Technology today is simply not growing but affecting several industries all at once. High-tech machines are purchased to gather tons of data which can be used for several purposes ranging from managing the business to gaining new customers, employing new people are more. Now having a lot of data pouring into an organization is one thing, but being able to store, analyze and visualize it in real-time is an entirely different task. Whether you own an SMB or if your company is listed among fortune 500, generating tons of data is something that has to be done on a mandatory basis. As soon as a customer interacts with your business, data is generated in regards to the name, addresses, background, financial status. So the only thing left for you to do is putting to productive use and storing data preventing from theft. This increased importance of data is also now helping companies to gather correct information about prospective employees and more.
What is Data Analytics?Data Analytics refers to the approaches in order to derive valuable insights from data. It involves many processes including extracting data, categorizing it to analyze different patterns, relations, connections and other valuable insights from it. Today almost every organization has adapted itself into a data-driven organization. The effect of this has helped the HR management of the company. This also means they are deploying an approach in order to collect more data that is related to the current & future employees, their backgrounds, working patterns etc. This data is then categorized, stored and analyzed in order to make sense of it and derive valuable insights out of it.
Importance of Data Analytics for HRThe concept of data-driven HR is certainly gathering pace. And in contrast to traditional approach HR and people management is undergoing a data-fueled revolution. While traditionally this section of the business has focused on softer elements like people, culture, learning, development, and employee engagement is now becoming increasingly driven by hard numbers and data analysis. There are several means in which data analytics is important to HR and the three main ways in which it helps organisations is:
- Helps in providing good training depending upon the candidate's background
- Assists in having better insights into the candidate's qualification
- Stable retention is possible
Top Ways in Which Data Helps in HR Decision MakingData analytics has definitely changed the way HR managers create and execute plans. This profession no more relies solely on intuition and instinct but finds new solutions in facts and evidence that come out of big data analysis. As a result of the growth of big data, the decision-making process for HR professionals is made easy to choose the right people and have a proper background check. Along with this, there are a number of other was in whih data prove beneficial:
- Talent acquisition
- Higher retention rates
- Better financial results
- Increase in engagement
- Control overtime schedules
Key Takeaways from the Whitepaper titled, "5 Ways Data Can Transform HR Decision Making"
- Data analytics is crucial for organizations to better understand their people and gather valuable information of all the prospective employees
- Data analytics has proven to be a lot useful for HR management to streamline processes and more
- Understanding the background of your prospective candidates leads to better decision making
- It helps in increasing workplace safety by calculating excessive overtime and extended shifts
- Assists in giving the current employees the benefits they deserve