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ISO/TS 30407:2017 Human resource management – Cost-Per-Hire


The purpose of Cost-Per-Hire (CPH) is to measure the economic value of the effort taken to fill an open position in an organization. This document describes actions to be taken when calculating CPH to maintain quality and transparency, including creating a representative data set, using a transparent source of data, minimizing data errors and ensuring that periodic audits of processes occur on data input. Central to CPH as described in this document are the features of the visual display of the metric, emphasizing transparency of data inputs, processes and the formula used within the metric.


Contents


Foreword

Introduction

1 Scope

2 Normative references

3 Terms and definitions

4 Cost-Per-Hire Internal (CPHI)

4.1 Formula

4.2 Cost data in scope (the numerator)

4.3 Total number of hires in a time period (the denominator)

5 Cost-Per-Hire Comparable (CPHC)

5.1 Formula

5.2 Cost data in scope (the numerator)

5.3 Total number of hires in a time period (the denominator)

6 Hire-Cost-Ratio (HCR)

6.1 Formula

6.2 Cost data in scope (the numerator)

6.3 Total first-year compensation of hires (the denominator)

7 Assembling a CPH metric

7.1 Data collection methodology requirements

7.2 Evaluating data

7.3 Use of data segmentation in CPH


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