12 Days of Talent: Day 6 – The Top 6 HR Disciplines with the Greatest Impact On Revenue


As a Talent Acquisition advisor to a number of the largest organizations in the world, it still surprises me on the number of organizations of all sizes who fail to see the importance and the impact of Recruitment (and the other “talent” related functions) to their bottom line.  In a time when the business is pressing Human Resources to do a better job of quantifying their impact to the organization, there are still so many HR functions simply not investing enough into their recruitment practices.

One of my favourite studies showing the direct impact of Recruitment to an organization’s bottom line was done in 2012 by The Boston Consulting Group.  Here is a snapshot from the study of the top 6 HR Disciplines and their corresponding impacts on Revenue Growth and Profit Margin for the organization:

HR Discipline Impact on Revenue Growth Impact on Profit Margin
1. Recruitment 3.5x 2.0x
2. Onboarding 2.5x 1.9x
3. Managing Talent 2.2x 2.1x
4. Employer Branding 2.4x 1.8x
5. Performance Mgmt & Rewards 2.1x 2.0x
6. Leadership Effectiveness 2.1x 1.8x

Source:    Boston Consulting Group – 2012


If HR were a business and this research was presented to HR showing the impact of each of their HR divisions, as a business it would be a no-brainer which divisions they would invest the most money and time into.

In the past few years, we have worked with a growing number of HR leaders who are slowly recognizing the importance of investing properly into their recruitment talent and practices.  Many organizations and HR functions ask us to help them understand why their recruitment efforts continue to fall short – for the most part, the answer is usually due to their limited capacity and capabilities. This is where we are engaged to help them turn their function around.  Without the proper investment in your recruitment function, you will fail to take advantage of one of the major drivers within HR to make a significant impact to your organization’s bottom line.



 Simon Parkin is the Practice Leader for HR, Recruitment and Talent Management Solutions at The Talent Company – www.thetalent.co  Simon is recognized as a global thought leader in the acquisition and management of talent and has successfully transformed the Talent function for organizations of all sizes. Simon works closely with clients to build, develop and innovate their Recruitment, Talent and HR functions. He is a former global leader of Recruitment and Talent for a Fortune 100 company. Simon is a featured speaker at a number of HR and Recruitment conferences across North America and an author of many acclaimed articles on innovative Recruitment, Talent and HR trends and best practices. Simon’s full profile can be found at http://ca.linkedin.com/in/simonparkin1 and he can be reached at simon.parkin@thetalent.co

For more information on The Talent Company and our 12 Days of Talent project, visit www.thetalent.co






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