Human Capital Productivity Measurement: A Case Study
Sukki, Helmi (2019)
2019
Tietojohtamisen DI-tutkinto-ohjelma
Tekniikan ja luonnontieteiden tiedekunta - Faculty of Engineering and Natural Sciences
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Hyväksymispäivämäärä
2019-09-04
Julkaisun pysyvä osoite on
https://urn.fi/URN:NBN:fi:tuni-201908263005
https://urn.fi/URN:NBN:fi:tuni-201908263005
Tiivistelmä
The purpose of this master’s thesis was to study how to measure human capital productivity of salaried employees. The problem for this study was discovered by the target company to which the research was carried out. The research problem appeared by the target company’s own internal interest to be able to manage their human capital more effectively. The wish was to solve which indicators provide the foundation for human capital productivity measurements and are able to measure it comprehensively. The goal was to provide a clear set of indicators for the target company to enable the start of the measurements.
This research was implemented by surveying different types of indicators for measuring human capital productivity. Based on the desire of the target company and on the utilized definition for the human capital productivity, it was decided that this study would focus on concerning monetary value indicators with some non-financial figures. In this research, in total 12 different indicators were presented. These indicators were surveyed, evaluated and classified based on their purposes of usage and characteristics. They were classified into four different categories that are productivity, profitability, qualitative features and supportive indicators. The purpose was to test how well this classification is actualized in the target company. The research utilized quantitative research methods and was implemented as a single case study. Data collection for this study was executed as a questionnaire to human resource and finance departments of the target company.
As a result, this study introduces four independent indicators for the human capital productivity measurements. These metrics are HCROI, HRCCR, HCRF and Absenteeism. Based on the classification presented in this research, these indicators measure human capital productivity extensively as they cover each category that is defined. However, it was also detected that human capital productivity is a complex phenomenon and there is not only one way to measure it. Also, it was discovered that the response rate for the questionnaire was rather low and selections are always based on employees own personal opinions. In the future, it would be interesting to implement the research in more companies to be able to provide more information about the similarities and differences with the results.
This research was implemented by surveying different types of indicators for measuring human capital productivity. Based on the desire of the target company and on the utilized definition for the human capital productivity, it was decided that this study would focus on concerning monetary value indicators with some non-financial figures. In this research, in total 12 different indicators were presented. These indicators were surveyed, evaluated and classified based on their purposes of usage and characteristics. They were classified into four different categories that are productivity, profitability, qualitative features and supportive indicators. The purpose was to test how well this classification is actualized in the target company. The research utilized quantitative research methods and was implemented as a single case study. Data collection for this study was executed as a questionnaire to human resource and finance departments of the target company.
As a result, this study introduces four independent indicators for the human capital productivity measurements. These metrics are HCROI, HRCCR, HCRF and Absenteeism. Based on the classification presented in this research, these indicators measure human capital productivity extensively as they cover each category that is defined. However, it was also detected that human capital productivity is a complex phenomenon and there is not only one way to measure it. Also, it was discovered that the response rate for the questionnaire was rather low and selections are always based on employees own personal opinions. In the future, it would be interesting to implement the research in more companies to be able to provide more information about the similarities and differences with the results.