HR Benchmarks for Modern Times

Transcription

1 HR Benchmarks for Modern Times Karen O Leonard VP, Analytics & Benchmarking Research Jennifer Krider Senior Research Analyst, Analytics & Benchmarking March 10, 2015

2 Topics for Discussion Research Objectives and Methodology Key Findings Wrap up and Q&A 1

3 HR Factbook 2015 Research Objectives and Methodology This year s study was conducted from January to August 2014 Contacts from the Bersin by Deloitte and HR Executive magazine databases were ed invitations to participate in an online survey Only U.S.-based organizations with 1,000 or more employees were included in the analysis The final count of qualified respondents was 251 2

4 HR 2015 Factbook Specific metrics captured HR Benchmarking Metrics 2015 HR Spending Metrics HR Staffing Metrics HR Spend per Employee HR Staff: Employee Ratio Year-over-Year Change in HR Spending Breakdown of HR Staff by Level Percent of HR Spending on HR Staff Payroll Year-over-Year Change in HR Staffing Percent of HR Spending on HR Technology Percent of HR Spending on External HR Services HR Effectiveness Metrics Promotion Rate Voluntary Turnover Rate Involuntary Turnover Rate HR Outsourcing Metrics Recruiting & Sourcing Benefits Administration Payroll Administration HR Helpdesk Source: Bersin by Deloitte,

5 How has HR spending changed over the past year? HR budgets were up 4% in 2014 Source: HR Factbook 2015, Bersin by Deloitte. 4

6 Which industries are spending more Financial Companies Invest More in HR Source: HR Factbook 2015, Bersin by Deloitte. 5

7 How much are companies spending on HR? Current overall HR spending at $2,936 per employee U.S. Total $2,936 Midsize $4,007 Medium $2,674 Large $1,973 Enterprise $1,497 Source: HR Factbook 2015, Bersin by Deloitte. 6

8 How much are industries spending on HR? Manufacturing has the highest spend per employee Manufacturing $4,162 Financial Services $3,729 Technology $2,716 Retail $2,238 Healthcare $2,118 Source: HR Factbook 2015, Bersin by Deloitte. 7

9 How has HR staffing changed over the past year? HR headcount is up 3% in 2014 Source: HR Factbook 2015, Bersin by Deloitte. 8

10 Which industries are staffing up? Manufacturing firms increased HR staffing by 10%. Source: HR Factbook 2015, Bersin by Deloitte. 9

11 How has employee turnover changed? Turnover averaged 20% in 2013, up from 17% in

12 How has employee turnover changed by industry? Manufacturing had the highest turnover at 31%. Source: HR Factbook 2015, Bersin by Deloitte. 11

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14 Business-Embedded Design & Delivery HR Specialist Expertise Use of External Intelligence The Architecture of High Impact HR 5 3 Business Leadership Organizational Performance Manager People Skills Responsiveness & Coordination Alignment & Resilience HR Performance Analytics Empowerment Culture with Bold HR Leadership Belief in Value-Added HR Source: Bersin by Deloitte

15 How much do mature HR organizations spend? Mature HR organizations spend 52% more per employee Level 4: Business- Integrated Level 3: Strategic $4,243 $3,809 Level 2: Fundamental $2,572 Level 1: Compliance- Driven $2,112 Source: HR Factbook 2015, Bersin by Deloitte. 14

16 What does staffing look like in mature HR? Mature HR organizations have higher staffing ratios Source: HR Factbook 2015, Bersin by Deloitte. 15

17 How is HR staffing changing? High-impact HR groups utilize HR specialists 16

18 Mature HR organizations are different Spending has positive impacts 17

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20 Key Points to Remember Compare your key metrics against benchmarks to see how your organization compares As economy picks up, so does employee s employment choice, increasing the voluntary turnover More mature organizations spend more and have more staff per employee Investment pays off: Lower turnover rate Higher promotion rate Stronger talent pipeline 19

21 Are You Ready for HR Factbook 2015? A trusted source of data on HR spending, staffing, and resource allocations, the HR Factbook 2015 provides key benchmarks and valuable guidance to help human resources executives make effective investment decisions. 20

22 Related research 21

23 Join our Benchmarking Collective exchange.bersin.com Participate in research studies to earn rewards Rewards include research reports, books, gift cards, and more.. Sign up and receive our Frameworks and Maturity Models e-book 22

24 Questions Karen O Leonard Vice President, Analytics & Benchmarking Research Bersin by Deloitte Deloitte Consulting LLP koleonard@deloitte.com LinkedIn: KarenOLeonard Jennifer Krider Senior Research Analyst, Analytics & Benchmarking Bersin by Deloitte Deloitte Consulting LLP jkrider@deloitte.com LinkedIn: JenniferKrider 23

25 This publication contains general information only and Deloitte is not, by means of this publication, rendering accounting, business, financial, investment, legal, tax, or other professional advice or services. This publication is not a substitute for such professional advice or services, nor should it be used as a basis for any decision or action that may affect your business. Before making any decision or taking any action that may affect your business, you should consult a qualified professional advisor. Deloitte shall not be responsible for any loss sustained by any person who relies on this publication. About Deloitte As used in this document, "Deloitte" means Deloitte Consulting LLP, a subsidiary of Deloitte LLP. Please see for a detailed description of the legal structure of Deloitte LLP and its subsidiaries. Certain services may not be available to attest clients under the rules and regulations of public accounting. 36 USC Member of Deloitte Touche Tohmatsu Limited