit organizations. It is an effective way to introduce new ideas from leading experts in variety of career fields.
Patron Governance Model
The Patron Governance Model looks very similar to the Advisory Board Model. However, it includes a few distinguishing factors. With the Patron Governance Model, boards comprise individuals who either possess a great deal of personal wealth or wield significant influence in the nonprofit’s field. The primary duty of this board is fundraising. Board members may contribute their own funds to the organization, or they might reach out to members of their network to contribute as well. Generally, under the Patron Governance Model, board members in this model have less influence over the president or CEO than with the Advisory Board Model, other than running the risk of losing funding. This model can be very helpful, but the board cannot be relied upon for governance tasks, like vision development and organizational planning.
Cooperative Governance Model
Many nonprofit organizations do not have an official president or CEO. In this case, the Cooperative Governance Model works well. Under this model, the board makes decisions for the nonprofit as a group of equals. This is a highly democratic model, as no board member has a higher standing or more power than another. This model is often used when the law requires a nonprofit to have a board of directors; it works best when each board member is able to show an equal amount of commitment to the organization. Challenges may arise, however, when personal morale declines. Under this model, there is no effective way to ensure accountability for individual actions.
Management Team Governance Model
The Management Team Model is one of the most commonly used governance models. With this model, the nonprofit acts similarly to a for-profit corporation. Instead of hiring people or teams to handle human resources, financing, fundraising and public relations, the board forms itself into committees to do these things itself. This model, which rose in popularity in the 1970s and has continued to gain momentum, is often used by volunteer organizations such as home school associations, Girl and Boy Scouts and other hobby groups. Challenges under this model arise when board members refuse to delegate authority and become micro-managers instead, resulting in inconsistent decision making and resentment and discontent among staff.
Policy Board Governance Model
The fifth common board governance model is the Policy Board Model, also referred to as the John Carver Policy Governance model. This model was developed by John Carver, author of Boards That Make aDifference. Carver, an esteemed psychologist who has co-authored five books and worked as a business officer in small manufacturing, understands both the business and psychology ends of organizations. He trademarked the Policy Governance model and has consulted with businesses in nearly 20 countries. Under his model, the board delegates much of their trust and confidence in operating the group to the CEO or president, and the CEO holds regular meetings with the board to update them on the nonprofit’s activities. With the John Carver model, there are very few, if any, standing committees on the board. Typically, the board is secondary to the CEO in overall power. The CEO is responsible for the staff, and the board typically does not interact with staff. However, the board and CEO work together as a team, meshing their skills and ideas. Members are often recruited because they have demonstrated commitment to the values and mission of the organization. Many nonprofits use this model, often combining it with other models to create a more specialized advisory team.
As with nonprofit organizations, for-profit (corporate) organizations use five common board governance models. The Traditional (Structural) Model is the oldest of the models, its use dating back to as early as the 1700s, when corporate structuring began. Many government organizations still use this model, as do many law firms. This model is built upon the concept that the board is the legal ownership entity and speaks as a board, while members of the board speak on behalf of the board but do not have an individual voice outside of the organization. The Board Chair is usually structured to be the official “voice” of the board, but only speaks in a way authorized by the board as a whole. Under this model, the board usually delegates responsibilities to the CEO or the board committee.
While the Traditional Model can be effective, it is no longer as widely used and presents some unique challenges. When the board delegates its powers, accountability and expectations sometimes become muddled. Another challenge arises when the CEO creates management operating committees that overlap with board committees which hold similar responsibilities. This can lead to confusion among staff about their roles, as board members cross boundaries between governance and operational management. Organizations still using this model have recently reduced the size of the board and sought board members capable of governing as a whole, versus merely representing constituents.
The Carver Board Governance Model, common among nonprofit organizations, is also popular among corporate organizations. In the words of John Carver, who, again, popularized the model over the past 20 years, this model is a “rigorous academic approach to a practice area that has had very little research over the years.” The Carver Model addresses two fundamental concerns: the board defining the organization’s goals, and creating policies by which the board and management team must abide. The board’s prominent role is to create policy to guide management and also guide the board in its governance work. John Carver suggests that, under this model, a competent board chair member should have the freedom to take action in the area of governance.
Challenges in this governance model arise when the board focuses its time on building policy rather than actually attending to other pressing responsibilities. While creating policy (such as how many meetings to implement a year) is helpful to create structure, and can potentially protect the board and organization, this model doesn’t always help to establish clear expectations or ways to measure success. This model works best when an organization looks beyond policy and creates a comprehensive strategic business plan and budget.
Every great organization creates and implements a strategic plan that aligns with their Board of Directors’ vision for the future. Learn more about IHN HR’s Strategic Planning Processes here:
Under the Cortex Board Governance Model, developed by John Por of Toronto, the board focuses on clients, community, legislation and best practices of similar organizations, so they can define the standards they wish to adhere to in their own organization. The board’s main role under this model is to clarify and set outcomes, so they can measure success. The board may set up an accountability framework, identifying which roles the board, CEO, staff or other members should assume. This model helps ensure transparency and accountability, as it helps organizations establish clear outcomes and measurements of success. Challenges with this model arise, however, when board members don’t fully understand the business and must rely on the management team to do much of the research. This model can also be tricky when organizations do not implement mechanisms or report structures to measure performance against new outcomes. However, these things can be developed over time. Focusing on what is important, versus what is convenient, is key for organizations that use this model.
