The time is now to shift from traditional human capital metrics focused on productivity and engagement to the overall wellbeing of the workforce, according to a new Deloitte report.
What’s the difference? Traditional measures of job descriptions, employee engagement scores and productivity KPI’s may have served a purpose in a world where work was defined by a physical location, composed of traditional employees, performing a single job, but today’s dynamic work environment calls for a different way of thinking focused on a mutually beneficial cycle wherein fostering the human experience improves organizational outcomes which in turn, enhances societal outcomes.
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The concept of human sustainability centers on the company’s role in creating holistic value for an individual, allowing them to thrive in every facet of their life – from health and wellness, to expanded skills, opportunities for advancement, and heightened sense of belonging and purpose.
Metrics, Deloitte says, should focus on human outcomes instead of worker outputs. They suggest monitoring:
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Skill development and employability. The rate at which people learn new skills, the impact of new skills on worker outcomes such as higher performance, promotions and employability and the impact of skills and learning on sales and customer satisfaction.
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Wellbeing encompasses emotional, mental, physical, social and financial aspects including work-related emails sent during off-hours, AI-driven sentiment analysis, surveys and interview results and data on time off/working time.
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Purpose metrics that reflect the degree to which people feel their lives have meaning and they are making a positive impact at work and the world. This includes AI-driven analysis on time spent on value-added work.
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Career stability and advancement opportunities such as the percentage of people hired based on skills versus degrees, average time it takes to move up one level, percentage of management promoted from within.
Deloitte offers five signs your company should prioritize human sustainability:
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Limited progress of social goals related to well-being, worker skills and DEI
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Lack of ESG metrics and/or business case toward investing in the work
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Tension with workers on the changing dynamics of the role work plays into an employee’s life
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Multi-stakeholder pressures on social topics
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Increased workforce risks such as those created by AI, hybrid environment, skill gaps.
Finally, the report includes case studies of companies leading the way in their human sustainability initiatives.
