ROI- the determination of how much profit is earned from investments and capital. Last week I had a great conversation with Jill Elswick. Jill is an talented free-lance writer from Roanoke, VA. She can be reached via www.twitter.com/jillelswick and she has written for trade publications about Human Resources and other business related topics. Jill and I talked about how ROI is measured in human resources. Because HR is a non-revenue generating dept, there are several things to measure.
- The competitiveness of a benefits plan to attract key talent
- The value of benefits in maintaining a healthy and productive workforce
- Employee satisfaction with benefits, to learn what to cut from or add to a budget
In this economy, ROI is even more important than it was before. EAP is another benefit that must be measured as well. What are the costs/benefits in the Employers’ EAP, and is the program being used or not at all?
My experience with ROI in the Recruitment industry has been a personal one. When the ROI at a small staffing firm was identified, it resulted in the downsizing of an office of 4 to 2 and then the office was closed. This gives new meaning to “do more with less’ To stay competitive and strong, you must have more billable hours and filled positions to support the staff doing the recruiting and sourcing. Customer service and being cross-trained in other job titles are extremely important as well. This happened to me before the economy really started to decline.
I really want to know your thoughts on ROI,and what it means to you. Please leave me your comments below…