Quantitative Techniques in Human Relations

The HR function was considered as a necessary evil by many organisations and line managers. It was populated by people who ran the HR department like a welfare agency without being part of the business. People are our greatest asset; this cliche is now becoming a reality. Management has now realized that it is people who are the source of competitive advantage. If HR has to be recognized and involved in strategy formulation and implementation it has to transform itself. It has to speak the language of business. It has to speak in quantitative and objective terms. The current article attempts to provide a quantitative base for the HR function by coming up with various ratios, which can help the organisation in making the HR function more effective and evaluate its contribution in terms of benefits provided and return on investment