2010
Meet Barry
Barry joined the organization in 2010
Meet Sammy
Sammy joined as Marketing Consultant also in 2010.
Barry cost $1999 over 10 years, that’s $199.90 per annum.
Sammy costs the organization $60,000 per annum.
Barry came with a barcode that was scanned and attached to the depreciation schedule.
Sammy came with a Resume that was lost after she was hired.
Each year the accountants value Barry.
Each year Sammy’s value goes up, but this increase is not recorded anywhere.
After 5 years, Barry upgraded with more RAM and a new graphics card.
The upgrade cost is noted in the depreciation schedule.
After 5 years, Sammy has a master’s degree in digital design.
Her new skills and the cost of her study are not recorded.
Each year, the CEO formulates a strategy.
But because there are no talent management practices, neither Barry nor Sammy knows their part of the plan.
Both keep doing their jobs hoping they are aligned to the strategy.
Barry does a great job.
His fellow employers are proud to have such top- of- the- line equipment to work with.
Barry gets a promotion.
She is moved upstairs to work in the head of HR’s office.
Sammy develops the best Digital Marketing campaign the organization has ever had.
Sales increase by 40%.
She feels good about this but no one gives her credit for her work.
Sammy is not informed of a vacant position in marketing.
She hears about the role after it is offered to a person from outside of the organisation.
They leave the company after only 3 months.
Sammy should have been an obvious perfect fit for the role.
Frustrated, she requests a meeting with the Head of HR.
As Sammy enters the Head of HR’s office, she meets an accountant who has just finished valuing Barry.
The accountant introduces Sammy to Barry and explains how he is one of the organization’s most valued assets.
There are lengthy records of Barry’s performance over the years.
His net value, locations served and cost to the organization.
Barry has cost the organization $2500.
Sammy has cost the organization $750 thousand.
And has made the organisation more than $10 million.
But this is not recorded anywhere.
Sammy asks the Head of HR:
“Do you know what I do for the company?”
Umm …
“Do you know how much you have invested in me?”
Err …
“Do you know what I can do for the company?”
“Do you know how much revenue I have made for the company?”
You are one of our most valued people!
She now knows the organization has spent more time valuing, developing, and recording the attributes of a computer than they have with her.
I resign.
The CEO hears about Sammy’s resignation. He says to the Head of HR:
We have lost one of our best people in marketing.
Why did this happen?
Like most organisations, our people are viewed …
… as a cost rather than an asset.
We haven’t inventoried our people’s capabilities and skills.
Roles were filled externally as we couldn’t find talent from within.
Leaving existing employees feeling a distinct lack of appreciation.
Like most organisations, we have more information on our computers than our people.
How can we fix this?
PeopleStreme
Human Capital Management
www.peoplestreme.com
www.peoplestreme.com
“Contact PeopleStreme today to learn more about our Human Capital Solutions”
.