Measurement of HR Function Contribution to Organisational Outcomes; A Practice Framework

The HR function is under scrutiny to demonstrate its contribution to organizational performance. This study examined some of the tools applied by five international organizations to measure the effectiveness of the HR function. We confirmed that where senior leaders intentionally measured the contribution of the HR function to organizational performance, HR professionals scored high engagement rates on intent to stay 3.8 and overall happiness 3.96. Our conclusion is that there is a strong relationship between a culture of measuring the contribution of the HR function to organizational performance and motivation levels of HR professionals. As an outcome of the study, we introduce a tool called the Reliability Validity Relevance (RVR) framework that senior leaders and HR functional leaders can use to measure the contribution of HR to organizational outcomes.