Measurement has always been—and will always be—a pillar of PR and communications, but it is usually associated with quantifying the results of external-facing initiatives, especially those that are media relations-related. But, as organizational strength and success ultimately begins internally with employees and management teams, shouldn’t metrics be applied to evaluate and improve processes pertaining to these stakeholders?
The answer, of course, is “yes,” and not just for the sake of proving the communications function’s value to internal activities. Applying metrics to initiatives involving employee engagement, internal communications, talent management, employee recognition and training/professional development also facilitates collaboration between PR and HR—two functions that traditionally existed in silos. Consider the following internal programs and processes, and the metrics that go along with them.
â–¶ Employee engagement via recognition programs: A tough economic climate might make employee recognition programs seem like an unnecessary cost, but they are actually a cost-effective way to increase productivity, boost engagement levels and improve morale—it just takes some metrics to prove it.
“Employee satisfaction [has been shown] to impact long-run stock performance,” says Roy Saunderson, president of Recognition Management Institute, citing research from The Wharton School, which showed that the annually rebalanced portfolio of Fortune magazine’s “Best Companies to Work For” earned returns averaging 14% over the past seven years, as opposed to 6% for the market as a whole.
In terms of proving the value of employee recognition to individual management teams, “Measure every aspect of recognition, quantitative and qualitative,” Saunderson says. “Analyze and report on all performance and behavioral indicators, and always provide effectiveness measures.”
| Sample HR Objectives & Metrics | ||
| Level of Metric | HR Objective | Sample Metric |
| What actions are needed? | Determine training needs of different groups | Training/demand gap study |
| Where exactly is the problem? | Determine which managers need the most mentoring | Voluntary turnover percentage by hiring manager |
| How many/how often/where? | Compliance with performance evaluation deadlines | Percentage of performance evaluations completed on time |
| What if these trends continue? | Project management bench strength in 36 months | Succession management dashboard |
| Source: Jeremy Shapior, SVP, Hodes iQ | ||
As for existing measurable indicators, Saunderson offers the following examples:
• Service award recipients;
• Performance and achievement reward nominations/recipients;
• Participating managers and employees;
• Performance indicators by department or business unit;
• Effectiveness measures: presentations, post-mortems, pulse checks;
• Recognition scores on engagement or satisfaction surveys; and,
• Focus group input.
Then, he says, “Make the connection through the power of correlation.” For example: Higher program participation correlated to higher employee satisfaction. High employee satisfaction level correlated with an increase in customer satisfaction levers. High customer satisfaction correlated with increased revenue. (For more on measuring employee recognition programs, see sidebar.)
â–¶ Human Resources: HR departments aren’t always well-versed in measurement and metrics, which is where communicators can come in and bridge the divide. When doing so, William Schiemann, CEO of Metrus Group, recommends coming to the table with a call-to-action checklist like the following:
• Business acumen: Do we understand the unique business value proposition and strategy?
• Do we have a strong people strategy?
• Does HR have a strong value proposition scorecard?
• Do we have a high people equity (alignment, capabilities, engagement)?
• Are we measuring the right things (drivers of alignment, capabilities and engagement, including recognition programs, performance management, innovation and technology, etc.)?
• Are our stakeholders rating us highly?
â–¶ Talent management and professional development: Both of these functions’ effectiveness can be measured by gathering data surrounding things like voluntary turnover, internal vs. external hires, the amount of time it took to fill a job opening and performance reviews.
“Use the data you have and gain new insights. Look for interesting and emerging patterns,” says Jeremy Shapiro, SVP of Hodes iQ. “Overlay performance data or employee satisfaction data.” (For more metrics for measuring talent management and professional development, see grid.)
Regardless of the internal program or process to apply measurement to, don’t underestimate the value of teaming up with the HR department to do it.
“Monetize as many metrics as possible,” Saunderson says. “Human resource metrics can often be turned into dollar signs.” PRN
CONTACT:
Roy Saunderson, [email protected]; William Schiemann, [email protected]; Jeremy Shapiro, [email protected]@hodesiq.com