Whether you realize it or not, your human resources (HR) department is one of the most pivotal sectors within your organization. If managed strategically, your HR department could enhance your business in a number of ways. Moreover, interactive HR dashboard templates offer businesses the means to better understand their personnel, spot emerging problems or issues, and deploy proactive solutions to manage their HR departments in a more fluent, result-driven fashion.
Furthermore, frequent reporting through HR analytics tools helps companies uphold their business culture, attract and retain employees, and provide them with invaluable knowledge while offering the astute ability to perform at their best potential.
Part of being an effective, data-driven organization in today’s hyper-connected digital world is the intelligent application of data analytics through integrated, HR-focused BI dashboards. By leveraging HR KPIs (Key Performance Indicators), which are measurements that enable businesses to track very specific areas of human resources-related data, companies like yours can continuously and consistently improve their HR capabilities.
How, you ask? Well, a cohesive, well-oiled HR department will offer your business the following benefits:
- Your HR department can help to catalyze internal training and development, keeping your staff engaged and upskilled on a continual basis.
- By fostering a solid company culture, regularly updating internal values and regulations, and keeping organizational structures flowing, your HR department can be responsible for helping everyone within the business remain motivated and focused.
- A solid HR department will play a pivotal role in recruitment, ensuring that you make the best and most valuable hiring decisions for your business.
- If a human resources department is well organized, approachable, reliable, and able to iron out any potential issues or conflicts of interest, your staff will feel safe, confident, and more loyal.
It’s clear that your HR department is an integral part of your business – it’s the beating heart in many ways – and if you run it the right way, you’ll reap great rewards. One of the most effective ways to enhance your human resources department is by adopting a data-driven approach by using HR reports to your advantage.
Human resources reports play a pivotal role in the effective management of your business’s human HR activities, big or small.
HR reports, at their core, foster informed decision-making, enabling partners, investors, and stakeholders to gain a wealth of invaluable insight into the organization. With the current accelerated rate of digital technologies available to augment HR processes, it’s vital for businesses to take advantage of modern, dashboard reporting methods.
Here, we consider what HR reports are, what they do, and explore the value of human resources reports in the modern age. You’ll not only gain a comprehensive insight into the workings of an HR report, but you’ll gain a deeper understanding of these data-driven online dashboards in a real-world business context.
“Every good conversation starts with listening.” – Tom Haak
What Is An HR Report?
Fundamentally, an HR report is an analytical method used to display human resources-related stats, insights, and metrics with the primary purpose of improving workforce performance, recruiting procedures and other relevant HR processes with the help of HR dashboards.
There are various KPI examples, but by working with HR-driven metrics, it’s possible to spot trends, identify inefficiencies, capitalize on strengths, and fortify weaknesses in a number of key areas, making your human resources efforts, activities, and initiatives the best they can possibly be for departments across the organization.
Why Do You Need HR Reports?
In the age of information, HR reports are powerful tools.
It’s clear that a human resources report is critical if you want your HR department to thrive our data-rich age. To put this into perspective, here are 6 primary reasons why you should embrace the power of human resource reports:
Comprehensive business dashboards provide companies with the ability to forecast future HR events for risk mitigation and effective planning via predictive analytics capabilities. There are some key reasons to utilize human resources reports during specified time periods, such as monthly and annual:
- Identify problem areas: HR reports provide a great way to track issues in an analysis-driven, transparent method. Managers and other business professionals are able to determine turnover rates per manager and pay close attention to employee retention efforts, and HR departments can leverage the information to define and implement improvements.
- Manage information: a monthly or an annual HR report template will provide in-depth insights on the ongoing developments within various teams and departments. This can include an indication of risks, such as an abnormally long replacement time period when an employee is about to leave the business.
- HR monitoring: Businesses can follow critical metrics within their workforce and discover trends and opportunities during the early stages. Also, problems can be handled before they negatively affect the organization.
- Effective planning: HR reporting is an exemplary way to plan strategies and initiatives in areas from recruitment to employee engagement and beyond by painting a clear, data-driven picture that will ultimately allow you to make informed decisions that yield real long-term results.
- Predictive forecasting: Building on the previous point, HR reporting also offers a viable means of predictive forecasting through the analysis of digestible data that aligns with both your business’s short-term and long-term goals. If you’re able to make accurate, informed decisions backed by quality visual data, you will perform better – it’s that simple.
- Enhanced communication: The flexible user-friendly nature of HR monthly reports or annual HR reports means that everyone working both within and outside your human resources department will be able to extract value from the data before them, and if required, access a live dashboard from a number of devices or media 24/7. This, in turn, will improve communication throughout the organization.
BI dashboards provide consistent value for all types of business models and industries with accurate management reporting capabilities – and that, in a nutshell, is why they’re so incredibly valuable.
Aligning Business Objectives With HR Data
Now that we’ve uncovered the meaning and undeniable value of human resources reports, we’re going to delve into using this wealth of data to align your business objectives.
