Human Capital Repor�ng assists organisa�ons to move towards a more data-driven decision-making process across all facets of workforce manage-ment. It enables organisa�ons to run HR like a business. If Human Capital repor�ng is firmly established, the next step is the implementa�on of advanced people analy�cs. By using the metrics for public repor�ng external-ly, organisa�ons can also fulfil the needs of investors and other stakeholders seeking a firmer grasp of an organiza�on’s most valuable resource, human capital metrics when properly interpreted can, in �me, provide some predict-ability on your human capital’s poten�al to deliver sustainable growth. The ISO 30414 Human Capital Repor�ng Standard offers following benefits:

The use of standardized and agreed upon data, which describes organiza�onal value in a broadly comparable sense.

The improvement of HR management processes that support good prac�ce in establishing and maintaining posi�ve employment rela�ons.

Greater understanding of the financial and non-financial returns that are generated because of investments in Human Capital.

Accessible and transparent repor�ng of Human Capital data and insights that enhances internal and external understanding and assessment of an organiza�on’s HC and its present and future performance.

Benefits of using Human Capital Repor�ng Standard

INTERNATIONAL HR STANDARD ISO 30414: HRM: Guidelines for Internal and External Human Capital Repor�ng

The ISO 30414 is a voluntary guideline for all types and sizes of organisa�ons, with the aim of establishing a worldwide standard for the quan�fica�on and analysis of key employee-related metrics. It has been developed by many experts across the world, including academia, HR associa�ons, HR prac��oners from small and large companies, and HR consultants. The standard contains 58 metrics around 11 areas of workforce management. Some metrics are for internal repor�ng while others are for external stakeholders. All metrics are differen�ated, with specific recommenda-

Modern organisa�ons recognize that the bulk of value crea�on is by an organiza-�on’s people, and that good management prac�ces and decisions can enhance performance. Using people analy�cs supports HR professionals in organisa�ons seeking to adopt a more data-driven decision-making process as opposed to decisions based on gut feelings. However, before organisa�ons can take this step and start with advanced People Analy�cs, there is the need to build a strong data founda�on and overall metrics landscape. This is where the ISO 30414 Human Capital Repor�ng Standard comes into play. Human Capital repor�ng provides qualita�ve and quan�ta�ve informa�on on the workforce (Human Capital) and HR prac�ces. The goal is to make value contribu�on of human resources to the organiza�on more transparent. The standard can also be used as a tool to demonstrate an organiza�on’s social responsibility to internal and external stakeholders. CEOs are under growing pressure from investors, investment companies, government regulators, customers, employees, and communi�es, organiza�ons to invest in all their stakeholders, including employ-ees, customers, distribu�on partners, vendors, and communi�es and to disclose those investments and outcomes. Following are key reasons for using Human Capital Repor�ng Standard by the organiza�ons.

ISO standards provide the first and most widely accepted roadmaps for voluntary, strategic and systema�c processes that improve outcomes and experiences.

With the new focus on human capital as an asset, the funds organiza�ons budget to engage people are increasingly becoming considered an investment with a desired ROI, crea�ng a new demand for voluntary, sensible and auditable prac�ces.

By connec�ng the dots between the organiza�on’s brand, culture, and objec�ves, with the prac�ces used to engage all stakeholders, leaders can not only improve performance through efficiencies but create be�er experiences for all stakeholders.

Why Human Capital Reporting Standard is important Elements of Human Capital Reporting Standard

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HR Metrics can provide you following services

Organiza�onal Gap Analysis Audit on Human Capital Repor�ng Standard

Consul�ng and Training on Human Capital Repor�ng Standard

Technology Solu�on to Implement Human Capital Repor�ng Standard

HR Metrics is recognized by SHRM to offer SHRM-CP or SHRM-SCP professional development credits (PDCs). This

program is valid for 16 PDCs. For more informa�on about cer�fica�on or recer�fica�on,

please visit www.shrmcer�fica�on.org

Zahid Mubarik is the CEO of HR Metrics and SHRM Partner in Pakistan. He is a global expert in human capital measurement metrics/analy�cs. Zahid is the only HR Leader from Asia to become member ISO Technical Commi�ee 260 which comprised of experts from 11 countries including USA, UK, Pakistan, France, Germany, Sweden, Switzerland, Austria, Norway, Netherlands and Portugal for developing global HR standards. Zahid ac�vely par�cipated in HR standards mee�ngs at Washington, London, Melbourne, Ro�erdam, Paris, Singapore, Bali and Milan. As a recogni�on of his contribu�on, he was elected as Global Convener of ISO HR Metrics Standards Working Group. During his leadership, ISO published two global HR standards specifica�ons including Quality of Hire and Impact of Hire”. He has the honor of being dis�nguished speaker in interna�onal HR conferences/seminars at Las Vegas, Beijing, Moscow, Baku, Hanoi and Dubai. Zahid introduced SHRM Competency based HR Cer�fica�on in Pakistan. Zahid is a member Board of Directors, The Centre for Global Inclusion USA. He introduced Global Diversity & Inclusion Bench-marks Standards in Pakistan. He is the Chief Editor HR Magazine Workforce Tomorrow.

