Using people analytics to drive your business and make hiring more successful

Published: 10th August 2020

Using people analytics to drive your business and make hiring more successful

HR and recruitment teams are increasingly making use of people analytics in order to help them make hiring and workforce management decisions. 

HR is a department which is often seen by many as being unquantifiable and unmeasurable, however, with the use of people analytics this couldn’t be further from the truth. We believe that, when properly used, people analytics will become increasingly important and will help to shape businesses more and more in the future. 

People analytics involves the use of data in analytical processes to solve business problems. The data is usually collected by HR departments and includes information such as payroll, employee turnover, absence management, operations performance data, and a whole host of other business and people information. 

“The goal is to turn data into information, and information into insight”

People analytics and the analysis of this data allows businesses to gain insights into their organisation and involves the identification and quantification of the people drivers of business outcomes. 

Using people analytics means HR departments are able to make data-driven decisions and can mean HR interventions are more welcome as they are backed by credible data and not just gut feelings as they have been in the past. Analytics also means the effectiveness of these interventions can be measured and HR departments can move from being seen as being operational departments to tactical, or even strategic, ones. 

The gap between the desire to measure data and use analytics and the actual implementation of this represents a huge opportunity for progressive and forward thinking HR departments to create a competitive advantage. 

In order to measure people analytics effectively in a way that can be used, HR departments have to combine data from different HR systems. By combining different data sets, you should be able to predict which new employees will become your highest performers within a given amount of time, or predict the impact learning and development will have on your business as a hole, for example. 

Having access to information such as this undoubtedly makes the big decisions in business easier as you have the data and evidence to back it up. By making use of the data, you’ll be able to make solid, strong decisions that will impact your business for the better. 

Once HR departments have this information, it can be used to strengthen the recruiting process of businesses. It takes all of the guesswork out of employee management and allows businesses to quantify the relationships between people’s skills and abilities and business outcomes. 

This information can also be used to evaluate recruitment channels and manage staff retention. This can be used to improve the effectiveness of talent acquisition and the subsequent retention of this talent. 

Recruitment companies such as ours can also use people data in candidate outreach and engagement. We use data to profile what employee success looks like in a particular role and then apply this knowledge in conjunction with our experience and expertise to  help strength the selection process and identify the right potential candidates for any role. 

Linking pre-hire data with post-hire performance data allows for recruitment companies and HR departments alike to more accurately measure the effectiveness of recruitment and identify areas for improvement for future hires. 


Insight from Nigel Brewster

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