Module- 2

Syllabus:
HRA Frameworks: Current approaches to measuring HR and reporting value from HR
contributions, Strategic HR Metrics versus Benchmarking, HR Scorecards &
Workforce Scorecards and how they are different from HR Analytics,
HR Maturity Framework: From level 1 to level 5,
HR Analytics Frameworks: (a) LAMP framework; (b) HCM:21 Framework and (c)
Talentship.

Introduction
Human Rights Assessment (HRA) frameworks are structured methodologies designed to
evaluate, monitor, and improve human rights practices within organizations, projects, or
policies. These frameworks help ensure that actions comply with human rights standards,
identify potential human rights impacts, and promote accountability and transparency.
Key Components of HRA Frameworks:
Identification and Assessment:
 Baseline Studies: Collecting initial data on the current state of human rights practices.
 Stakeholder Engagement: Involving those affected by or having an interest in the
project or policy, including vulnerable groups.
 Impact Assessment: Analyzing potential positive and negative impacts on human
rights.
2. Integration and Action:
 Policy Integration: Ensuring that human rights considerations are embedded into
organizational policies and procedures.
 Action Plans: Developing specific strategies and actions to mitigate negative
impacts and enhance positive outcomes.
3. Monitoring and Reporting:
 Ongoing Monitoring: Continuously tracking human rights performance and
compliance.
 Reporting: Transparently communicating findings and actions to stakeholders and
the public.
4. Remediation and Learning:
 Grievance Mechanisms: Establishing processes for addressing complaints and
providing remedies to affected individuals.
 Continuous Improvement: Learning from assessments to improve future practices
and policies.
Common HRA Frameworks:
1. UN Guiding Principles on Business and Human Rights:
Protect, Respect, and Remedy Framework: Ensures that states protect human rights,
businesses respect human rights, and both provide access to remedy for victims of human
rights abuses.
2. OECD Guidelines for Multinational Enterprises:
Promotes responsible business conduct and provides guidance on how businesses should
address human rights impacts.
3. ISO 26000:
Provides guidance on social responsibility, including human rights, labor practices, the
environment, fair operating practices, consumer issues, and community involvement.
4. Global Reporting Initiative (GRI):
GRI Standards: Offers a comprehensive framework for reporting on human rights and other
sustainability issues.
5. Human Rights Impact Assessment (HRIA):
A specific methodology for assessing the potential impacts of projects, policies, or
businesses on human rights.
Implementation Steps:
1. Preparation:
Define the scope and objectives of the HRA.
Establish a multidisciplinary team to conduct the assessment.
2. Data Collection:
Gather qualitative and quantitative data through surveys, interviews, and document reviews.
3. Analysis:
Evaluate the data to identify human rights risks and opportunities.
Prioritize issues based on their severity and likelihood.
4. Action Planning:
Develop strategies to address identified human rights issues.
Allocate resources and assign responsibilities for implementation.
5. Implementation:
Execute the action plan, ensuring ongoing stakeholder engagement.
6. Review and Adaptation:
Regularly review the effectiveness of actions taken.
Adapt strategies based on feedback and changing circumstances.
Benefits of HRA Frameworks:
Risk Management: Identifies and mitigates potential human rights risks, reducing legal and
reputational risks.
Enhanced Reputation: Demonstrates commitment to human rights, enhancing stakeholder
trust and brand reputation.
Improved Decision-Making: Provides a structured approach to integrating human rights
considerations into business decisions.
Positive Social Impact: Contributes to the protection and promotion of human rights,
benefiting society at large.
Implementing HRA frameworks helps organizations align with international human rights
standards, promote ethical practices, and foster sustainable development.
Current approaches to measuring HR and reporting value from HR contributions
Measuring HR and reporting value from HR contributions involves using various methods
and metrics to assess the effectiveness and impact of HR activities on organizational
performance. Here are some current approaches:
1. HR Metrics and Analytics
a. Traditional HR Metrics:
Employee Turnover Rate: Measures the rate at which employees leave the organization.
Time to Fill: Tracks the time taken to fill a vacant position.
Cost per Hire: Calculates the cost involved in hiring new employees.
Absenteeism Rate: Measures the frequency of employee absences.
b. Advanced HR Analytics:
Predictive Analytics: Uses historical data to predict future HR trends, such as turnover rates
and hiring needs.
Sentiment Analysis: Analyzes employee feedback and sentiments to gauge morale and
engagement.
Workforce Planning: Predicts future workforce needs and identifies skill gaps.
2. Balanced Scorecard Approach
The Balanced Scorecard (BSC) integrates HR metrics with overall business performance
metrics across four perspectives:
 Financial: Impact of HR on financial outcomes (e.g., revenue per employee, profit per
employee).
Customer: Employee contributions to customer satisfaction and retention.
Internal Processes: Efficiency and effectiveness of HR processes (e.g., recruitment,
training).
Learning and Growth: Employee development, skills acquisition, and career progression.
3. Return on Investment (ROI) Analysis
ROI Analysis in HR:
Training ROI: Measures the financial return on investment in employee training programs.
Talent Management ROI: Assesses the impact of talent management strategies on
organizational performance.
4. Human Capital Management (HCM) Systems
HCM Systems:
Comprehensive software solutions that integrate various HR functions (e.g., recruitment,
performance management, payroll) and provide analytics and reporting capabilities.
5. Employee Engagement Surveys
Surveys and Feedback Tools:
- Regular surveys to measure employee engagement, satisfaction, and commitment. Data
from these surveys can be used to identify areas for improvement and track changes over
time.
6. Competency and Skill Assessments
Competency Frameworks:
Tools and assessments to measure employee competencies and skills, and identify areas for
development and training.
7. Diversity and Inclusion Metrics
Diversity Metrics:
Tracking diversity in hiring, promotions, and overall workforce composition. Measuring the
impact of diversity initiatives on business outcomes.
8. Strategic Workforce Planning
Workforce Planning Tools:
Tools and methodologies to forecast future workforce needs, align workforce strategy with
business goals, and ensure the right talent is in place to meet organizational objectives.
9. Employee Net Promoter Score (eNPS)
eNPS:
 - Measures employee loyalty and their likelihood to recommend the organization as a place
to work. High eNPS scores indicate high employee satisfaction and engagement.

