The Septeni Group has set up “the Human Capital Lab", which exclusively studies human resources data, in order to maximize the performance of each and every employee. Its findings are used in the making of management decisions and the development of human resources.
Purpose of research
The Septeni Group was initially founded in 1990, but it later shifted its business focus to the Internet industry in 2000, a time in which the Internet was still in its infancy. Mirroring the growth of the Internet industry, the Group has continued to grow while grappling with various organizational issues.
“The Human Capital Lab” integrates and analyzes the large amount of data on human resources that we have accumulated as we have expanded over the years. It continues its research activities in an effort to clarify the structure of human resources development in the growth industry from a scientific perspective and broadly share its findings.
We will release information, based on actual data, about the organizational issues we have encountered as we have grown from a scientific perspective. We hope this information proves useful in tackling problems organizations face as they grow.
“The Human Capital Lab” is part of the SEPTENI HOLDINGS CO., LTD. Its dedicated researchers conduct research that aims to help enhance recruitment and human resources development.The research findings will be published on this website as sources of reference for recruitment and human resources development activities.
Analyzing personnel development scientifically
A common approach to human resources development in the business sector is to provide the knowledge and skills necessary for performing operations through group training and other occasions. However, it is difficult to accurately measure the effect this approach has on human resource development. This is a dilemma we have grappled with for many years.
To address this issue, we have taken the conventional concept of human resources development as a process of training by offering people the knowledge it is believed they need, and have redefined it as an act of scientifically measuring and evaluating development stemming from high quality experiences.
We assign individuals based on numerical grounds and implement different learning plans adapted to the abilities of each person to accelerate their development. We then measure and adjust the effect of this approach to boost the efficiency of human resources development and construct a methodology with a high level of repeatability.
A repeatable “Formula of Development”
We always conduct research activities based on the idea of the “Formula of Development”. This idea reflects the regularity in which the innate personalities of individuals and the environment surrounding them interact and influence their development to a certain degree. We view the environment (E) of the workplace as being composed of two factors: team (T) and work (W). Therefore, we believe that the high level of compatibility between these two elements and the worker’s personality (P) will lead to more significant Growth (G).
This “Formula of Development” requires quantification of compatibility between personality and the environment, which is a form of qualitative information. We work together with the Human Logic Laboratory, Inc. to quantify individual elements and apply a unique algorithm that has been extracted from past tendencies. This approach allows us to quantify the level of compatibility.
To measure Growth, we use our own 360-degree evaluation results, which comprise a huge volume of data that we have accumulated internally. The scores obtained from this data reveal “positive appraisals” of individuals that cannot be measured by performance alone, such as selfless activities that are not directly reflected in performance and the relationships they have with other people. That is why we consider this data to be highly useful as data for quantifying the results of human resources development, and why we keep using it.
Offering solutions, not hints, to human resources development
“The Human Capital Lab” conducts research in roughly three areas: recruitment, adaptation, and development. It studies actual data that charts the growth of the Company from the days when we had a few dozen employees to the present with around 1,000 staff members. We aim to offer solutions to human resources development based on numerical grounds.
Recruitment activities aim to discover those who will contribute to the company’s growth within the limited range of costs. It is very difficult to make a decision and predict behavior.Using the more than 100 items of information that we have collected, we continue research so that we can make numerical forecasts on the prospects of applicants joining, contributing, and staying with the Company. We have created a structure that employs our own judgement criteria for determining whether individuals will do well after they join the Company.
We recognize that the development of individuals begins after they have adapted to the environment. We assume that it takes around one year for those with little social experience to adapt to the environment, although the period required varies from person to person.For this reason, we provide newly hired employees with intensive assistance in adapting to our environment for their first twelve months with the Company. We study and develop measures for providing them with an environment that fits their personality (computability-based assignment). We also give guidance on how to behave and perform at the place to which they are assigned (adaptation plan), measure the actual level of adaptation and make adjustments (evaluation of degree of adaptation), and continue operation tests on them.
After individuals adapt to their work environment, a large number of issues related to human resources development still remain at the stage of training those who are being trained to take an active role. These issues include the obscurity of training methodologies and the unexpected departure of individuals who appeared to be growing steadily.To cope with the human resources development issues all organizations face, “The Human Capital Lab” researches human resources development management methods for retaining highly developed personnel, as well as furthering the development of those who fail to grow as expected. The key to these methods is utilizing past human resources data to provide environments that best fit each individuals and their stage of development.
Future research plan
- Research1：Naming and selection of individuals who will create future business
- It is said that new businesses only have a 1% chance of success. It is very costly and cumbersome to hire people for a new business. “The Human Capital Lab” conducts research on how to identify individuals who offer a high chance for success in the challenging task of creating a business. It studies methods for approaching individuals with rare characteristics that are said to exist in only around 1% of the people in the market, and how to offer them opportunities to try things after they join the company. The progress of this study will pave the way for the systematic creation of new business from the perspective of individuals, which in the past was randomly done.
- Research2：Optimal composition of an organization to maximize organizational productivity
- Circumstances often change in an industry that is in the growth stage, sparking the reshuffling of organizations or the launches of new ones. However, it is not known whether an organization will run smoothly until it is actually created. “The Human Capital Lab” has begun studying ways to assess in advance whether a prospective organization is optimal in form by analyzing data on past organizational formation data that has been collected over the years. The progress of this study may eventually make it possible to maximize the productivity of an organization that is chronically short of human resources.
- Research3：Analysis of human networks to clarify the impact of human connections on human resources development
- Activities of “The Human Capital Lab” focus on analysis based on data about departments, sections, and other organizations to which employees belong as for T in the “Formula of Development”. However, inside the office there is a web of human relationships that cannot be seen from organizational data, such as the relationships between workers who joined the company in the same year, those on good terms with one another, and cross-divisional projects. It is likely that they utilize these networks within their own work. Thus, the Lab began researching ways to visualize employees' human networks that are currently hidden within organizational data to clarify their impact on human resources development.