Fast-paced changes in everything from technology to views of the world from one generation to the next have made the job of managing increasingly challenging. Whether it’s new laws or court cases, employee expectations regarding working conditions or technology or financial pressures, the stress is unrelenting.
All that makes the best management of human capital even more important for nonprofit organizations. Talent management is seriously lacking in today’s working world, according to a survey by the American Institute of CPAs (AICPA) and the Chartered Institute of Management Accountants (CIMA)
Titled “Talent Pipeline Draining Growth, “the report maintains that bad management hurts all around, and it offers four steps to reconnect human capital to the growth agenda. The steps are:
- Embed human capital strategy within the wider overall business strategy. Organizations need to develop relevant human capital metrics to support and implement the wider strategy.
- Focus on getting the right information and translating it into actionable insight. Human capital information needs to be credible and accurate.
- Leverage the relevant skill set to bring credibility to the data, insights and subsequent actions. Organizations must ensure there is clarity on responsibility, accountability and ownership for human capital performance management.
- Structure the organization to encourage collaboration and partnering. If necessary, restructure for closer collaboration at the executive and operational levels, especially partnering between finance and human resources.