Consensus Model
The Consensus Model, alternatively known as the Process Model, stems from the idea that all board members are equal, with an equal vote, responsibility accountability and liability for decision making. This model recognizes, however, that board members offer different areas of expertise, knowledge and wisdom. Under this model, board members must decide how issues will be discussed, how differences of opinion will be handled, and how members will reach a consensus on timeliness and agenda management. Many small, family-owned businesses or corporations with no shareholders use this governance model. Challenges arise when roles remain undefined, necessitating that issues must be sorted out among the CEO and board members. When disagreements arise under this model, board members often turn to Robert’s Rules of Order or the Parliamentary Rules of Order for guidance.
Competency Board Governance Model
The Competency Board Governance Model, sometimes referred to as the Skills/Practices Model, is also used in organizations. This model focuses on development, and ensures that all board members possess appropriate knowledge and skills. Relationships remain a key factor under this model, with special focus on communications and trust. Board members are often assessed to ensure their behavior matches the expectations of the organization, and that they work well together, as a team. While this model is very appealing for many organizations because of its relationship-driven quality, it can run into challenges when clear policy is not implemented. Having an experienced board member mentor newer board members can be an effective strategy.
If this information is new to you, or feels overwhelming, please don’t let it be! Choosing the best board governance model for your nonprofit or for-profit organization doesn’t have to be like pulling teeth. Your organization is unique and one of a kind. Therefore, your model will be as well.
Here are some questions to consider when reevaluating your governance model or establishing one for the first time:
Do we have a clear understanding of the purpose of our organization?
What are our organization’s basic values?
How do we measure our organization’s success?
What are our financial resources, and will these resources be reliable for the next several years?
Do we believe our organization should be run as a cooperative, or a collective? In other words, should staff participate with board members in the governing?
How much time is each board member wiling to devote to the organization?
What is our expectation for board member meeting attendance and commitment?
How will we hold board members accountable?
How useful is each committee we have? Could we eliminate any?
How will we handle disagreement?
How much trust does the board place in the CEO or president?
How satisfied are our current members with board performance?
As board members, to whom do we wish to be accountable?
In the words of John Carver, “A carefully crafted, conceptually rigorous purpose of governance … forms the heart of board effectiveness.”
What is the heartbeat of your organization? What really makes you tick? Remember, it need not be a one size fits all. Your organization is unique, complete with a distinct purpose, vision, skillset and team. Take some time today to ponder which one of these board governance models might work best for you.
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Concerned about the Board Governance Model at your organization? The benefits of having a trusted partner to guide you and your team to excellence is invaluable. Contact us today. You—and your employees—will be glad you did.
Rise with us by implementing our high-performance human-resource programs. E-mail us here.
Mark A. Griffin is president and founder of In HIS Name HR LLC. Connect with him on LinkedIn and Twitter
Post-COVID-19 recruitment has been unquestionably hard for employers, with many struggling to find quality employees in the aftermath. Religious-exempt employers have had an especially difficult time.
Organizations such as Biblical higher education institutions, Christian ministries, camps, and churches have found that mainstream secular platforms no longer assist them in target hiring. For example, Christian employers frequently used Facebook to connect with potential candidates, but in recent years many social media programs stopped allowing recruitment ads that target Christian applicants. Keywords such as “Bible,” “Jesus,” and even “pastor” are flagged as well.
Handshake, the most prominent job portal for college students gives universities the opportunity to block religious employers. Here, at In HIS Name HR, we have experienced this firsthand.
These setbacks have left Christian employers discouraged, wondering how they might maintain their voice and find quality candidates in this even more challenging environment. We have an answer.
Yes, a new day is dawning, and help is on the way.
The day is coming when employers can cast their net to the right side of the boat and watch as it quickly fills up.
Welcome to Job Shepherd, a platform that will change all this for you.
Job Shepherd was created to meet the demand by Christian employers, including ministries, camps, churches, colleges, and Christian for-profit companies in their search for qualified job candidates.
Job seekers can once again identify opportunities in sales and marketing, office administration, pastoral work, counseling, worship leadership, and higher education positions, like provosts and executive leadership.
Job Shepherd offers job seekers free guidance to find the right position within the right organization, one aligned with their values. With a few simple clicks, job seekers can explore a vast array of opportunities in any of these fields, and find themselves one step closer to the career of their dreams.
Job Shepherd, however, doesn’t stop there. In this portal, job seekers will find an abundance of additional online career help, including articles that share career advice and provide free tips on resume writing, career development, and interview skills.
These invaluable resources are always free for job seekers.
Employers seeking quality employees have just as much to gain. Job Shepherd offers a plethora of job postings to enable employers to find their ideal hires, as well as free articles on how to identify and secure great employees. Additional employer resources are available as well.
If you are a Christian employer in search of a thriving, uncensored job platform, your search is over.
If you are an eager potential employee looking to fill one of these roles, you have come to the right place.
Job Shepherd is the new “go to” job portal whose mission is to connect Christian employers with like-minded candidates to help advance the Kingdom until the day Jesus returns.
Are you ready to join this movement? Are you ready to cast your net?
