People analytics and HR

Business is the most profitable exploitation of the invested resources, including the human capital. The higher the resource utilization, the higher will be company’s profitability, and no doubt, data catalyses resource optimization. In the business world, even the least significant event gets converted into data because it offers identity as well as value. From Marketing to Finance and Operations to HR, data has become the lifeblood of every disruptive organisation in the digital world. As companies want to earn maximum returns from their resources, People Analytics is emerging as one of the key decisive domains of HR in the digital age.

AUGMENTED STRENGTH OF HR

Sarah Dowzell, COO and Co-founder of Natural HR, says, “Whether it’s sales, productivity, customer service or hiring, HR needs to make that connection to be able to really deliver value. The ability to use real data allows businesses to predict where their best hires come from and help them to target competitors or use specific recruitment channels which give the best return on investment.”

Though the data has always been the major contributor to almost every HR activity, including recruitment, training & development, performance appraisal, and dispute settlement, its reach as well as scope increased manifold in the last few years after the easy deployment of AI-based analytical tools in Silicon Cities, all over the world. Later, People Analytics become a most desirable function of HRM even in the Non-IT sectors such Aviation, Hospitality, Security, and Consulting. In fact, a paradigm shift in People Analytics is the repercussions of massive developments in Big Data and Artificial Intelligence that have revolutionized the way of recording, sorting, and calculating the data. In consequence, businesses are more empowered today to utilize their workforce effectively and efficiently.

BUSINESS DEMANDS CHANGE

According to Global Human Capital Trends 2017 report by Deloitte, Data regarding workforce has become more significant and useful in the present era, but the focus of people analytics has shifted from a technical discipline to business discipline. And, similar to its usefulness in core business areas like finance and operations, people analytics has leveraged the HR professionals with a host of cutting-edge tools effective in formulating right programmes and policies. The findings of the survey reveal that in the opinion of 78 percent of HR and business leaders in the UK, people analytics is very important for them in meeting present times HR needs, and in the next three to five years, 45 percent of business leaders are interested to transform the recruitment process through AI and People Analytics.

FIXING THE PROBLEMS, FETCHING THE SUCCESS

Beyond human errors, sometimes negligence and even biases keep the organization away in recruiting and promoting the right talent. Hence, a distraction from objectivity and accuracy not only create problems in the workplace but its impact can also reduce the productivity as well as profit of a business. Embedded with advanced analytical and predictive tools, People Analytics support HR managers in identifying the problems, evaluating the problems, and fixing the problems with precision and accuracy. It also helps the decision makers in building strong teams and making the investment in the right people and right purposes.