Walk into any Google office in the world, and you’ll find employees flaunting the sticker ‘I have charts and graphs to back me up’ on their laptops. Yes, it’s true!
Even before, ‘people analytics’ became a buzzword, the tech giant adopted this practice almost a decade ago. It all started as an experiment called ‘Project Oxygen’, an initiative that was designed to find what successful google managers do. Since then, the company’s analytical, data-driven approach to HR has served as a case study for corporates all over the world, who do not want to just rely on their ‘gut feeling’ to hire employees but on hardcore data.
No wonder, organisations across the world are using data as a competitive advantage to attract the right people and retain them.
Data-based people management
People analytics is a mix of quantitative and qualitative data analysis that combines hard numbers with human feedback. And when it comes to the HR vertical, everything revolves around people – they are the most important resource..
Advances in data, analytics, and AI are transforming many aspects of how HR teams can serve people in organisations. As a company, wouldn’t you want to know how your employees are feeling more regularly, than just relying on a boring and static annual employee survey? This old-school mindset is beginning to give way to a new approach.
As per a study conducted by Deloitte, 71% companies see people analytics as a high priority in their organizations and 31% rate it as very important. Today’s businesses value evidence-based insights to make better decisions across all HR tasks, starting from recruiting to compensation, workforce planning to retention.
While People Analytics started as a small experiment in Google, it has now gone mainstream. It is about building a strong employer brand to keep employees happy and attracting the best talent into the company.
Data driven branding
First and foremost, you need to know what you want your employer brand to be. What do you want your company to stand for? How do you want employees to feel about working for the company? What makes you different from other employers? Having identified this, data and analytics can tell you whether this brand image actually chimes with reality.
Short, anonymous pulse surveys can tell you how likely employees are to recommend the company to others. More and more companies are mining social media and employer review sites like Glassdoor after laying off an employee. In addition, feedback from anyone who has left the company voluntarily will also give helpful insights into people’s perception of your brand.
Get creative with recruitment channels
Most businesses today use a combination of recruitment channels, including newspapers, headhunters, social media campaigns, online job sites and LinkedIn searches. With a range of recruitment channels to choose from, it’s important to have a clear understanding of which channels deliver the greatest return on investment.
A good example of this comes from Marriott Hotels and its impressive social recruiting strategy. Marriott Hotels has the largest recruitment page on Facebook, with more than 1.2 million likes and thousands of people interacting with the page each week. The page lists available jobs, but it also demonstrates through photos and videos what it’s like to work for the chain.
Tools to support search
Tools such as Evolv and TalentBin are helping employers find the right talent.In addition, big data and AI tools are increasingly being offered by vendors like LinkedIn to sift through candidates’ profiles
High demand for intelligent HR operations
According to a report by LinkedIn in 2018, nearly 92 percent talent professionals in India consider ‘People Analytics’ the future of HR.
Not surprising, analytics specialists today are in high demand in the country.
The increase in analytics specialists in HR in India has, in fact, been higher than the 70% growth that companies in the Asia-Pacific region witnessed.
For example, Credit Suisse found that reducing attrition by 1% results in savings ranging from USD 75 million to 100 million per annum. According to Deloitte Insights, a technology company in India used people analytics to identify employees with high-risk attributes and made compensation decisions to retain them with proven ROI.
Over the next few years, the number of data sources will continue to rise, leading to a fusion of external and internal data in predicting employee behavior. At leading companies, analytics will become even more interdisciplinary. Eventually, people analytics will be fully integrated into systems and always in the background, rather than a separate source of information.
Going forward, analytics technology will have the capability to deliver increasingly personalized recommendations, making HR fully data-driven.
- Jaspreet Bindra, The Tech Whisperer, on India’s Growing Sync With The Digital World
- SaaS in the Spotlight: Leading Companies to Watch Out For
- Ashok Maheshwary-Founder & Partner, AKM & Associates, on India’s Growth Prospects
- Work From Home (WFH): How India Inc Is Managing During Covid-19
- Pankaj Bhardwaj, VP & GM, Avery Dennison: Making Labels Smart & Sustainable