Each company has its own departmentstaff, but many people do not understand what exactly employees do that work there. Of course, the first thing that comes to mind is hiring and firing, but in fact the functions of the employees of this department are much wider. At the same time they need to know a lot of different theoretical information, and most importantly - be able to apply them in practice. Therefore, the highest professionals should always work there, so that they can positively influence the life and growth of the firm. However, in this one, it will not be specifically about the human resources department, but about one small specific coefficient that influences very much and is part of the personnel turnover analysis and control system. It is this theme that will become the main one in this material. As for the coefficient, you will learn about it a little later - for now it is better to focus on a global view of the question. Do you know what turnover is? How does this affect the health of the company? What can be done about this? It's time for you to understand these concepts, especially if you are going to work in the personnel department or plan to maintain your own firm.
Personnel turnover is a problem thatexists in absolutely all organizations, and it is with her that many entrepreneurs first of all try to fight. What it is? Personnel turnover refers to the process of continuous change of employees within one organization. It is easy to understand that fluidity is not a good and positive indicator. Firstly, this means that there are conditions in the firm that are far from ideal, which is why employees prefer to quit in order to move to another, more favorable position in another company. Secondly, this means that it is very difficult to organize teamwork, as the staff changes immediately as soon as they get used to each other and establish interaction. Thirdly, it causes direct damage to the company, since it is necessary to constantly search for new employees, spend money and time on their training, try to compensate for idle time and so on. In general, turnover is one of the biggest problems of any organization, so it definitely needs to be fought with all the forces, which are often the actions of the personnel department. How is this done? First of all, it is worth noting the analysis and accounting of personnel.
Personnel accounting is one of the most important functions.this department. Professionals must use a huge number of different formulas to determine the state of the firm at a particular point in matters of turnover. The analysis is usually carried out multi-level and raises many questions. As a matter of fact, the basis of this analysis is the calculation of the turnover of personnel, that is, the ratio of hired and retired employees. However, it is immediately worth noting that personnel specialists have several very useful formulas that allow you to calculate extremely interesting and important factors, which are then much more convenient to work with. And about one of them in this article will be discussed. Which one? From this material you will learn what is the coefficient of consistency of personnel, as well as a detailed study of what it is composed of and how to calculate it using an example. Remember that this coefficient is very important for the analysis of the movement of employees in the company, so they will not be neglected by any competent specialist. It is no less important than the adjacent employee turnover rate.
The coefficient of constancy of personnel is only one ofa large number of coefficients with which the personnel department works in the process of analyzing the movement of employees, determining turnover and effectively combating it. First of all, it is worth noting two basic coefficients - turnover for admission and dismissal. The first shows how many employees the company took on various positions during the reporting period, and the second - how many of them quit. It should be noted that the coefficient is a much more convenient unit of measurement. The usual number of employees does not tell you anything, since you may not know in what framework the company operates, what its scale and so on. The coefficient also offers you a clear value from zero to one (or it is 0% to 100%) - that is, you know specific boundaries, and it is easier for you to navigate and use this indicator for further analytical work. The same applies to the turnover coefficient, which shows how serious the problem of fluidity in the firm at a given moment. But what is the coefficient of consistency of personnel? This indicator is given the most attention in this article.
Well, it's time to find out exactly whatcoefficient of constancy of personnel. In the same way as in the case of turnover, this indicator shows how well the company is doing with the ability to keep important employees in the workplace. It is not difficult to guess that this coefficient is very important in analytical work, so you should give it enough attention to fully understand how to calculate it. Naturally, he has his own formula for calculating. If you are not too strong in personnel activities, then the following description may seem like a difficult set of words for you, but do not rush to despair - later in the article each item will be analyzed in detail and separately. So, to find out the coefficient of consistency, or, as it is also called, the coefficient of stability of personnel, you need to subtract the number of employees dismissed during the billing period from the list of personnel at the beginning of the settlement, and divide the result by the average number for a specific period. The result can be used as a coefficient - and you can multiply by one hundred to get the percentage result. As you can see, at first glance, everything is quite confusing, but if you carefully study this issue, then you are unlikely to have any difficulties in the future. Well, it's time to disassemble each item separately, then to calmly put them together into a single whole for a complete and absolute understanding of this issue.
So, the first indicator with which youface, when you are interested in the coefficient of stability of personnel - this is the list number of employees for the reporting period. Separately, this parameter does not cause such confusion, and you can easily guess that it means the number of employees that was listed in the company at the beginning of the reporting period - it can be any period, but most often the reporting department in the personnel department is either a month, either year. Therefore, it is necessary for the specialist to make an exact counting of personnel throughout the organization in order to be able to use this parameter in the formula for the further calculation of the coefficient. Naturally, this is not the only thing that should interest you when you are trying to calculate the coefficient of constancy of personnel - the formula includes other elements, which you will now learn in a little more detail. Always remember that each element is extremely important in the calculations, so you should not make mistakes even in small things, because this will entail even more impressive problems and mistakes.