Human resources departments need to align with business objectives that are defined by senior-level executives and other key leadership teams. Furthermore, recruitment, performance management, employee engagement, and turnover are typically better managed with the insights provided by interactive data dashboards.
The role of HR reports for management is to help companies obtain a clearcut overview of important HR data from across diverse systems, as well as the analysis of key performance indicators in real-time, to make predictive decisions and gather information methodically.
Though metrics and HR report templates can be customized, some key features include important standard metrics that provide companies with an organizational overview of HR department activities:
- Education level
- Training costs
- Recruitment costs
- Function type
- Active employees
- New hires
- Cost of labor
- Recruitment costs
These HR-centric metrics and KPIs serve to provide businesses with customized information that can be applied towards meeting their marketing, design, supply and demand, and overall strategic objectives and goals.
Consistent analytical reporting over specified time periods, such as HR monthly reports and HR annual reports, will keep businesses updated on all elements of human resources activity in timely, scheduled increments.
1. Monthly HR Report Template And KPIs
Monthly HR reports offer significant opportunities to connect businesses with new talents while obtaining an overview of the contributions being made by their current employees. A human resources monthly report impacts business outcomes in a variety of ways, from new recruitment and hiring strategies to measure efficiency levels within a monthly time frame.
Here, we’re going to look at a business report example in the form of an HR report sample that focuses on these particular, mentioned areas.
a) Recruiting HR Report Template and KPIs
This priceless HR monthly report template below drills down deep into the acquisition of fresh new talent that will help drive the business forward. Your staff is the people who can make or break your business, which means that hiring the right talent for your company is essential.
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The recruitment HR report has the potential to match your organization with the right people for specific job vacancies. Additionally, by working with a mix of targeted KPIs, you’ll also be able to make your recruitment processes more efficient both in terms of cost, time, and turnover.
Here are the KPIs that are affiliated with this specific HR monthly report template:
- Cost per hire: Indicates everything you need to find the perfect personnel for your business and measures the amount of resources that are invested for each new employee. This includes all the expenses from the recruitment processes – such as advertisements, marketing, referral incentives – and the training cost – such as the time of managers, instructors, and materials. The company budget needs to be considered during the hiring process. Therefore, investments in talent will bring back value. KPIs include costs per hire according to the recruitment score to see which is the most or least expensive.
- Recruiting conversion rate: This enables businesses to discover the best method for recruitment and focuses more on HR executives than regular employees. KPIs measure the ratio of the total number of applicants who convert to hired employees at the end of the recruitment process. Ratios are dependent on region, sector, and company. The main purpose of this metric is to find the source that provides the best candidates at the lowest cost.
- Turnover rate: This metric enables businesses to track their retention efforts and measures how many employees must leave the business. It tracks retention efforts and facilitates plans for talent replacement. Root causes for turnover rates can be monitored so that potential problems can be identified and fixed in the early stages.
- Time to fill: Track how long your company needs to find a new employee by measuring the time elapsed between the time a job offer is posted and the time a new employee is hired. This informs the realistic business planning process, such as layoffs and employees who are quitting. KPIs include reaching an objective and evaluating a process rather than lowering numbers at all costs like shown in the example below:
b) Monthly HR Report Metrics Examples
In addition to the KPIs linked to our recruitment human resources monthly report template, there are other metrics you can use to enhance your HR monthly reports:
- HR FTE (Full-Time Equivalent) ratio: the number of FTE per individual HR FTE on a monthly basis.
- HR costs per employee: this is the HR expense for each employee on a monthly basis dependent on headcount.
- HR costs per FTE: the HR cost for each FTE on a monthly basis.
- HR headcount ratio: the number of staff per individual HR staff person.
- Total HR costs as a percentage of overall labor costs: the total cost of HR as a percentage of total labor costs on a monthly basis.
- Total HR costs per employee for permanent and non-permanent employees: the total cost of HR for each employee on a monthly basis.
- Union percentage: in terms of a human resources monthly report template, this includes the number of employees belonging to a union as a percentage of the overall headcount.
- Issue Resolution Cycle Time: this measures the average number of hours needed to settle different concerns – general issues, serious issues, potential lawsuits, labor conflicts.
2. Annual HR Report Templates and KPIs
Moving on from HR monthly reports and the dynamics of an HR monthly report template, it’s time to delve deeper into annual HR reporting.
HR annual reports enable companies to evaluate human resources activities that affect your company’s performance each year to drive competitive strategies and determine if action needs to be taken in your HR environment to increase the dynamics of HR development. The above-mentioned human resources report template can also be utilized for annual reporting needs. However, we have additional examples to enhance the HR annual report requirements.
a) Employee Performance: HR Annual Report Template and KPIs
As mentioned, your employees are integral to the ongoing success of your organization, and it’s up to your human resources department to help encourage and optimize employee performance on a continual basis.
