HR Analytics for Organizational growth
What is HR Analytics ?

Human resources analysis is a methodology for creating insight into how investments in human capital contribute to the success of four key outcomes :

  • generating revenue
  • minimizing expenses
  • mitigating risks
  • executing strategic plans

This is done by applying statistical methods to integrated HR, talent management, financial and operational data,HR analytics focuses primarily on the HR functions.

From a business perspective, data helps the organization to better manage its employees and sometimes even improve their performance for a better return on investment. In this way, HR becomes the data collector of the organization, collecting information on employees, hiring requirements, salaries, attrition, etc. but HR analysis is not just about collecting data on employee efficiency. rather, it aims to provide insight into each process, collecting data and then using it to take relevant action to improve those processes.

Metrics Measure by HR Analytics

Several HR metrics contribute to business value based on the organization's key performance indicators (KPIs), HR can then come up with metrics that can influence these KPIs. Here are some common metrics monitored by human resources analysis:

  • Revenue per employee obtained by dividing the turnover of a business by the total number of employees in the business. This indicates the average income generated by each employee. It is a measure of an organization's effectiveness in enabling revenue generation through its employees.
  • Training Effectiveness is achieved by analyzing multiple data points such as improved performance, test results, and transition to employee roles in the organization after training. Measuring the effectiveness of training can be crucial in evaluating the effectiveness of a training program.
  • Absenteeism is a measure of productivity, measured by dividing the number of days lost by the total number of planned workdays. Absenteeism can provide insight into the overall health of an employee and can also serve as an indicator of employee happiness.
  • When an employee is fired from their position, it is called “involuntary”. The rate of involuntarily is calculated by dividing the number of employees who left involuntarily by the total number of employees in the organization. This metric can be linked to the recruiting strategy and used to develop a plan to improve the quality of hires to avoid involuntary rotations.
  • This can include employee-related risks such as the lack of a specific skill to take on a new type of job, the lack of qualified employees to take on managerial positions, the possibility of an employee leaving their job in depending on various factors such as the relationship with managers, compensation and the lack of a clear succession plan. HR analysis can be used to measure all of these metrics.
WHY you need to start with HR Analytics Solution

1. Improving hiring

HR analysis helps HR professionals make better choices based on historical data. Through HR analysis, the recruiter and hiring team can make data-driven hiring decisions rather than “trusting our own gut” and hoping for the best. An effective HR analysis tool can make it easy for HR professionals to identify and hire the best candidates. For example, if you hired 10 applicants and four of them from a particular university failed to qualify beyond a level, you might no longer hire someone from the same university. HR analysis prevents you from making these mistakes. In addition, it also allows the recruiter to know more about candidates through online databases, job applications, social media profiles, job portals, signups, etc. Hiring managers will know which positions in the company require what kind of talent, training, and experience, as well as what type of person is not suitable. It therefore becomes much more basic to target a specific talent pool.

2. Better Training

Training is a necessity for any growing organization, gaps in the training process can increase costs for the business and create unwanted challenges. The various professional development programs offered by companies, if not managed properly, can drain a large chunk of a company's budget. It is therefore strongly recommended that companies invest in training, by first collecting large data and drawing inspiration from standards. Human resource analysis can enable companies to purchase or implement specific training programs. This can help organizations determine whether employees are making full use of the opportunities and knowledge offered to them during training programs and whether or not it is relevant to them. Structured, stat-driven recruiting strategies provide the information you need to launch a more accurate recruiting network and ultimately create a better pipeline. With the help of HR analysis, it is easier to know who to target for a specific position when a need arises in the company. It is easier to understand the type of person needed, the knowledge needed, among other aspects that may be lost in a regular talent acquisition process. When talent is scarce for a specific industry or role, it may seem like talent does not exist. The talent is there, but to find it you would have to employ new methods of attracting or seeking it.

3. Productive Workforce

Human resources analytics helps a business examine an employee's work-life by tracking, sharing, and analyzing performance-related data. This is why companies track and record the behavior of their employees with customers, colleagues, and how they spend their time. Additionally, employee performance data can be used by the hiring manager to identify top talent. This data not only provides more insight into employees but also shapes strategies to increase employee morale, retention and engagement. Because companies control what type of people to hire for a job, it is easier to wait and better predict employee performance and productivity. With analytics, you gain an understanding of the workforce and therefore know what kind of environment, policies, and teams will make them work hard and optimize business performance.


Organizations are realizing the need to embrace a data-driven culture to compete with others and attract top talent. Data analysis has become a necessary tool to go beyond hiring intuition. Once consensus is reached in eliminating people's fears of going beyond traditional methods, thus human resource management solutions will need to be chosen carefully to ensure that goals are met. With machine learning, we can now understand patterns and accelerate business through automation. Artificial intelligence also helps eliminate human error. It allows you to combine the skills and qualifications of job seekers to provide a list of recommended jobs and create relevant personalized learning opportunities based on learning history, goals, and preferences. of each one. While analytics has been a game-changer for many years, these new possibilities promise a wealth of potential from insights into data.