Human Capital Management: Visualizing Engagement as 'Structure' Rather Than 'Measures'. HEAR Model Check Sheet 'HEAR 40' Released.

Value Core Consulting Co., Ltd. (Headquarters: Shinagawa-ku, Tokyo; CEO: Taishi Yaza; hereinafter "VCC") has released "HEAR 40 (Forty)," a check sheet based on the "HEAR (Human Capital Engagement Architecture) Model," a framework for organizational design that maximizes human capital value.

This check sheet is a practical tool designed to diagnose engagement not as mere satisfaction or temporary effects of measures, but as a "structure from human capital to organizational outcomes," and to visualize where priority improvements should be made.

### Background: Growing Need for Implementation While human capital management initiatives are spreading among Japanese companies, issues such as "measures not leading to results," "systems not functioning," and "unimproved turnover or productivity" are becoming apparent. The root cause is the lack of a consistent mechanism—a "structure"—that links human capital to outcomes.

Data supports this structural deficiency: - **Gap between KPIs and results:** While 57.0% of companies work on KPI setting, only 3.4% recognize the creation of results. - **Reliance on other companies' cases:** 77.7% of companies prioritize "trends at other companies" over their own specific challenges. - **Productivity stagnation:** Despite wage increases in 2024, Japan's labor productivity remains 28th among 38 OECD countries, showing a disconnect between investment and outcomes.

### Development Purpose: Transforming Human Capital Investment into Results VCC developed "HEAR 40" as a practical tool to move from the stage of "understanding" the HEAR model to "identifying and diagnosing" company-specific issues as a structure.

1. **Investment Optimization (ROI Improvement):** Visualize structural disconnects that prevent measures from leading to results, allowing management to concentrate resources on the most impactful areas. 2. **Decision-making Based on Specific Challenges:** Identify missing elements in organizational structure (desire, design, trust, culture) rather than imitating others. 3. **Establishing a Common Language:** Standardize understanding across management, HR, and the workplace to enable organizational management that does not rely on specific individuals. 4. **Ensuring Versatility and Continuity:** Designed based on support expertise across 18 industries, usable for various sizes and sectors.

### Overview of "HEAR 40" HEAR 40 is an official check sheet for human capital and organizational design. It treats engagement as the state of organizational structure rather than individual consciousness or emotions, visualizing where challenges lie and the priority for improvement.