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Key Theme: Human Capital

Despite the growing acceptance of the strategic importance of people to enterprise success, the business world has struggled to come up with models for capturing the nature and quantifiable value of an organization’s human capital. This section discusses the new models and frameworks, along with measurement methods, that are evolving in the human capital world. Briefings describe what they are, their merits and limitations as well as examples of how they can be applied.

Unleashing the creativity of your employeesNEW THIS MONTH

Unleashing the creativity of your employees
Companies are always trying to get the best ideas out of their employees, but traditional approaches like “the idea box” usually don't bring the desired results. This briefing argues that the best way to really tap into this richest of all creative sources is through innovation award programmes.Find out about the characteristics of successful programmes and the business case behind them. (3800 words)


Measuring Human Capital

Measuring Human Capital
The principles of human capital measurement - the recruitment and retention of key professionals, the acquisition of key transferable skills, the way in which the performance of these skills are enhanced through the individual's commitment and engagement - and how these measures can be linked to overall business goals. (3503 words)


Allied Irish Bank case study - human capital

Allied Irish Bank case study
Creating a new set of non-financial measures was a central plank of an HR strategy designed to foster a performance-driven meritocracy at Allied Irish Bank, Ireland's leading international banking and financial services company with 24,000 staff in 800 offices worldwide. An important factor in getting them established has been adopting formal measures and indicators that allowed AIB to benchmark its people policies against those of global exemplars - and then publish the results to the Bank's stakeholders. (1677 words)


Reporting and Benchmarking Human Capital

Reporting and Benchmarking Human Capital
The latest thinking on how human capital can be reported externally to satisfy the interests of investors and other stakeholders, including staff and potential recruits. Problems with developing a common index of norms that are universally applicable, issues of transparency and effective benchmarking are covered here along with the value of human capital reporting as a means of improving corporate management. (4022 words)


Royal Bank of Scotland case study - human capital model

Royal Bank of Scotland Group case study
The Royal Bank of Scotland Group (RBS) has been a pioneer in strategic HR measurement. Its human capital model provides its business with a detailed understanding of how effective the Group is at attracting, engaging and retaining its best people and how its people strategy drives business performance. How the HC Model was developed and applied across the Group. (2298 words)


Intellectual Capital Measurement Models

Intellectual Capital Measurement Models
How IC models categorize intellectual capital into different components such as human capital, structural capital and relationship capital. The briefing explains why human capital accounting - treating people as assets rather than costs in company accounts - did not take off, while there has been growing use of scorecards and similar instruments to assess human capital. Examples explored include the Human Capital Readiness scorecard and the Human Capital Monitor. (26775 words)


Practical Considerations - Developing an IC System

Practical Considerations - Developing an IC System
There is a growing body of experience of developing IC measurement and reporting systems. How to use your organization's strategic objectives, business priorities and critical success factors as the starting point for determining the categories of measure and high-level company-wide indicators. Criteria for choosing an appropriate set of IC indicators and why the overall process of IC measurement and reporting should be viewed as a learning exercise and a catalyst for dialogue. (25015 words)


Austrian Research Centre case study - IC Report

Austrian Research Centre, Seibersdorf ARCS case study
Why the Austrian Research Centre Seibersdorf (ARCS), a public/private agency covering a broad spectrum of fields that includes materials, engineering and life sciences, embarked on the development of an intellectual capital report to track and manage knowledge within the organisation. (2221 words)


Knowledge & IC Measurement - Assessing Progress

Assessing Progress With Knowledge Management Programmes
Every assessment of a KM programme requires a coherent model or framework against which to develop measures. Most frameworks are developed from critical success factors and incorporate enablers, foundations and core KM activities. A review of a wide range of assessment methods, ranging from quick assessments of KM maturity, to systematic assessments of a KM programme, through to detailed assessments of specific KM activities. (15142 words)