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This particular HR report sample, or HR report template, helps to form a visual narrative of key performance elements such as absenteeism, overtime, training costs, and overall employee productivity rates throughout the organization. In turn, this HR sample provides a perfect storm of information for keeping your business as productive as humanly possible. This annual HR report example drills down into important elements of the workforce and its structure in a host of key areas.
These are the KPIs linked to this particular HR report template:
- Absenteeism rate: The above HR report sample displays an example of employee performance. This enables businesses to measure the engagement level of employees and is an important KPI because it indicates an employee’s level of motivation and engagement with his or her work and the company as a whole. Organizations should keep a close eye on this metric and must always attempt to reduce the number because of the impact on the company. Companies can determine the reason behind employee absenteeism rates over the past month to see if it’s unique to a certain department or if it’s a widespread issue throughout the entire organization.
- Overtime hours: This enables organizations to track employee workloads in greater detail and shows employee dedication as well as work process flaws. This metric directly affects the absenteeism rate metric, and a permanent high workload is sure to reduce employee satisfaction levels, which can result in an increase in absenteeism rates. Permanently high overtime can limit the company’s growth potential while resulting in missing projects or orders.
- Training costs: These metrics are used to calculate the investment that has gone towards on-boarding new hires and upgrading the skill level of the employees. It tracks employee development costs and new skill requirements. Training costs are not limited to new hires and extend to better job development skills and continuous learning.
- Employee productivity: This determines the effectiveness of your labor force that is calculated by dividing the total sales by the number of employees. Components that factor into this metric include availability and the amount of time when employees are working, employee performance, the quantity of product delivered, and quality of saleable products produced during a set time period. Productivity metrics enable companies to understand the employee performance and adjust working processes where applicable. You can see a visual example below:
b) Workforce Dashboard: HR Annual Report Template and KPIs
This particular one of our sample HR reports for management explores general workforce-based metrics that will help your business grow, evolve, and develop overtime through smarter, more data-driven employee management:
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The insights served up by this HR report template (one of our best HR report sample) will offer a level of insight that will improve the way you engage your employees, help you better reward good work, save costs in critical areas, and encourage employee loyalty – all of the key ingredients of a successful business.
Here are the primary KPIs associated with this HR report example:
- Part-time employees: indicates the evolution of part-time workers over a specified time period. Part-time workers are good for the beginning stages of companies and don’t acquire much risk. KPIs include the tracking of part-time contracts parallel to metrics like company performance and results as well as employee satisfaction and engagement.
- Female to male ratio: measures the level of gender diversity in your business, which can indicate gender bias. It’s critical to be aware of diversity to acquire differing approaches to business innovation and gain competitive assets. KPIs depend on candidate availability at certain times.
- Internal mobility: the internal mobility refers to every initiative or action related to the promotion, appointment, or hire for a position of an employee already enrolled in the company’s workforce. This internal mobility summary displays various figures related to it – promotions to the position of director and managing director, the ratio of positions filled through internal initiatives relative to the total positions, and finally – the percentage of vacancies filled internally.
- Average time stay: indicates the longest time period employees stay with the company and whether the company is good at retaining talent. The metric tracks the average number of weeks, months, or years that an employee stays. The longer the stay, the better for the company’s return on investments for hiring and training. An example can be seen below:
c) Annual HR Report Metrics Examples
We’ve explored sample HR reports for management as well as the practical workings of an HR annual report template. Now it’s time to look at metrics that can further boost your year-on-year human resources-based activities.
These cost-related metrics can also be used for annual HR reports to show to top-management and the financial department:
- Labor cost per FTE: the average expense of labor that a company spends for each FTE on an annual basis.
- Labor cost revenue percent: the total labor cost as a percentage of the annual business revenue.
- Labor cost expense percentage: the total labor cost as a percentage of the total annual expenses.
- Benefits as a percentage of labor costs: the total cost of benefits as a percentage of the total annual labor costs.
“Train people well enough so they can leave. Treat them well enough so they don’t have to.” – Sir Richard Branson
Support Business Strategy Development With Interactive HR Reports
Whatever the dashboard – whether it’s HR reports for management, an annual HR report template, or a monthly online data visualization of employee performance – it’s clear that taking a data-driven approach to your human resources department is essential in today’s digital world.
HR departments are no longer a supportive role in an organization’s business development strategies. On the contrary – human resources serve to enhance and augment a business’s overall success and set the pace for an organization’s future.
Data analytics and reporting tools are the protocol needed for businesses to create better processes and training procedures, be proactive about management, monitor trends in their HR department, and utilize personnel most effectively. HR monthly reports and HR annual reports are the key to optimizing human resources goals.
Companies can visualize their most invaluable HR data with dashboard software that provides them with enhanced graphs, charts, tables, metrics, and KPIs to better understand the wealth of insights before them.
Now that you’ve journeyed deep into an HR report template or two and understand the value of these dashboards for business growth, you’re ready to accurately evaluate crucial HR components over set time periods with dynamic, automated HR dashboards. Try datapine for free with our 14-day trial!