10. HR Dashboards HR Dashboards:

- Visual representation of key HR metrics and KPIs, providing real-time data and insights
to HR professionals and business leaders.
Reporting Value from HR Contributions
1. Aligning HR Metrics with Business Goals: Ensuring that HR metrics are aligned with
overall business objectives to demonstrate the strategic impact of HR activities.
2. Storytelling with Data: Using data to tell a compelling story about the impact of HR
initiatives on organizational performance and employee outcomes.
3. Regular Reporting: Providing regular reports to stakeholders that highlight key HR
metrics, trends, and the impact of HR initiatives.
4. Benchmarking: Comparing HR metrics with industry standards and best practices to
identify areas for improvement and demonstrate competitiveness.
By using these approaches, organizations can effectively measure and report the value of
their HR contributions, demonstrating the strategic role of HR in driving business success.
Strategic HR Metrics and Benchmarking are both essential tools in human resource
management, but they serve different purposes and are used in different ways. Here's a
comparison:
Strategic HR Metrics
Purpose:
- Strategic HR metrics are used to measure and evaluate the effectiveness of HR policies,
practices, and initiatives in relation to the organization's strategic goals.
- They help in aligning HR strategies with business objectives and in making data-driven
decisions.
Examples: - Employee turnover rate - Employee engagement scores - Time to hire - Training
effectiveness - Cost per hire - Diversity and inclusion metrics
Benefits:
- Provides insights into the impact of HR activities on organizational performance.
- Helps identify areas of improvement and success within the HR function.
- Facilitates strategic planning and forecasting.
- Supports data-driven decision-making in HR management.
Implementation:
- Often involves the use of HR analytics tools and software.
- Requires continuous monitoring and updating to stay aligned with changing business goals.
- Involves collaboration between HR professionals and business leaders.
Benchmarking
Purpose:
- Benchmarking is the process of comparing an organization's practices, processes, and
performance metrics to those of other organizations, typically within the same industry.
- It aims to identify best practices, set performance standards, and uncover areas for
improvement.
Examples:
- Comparing employee turnover rates with industry averages. - Evaluating salary structures
against those of competitors. - Assessing employee benefits packages in comparison to
industry standards. - Analyzing time to fill positions against industry benchmarks.
Benefits: - Helps organizations understand their competitive position. - Provides insights into
industry best practices and standards. - Identifies performance gaps and areas where
improvements can be made. - Aids in setting realistic and achievable performance goals.
Implementation:
- Requires collecting data from various sources, including industry reports, surveys, and
databases.
- Involves selecting relevant benchmarks that align with the organization's goals and industry
context.
- May require collaboration with external consultants or participation in benchmarking
studies.
Key Differences
- Focus: Strategic HR metrics are internally focused and align with the organization's specific
strategic goals, while benchmarking is externally focused and compares the organization to
industry standards or competitors.
- Purpose: Strategic HR metrics aim to evaluate and improve internal HR practices, whereas
benchmarking aims to understand competitive positioning and identify best practices.
-Data Sources: Strategic HR metrics rely on internal data from within the organization,
while benchmarking involves collecting data from external sources.
Integration
Both strategic HR metrics and benchmarking can be integrated to enhance HR management.
