Question

A company utilizes a system to measure the impact of Human Resources which balances measures relating to financial results, customers, internal business processes and human capital management. This system is knows as the:

A) HRIS.
B) Human Capital Index.
C) balanced strategy.
D) balanced scorecard.
E) none of the above.

Answer 1

The Balanced Scorecard is a system that includes financial, customer, internal process, and human capital measures to evaluate the performance and impact of Human Resources within a company.

Step-by-step explanation:

The system that measures the impact of Human Resources by balancing measures related to financial results, customers, internal business processes, and human capital management is known as the Balanced Scorecard. This performance management tool allows businesses to keep track of the execution of activities by the staff within their control and to monitor the consequences arising from these actions. It provides a comprehensive framework that not only includes financial indicators but also leverages metrics to evaluate performance in areas such as human capital management, reflecting the importance of investing in human capital for improving productivity and future earnings, as well as fostering equal opportunity and reducing biases in the workplace. By integrating various dimensions, the Balanced Scorecard enables organizations to achieve a balanced view of their overall performance.