How Human Capability Creates Value for All Stakeholders

In an age of increased calls for transparency, a rise in regulatory disclosure mandates and a general recognition of a corporation’s need to address the concerns of a wide variety of stakeholders, the ability to understand human capability and its ability to drive business results has never been greater. However, many efforts to articulate stakeholder value through human capability are isolated and piecemeal, using perceptual (interview or survey) data to prepare reports about which initiatives to focus on. There is often little analysis of which HR metrics deliver the most business value.

Dave Ulrich, PhD, Rensis Likert Professor, Ross School of Business, The University of Michigan, proposes a set of guidelines or blueprint he calls the “Human Capability Framework.” This framework helps boards, CEOs, C-suite executives, and other stakeholders make informed choices about which people-related initiatives drive key outcomes, where to prioritize the work of the HR function, and how to better prepare for regulatory disclosures and reporting that can improve business outcomes and build confidence in the organization’s future. The framework has been tested and validated using the latest machine learning/AI technologies in partnership with Amazon Web Services with data from the SEC disclosures of 7,000+ companies.

To listen to the webcast Human Capability and Company Performance, go here.