For example, an organization can use benchmarking to set realistic goals based on industry
standards and then track progress towards these goals using strategic HR metrics. This
combination ensures that HR strategies are both competitive and aligned with the
organization's unique objectives.
HR Scorecards & Workforce Scorecards and how they are different from HR
Analytics:
HR Scorecards, Workforce Scorecards, and HR Analytics are all essential tools in human
resource management, but they serve different purposes and have distinct characteristics.
Here's a breakdown of each and their differences:
HR Scorecards Purpose:
- HR Scorecards are strategic tools used to align HR activities with the overall business
strategy.
- They measure the effectiveness of HR functions in contributing to organizational goals.
Components:
- Financial Perspective: Metrics related to cost management, ROI of HR initiatives.
- Customer Perspective: Employee satisfaction, retention rates, and talent acquisition
effectiveness.
- Internal Processes: Efficiency of HR processes such as recruitment, training, and
performance management.
- Learning and Growth: Development opportunities, employee skill levels, and career
progression.
Usage:
- Used by HR leaders and managers to ensure HR functions support the strategic objectives
of the organization.
- Helps in tracking the performance of HR initiatives over time.
Workforce Scorecards
Purpose:
- Workforce Scorecards focus on measuring and managing the performance of the workforce.
- They align workforce capabilities and behaviors with the organization's strategic goals.
Components:
- Capabilities: Skills, competencies, and capabilities of the workforce.
- Behaviors: Alignment of workforce behavior with organizational culture and values.
- Results: Individual and team performance outcomes.
- Work Environment: Factors affecting employee engagement and productivity.
Usage:
- Used by HR and organizational leaders to assess and enhance workforce performance.
- Helps in identifying areas for improvement in workforce management.
HR Analytics Purpose:
- HR Analytics involves using data analysis and statistical methods to make informed HR
decisions.
- It focuses on uncovering patterns, predicting future trends, and making data-driven
decisions.
Components:
- Descriptive Analytics: Analyzing historical data to understand past performance (e.g.,
turnover rates, absenteeism).
- Predictive Analytics: Using statistical models to predict future trends (e.g., predicting
employee turnover).
- Prescriptive Analytics: Recommending actions based on data insights (e.g., optimizing
recruitment strategies).
Usage:
- Used by HR professionals and data analysts to improve decision-making processes.
- Helps in identifying trends, optimizing HR practices, and improving organizational
outcomes.
Key Differences
- Focus and Scope:
- HR Scorecards: Broad focus on aligning HR activities with business strategy.
- Workforce Scorecards: Specific focus on aligning workforce performance with strategic
goals.
- HR Analytics: Focus on data-driven insights for decision-making across various HR
functions.
- Components and Metrics:
- HR Scorecards: Include a balanced set of metrics from financial, customer, internal
processes, and learning and growth perspectives.
- Workforce Scorecards: Emphasize capabilities, behaviors, performance outcomes, and
work environment.
- HR Analytics: Use a range of descriptive, predictive, and prescriptive analytics to derive
insights from HR data.
- HR Scorecards: Strategic alignment and tracking of HR performance.
 - Workforce Scorecards: Managing and enhancing workforce capabilities and performance.
- HR Analytics: Data-driven decision-making and trend analysis.
By understanding these distinctions, organizations can effectively utilize each tool to
optimize their HR strategies and workforce management practices.

