A Study on Measuring the Effectiveness of Human Resources in Organizations

Human resources of an organization are regarded the most important assets than any other tangible and intangible assets. Measuring the effectiveness of HR is important so that the human resources can be managed effectively. Despite several researches by well-known researchers in measuring HR effectiveness, we still tend to get lost while carrying out the process and the process becomes more and more subjective and confusing. The overall results that emerge are that of HR Metrics and Analytics that organizations are now carrying forward in terms of quantifying HR processes and practices while some organizations are also using traditional ways like balanced scorecards. This paper recovers some of the problems being faced by the HRs in different organizations across the globe, and the existing practices that some of the firms are now following in order to quantify HR in their firms found through secondary research. The questions like what to measure? How to measure? When and where to measure? Make measurement of HR processes and practices difficult. This paper includes both qualitative data found which are followed by firms in order to show how HR contributes to business results. A thorough research on the same was conducted. Various articles by well-known HR professionals were read and inferences were noted while looking at the various assumptions that somewhere become a challenge for the HR professionals and what steps are being taken by the organizations and what new innovative practices are coming forward in this field. This helps us to explore and analyze the various HR practices followed by a various firm to measure effectiveness which finally contributes to the business results and help improvise HR measures.