Exposing the Hidden Costs

CFO Executive Brief


The financial case for HR transformation

Businesses are under constant pressure to reduce their costs. The biggest costs relate to people - who are, of course, the drivers of any company’s revenue. Cut people-related costs too far and there is a risk the business will not generate any revenue at all.

Underestimating costs

Research commissioned by the ADP Research Institute confirms that companies often have a poor grasp of their HR TCO. “The cost analysis is too complicated with our current system,” commented one of the 1,004 executives from midsized companies surveyed for the study. Another said: “We do not keep track of TCO.”

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