HR Metrics Calculators
Human resource professionals are using metrics more frequently to help understand the impact of
HR on the bottom line. See the terms below to learn the definition and formula for the following
metrics:
Calculator
Description
Formula
Revenue per Employee, also known in its more
Revenue per Employee
advanced form as the Human Capital Revenue
Revenue
Factor, quantifies the value of labor as a
Total Number of FTE's
revenue generator to an organization.
Profit (or Loss) per Employee quantifies what
Profit per Employee
value, as reflected by profit or loss, employees
contribute to the organization.
( Revenue - Total Operating Expenses [before
taxes and interest] )
Total Number of Full Time Equivalents (FTE's)
HR Expense factor is a measurement that
HR Expense Factor
demonstrates a cost of the human resource
HR Expense
function as a percentage of an organization’s
Total Operating Expense
total expense
Total Compensation as a
Percentage of Revenue
The Total Compensation as a Percentage of
Revenue factor is an indicator measurement
that is used to monitor labor costs.
Calculating
Absence Rate
the
absence
rate
[Workforce on Payroll] )
Revenue
helps
an
organization determine the number of days lost
as a result of all absences from work during a
given period.
Turnover Rate
( Compensation Cost + Benefit Cost
Workdays Lost Due to Absence
( Average Employee Population x Number of
Work Days Available per Employee )
Turnover is an area heavily studied by all
Total Number of Employees who Terminated
organizations to determine movement out of
During the Period
an organization (separations).
# of Active Employees During the Period
(Continued)
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(Advertising C + Agency C + Employee
Cost per hire calculates what the true cost of
Cost per Hire
Turnover/Replacement
Cost
hiring
a
new
employee
avenues
and
or
placement.
(C = Costs)
through
through
Reference Checking C )
internal
x
1.10 Number of Hires
Turnover/Replacement Cost measures the cost
( Separation C + Replacement C + Training C
of turnover and looks at the cost of replacing
+ Performance Differential )
the exiting employees.
Benefit Cost as a
Percentage of Revenue
Benefit Cost as a
Percentage of Total
Compensation
Referrals + travel C + Relocation C +
external
Number of Hires
The Benefit Cost as a Percentage of Revenue
factor is an indicator measurement that is used
to monitor non-taxable/non-cash labor costs.
Benefit Cost
Revenue
The Benefit Cost as a Percentage of Total
Compensation is an indicator measurement
Benefit Cost
that is used to monitor non-taxable/non-cash
Total Compensation Cost
labor costs.
Variable compensation as a percentage of total
Variable Compensation as
compensation
a Percentage of Total
demonstrates how much of an organization’s
is
a
measurement
that
Compensation
total compensation can vary with the revenues
Variable Compensation
Total Compensation
of the organization.
Time to fill is a measurement of how long it
Time to Fill Jobs
takes an organization to fill a position once the
opening has been approved.
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Total Number of Days of Opened Jobs
Total Number of Jobs
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