ISO 30414 HR Human Capital Reporting

Human capital encompasses the total experience, expertise, and talents of an organization, as well as the impact it has on the organizational mission. Human capital assessment enhances the capacity of an enterprise to handle people, one of the most critical resources and challenges. Research demonstrates that companies that do not manage their human resources can affect the company’s capacity and potential to produce long-term and sustainable value achieved by their employees.

ISO 30414 provides guidelines for internal and external human capital reporting (HCR). The aim of this standard is to make the human capital investments and returns transparent to establish a successful work culture and improved use of resources. This standard is applicable to all organizations, regardless of the type, size, nature or complexity of the business, whether in the public, private or voluntary sector, or a not-for-profit organization.

This standard provides guidelines on the following core HCR areas:

• Compliance and ethics;
• costs;
• Diversity;
• Leadership;
• Organizational culture;
• Organizational health, safety and well-being;
• Productivity;
• Recruitment, mobility and turnover;
• Skills and capabilities;
• Succession planning;
• Workforce availability.

Benefits of ISO 30414:
The advantages of a structured human capital reporting (HCR) include:

• Usage of structured and accepted results, which in a generally comparable context defines organizational value.
• Improved HRM procedures that encourage fair practice in the establishment and maintenance of a healthy work place.
• Better understanding of the financial and non-financial returns produced by human capital investments.
• Open and consistent monitoring of data and insights from human resources that facilitates internal and external awareness and evaluation of the human capital of an enterprise and its current and future results.