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Employee valuation


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untitled-36111Businesses carry out financial valuation of their assets, be it property or brands. We also claim that “people are the most valuable assets”. But rarely do we carry out a financial valuation of the HR factor. After all, if HR is a factor of production (the economist perspective), then don’t you need to know its financial valuation so that the ROI can be objectively measured? For instance, at what valuation would you let go of an employee? 

If the argument is that it’s qualitative and subjective, then so are most assets! With artificial intelligence replacing many human jobs (driverless cars being the latest experiment) the concept of Employee Valuation may well come in handy!


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