HR Maturity Framework: From level 1 to level 5,

The Human Resource Analytics (HRA) Maturity Framework typically consists of several
levels that describe the progression of an organization's capabilities in using data and
analytics to make HR decisions. The framework usually spans from basic reporting to
advanced predictive analytics and strategic decision-making. Here is a general outline of the
five levels of HRA maturity:
### Level 1: Operational Reporting
**Characteristics:**
- Basic data collection and reporting.
- Focus on operational metrics such as headcount, turnover rates, and time-to-hire.
- Reports are often static and generated periodically.
- Limited use of technology and mostly manual processes.
- Data is siloed and not integrated across different HR systems.
**Example Activities:**
- Generating monthly headcount reports.
- Tracking employee attendance and leaves manually.
### Level 2: Advanced Reporting and Dashboards
**Characteristics:**
- Implementation of advanced reporting tools and dashboards.
- Real-time access to key HR metrics.
- Interactive dashboards for better data visualization.
- More focus on data accuracy and consistency.
- Initial steps towards integrating data from various HR systems.
**Example Activities:**
- Creating interactive dashboards for monitoring key HR metrics.
- Using tools like Excel or simple BI tools for data visualization.
### Level 3: Strategic Analytics
**Characteristics:**
- Data is used to support strategic HR decisions.
- Integration of various data sources for comprehensive analysis.
- Use of statistical methods to identify trends and patterns.
- HR analytics is aligned with business strategy.
- Establishment of dedicated HR analytics teams.
**Example Activities:**
- Analyzing workforce demographics to support diversity initiatives.
- Conducting surveys to understand employee engagement and its impact on performance.
### Level 4: Predictive Analytics
**Characteristics:**
- Use of advanced statistical techniques and machine learning models.
- Predicting future HR trends such as turnover, hiring needs, and talent gaps.
- Proactive decision-making based on predictive insights.
- High level of data integration and automation.
- Focus on continuous improvement and innovation in HR processes.
**Example Activities:**
- Building predictive models to forecast employee turnover.
- Using machine learning to identify the best candidates for specific roles.
### Level 5: Prescriptive Analytics and Optimization
**Characteristics:**
- Use of prescriptive analytics to provide recommendations and optimize HR processes.
- High reliance on artificial intelligence and advanced analytics techniques.
- HR analytics is fully integrated into business processes.
- Data-driven culture is embedded throughout the organization.
- Continuous real-time monitoring and optimization of HR strategies.
**Example Activities:**
- Using AI to provide personalized career development plans for employees.
- Implementing real-time optimization of workforce planning and scheduling.
### Summary
The HRA Maturity Framework guides organizations from basic reporting to advanced
analytics, ultimately embedding a data-driven culture that optimizes HR processes and aligns
them with business strategy. The journey involves improving data collection, integrating
systems, adopting advanced analytics techniques, and fostering a culture of continuous
improvement and innovation.

HR Analytics Frameworks: (a) LAMP framework; (b) HCM:21 Framework and (c)
Talentship
Human Resource (HR) analytics frameworks provide structured approaches to understanding
and leveraging HR data to drive better business outcomes. Here are three prominent HR
analytics frameworks:
(a) LAMP Framework
The LAMP framework, developed by John W. Boudreau and Peter M. Ramstad, stands for
Logic, Analytics, Measures, and Process. It is a strategic approach to HR analytics that
ensures the alignment of HR practices with organizational goals.
- Logic: This component focuses on the underlying logic of HR initiatives. It involves
understanding the strategic objectives of the organization and how HR practices contribute to
these objectives. It ensures that HR initiatives are aligned with business goals.
- Analytics: Analytics involves the application of statistical and data mining techniques to HR
data to uncover patterns, trends, and relationships. It helps in making data-driven decisions
about talent management, such as predicting turnover, identifying high-potential employees,
and improving recruitment strategies.
- Measures: Measures refer to the metrics and KPIs used to evaluate HR initiatives and their
impact on the organization. This includes traditional HR metrics like turnover rates, time-to-
hire, and employee engagement scores, as well as more advanced metrics derived from
analytics.
- Process: The process component involves the continuous improvement of HR practices
based on insights gained from analytics. It ensures that HR initiatives are implemented
effectively and that the organization adapts to changing conditions and new insights.
(b) HCM:21 Framework
The HCM:21 (Human Capital Management in the 21st Century) framework, developed by
Brian E. Becker, Mark A. Huselid, and Richard W. Beatty, emphasizes a strategic approach
to managing human capital.
- Strategy Map: This tool helps align HR strategies with the overall business strategy. It
provides a visual representation of how HR initiatives contribute to business objectives.
- Balanced Scorecard: This component involves the use of balanced scorecards to measure
and manage HR performance. It includes financial, customer, internal process, and learning
and growth perspectives.
- Workforce Scorecard: This scorecard focuses specifically on workforce-related metrics and
their impact on business performance. It includes measures of workforce capability,
workforce engagement, and workforce alignment.
- Human Capital Strategy: This strategy involves the development of HR practices that
enhance workforce capabilities, motivation, and alignment with organizational goals. It
includes talent management, leadership development, and organizational culture initiatives.
(c) Talentship
Talentship, developed by John W. Boudreau and Peter M. Ramstad, is a strategic approach to
talent management that emphasizes the importance of managing talent as a key organizational
asset.
- Strategic Segmentation: Talentship involves the segmentation of the workforce based on
their strategic value to the organization. It focuses on identifying key roles and talent pools
that have the most significant impact on business success.
- Talent Decision Science: This component involves the application of decision science
principles to talent management. It uses data and analytics to inform talent decisions, such as
recruitment, development, and retention strategies.
- Talent Architecture: Talent architecture refers to the design and implementation of HR
systems and processes that support the organization's strategic talent needs. It includes the
development of talent pipelines, succession planning, and performance management systems.
- Value Proposition: Talentship emphasizes the creation of a compelling value proposition for
employees, ensuring that the organization attracts, retains, and engages the right talent. This
includes competitive compensation, development opportunities, and a positive work
environment.
These frameworks provide different perspectives and tools for leveraging HR analytics to
drive organizational performance and strategic success.