ROSATOM presented the results of a large-scale study “The Human Centricity Index of Companies”
on March 15 at the XXIII Annual International Conference and Exhibition HR EXPO'23 PRO. The study was held by ROSATOM Corporate Academy together with BCG and the Higher School of Economics.
120 companies from Russia, CIS and BRICS took part in the pilot project. HR directors, managers and partners of companies from industrial, trade, energy and service sectors with different turnover and number of employees were invited to participate in the study. Two subindices of companies’ human-centricity had to be established to prove the hypothesis of the study authors that human-centricity of a company means it focuses on the respect of human interests in all processes (as part of the work team and as a member of society). "Employees" internal corporate responsibility subindex assesses the company's business practices in relation to its own personnel, while "Community" external corporate responsibility subindex assesses the company's social policy both for society as a whole and for the local community in the region of operation.
According to the study, the average index of companies’ human-centricity was 52 points. The average value of the "Employees" subindex was higher than that of the "Community" subindex (57 and 46 points respectively). This suggests that companies are more focused on the internal circuit than on the external one.
The study also showed that an average employment period in companies is 4.3 years. The average number of career transitions, both horizontal and vertical, over the entire period of employment in the company is 1.7 times. At the same time, 79% of companies have various onboarding tools, and only 5% of employers do not have them at all. When asked if the company developed individual career development programs, 68% of respondents said they did.
The system of support for employees in different companies is developed unevenly: 53% of employers provide meals for employees, 48% compensate for transportation costs and almost the same percentage (47%) provide financial support to the families of employees. In 11% of companies you can count on assistance in improving housing conditions. Only 13% of respondents said there were support practices for former employees who had retired.
71% of companies use only the practices to protect employee rights that are directly stipulated by law. Only 9% of respondents noted that companies have dedicated structures to manage infringement complaints of the employees.
Companies are not very effective in building relationships with external partners: just over half (51%) implement joint programs with universities, schools, and institutions of secondary education, but only 6% of vacancies are eventually filled by graduates of partner educational institutions.
Tatyana Terentyeva, Deputy General Director for Human Resources, ROSATOM, emphasized that the study of issues related to human-centricity had been the focus of ROSATOM for a number of years. In 2019, a declaration on skills was adopted that established the core principles: skills for the future, labor mobility, informed employee development, value and respect for the individual, and equal opportunities. But, according to the speaker, the human-centric approach is not limited to how the company manages personnel. The development of cities, the formation of sustainable communities, training and development, strengthening corporate social responsibility programs and corporate volunteering should also come forward. “I think it is especially valuable that ROSATOM, as a Russian corporation, came up with the initiative to develop the Human Centricity Index," said Tatyana Terentyeva. “This is not a prize for the best, nor is it a rating that considers one or two factors and does not give a company the tools to make it better. This study has a unique philosophy. The index today is a new metric for companies to be as efficient as possible in terms of unlocking human potential. I’m very grateful to my colleagues for taking part in the study. Now we have not only the parameters for companies’ self-assessment but also a good base of HR-practices that can be used.”
Yulia Uzhakina, General Director of ROSATOM Corporate Academy, spoke about plans to create an alliance of human-centric companies. The alliance is expected to include enterprises and organizations which are recognized leaders in the field of HR and sustainable development, as well as expert organizations specializing in these areas. The alliance will unite companies that have a high level of maturity in HR processes and an advanced approach to HR analytics. Key objectives of the future alliance are to unite efforts to promote human-centricity in the management of Russian organizations, to form a unified conceptual apparatus for human-centricity, to promote changes in the regulatory framework for human-centric management development, and to share best practices.
The first agreements within the framework of the alliance are expected already at the St. Petersburg International Economic Forum 2023. “We encourage all companies, regardless of size or scope of business activities, to join the alliance of human-centric companies. It is important for us to have an in-depth professional discussion for a better understanding of the approaches we are developing today," said Yulia Uzhakina.
HR EXPO PRO exhibition and conference is one of the largeest annual events for HR specialists. The conference is dedicated to the most important issues and best practices of the HR community. This is the main platform for communication and exchange of experience between industry experts and all those who understand the importance of intellectual resources for the development of the country. This year, “Resilience and Growth” is the theme of the event. As part of the business program, experts review the human-centric and client-centric approach to human resource management.