Data is the bedrock on which most organizations base their business and operational decisions. Also, companies tap into data and analytics for customer engagement and retention. Much like other sectors, data has also come to play a key role in human resources.
An important data-driven method used in HR is people analytics. Also called talent analytics, it covers the entire employee lifecycle, from recruiting and onboarding to retention. Organizations and senior HR executives tap into people analytics for better business outcomes and a competitive edge in the market. People analytics makes use of technologies such as machine learning and data analytics to help organizations find the right employees for a role and drive greater returns on their investment in the workforce.
People analytics comes with a range of advantages. By using a people analytics platform or tool, organizations can benefit in the following ways:
Lower the time taken to hire thanks to an algorithm based platform. This replaces the old manual process of examining employee resumes and backgrounds, saving time and resources.
Identify specific attributes of candidates with data-based tools. These characteristics could be the institutions they come from and their educational background, for example. To take it further, educational institutions acclaimed to provide high-quality talent in the past could be used as one data point to boost hiring activity and produce optimal results.
Identify candidates or prospective employees who are more likely to quit based on their history of resignations and reasons for said exits. For instance, there could be a specific time when employees are more likely to quit, say, their annual work anniversary or the hiring season. Understanding such patterns helps in engaging with employees and reducing turnover.
Align an organization’s vision with the workforce’s goals, aspirations, skillsets, and ensure the right candidate for the right role.
Measure performance with the help of analytics and then set benchmarks for future assessments.
Identify areas/functions in an organization that can be automated to free employee time and resources and boost productivity and therefore ROI.
Boost workforce productivity by identifying what motivates employees and the incentives that need to be offered. People analytics helps in assessing the waiting period for promotions and raises and alter them based on employee performance and aspirations.
Analytics that puts people first
While people analytics is a data-driven tool or platform that can boost an organization’s ROI and make them competitive in the market-place, it is also a tool to create a workforce that is satisfied and happy. If used right, organizations can use people analytics to help an employee or an individual grow and thrive in an organization. People analytics can help organizations nurture talent and produce quality leadership that contributes not just to the organization but also serves the entire sector. Thus, people analytics is not just about better hiring decisions but also about enhancing employee satisfaction and experience at the workplace.
Employee engagement and satisfaction
Analytics can help HR managers boost employee engagement by way of seeking their feedback. When data analytics can help organizations see through the clutter and understand what it is that makes their employees happy, they are more likely to take steps towards the same. This could be better infrastructure, greater incentives, a free platform for them to share concerns, and a higher level of trust in the leadership.
People analytics can be harnessed to transform a workplace where employees are seen as real people with real concerns and needs that can be addressed. Employee satisfaction may not necessarily be about a great salary or work atmosphere. This is where the human angle needs to be woven into the people analytics concept. By using a mix of qualitative and quantitative data, companies can delve deeper into their own culture and relationship dynamics. One method is an employee survey built into the analytics platform. The surveys can offer insights into what an employee seeks from their managers or leaders. This kind of employee engagement can lead to employee satisfaction.
A good people analytics tool or platform can help organizations hire the right workforce by tapping into algorithms that provide the match. Organizations no longer need to rely on manual scouring of employee resumes or make decisions without adequate data. This leads to better hiring and employee retention. This is a win-win for not just organizations but also prospective employees as the algorithm helps cut the clutter and provide actionable insights. Recruiters and organizations can build a workforce that is productive, satisfied, and motivated, thereby leading to better business outcomes.