People and the Bottom Line
It's official – working with the Investors in People standards can boost your performance and your profit
A two-year study by the Institute of Employment Studies (IES) has proved that an organisation achieving the Investors in People Standard gains, on average, an extra £176 per employee in gross profit, every year.
Put simply, working with Investors in People pays. And the effect is substantial.
IES, an independent research company, have demonstrated for the first time, that there is a causal link (i.e. scientific proof) between becoming Investors in People recognised and an organisation’s performance as measured by its profitability. If you want a quick summary read the Executive Summary.
The findings form part of a wider research project, entitled People and the Bottom Line, which involved detailed analysis and testing with nearly 3,000 employers. The research suggests that organisations with a comprehensive approach to people management perform better than those without, indicated by higher profits per employee, higher profit margins and higher productivity. It also identifies 12 core measures that any organisation can track to assess the impact of their people management practices on business performance.
