A People Strategy which improves the bottom line
Schmidt Management can assist companies into turning soft personnel areas into hard ones.
In most companies the costs for salary, competence development, absence due to illness and staff turnover are more than 50 percent of the total costs.
Kyösti Schmidt has in cooperation with Per Krogager developed a concept which can put value on the HR-area. It is a concept offered by Multidata and it is described further in the book "Value of organisational key figures", published by The Confederation of Danish Industry.
Very few companies are able to establish the costs and the values of the areas as for example staff turnover, competence development and absence due to illness. At Schmidt Management we can within a few hours interview give a certain estimate of these areas.
When the estimate is ready we can after a thorough sparring with the company’s management present concrete suggestions as to where and how it can improve and optimize the investments in these areas.
It is not uncommon that we can identify improvements which can increase the bottom line by between 10 and 20 percent. In areas like absence due to illness and staff turnover we have already for some customers identified the optimizing potentials which would be equal to a customer mass of up to approx. 500 million DKR annually.
After analysis and sparring we work out a report for the company with recommendations for activities which can improve the bottom line.
We are willing to participate in the subsequent process when the improvement efforts are to be implemented in the company.
Books
Value of organisational key figures
This book introduces some completely new calculation principles and methods which make it possible to understand the effect of the so-called “soft” areas on a company’s bottom line and competitiveness.
Measuring the HR function
The book gives managers in and around the HR function suggestions for some concrete tools which make it possible to measure the HR function's influence, productivity and profitability.
