4 Ways Successful Companies Use HR Analytics
Studies have shown that effective use of HR analytics can greatly affect the bottom line and keep better talent where they should be. 75% of companies surveyed believe that HR analytics will ultimately have a positive effect on company revenue, however only 8% believe they are truly positioned to execute data correctly. Companies that have discovered the best ways to implement HR analytics into their business show 8% higher sales growth, demonstrate a 24% higher net operating income, and generate 58% higher net sales per employee, according to MIT.
Big data analytics tools can help companies better implement the right data driven strategies to drive employee engagement, steer company culture, and retain better talent. Below are some ways that successful companies are using big data analytics to focus on their employees in the same way they focus on their customers. With better data on performance, talent, and attrition, companies are protecting their revenue by improving management of their workforce.
Here are a few ways that businesses are employing HR analytics to measure their workforce effectiveness and better inform human resource decisions.
Finding better talent - In such a competitive job market, HR analytics can aid in the process of identifying the best fit candidates and helping to hire them more efficiently. Data can inform decision making in regards to hiring by identifying those candidates most likely to stay, produce, and fit into the company culture.
Increasing employee engagement - Very few of the new generation of employees are engaged at work. HR Analytics can help track employee engagement through data collection, allowing HR Departments to better engage employees and increase retention. Using data to provide purpose to employees improves productivity and retention.
Understanding retention - Retention through employee engagement is now a high level issue in most companies. Data driven information on employee behavior can be a great predictor of retention, enabling companies to better decide if an employee is likely to stay or if they will be a solid performer for the company.
Recognizing high performers - Performance is a big factor in deciding if an employee is measuring up and whether it might be time to reduce those that are underperforming. Also, data analytics can help identify those that are exceeding goals set for them to reward great work or adjust quota standards.
Big Data Analytics tools like Stratifyd’s AI Powered platform can help companies make better informed decisions regarding workforce management, increase productivity through better employee engagement, and better predict performance and retention. With HR analytics tools, companies are protecting their revenue more efficiently and creating a better environment for their workers.