Other parts of this series:
A recent study by AICPA revealed that only 12 percent of CEOs are confident about their HR metrics. As I’ve argued throughout this blog series, that picture can change as HR organizations in FS companies move towards data-driven decision-making.
It begins by combining existing HR data with other sources, and leveraging predictive analytics, AI and the cheap computing power of the cloud to analyze and act on the data. Some companies are already implementing such HR systems with the aim of introducing a platform that enables accurate analyses of their people against the bottom line.
HR analytics: from vision to reality
Accenture outlines five steps for rolling out an effective HR analytics strategy:
- Develop a journey for workforce analytics—but be ready to adapt it continually to a changing workforce and business environment.
- Prioritize investments in ‘the new’. Identify workforce priorities that are central to the business strategy—for example, workforce performance, employee engagement and productivity—and consider how HR analytics, AI and other digital tools can enable the organization to address these priorities.
- Innovate and scale for value. Experiment with workforce analytics initiatives within a specific segment, geography or business unit, then scale for business value and improved employee experiences across the organization.
- Develop a culture that embraces data-driven insights by demonstrating the value of HR analytics to the business and to employees. Use data to improve the human touch at the moments that matter—for example, onboarding or performance reviews—as well as the day-to-day workplace experience.
- Be open to engaging with new analytics partners. Recognize your role in the analytics ecosystems and consider leveraging analytics-as-a-service from a third-party provider as well as providing insights on tap to people in the business who can put them to work. Look at ways to use ‘analytics outside the service’ to provide insights to the people crafting and leading the employee experience, as well as opportunities to use ‘analytics inside the service’ where intelligent digital platforms adapt to the employee’s needs and decisions.
HR analytics will be key to unlocking the potential of tomorrow’s blended human-and-machine teams as well as realizing the true value of an adaptive workforce made up of contractors, permanent employees, freelancers, and workers sourced from labor platforms. Organizations that embed HR analytics and AI into their ways of working can transform into hyper-productive enterprises with highly-engaged workforces that differentiate them from competitors.
For more on this topic, download Cracking the Genome Workforce with HR Analytics here.