{"id":17134,"date":"2014-10-18T04:08:38","date_gmt":"2014-10-18T04:08:38","guid":{"rendered":"http:\/\/vskills.in\/certification\/blog\/?p=17134"},"modified":"2024-04-03T13:20:38","modified_gmt":"2024-04-03T07:50:38","slug":"hr-analytics","status":"publish","type":"post","link":"https:\/\/www.vskills.in\/certification\/blog\/hr-analytics\/","title":{"rendered":"HR Analytics"},"content":{"rendered":"

\"hr-analytics\"<\/a><\/span><\/b><\/p>\n

Human resource (HR) is the set of individuals who make up the workforce in an organisation, business sector or an economy. Analytics is the systematic computational analysis of data or statistics. HR analytics, also known as Talent Analytics, applies analytics to the Human Resource department of an organization, in the hope of improving employee performance and getting a better Return on Investment.<\/p>\n

The key aspect of HR analytics is to show the impact of the HR department on the organization as a whole. Establishing a cause-and-effect relationship between what HR does and\u00a0business outcomes\u00a0(by the correlation of people data and business data) and then creating strategies based on that information.<\/p>\n

HR has core functions that can be enhanced by applying processes in analytics. These are acquisition, optimization, paying and developing the workforce of the organization. HR analytics can help to solve problems and issues surrounding these requirements and using of analytical workflow will guide the managers to make relevant decisions.<\/p>\n

Steps in HR Analytics:<\/b><\/p>\n

a)\u00a0\u00a0\u00a0\u00a0\u00a0 Hand sight \u00a0\u00a0\u00a0\u00a0\u00a0 \u00a0–\u00a0\u00a0\u00a0\u00a0 gather data by reporting.<\/p>\n

b)\u00a0\u00a0\u00a0\u00a0\u00a0 Insight\u00a0 \u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 –\u00a0\u00a0\u00a0\u00a0 make sense of data by analysis and monitoring.<\/p>\n

c)\u00a0\u00a0\u00a0\u00a0\u00a0 Foresight \u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 \u00a0–\u00a0\u00a0\u00a0\u00a0 develop predictive models.<\/p>\n

 <\/p>\n

HR analytics is based on statistics from within and outside the HR function. There are three different kinds of metrics (measurements) applied:<\/p>\n

a)\u00a0\u00a0\u00a0\u00a0\u00a0 Efficiency metrics<\/b> – focused on the performance of the HR function in terms of efficiency in fulfilling its basic administrative tasks.\u00a0 Ex: administrative cost per employee.<\/p>\n

b)\u00a0\u00a0\u00a0\u00a0\u00a0 Effectiveness metrics<\/b> – concerned with the extent to which the HR programs and practices affect the people or talent pools Ex: Measurement of skills acquired from training.<\/p>\n

c)\u00a0\u00a0\u00a0\u00a0\u00a0 Impact metrics<\/b> – a link between what HR does and the tangible effects on the organization\u2019s ability to gain sustainable competitive advantage Ex: The reduction in defects as a result of training.<\/p>\n

Types of collected data are used for carrying out HR analytics<\/b>: <\/b><\/p>\n

i.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 Workforce statistics (various breakdowns of human capital by gender, age, absenteeism, job type, ethnic origin)<\/p>\n

ii.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 Financial ratios relating to people and productivity (data that relates business results to the people producing them, e.g., sales\/head or revenues-costs)<\/p>\n

iii.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 Measures of people\u2019s values (index of key qualities such as experience, knowledge and skills, competencies and attitudes, values, potential)<\/p>\n

iv.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 Measures of people\u2019s engagement (measures about the level of engagement and influential factors)<\/p>\n

v.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 Measures of efficiency of the HR function (measures about the quality and cost ratio\u2019s in providing HR processes)<\/p>\n

vi.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 Measures of effectiveness of people processes (e.g., rates of participation, efficiency and effectiveness of processes such as appraisal, recruitment, succession planning, training)<\/p>\n

vii.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 Measures of investment in one-off initiatives and programs (measures of benefits, costs and outcomes of specific initiatives, e.g., a cultural change program)<\/p>\n

Case Studies:<\/b><\/p>\n