Managing HR-related data is critical to any organization’s success. And yet progress in HR analytics has been glacially slow. Consulting firms in the U.S. and Europe lament the slow progress. But a Harvard Business Review analytics study of 230 executives suggests a stunning rate of anticipated progress: 15% said they use “predictive analytics based on HR data and data from other sources within or outside the organization,” while 48% predicted they would be doing so in two years. The reality seems less impressive, as a global IBM survey of more than 1,700 CEOs found that 71% identified human capital as a key source of competitive advantage, yet a global study by Tata Consultancy Services showed that only 5% of big-data investments were in human resources.
HR Must Make People Analytics More User-Friendly
Managing HR-related data is critical to any organization’s success. And yet, progress in HR analytics has been glacially slow. To improve this sorry record, organizations should be attuned to factors that can effectively “push” HR measures and analysis to audiences, as well as factors that can effectively lead others to “pull” that data for analysis throughout the organization. “Push” factors include articulating the connections between talent and strategic success, and using appropriate tools and techniques to transform data into rigorous and relevant insights. Making sure the data is high quality and using the right communication channels will also motivate decision-makers to act upon these insights. When managers trust the data and understand how it connects to the bigger picture, it creates a sense of “pull” — they’re more motivated to act.