The Cost of Ignoring HR From Human Resource Experts


Recently I was reading an article written by Dr. John Sullivan (featured below) on the cost of “Doing Nothing” in HR, and it struck a chord.  In fact, many of the HR challenges that Dr. Sullivan highlights in his article are the reason I started Vertical Bridge almost 14 years ago.  I realized that many employers don’t have an HR person, or department they can rely on to ensure that things like employee engagement and retention, leadership development, development of HR best practices and policies, etc are happening within their companies.It’s been my experience, having worked with literally 100’s of companies, that when there is HR support (whether out-sourced or in-house) within an organization there is less turn-over, a higher level of engagement and employee satisfaction and, as a result increased levels of happiness and productivity.  To learn more about the cost of doing nothing in HR check out Dr. Sullivan’s article, it’s worth the read!

On another note, Vertical Bridge has been nominated again for the HR Reporter’s “Reader’s Choice Award” for “Best HR Consultant”.  We would appreciate it if you could take a minute and vote for us, your support is much appreciated!

Warm regards,

Sandra Reder, CPC

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Credit: Dr. John Sullivan (TLNT)

When you notice an engine warning light in your car, most quickly calculate that “doing nothing” would be a costly option. And if you’re not familiar with the term, the “cost of doing nothing” is the costs that occur because needed actions are never taken or are unnecessarily delayed. For example, if your facility had a leaking pipe and fixing it was postponed until it burst and flooded an entire floor, the repair costs that result from “doing nothing” might go up exponentially from under $1,000 to hundreds of thousands of dollars.

It’s important for HR to realize that calculating the cost of doing nothing (CDN) is common in almost every business function (e.g., the cost of skipped equipment maintenance), however, the calculations or even the concept are almost non-existent in HR. Read more..

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