This is one of the simplest elements when calculatingwhat is the coefficient of consistency of personnel. The formula also includes much more complex parameters, but now you should focus on even such trifles. Most likely, you have already guessed that in this case you need to calculate the number of all laid-off employees for the whole reporting period. And we are talking about absolutely all employees, that is, all the reasons for dismissal are taken into account. It can be as standard options, such as dismissal at own will, incompetence, absenteeism and violations of labor discipline, and dismissal provided for by law - in most cases this is conscription, moving to a spouse’s place of work, entering an educational institution with the impossibility of continuing the fulfillment of working obligations. Causes of a physiological nature, such as a prolonged illness or even death, are also taken into account. In any case, all layoffs are taken into account in this parameter and participate in further calculations using the above formula. And when you already have the number of employees who left the organization, there comes a time when you need to calculate the number of employees who have worked for the entire reporting period.
In this paragraph, you have to calculate the difference.hired / laid-off workers during the reporting period. Here you will not need any new information, you will work with the indicators that you already have. So, to calculate the number of employees who have worked in the organization for the entire reporting period, you will need to perform a simple subtraction action. Take the list of employees, which indicates the number of people who were registered at workplaces at the beginning of the reporting period, and subtract from it the number of laid-off employees who left their positions in the company during the reporting period. As a result, you will receive the desired value - the number of employees who worked at the enterprise during the entire reporting period. With this value you will need to work further - and you really only have one step left to find out the result of all this work. But this step is big, serious, and also requires a lot of calculations. After all, now you need to find out what is the average number for the year.
You already know what a payroll is.employees, but so far have no idea what the average number is. Now you have to find out about it, because without this indicator you can’t find out the coefficient of constancy. So, the average number gives you a value based on the list number for each separately taken stage of the reporting period. If the reporting period is a month, then the average number will be calculated on the basis of a payroll for each day. How exactly is this value calculated? To do this, you need to calculate the number of employees in the company during each day, then add up the results of all days, and divide the amount by the number of days in the reporting period. As a result, you will get the average number, which you can further use in the formula. However, this simplified approach only works if you do not have contract or temporary workers. Temporary workers are those employees of the company who work part-time. Here, the calculation is made not by the number of employees, but according to the hours that they have worked, in relation to the total amount of hours that are worked out during the ordinary working day.
Что ж, теперь вы имеете все необходимые вам data in order to fully understand the formula. You understand what a dropout is, how this parameter interacts with the list of employees, as well as much and much more. You know absolutely all the data, and all you have to do is to substitute the necessary numbers. Now, so that you can understand everything as precisely as possible, one concrete example will be analyzed. Only at once it is necessary to stipulate that in calculating the average number, for simplification, only permanent employees will be considered - yet not every company has employees who work on a non-permanent and full basis. If in your company they are still available, then make sure that the personnel department takes them into account separately from the permanent employees.
So, it is necessary to assume that the average firm onthe beginning of the reporting year had a hundred employees - this is a convenient amount for further calculations. Twenty people quit during the year. These are already two values that you can substitute in the formula to get the third. Subtract from the list of employees (100 people) the number of laid-off workers (20 people) to get the number of employees for the entire reporting period - it will be eighty people. This value is abstract, that is, you cannot use it for any other calculations, so just tick it off so as not to lose.
It's time to move on to the next step — counting.average number. This is a slightly more complicated and lengthy process, since you will need to take the number of employees for each day of the reporting period to get the desired result. It makes no sense even in the example of trying to bring any number of employees, but most often it is less than a hundred. In the course of calculations for this example, we got the number 93, which you can now use to get the final result. As far as you remember, the numerator of your formula contains the number 80, but now you add the number 93 to the denominator. The result of the division becomes the coefficient 0.86, rounded to two decimal places. If it is more convenient for you to work with a percentage, then you can multiply this indicator by 100 to get eighty-six percent. Or you can leave everything exactly as it is and use the fractional coefficient. In any case, you have the finished result. However, one very important question remains - what does it mean? So you have some specific meaning, but will the HR specialist bring good or bad news to your boss? In further analysis, find out that the company is in a depressed state? Or in a thriving?
Naturally, you need to understand the whole industry,to immediately say how good this result was, which was obtained in the previous example. However, now you will find out the answer to this question that is of great interest to you. So, based on the practice that exists today, the coefficient tends to unity, so the result you get is 0.86 (or eighty-six percent) is close to normal. Of course, it is impossible to predict how this coefficient will come out, but you know that it reflects the stability, the constancy of the team in the company, and with this coefficient you can work further in the analysis. It is usually used in conjunction with the coefficient of fluidity, because by itself the coefficient of constancy is incomplete and does not show the whole picture. That is, you cannot come to the boss from the personnel department and say that the coefficient of consistency is very good this year - the specialist must provide a full report, and this factor matters only for him. The chief is waiting for a report on what the staff turnover rate is, how bad it is, and what is planned to do with it.
