A lot of CFOs have noticed that the quality of the recruitment process by their HR teams is dropping. This could happen because the teams are busy doing mundane transactional tasks that can be easily automated and they lack the tools to interpret useful data. To help the HR teams, they need to implement the following metrics:
Time to FillThis metric tracks the number of days it takes to fill an open position in the company. This can be used by CFOs to find flaws in the hiring process.
Referral RateEmployee referral programs reduce the time it takes to hire a new candidate, thereby improving the talent acquisition process.
Cost per HireThis tracks the amount a company spends when they hire new talent.
Absenteeism RateThis is the rate at which the company’s employees take unexpected leaves. Unexpected absences impact productivity in the company, which is why they need to be tracked.
Total Financial Impact of AbsenteesAbsenteeism can impact profit margins of a company by impacting the productivity, which is why the compensation value of each absence should be tracked.
Total Labor CostsTracking the aggregate cost of all the employees working hours along with payroll and tax benefits helps identify upcoming employee trends in the company.
Actual Total Compensation vs. BudgetThe total amount of compensation given to the company’s employees and the budget for compensation can be different. By tracking this, the CFOs and HR teams can come up with creative ways to compensate their employees while staying within the budget.
Turnover RateTracking the turnover rate shows the underlying issues of the company.
Voluntary Turnover RateThe voluntary turnover rate helps track what exactly is working and not working for the employees in the company.
Turnover Rate by SegmentsEach factor of employee satisfaction or dissatisfaction is considered, and tracking this can improve the working environment of the company.
- There are various factors that CFOs need to train their HR teams in to improve the employee efficiency of the company
- They need to have the tools required to make accurate assessments of the data given to them
- This will help them improve their recruiting processes