The Aesthetic Guide is part of the Informa Markets Division of Informa PLC

This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them. Informa PLC's registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 8860726.

Human capital management is changing the face of human resources

Article-Human capital management is changing the face of human resources

Key iconKey Points

  • Human capital management (HCM) are available to businesses of all sizes
  • Because health care has become such a huge industry, these vendors are turning an eye toward making them available to caregivers ranging from the largest of institutions to solo practices

It's no secret there's a shortage of skilled workers in America's labor force — especially in healthcare. Less widely known is how much deeper experts predict that shortage will become — and how quickly. However, there are tools to help physicians find the right employees for their practice and, even more importantly, retain them long term.

What these systems deliver to the physician/manager is a refined human-resources concept now being referred to as human capital management (HCM). IT vendors have made HCM programs available to businesses of all sizes, and because healthcare has become such a huge industry, vendors are now widening availability from large institutions to solo practices.

HOLISTIC HR Sandra Rousseau, director of product marketing/HCM for InFor Global Solutions, based in Alpharetta, Ga., says HCM was pioneered in the U.S. as increasing worker shortages presented challenges to employers seeking qualified, quality employees. Such programs also are gaining popularity in the U.K. for much the same reason, and, to a lesser extent, in other European countries. Such is not the case in the Asia Pacific region, she says, due to the huge pool of workers.

"Human capital management is the new term being given to human resources functions," Ms. Rousseau tells Cosmetic Surgery Times . "The difference is that while human resources refers to the day-to-day transactional information — payroll, benefits, employee data — HCM adds a strategic component: recruiting, retaining and motivating employees. HCM is a more holistic approach."

InFor markets its HCM program for the healthcare sector, called InFor Health Essentials, as having the capability to help recruit the best available employees and retain them through developmental training and positive reinforcement. In addition, the program helps streamline basic human-resources processes, Ms. Rousseau says.

"For example, a good deal of recruitment is done online today, and effective HCM software makes the process easier and more effective," she says. "It enables you to get applicants' data and statistics more rapidly and formulate a recruitment strategy that helps you ensure you hire exactly the right person for the job."

Ms. Rousseau uses the example of recruiting nurses — a position for which there's an all-too-apparent shortage of applicants.

"You're looking for skills when it comes to nurses," she says, "but résumés typically focus not on skills, but on past work experience. With this tool, physician/managers can refine their online questionnaire to ask for certain skill sets, certifications and so forth. This, in turn, leads to improved retention because chances are much better that the applicant who fulfills your requirements will wind up being the best fit for the job."

RETAINING VALUE A well-known rule of thumb in business is that the cost of hiring a new employee is substantially higher than that of retaining one. As Ms. Rousseau notes, retention becomes particularly critical because the available talent — in nursing especially — tends to be younger and more likely to change jobs to advance their careers. "How do you retain them? By giving them the opportunity to move laterally and vertically within the organization," Ms. Rousseau says. "With HCM, employees can take online training programs that can enhance their skills, help them progress on the job and, ultimately, help you hold on to good employees."

Generally speaking, IT vendors such as InFor cater to larger corporations, though Ms. Rousseau adds that small businesses can purchase individual modules — recruitment, for example. For large healthcare organizations, costs start at about $50,000 and can range as high as $1 million.

"Smaller business, like medical practices, may have problems affording most HCM programs now," Ms. Rousseau notes, "but in two to eight years, HCM software will be available at a much lower cost."

Hide comments


  • Allowed HTML tags: <em> <strong> <blockquote> <br> <p>

Plain text

  • No HTML tags allowed.
  • Web page addresses and e-mail addresses turn into links automatically.
  • Lines and paragraphs break automatically.