Zahid Mubarik SHRM-SCP, SPHRi, GPHR: CEO HR Metrics

Chief Consultant :

Which Countries Have Hosted ISO HR Standards Meeting?

Which Countries Have Hosted ISO HR Standards Meeting?

Mee�ng in Washington DC, hosted by ANSI USA

Mee�ng in Melbourne, hosted by Standards Australia Mee�ng in Berlin, hosted by DIN Germany Standards

Mee�ng in London, hosted by Bri�sh Standards Insitute UK

Mee�ng in Bali, hosted by BSN Indonesian Standards

Mee�ng in Singapore, hosted by Spring Singapore StandardsMee�ng in Dublin, hosted by Na�onal Standards Authority of Ireland

Mee�ng in Ro�erdam, hosted by Na�onal Netherlands Standards

HR Standards Mee�ng at Engro Corpora�on

HR Standards Memento by Federal Minister for Science & Technology

World Standards Day 2015: Message by Prime Minister

Mee�ng with Federal Secretary Ministry of Science & Technology Islamabad

Mee�ng at Pakistan Standard & Quality Control Authority Karachi

World Standard Day Karachi 2015

HR Standards Mee�ng at Pakistan Ins�tute of Corporate Governance

World Standard Day 2016: Talk by Former Federal Minister for Finance

World Standards Day 2017

FAQS

A Standard is a document that provides requirements, specifica�ons and guidelines or characteris�cs that can be used consistently to ensure that materials, products, process-es and services are fit for their purpose.

ISO is a legal associa�on of members of na�onal standards bodies of 162 countries, supported by a Central Secretariat based in Geneva, Switzerland. The foremost aim of interna�onal standardiza�on is to facilitate the exchange of goods and services through the elimina�on of technical barriers to trade. ISO develops interna�onal standards for all industry sectors--except for electro technology, covered by IEC (Interna�onal Electro-technical Commission), and telecommunica�ons, covered by Interna�onal Technical Union.). ISO has 326 technical commi�ees for standards development and they have developed over 23,012 Interna�onal Standards for various profession so far. ISO standards make a posi�ve contribu�on to the world we live in.

The global economy is transforming the defini�on of value from physical to intellectual capital. Business is considered as the most powerful indicator of economy. The World Trade Organiza�on (WTO) requires its member countries to use interna�onal standards. Es�mates by the Organiza�on for Economic Co-opera�on and Development (OECD) show that standards and related conformity assessment have an impact on 80 % of the world’s trade in commodi�es. Here are few examples from leading economies. Source: h�ps://www.iso.org/news/2012/08/Ref1639.html

Who Develops Standards?

Why Standards are Important?

What is a Standard?

In Canada, the increase in the number of standards accounted for 17% of the labor produc�vity growth rate and about 9 % of the growth rate in economic output (real GDP) from 1981 to 2004.

In the past, ISO standards were developed only for the manufacturing sector. Currently more than 70% of the global economy is comprised of the service industry. The ISO human resources standards offer broad, coordina�ng guidance to human resources prac��oners and harmonize disparate prac�ces for the benefit of organiza�ons and their employees. They are designed to boost local economies by removing of barriers to trade, enhancing interna�onal market access and improving business efficiency, flexibility, and providing a cost-effec-�ve means of complying with interna�onal and regional rules and conven�ons and enhancing employee sa�sfac�on. HR standards specify the minimum effec�ve approaches, measurements and metrics to perform essen�al workforce management prac�ces.

The standardiza�on processes extends to all fields of human resources manage-ment, including Workforce Planning, Talent Sourcing, Recruitment, Selec�on, Retrenchment, Training and Development, Job Analysis, Job Design, Organiza-�onal Development, HRIS, Performance Appraisal, Total Rewards, Employee Rela�ons, Legisla�ve and Regulatory compliance, Change Management, Diversi-ty and Inclusion Management, Expatriate Management, Human Resources Communica�ons, Workforce Readiness and Sustainability, Leadership Develop-ment, Human Resources Shared Services, Metrics, Analy�cs, Professional Cer�fica�on, Wellness and Work/Life Balance Programs, Human Resources Aspects of Alliances, Joint Ventures, Mergers and Acquisi�ons, Human Resourc-es Terminology and Nomenclatures.

What are ISO Human Resources Standards

In the UK, standards made an annual contribu�on of 2.5 billion pounds to the economy, and 13% of the growth in labor produc�vity was a�ributed to standards.

