"If you can’t measure it, you can’t manage it."

It’s a tool to calculate the utility, or profitability, of interventions.

For learning interventions the basic model is:

Utility (U) = Benefits (B) – Costs (C)

What are the main assumptions to be made in our utility formula

Estimate the time the training has an effect. Some training programs have a short time frame of impact. Learning new skills like e.g. selection interview training usually has a longer effect. An often used assumption is a time frame of one year.

Estimate the effect size of the training. Depending on the nature of the training there are good estimates about effect size. Average effect size is approximately 0,5 SD.

Estimate the euro value of Performance Change. You can make use of the 40%-rule in case of “low complexity jobs”. With more complex jobs the Euro value might jump to 100% of salary.

by John Boudreau and Wayne F. Cascio

What is LAMP Framework?

LAMP Framework is a method that helps HR professionals use, apply, and share human capital metrics with their organization in the best possible way.

5 Uses of LAMP Framework

  1️⃣  Helps companies to know where to look for insight and connect data points to meaning to make better decisions.

  2️⃣  Depicts the connections between HR and management practices, which affect employee attitudes, engagement, and turnover.

  3️⃣  Helps to build a good analytics system based on a solid foundation to ensure what you are measuring is meaningful to your organization and business needs.

  4️⃣  Identifies the relationship and allows you to draw more accurate insights.

  5️⃣  Allows companies to go from data and information to meaning and then decisions.

We know that the ultimate value of a staffing system is reflected in the quality of talent that is hired or promoted and retained.

In fact, a wide variety of measures exist to examine staffing quality, but generally they fall into seven categories.

What to Examine:

Cost (for example, cost per hire, cost of assessment activities [tests, interviews, background checks])

Time of activities (for example, time to fill vacancies, time elapsed from interview to offer)

Volume and yield (for example, total number of applicants, yield of hires from applicants)

Diversity and EEO compliance (for example, demographic characteristics of applicants at each stage of the hiring process)

Customer/constituent reactions (for example, judgments about the quality of the process and impressions about its attractiveness)

Quality attributes of the talent (for example, pre-hire predictive measures of quality [selection tests, interviewer ratings] as well as post-hire measures of potential and competency)

Value impact of the talent (for example, measures of actual job performance and overall contribution to the goals of a unit or organization)

It is important not to lose sight of the broader staffing processes within which screening and selection of talent takes place. Here is a graphic illustration of the logic of the staffing process and talent flows.

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