I'm on the record as liking Revenue Per Employee as the best macro metric on HR effectiveness.
But that's macro, let's get micro. Training $$ per employee? Turnover percentage? Does that include involuntary?
Let's roll out something cool, like evaluating innovation spend vs peers. Check out this chart from Business Insider that shows R&D spend as a % of revenue (email subscribers, display images or click through for the post):
As they say... daaaaaaaaaaaaaaaaaaaaaaaaaamn.
So, you can measure your spend on innovation as a percentage of revenue. And when you do that, it tells you some things you would expect - namely, that your competitors are doing what you thought they were doing. Microsoft, Cisco and Google - all leading the pack at over 10% of revenue spent on R&D.
But that of course, tells you nothing about effectiveness. Apple? <insert evil laugh>. Spends about as much Dell - YES DELL - on R&D.
Things that make you go "hmmm"
On to the next one.
Signed - in search of metrics that provide clarity on talent issues.