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What are Business Benefits of Human Resources Standards?

The HR standards offer broad, coordina�ng guidance to HR prac��oners and harmonize disparate prac�ces for the benefit of organiza�ons and their employees. As a result of applying these standards: Labor markets can become true marketplaces, in which commonly understood forms of transac�ons include employee competencies, complete and �mely informa�on, and virtual/flexible working arrange-ments; crea�ng talent exchanges analogous to stock exchange transac�ons.

Talent in developing countries will have increased access to job opportuni�es elsewhere due to interoperable workforce staffing prac�ces.

Standardized HR processes reduce paper documenta�on and promote telecommu�ng and distance learning, further reducing the carbon footprint created by business travel needs and redundant administra�ve workforce prac�ces.

Mul�na�onal companies can share talent and labor more quickly and with less risk of loss and fewer errors. HR standards can increase employee sa�sfac�on and labor peace as job-to-employee alignment is be�er achieved through consistent and effec�ve management prac�ces.

Consistency in HR prac�ces reduces the cost of inves�ga�ons and other regulatory responsibili�es of government agencies and ministries charged with overseeing workplace prac�ces.

The cost of managing employees declines as workforce management approaches align with the standards and economies of scale across sectors, in reloca�on, benefits, compensa�on and other HR func�ons.

Business leaders finally have a means to measure the value of the intangible assets including HR. The transparency of HR prac�ces enhances the reputa�on of organiza�ons, improves employee morale, lowers labor turnover, decreases accidents, enhances product quality and fosters greater consumer and investor confidence.

Employees’ expecta�ons for treatment and opportunity within organiza�ons are be�er understood by all par�es and his or her competencies and other assets are more portable as he or she transfers among organiza�ons. Whether skilled or unskilled, employees are incen�vized to improve their capability and to trade them across borders to willing employers.

The cost of products and services goes down due to an increase in efficiency of acquisi�on, transfer, and mainte-nance of talent, benefi�ng consumers as well.

HR Management Systems from different organiza�ons can be�er interact without encountering the data transfer barriers among diverse so�ware applica�ons.

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What is Role of ISO Technical Committee 260 HR Standards

With a view to promote consistency and standardize the workforce management prac�ces in terms of responsibili�es and performance expecta�ons, ISO ini�ated standardiza�on of HR and formed a Technical Commi�ee (TC 260) in 2011. Ini�ally the ISO TC 260 was comprised of 11 countries, including the US, France, Germany, Sweden, Switzerland, Austria, Italy, Norway, Netherlands, Pakistan and Portugal. Currently TC 260 has 31 countries with Par�cipa�ng “P” and 26 are Observers “O”. ISO TC 260 secretariat is held by American Na�onal Standards Ins�tute ANSI. Details can be found at h�ps://www.iso.org/commi�ee/628737.html

What All HR Standards have been Published by ISO TC 260

Which Countries Have Hosted ISO HR Standards Meeting?ISO 30400: HRM Vocabulary

ISO 30401:2018: Knowledge management systems -- Requirements

ISO 30405: HRM Guidelines on Recruitment

ISO 30408: HRM Guidelines on Human Governance

ISO 30409: HRM Guidelines on Workforce Planning

ISO 30414:2018: HRM: Guidelines for internal and external Human Capital Repor�ng

ISO/TR 30406:2017: Sustainable Employability Management for Organiza�ons

ISO/TS 30407:2017: Cost-Per-Hire Metric

ISO/TS 30410:2018: Impact of Hire Metric

ISO/TS 30411:2018: Quality of Hire Metric

SO 10667-1:2011: Assessment service delivery — Procedures and methods to assess people in work and organiza�onal se�ngs — Part 1: Requirements for the client

ISO 10667-2:2011: Assessment service delivery — Procedures and methods to assess people in work and organiza�onal se�ngs — Part 2: Requirements for service providers

Below are additional supporting documents that have been published by ISO concerning HRM standardization

American Na�onal Standards Ins�tute (10-11 Nov 2011 at Washington DC).

Standards Australia (23-25 Sep 2012 at Melbourne)

Netherlands Na�onal Standards(24-27 Sep 2013 at Ro�erdam)

AFNOR France Standards (19-23 May 2014 at Paris)

Na�onal Standards Authority of Ireland (1-5 Dec 2014 at Dublin)

American Na�onal Standards Ins�tute (9-13 Nov 2015 Galveston Texas)

DIN Germany Standards (2-4 May 2016 at Berlin)

Bri�sh Standards Ins�tute UK (8-11 May 2017 at London)

BSN Indonesian Standards (11-15 Sep 2017 at Bali)

AFNOR France Standards (14-17 May 2018 at Paris)

UNI-Ente Italiano de Normazione-Italy (18-22 Feb 2019 at Milan)

Standards Australia (2-6 Sep 2019 at Sydney)

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