HR Metrics That Drive Decisions
8
Core Metrics
Memorize all eight by formula
36-42
Days
Time-to-fill industry benchmark
$4,700
Cost-Per-Hire
SHRM 2024 average benchmark
six metrics, six different shapes
The HR Metrics Dashboard
Each metric tells a different kind of story, so it gets a different kind of chart. A line for trends. A donut for composition. A funnel for conversion. Match the chart to the question.
turnover rate · trend
▼ 6 pts15%
(separations ÷ avg headcount) × 100
time-to-fill
benchmark 36-42 days39 days
days from req open → offer accepted
cost-per-hire · breakdown
$4,700
(internal + external) ÷ total hires
yield ratio · stage by stage
time-to-hire vs time-to-fill
different clocks, different start lines
roi on training
+200%
((benefits − costs) ÷ costs) × 100
how to read this
- › Each tile is a different SHAPE on purpose. Trends get a line. Compositions get a donut. Conversions get a funnel. Match the question to the chart.
- › Yield ratios MULTIPLY through stages. The funnel above ends at 4% overall (200 → 8), not 25%.
- › Cost-per-hire's donut shows the trap — internal costs (recruiter salary, ATS) are usually 75% of the bill.
- › Time-to-Fill bar starts at requisition open. Time-to-Hire starts later, at application. Same finish, different clocks.
Two More You Have to Know
selection ratio
Hires divided by applicants. Lower = more selective.
5 hires from 500 applicants. Highly selective.
quality of hire
Composite of three signals at the 1-year mark.
When the question gives a monthly number and asks for annual, multiply by 12. Do not estimate.
Exam Traps
Time-to-Fill is NOT Time-to-Hire
Time-to-Fill starts when the requisition opens. Time-to-Hire starts when the candidate applies. Different clocks. The exam tests the distinction.
Annualized turnover is multiplication, not estimation
September turnover at 2 percent annualizes to 24 percent (2 × 12), not 18. The exam loves this monthly-to-annual trap.
Cost-Per-Hire includes internal AND external
Recruiter salary allocation, ATS fees, internal interview hours all count. Not just the agency invoice. Candidates routinely forget the internal slice.
ROI of zero means break-even
Above 100% means positive return. Below 0% means losing money. Exactly 0% means even. The exam tests interpretation, not just the formula.
Different clocks
Time-to-Fill clock starts at the requisition. Time-to-Hire clock starts at the application. Do not blur them.
Plug clean numbers first
When a formula looks scary, substitute 100 hires and 10 separations. Test the math with easy values before the real ones.
The baseline health of your workforce. High turnover means the body is stressed.
Slower means recruiting is out of shape. The clock starts at requisition open and stops at offer accepted.
Total recruiting cost (internal + external) divided by hires. Industry benchmark sits around $4,700.
Candidates passing each stage divided by candidates entering it. Tracks funnel efficiency. Yield ratios MULTIPLY through stages.
(Benefits − Costs) divided by Costs, times 100. Above zero means the investment paid back.
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