hr reporting 2011 - definitions and guidelines

7/28/2019 HR Reporting 2011 - Definitions and Guidelines

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Prepared by: HR Department Confidential

Prepared by: HR Department

Confidential 2009

HR Reporting 2011

Definitions & Guidelines


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Agenda:

I. HR OPEX

II. Administration OPEX

III. Consultancy

IV. HR KPIs


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I. HR OPEX:


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I. HROPEX :

Important Definitions and Calculations:

Total Remuneration: Outlines employee direct compensation excluding allowances and benefits

Calculation Method :Basic Salaries (Temps FTEs - Expats) + Profit Sharing + Long TermIncentives

In calculating the overall HR OPEX, either total remuneration instead of the above components

Salary / FTE and Total Remuneration / FTE are indicators and not to be considered while

calculating the Total Remuneration

Total Insurance Costs: Outlines insurance costs paid for eligible employees

Calculation Method: Medical Insurance for Staff + Medical Insurance for Family + Life

Insurance

Total Benefits Costs: Outlines different benefits paid to the employees

Calculation Method: (Overtime + Vacations Settlements + Fuel / Gas Allowance + Telephone

Allowance + Car Allowance + Transportation Allowance + Housing Allowance + Any additional

allowances that exist (to be identified))

Contribution Costs: costs paid for employees long term benefits

Calculation Method: Provident Funds+ Pension Plan + End of Service Bonus


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I. HROPEX :


Total Training Costs:The sum of all actual (Executed Trainings) training costs spent

Calculation Method: Local and International Training + Local and International Education + E-

Learning

Total Recruitment Costs: All related costs spent on new hiring

Consultancy Costs: HR Consultancy the consultancy budget

Entertainment Costs: Costs spent under the entertainment budget


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II. Admin OPEX:


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II. Administration OPEX :


Total Car Costs:Overall costs spent on car rentals

Calculation Method: Cost of Rented Cars + Car Maintenance + Car Fuel + Parking Costs+ Car

Licensing Costs

Average Cost of Rented Cars = Costs of Rented cars / Number of Rented Cars

Year-to-Date cars rented = the number of cars in the most recent month

No. Of cars rented, average cost of rented cars, No. of cars owned and average costs of buying

cars are not considered when calculating the total cost of cars

Office Rental Costs:

Composes of Office Building, Parking Space Rental, Regional Office Rental, Shops, Warehouse

Rent and Other Rent.

Total Office Rental Costs is a sum of the above

Repairs and Maintenance Costs:

Composes of Office Maintenance, Furniture and other maintenance costs

Total Repairs and maintenance costs is a sum of the above



II. Administration OPEX :


Total Insurance Costs: Total Insurance costs spent on Assets, Cars and offices.

Total Telephone Costs: Total costs spent on Fixed Line, Internet and other GSM Operators.

Miscellaneous Costs: is composed of:

Business Travel Costs

Stationary Costs

Meeting Expenses

Social Events

Security Costs

Cleaning Expenses

Buffets

Cafeteria / Cleaning

Donations



III.Consultancy Costs:



III.Consultancy Costs:


Consultancy Costs:

The consultancy costs represents the costs allocated per department for consulting activities

and the total of the consultancy costs is the sum of all the consultancy costs per department.

The HR consultancy costs should be equal to the consultancy cost figure represented in the HR

OPEX page



IV. HR KPIs:



IV.HR KPIs:


HR KPIs: The key performance indicators are designed to benchmark different organizational and

HR aspects to market trends and best practices

HR KPIs is divided into 3 main sections:

1. Compensation & Benefits KPIs

2. Learning & Development KPIs

3. Business Performance KPIs



IV.HR KPIs :

1. Compensation & Benefits KPIs:

Total Labor Cost as % of Total Revenue

This metric represents the share of costs paid for the total compensation of employees in one

variant out of all revenue

Calculation Method:

Total Labor Cost / Total Revenue

= / Total Revenue

Variable Pay as % of Total Pay

These metric measures the weight given to variable pay compared to total pay

This metric is an indicator of the organization's compensation methods for the purpose of

enhancing productivity and performance in the workforce

Calculation Method:

Profit Sharing / Total Remuneration

Profit Sharing / (Salaries + Profit Sharing + Long Term Incentives)



IV.HR KPIs :

1. Compensation & Benefits KPIs:

Salaries & Wages as % of Total OPEX:

Calculation Method:Salaries + Overtime / OPEX

Salaries & Wages as % of Total Revenue:

Calculation Method:Salaries + Overtime / Revenue

`

Benefits as % of Total Pay

This metric is an indicator of the organization's investment in benefits for its employees such as

medical and life insurance which can be used to gauge such important issues as retention and

employee satisfaction

Calculation Method:Total Benefits Costs + Total Contribution Costs / Total Remuneration + Overtime



IV.HR KPIs :

2. Learning & Development KPIs:

Learning & Development Cost / Employee:

This is the average amount spent on training for each regular employee receiving training per

year.

Calculation Method:

Learning & Development Cost (Training Costs) / Headcount

Learning & Development Cost as % of Total OPEX:

This is percentage of the total cost of learning and development out of the companys revenue

This metric is an indicator of the organization's investment in the learning and development of

its employees and can be used to benchmark against other organizations

Calculation Method:

Learning & Development Cost (Training Costs) / Total OPEX

Learning & Development Cost as % of Total Revenue:

Calculation Method: Learning & Development Cost (Training Costs) / Total Revenue



IV.HR KPIs :

3. Business Performance KPIs:

Voluntary Turnover:

Calculation Method:

No of Voluntary Separations / FTE at end of 2009

Involuntary Turnover:

Calculation Method:

No of In-voluntary Separations / FTE at end of 2009

Human Capital Value Added

Calculation Method:

(Revenue (OPEX (Compensation Costs + Benefits Costs)))/ FTE

Revenue / FTE:

EBITDA / FTE


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IV.HR KPIs :

3. Business Performance KPIs:

OPEX related to headcount / FTE:

Calculation Method:

(HR OPEX + ADMIN OPEX) / FTE

NET Profit / FTE

SUBs (Subscribers) / FTE

Gross Adds / Sales Headcount

Subscriber / Customer Care Employee

hr reporting 2011 - definitions and guidelines

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