Why Are People Analytics Critical To Business Strategy?
HR professionals are known for their people and talent development skills and strategies. Typically, they are not financial planners, data analysts or data scientists. Yet today HR is asked to help make critical business decisions regarding talent from a cost and investment perspective. With advanced data capabilities, HR can provide accurate, reliable information to drive critical business decisions regarding a company’s most important asset: its people.
HR is becoming experts in understanding what data is required and why, interpret the data and represent it, what to do with it and how to share it across lines of business. Using hard facts on talent acquisition and retention, develop top talent, DEI, compensation, employee engagement and wellbeing, and global compliance, are data driven platforms for HR to influence key decisions.
Being able to share people data across disciplines is allows accuracy in supporting meaningful discussions and decisions. Sharing data is critical not only for senior leadership but for first line managers and supervisors. It helps better manage their teams and focuses on what is important to them. The ability for data to show worker trends supports better employee engagement.
In the era of remote work, reskilling and upskilling, advanced data can show how well these new offerings are working. It can identify if there are skills that people need that are not being offered. Data analysis support how to create the right compensation strategy and geographic pay scales, including where the best geographic market is to find the best talent pools. Now that HR is fully at the table, it can add value as a business driver by providing deeper insight into a company’s talent.
In-depth HR analytics is critical for all companies, from large multi-nationals to mid-size to small to start ups. All businesses need access to internal and external people data for retention and acquisition purposes,
The Future of Work HR professionals have gained more credibility with senior leadership and line management as a result of their ability to apply advanced HR analytics to drive business solutions. Incorporating HR analytics into a company’s business and financial decisions allows for people data-driven insights that inform talent decisions, improve workforce programs and processes, and secure positive employee experience.
MSI’s Human Capital Consulting and Advisory Team supports the design and development advanced people data analytics that align to HR, Finance, and your workforce goals. Our focus is helping organizations optimize and develop long range strategies for success.