Measuring human capital, driving business results
Using a proven methodology developed over some 25 years across the world, Saratoga benchmarking and measurement services produce an executive appraisal of the strengths and limitations of an organisation’s human capital resource, enabling organisations to focus upon those issues that will have a major impact on improving performance and increasing competitive advantage. By combining metrics with the PwC client experience of best practice, Saratoga benchmarks and measures are used to provide a valuable insight into the key drivers of HR functional effectiveness and human capital performance.
Using the Saratoga benchmarks, PwC India's People & Change practice survey conducted a survey titled Measuring human capital, driving business results amongst 37 Indian companies. The survey report provides performance metrics and benchmark data to help companies understand their employees’ contributions to business performance. It reveals that organisations in India that focus on maximising employee contribution to business growth are better positioned for future growth.
Some of the key findings of the report are:
- Organisations make profit of INR 15 per employee on every INR 100 of revenue earned per employee
- Women representation is as low as 9% in Indian workforce as compared to 50% in Europe.
- Eng/ manufacturing sector have the highest proportion of performance related pay relative to total compensation and generate the most revenue and profit per employee
- Pharmaceutical companies spend the highest amount (INR 10,000) on Learning & Development (L&D) per employee and deliver the highest number of L&D hours per employee.
- IT/ITeS have the lowest spend on L&D per employee and the highest termination and resignation rate.
The report also provides insights on how companies in the race for growth can better manage their human capital.
