Continuing the series of how HR can add value to investors, I will discuss the importance of conducting an “intangibles audit”. According to Dave Ulrich, the audit assesses what is necessary to deliver investor value given an organization’s history and strategy, measures how well intangibles are being delivered, and leads to an action plan for improvement.
There is no info on the internet about the audit so I recommend you get a hold of the book where you can get more detail. For the purpose of this post, I am just summarizing.
The audit measures four core dimensions of the organization:
1. Keeping Promises
2. Growth Strategy
3. Core Competence
4. Organization Capabilities (this dimension has 11 possible strengths listed below)
- Shared Mindset
- Customer connection
- Strategic unity