How People Analytics Can Increase Your Odds of Hiring Success!

 

Research suggests that application solutions based on people analytics have a growing market. The rate of growth is estimated to be 16% CAGR annually and is predicted to reach $2 billion by 2025 worldwide.

What is People Analytics?

Popularly known as HR analytics, this is a data-driven method used by employers to make informed decisions about their employees.  People analytics organizes large talent data by leveraging technology, statistics and expertise and thereby offers better management recommendations to businesses.

People analytics is fairly new but it’s slowly gaining momentum across HR departments. With companies investing heavily in their employees, it only makes sense for them to understand how to get the best return on investment. People analytics helps them do just that!

What Does People Analytics Offer?

  • It helps gain a holistic perspective of where the workforce stands and what improvements can be made by using data within the business and merging it with best-in-class industry data and third-party expertise.
  • It analyzes conditions within the office, team strengths and weaknesses, identifies risks and reveals skill gaps so that appropriate action can be taken in due time.
  • It helps set a workforce strategy that is congruent with organizational goals and market trends. Over time, it measures, monitors and improves the implemented strategy.
  • It optimizes teams by demonstrating difficult scenarios to gauge employee readiness and develop low-risk strategies accordingly.

How Does People Analytics Benefit Companies?

Win the Talent War

The predictive modeling system in people analytics uses existing employee data to understand what makes a professional successful at a certain role. By having a profile of the kind of employee who excels in a role, companies can hire better employees who are exactly matched to the needs of the position.

Dodge the Odds of a Bad Hire

Just as people analytics can increase your chances of making a good hire, they can also help you avoid making a bad hire. By comparing analytical profiles of your most successful hires, as well as your worst ones, utilizing this technology can often times help you steer clear of candidates that show a higher statistical chance of not succeeding in your work environment.

 

 

Optimize Workforce

People Analytics provides an individualistic view of employee potential. Using this data, a company can better focus their development efforts. They can pinpoint which employee might be a better fit elsewhere or how to utilize high performing employees in the best way possible.

Foresee Risks

Perhaps, the most important aspect of people analytics is its ability to inform managers about possible future scenarios by calculating risks within the workforce. This gives them the power to make better decisions to counteract those risks.

Our Recommendations

Forward-thinking organizations are wise to use people analytics to optimize their hiring process.  Imagine using big data to identify applicants most likely to turnover, have attendance issues, or more likely to engage in risky behavior.  This is just one application of people analytics to improve workplace performance.

While there are many companies now offering these services, our experience has been that PSI Services  is the best in the business. PSI has repeatedly demonstrated that by leveraging people analytics, they can substantially improve organizations talent measurement processes.

You can learn more about PSI’s people analytics and talent measurement solutions by contacting Brian Dishman. Brian can be reached at 412.635.4803 or via email at .

Ann Zaslow-Rethaber is President of International Search Consultants. Since 1999,  ISC has been a leader in executive search. You can reach Ann directly at 888-866-7276 or via email at