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HR leaders urged to adopt financial metrics for credibility

Human Resources departments need to adopt financial language and metrics to gain credibility with leadership, according to Jessie Zwaan, who leads people strategy and operations at Leapsome. She argues that HR leaders should function more like CFOs, focusing on metrics like annual recurring revenue (ARR) per head rather than just task completion or compliance. Zwaan suggests measuring "employee lifetime value" by factoring in salary, revenue support, and retention costs to better link HR investments to business outcomes. AI

IMPACT Suggests a shift in HR strategy towards data-driven decision-making, potentially impacting how AI tools are evaluated and implemented within organizations.

RANK_REASON Opinion piece from an industry expert on how HR can improve its standing.

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AI-generated summary · Google Gemini · from 1 sources. How we write summaries →

HR leaders urged to adopt financial metrics for credibility

COVERAGE [1]

  1. Fortune TIER_1 English(EN) · Kristin Stoller ·

    HR has a credibility problem—and it starts with not speaking the language of finance

    HR has to speak the CFO's language to earn a seat at the table.