Paul J Gollan. The London School of Economics. Department of Industrial Relations. Paper Presented at the SA Public Sector Human Resources Conference “For.

Paul J Gollan. The London School of Economics. Department of Industrial

Relations. Paper Presented at the SA Public Sector Human Resources Conference

“For true corporate sustainability, an organization must recognize, value and promote the capability of its people.” Evidence exists between effective HR practices and an increase in productivity and profits, and this suggests that in order for human resources sustainability to be reached, HR policies need to be “integrated for sustained business performance and positive employee outcomes of equity, development and well-being.”

HR ROIHR practices leading to sustainability

• Training costs lead to better sales knowledge and to increasing sales.

• To address human rights abuses and the rights of free association and collective bargaining,

• HR programs such as performance management, selection, and training can reflect fair treatment, respect for collective association rights, and work-family balance, and reward not only economic performance, but also community involvement or reduced environmental emissions;

• Connecting human capital to sustainable strategic success – identifying and fostering human talent to reach organization’s goals.

Human Capital Assessment Criteria

•Employee Retention Rate

•Work Policies: Job Sharing, Flexible Schedule/Location, etc.

•Training and Knowledge Dissemination

•Benefits: Health Care, Wellness Programs, Child Care, etc.

•Monitoring of employee satisfaction rates

•Health & Safety Policy/Auditing

•Health & Safety Performance: Absentee and Injury Rates, etc.

•Access to Management/Grievance Procedures/Whistleblower Protection

•Union Policy/Issues

•Claims/Litigation/Fines

Human Resources: Examples of best-in-class approaches to

employee development,

• continuously measuring and improving the effectiveness and success of recruitment and retention programs

• provision of status free work environments, flat organizational structures, work life balance programs, and,

• personal development plans and formalized training opportunities.

TOTAL RETURN (%) 021506

  1 yr 3 yr 5 yr

MXIM -6.2 7.38 -8.36

TXN 18.1 26.01 -5.16

Industry 1.1 14.13 -9.05

SP500 7.22 17.17 0.87

TOTAL RETURN (%) 021506

  1 yr 3 yr 5 yr

BAX 12.7 14.08 -0.7

BSX -31.5 3.36 22.7

Industry 2.11 16.24 5.49

SP500 7.22 17.17 0.87

TOTAL RETURN (%) 021506

  1 yr 3 yr 5 yr

LEN 3.47 36.04 28.44

PHM 13 46 34.03

Industry -16.4 18.98 6.03

SP500 7.22 17.17 0.87