HR Analytics
Unit - 2
Prof. Vijay K S Bapuji B-Schools, Davangere

HRA – Framework
Prof. Vijay K S Bapuji B-Schools, Davangere

HR Measurements
HR Measures are allowing organization to better understand
why it is happening?
and
provide input into predicting what could happen?
Prof. Vijay K S Bapuji B-Schools, Davangere

Primary Characteristics of HR Measure
- Ability to explain what is happening within organization and why?
- Creating link between people information and business performance
- Assessing issues while driving continuous improvement
Prof. Vijay K S Bapuji B-Schools, Davangere

Bottom – Up
Top Down
Created a Gap
Operational report with
existing data: HR
measure’s the available
data
HR Measure will help to
provide insight into
strategic business
objectives
“Measure that matters”Prof. Vijay K S Bapuji B-Schools, Davangere

Current Approaches measuring HR
- HR Reporting
- HR Dashboards
- HR Scorecard
Prof. Vijay K S Bapuji B-Schools, Davangere

Current Approaches measuring HR
- HR Reporting
- Least Matured and focus only on transactions
- It consist of a formatted and organised presentation of data relating to
the performance of daily operations.
- Utilize standard data extracts to provide a detailed analysis about a
particular aspect of the organization.
- Enable more immediate, short term decision on specific operation
being measured
- Examples – Cost per hire, time to fill, training cost, Ratio of HR staff to total employees
Prof. Vijay K S Bapuji B-Schools, Davangere

Current Approaches measuring HR
- Human Capital Benchmarks, Human Capital Index (HR Indexes)
- HR Practices are associated with familiar financial outcomes
- Data from many organizations lends credibility
- Suggest there may be practices or combinations that generally raise
profits or sales
Prof. Vijay K S Bapuji B-Schools, Davangere

Current Approaches measuring HR
- HR Dashboards
- Advanced way to assess metrics and KPI’s
- Presentation of information is more interactive and user
focused fashion
- They are dynamic and visual – Charts and Graphs – gives
insights and filtering of information according to the needs.
- Helps to “manage the business” – support the broader
leadership and organizational objectives.
Prof. Vijay K S Bapuji B-Schools, Davangere

Current Approaches measuring HR
- HR Scorecards
- More mature and innovative method
- Helps to direct the business
- Gives a snapshot of overall HR performance against strategic goals
- Enable leaders to monitor and manage the results of HR’s key
objective
- These should be updated based on the timeline of an
organization’s strategic goals
Prof. Vijay K S Bapuji B-Schools, Davangere

Current Approaches measuring HR
- Casual Chain
- Models link employee attitudes to service behaviour to customer
responses to profit
- Useful logic linking employee variables to financial outcomes
- Valuable for organizing and analysing diverse data elements
Prof. Vijay K S Bapuji B-Schools, Davangere

HR Metrics Verses Benchmarking
Prof. Vijay K S Bapuji B-Schools, Davangere

Current Approaches measuring HR
- Casual Chain
- Models link employee attitudes to service behaviour to customer
responses to profit
- Useful logic linking employee variables to financial outcomes
- Valuable for organizing and analysing diverse data elements
Prof. Vijay K S Bapuji B-Schools, Davangere

“Measure that matters”
Prof. Vijay K S Bapuji B-Schools, Davangere

HR Scorecards &
Workforce Scorecards
Prof. Vijay K S Bapuji B-Schools, Davangere

Balanced Score Card
1. Operational Success
2. Financial Success
3. Customer Success
Workforce Scorecard
1. Workforce success
2. Competencies
3. Behaviour
4. Mind-set and Culture
HR Scorecard
1. HR Practices
2. HR System
3. HR Staff Competencies
Strategy for the Business Strategy for the Workforce Strategy for the HR Function
Prof. Vijay K S Bapuji B-Schools, Davangere

Workforce Scorecards
- Workforce has to understand the business from the outside or the
customer perspective
- Constantly thinking about the business, what customers are
thinking, and gathering market data.
- Understand the expected capability and adding new ones, so that
can have competitive advantage
- Skills and Competencies
- Making them accountable for their behaviour
- Rewards
Prof. Vijay K S Bapuji B-Schools, Davangere

Workforce Scorecards
- Summary
- Workforce Mind set and culture
- Workforce Competencies
- Leadership and workforce behaviour
- Workforce success
Prof. Vijay K S Bapuji B-Schools, Davangere

HR Scorecards
- HR Need to communicate workforce philosophy and business
strategy
- Develop performance standards
- Design A, B and C Tracking system – Differentiating the workforce
- Help managers to take workforce decisions
- Survey the firm’s mind set and culture
- Helps to grow new competencies
Prof. Vijay K S Bapuji B-Schools, Davangere

HR Analytics
Frameworks
Prof. Vijay K S Bapuji B-Schools, Davangere

The LAMP Framework
Prof. Vijay K S Bapuji B-Schools, Davangere

The LAMP Framework
- Designed by Boudreau Ramstand(2004)
- LAMP represents four critical components of HR Measurement
- L – Logic
- A – Analytics
- M – Measures
- P – Process
- Logic – is about analysis of impact, effectiveness and efficiency
- Analytics – Finding answer in the data and are primarily drawn on
statistics and research design
- Measures are the process of counting, it could be scorecords,
dashboards and so on.
- Process – Actionable insights and helps to develop required
strategies for effective decision makingProf. Vijay K S Bapuji B-Schools, Davangere

HCM: 21 Model
Prof. Vijay K S Bapuji B-Schools, Davangere

HCM: 21 Model
- It is defined as a framework of logic, meant to gather, organize
and interpret data so that it can predict the probability of
upcoming events.
- The HCM: 21 model consists in four phases
Prof. Vijay K S Bapuji B-Schools, Davangere

HCM: 21 Model
Scan
Human
Structural
Relational
Produce
Optimise
Integrate
Synchronize
Predict
Strategic,
Operating,
Leading
Indicators
Plan
Capabilities
Engagement
Development
Algorithms
Prof. Vijay K S Bapuji B-Schools, Davangere

HCM: 21 Model
1. Scanning – the assessment of all the internal factors that might
have an influence on human, structural and relational capital;
2. Planning – the creation of a system that provides an alternative to
the structured system by relying on sustainable human capability
rather than on just filling positions;
3. Producing – HR are view as processes with inputs and outputs and
statistical analysis is used in order to reveal the most suitable
combination of inputs that drive the desired outputs;
4. Predicting – the system consists in analysing strategic, operational
and leading indicators.
Prof. Vijay K S Bapuji B-Schools, Davangere

Thank you
Prof. Vijay K S Bapuji B-Schools, Davangere