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The Marple Partnership

All our skills and services are focused on the management and development of people working in organisations: the human resources we now call

 Human Capital

In its report “Accounting for People”(click for the full pdf report), the Department of Trade and Industry published  recommendations in Autumn 2003:

that all companies, public or other bodies that are currently required to produce operating financial reviews (OFRs) should include in them information on Human Capital Management (or explain why it is not material to the success of the enterprise).

Although this best of intentions was eventually diluted to voluntary reporting, The Marple Partnership’s primary goal remains: to enable companies to respond more accurately, and increasingly positively, to these challenges. The articles below present them, and part of the answers:

Valuing Human Capital - Problems & Challenges
The Marple Formula for Human Capital Valuation
Accounting for People  (4-page Summary in pdf)
Human Capital Reporting (May 2005)

Had the proposed legislation been enacted, organisations which had previously regarded human resources as an unquantifiable or intangible asset would now have to make efforts to respond to fundamental stakeholder concerns:

 To what extent do their organisation’s:

employees have the competencies needed to achieve company goals?

management formulate and apply excellence in people leadership and           management practices?

employees have sufficient motivation and commitment to deliver success?

Whether legally required or not, shareholders may welcome information on their investment’s Human Capital: it makes good business sense to provide it. As to the value of that capital, the articles provided indicate that financial quantification will come in time from a formula combining employee competencies, management practices and employee commitment, along the lines:

Human Capital  = Employee Competence

x  Management Practices

x  Employee Commitment.

They are all measurable.

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