Workforce and Human Capital
Costs, Culture and Capacity are drivers of how companies approach workforce and human capital.
Labor is often the biggest cost to a company. Labor costs, which can account for as much as 70% of total business costs, include employee wages, benefits, payroll or other related taxes. Attracting top talent, engaging new employees and developing them can be a major factor in the business model and how the business scales.
Company culture is important to employees because workers tend to enjoy work when their needs and values are consistent with those in the workplace and often productivity increases. Proper job descriptions and policies help enforce culture norms.
Capacity is the maximum level of output that a company can sustain to make a product or provide a service. Planning for capacity requires management to accept limitations. No system can operate at full capacity for a prolonged period; this upset is often the tipping point where companies decide to either hire employees or outsource operating activities to meet production demand.
Check out Autry Technology Center’s HR in an Hour and Exceeding the Vision series to learn more about human capital and why it matters. Learn more about short term classes here: https://autrytech.edu/courses/
Human Resource Functions