2. What is HR Analytics?
Human resource analytics is an area in the field
of analytics that refers to applying analytic
processes to the human resource department of
an organization in the hope of improving
employee performance.
HR analytics does not just deal with gathering
data on employee efficiency. Instead, it aims to
provide insight into each process by gathering
data and then using it to make relevant decisions
about how to improve these processes.
3. EXAMPLE
Companies like Accenture are taking the lead in
defining what is human analytics and developing
an approach that would help organizations
answer some critical people-related questions:
whether programs really drive better workforce
performance; what organizational and talent
levers are impacting performance and efficiency;
how to retain top performers, etc.
Companies like IBM have developed talent
analytics soft-wares that provides insight into
recruitment, learning, skills, succession and
retention.
4. KEY ROLES
To identify opportunities for HR impact.
To support organizational strategic planning.
To demonstrate the bottom-line impact of
HR practices and programs.
To enable managers make better decisions
regarding workforce management.
5. The value of HR Analytics
It is the practice of researching what is
happening in the workforce and exploring
where and why performance targets are
being achieved.
It can be done either on an event-driven basis
or on an ongoing, on-demand basis.
6.
7. HR Analytics- the Transition
FUNCTIONAL PERFORMANCE
Communicating information about HR effectiveness in supporting organizational
objectives in terms that are relevant to business managers
HUMAN CAPITAL
HR’s performance in specific areas in comparison with the performance of other
HR organizations
PREDICTIVE STRATEGY- SUPPORT
Analyze HR impact on organization profitability
8. Advantages to employing an
HR analytics system
Streamlining administrative duties
Minimizing clerical mistakes
Flexible scheduling
Better hiring practices
9. 5 paths to success
Big analytics behind-the-scenes
Big analytics and big integration
Start small- Generate interest
For small business- Start strong
Have integration, Need strong analytics
10. HR Analytics in Systech
Solutions
Systech is a leading provider of services and
solutions in the area of business intelligence,
data warehousing and corporate
performance management solutions for
companies around the world.
It creates powerful analytics to help
organizations monitor, analyze and improve
their overall HR performance ensuring a
positive impact on the operating profits.
11.
12. Benefits..
Helps analyze workforce staffing and
productivity to manage compensation better
Ensures organizations have the right skills
and competencies to meet organizations
goals
Helps understand critical roles and identify
high performers
13. To summarize…
The growing importance of HR Analytics can
be attributed to the need to cut costs and
increase financial accountability in the
slowing economy.
HR faces high demand from CEO’s and senior
business managers for analytics that capture
the impact of HR activities on business
performance.
HR has core functions that can be enhanced by appling processes in analytics . These are acquisition , optimisation, paying and developing the work force of the organisation.
For event driven basis – business intelligence tool is not required. And for ongoing basis – business intelligence would be essential.
Companies dealing with workforce and organization-related challenges want and need to do several thingsFirst, they need an accurate assessment of the way things really are (“What happened?”), not limited by emotion or merely anecdotalevidence. Second, they must diagnose the causes of whatever problems exist (“Why did it happen?”), and put in place action plans to address the underlying causes. Third, they want to develop a degree of predictive and forecasting capabilities (“What should happen?”), to help them see bumps inthe road before they encounter them, or to seize opportunities that others less prescient cannot see.
Streamlining administrative duties. The employee who’s previously spent hours each week managing payroll, expense and other data is freed up. Minimizing clerical mistakes. The manual tracking of hours and schedules gets crunched by computers instead of staff. Time clocks become integrated across small businesses that have more than one. Flexible scheduling. Automating the HR process not only makes employees happier, allowing them to set times and days that conform to the shape and size of their lives, it also allows small-business owners to study what that scheduling does to their output, how productivity is actually impacted once the change is made. Better hiring practices. Human-resource analytics isn’t just about crafting your processes and schedules to make best use of the people that you’ve got. It’s also about striving for new gains when it comes to your next hire. These tools can help you assess whether your criteria actually result in high-performance staffing.
Big Analytics Behind-the-ScenesData collected at organizations are typically housed in different places (i.e., on different servers/platforms). When data are housed in this manner, analytics can be conducted behind-the-scenes by gathering the relevant data – including business outcome data - from the disparate platforms. The process is not sexy, but executives don’t need to know how the sausage gets made. Big Analytics and Big IntegrationThe integration of multiple HR platforms can be a huge undertaking for big companies.The key here is to do the real cause-effect analytics work behind the scenes and expose the leaders to the outputs of the analytics – make them want more. This is an approach that is quite effective because getting executives excited about analytics now, but spending multiple months/years to integrate data will reduce that excitement very quickly.Start Small—Generate InterestMany organizations think that they have to examine all of their HR data at the same time to conduct rigorous analyses and have a meaningful impact. Not true. Start with one HR process or piece of talent management data and show how it impacts an important business outcome. A great one to start with is your employee opinion survey. Using cause-effect analytics, you can show which specific attitudes have a direct impact on important business outcomes (e.g. profit, productivity, safety, turnover). Use this initial analysis to get leaders bought into the process of HR analytics.For Small Business—Start StrongSmall businesses often have a distinct advantage when it comes to integrating their HR data and conducting analytics—they don’t have old legacy technology platforms or vast quantities of data….yet. Strong analytics can be done within small businesses in much the same way as in large businesses. The focus is typically on individual performance, so having a strong performance-based culture and performance management tools are keys to analytics success.Have Integration, Need Strong AnalyticsIt is scary to think that putting all of this data in one place and paying a company to house it all will actually increase costs for your organization. Warehousing your HR data in one place is a good thing, but the critical next step is to pull together the business outcomes from other functions to show how HR has a cause-effect relationship with those business outcomes.