Global executives are becoming increasingly aware of the importance of human capital and talent development but a lack of effective management in this area hinders growth, competitiveness, financial performance and innovation.
Talent Pipeline Draining Growth: Connecting human capital to the growth agenda shows how senior executives often have misaligned and divergent views on who is responsible for managing human capital performance. Furthermore, the c-suite is faced with a lack of reliable human capital management which impacts an organisation’s ability to make agile and effective decisions.
The report recommends a series of actions to improve the performance of human capital management and align the organisation’s human capital to deliver on its strategy:
- Embed human capital strategy within the wider overall business strategy.
- Focus on getting the right information and translating it to actionable insight.
- Leverage the relevant skill set for credibility and actions.
- Structure the organisation to encourage closer collaboration and partnering.
Talent Pipeline Draining Growth collates the views of senior peers across the c-suite which show that finance and HR need to collaborate more closely and use the skills unique to management accountants. CGMA designation holders can add credibility to the data and convert it to insight for better decision-making in human capital management.
The report is based on a global survey carried out by the Economist Intelligence Unit, on behalf of CIMA and the AICPA. The survey of 313 global CEOs, CFOs and HR directors was conducted in July –August 2012. All work for companies with $10 million or more in revenue, and 45% are from firms with more than $1 billion in annual revenue.