Predictive people analytics is a comprehensive tool to measure and analyze data on your entire workforce, customer insights, hiring & onboarding, talent management, and outcomes. Using predictive people analytics allows companies to make better and faster decisions while improving team performance. It allows organizations to understand the changes that the workplace goes through and allows for better customer engagement. Here’s a closer look at why you should consider implementing this HR technology in your organization.
The Science Behind Predictive People Analytics
Data Collection
The best predictive people analytics software gathers as much data as possible to solve business problems. What’s the average length of time that employees stay with your company? What’s the main reason why they leave? What motivates them to stay longer? What feedback do employees provide? What employment metrics are most important for fostering a harmonious workplace? HR analytics software can track all of these things — often passively — to take the guesswork out of as many business questions as possible.
Predictive Modeling
The more data that your predictive people analytics software has, the more effective it is at creating predictive models. The statistical analysis that your software can carry out instantly can predict future behaviors and trends. Imagine being able to predict whether a prospective hire is the right fit for your company (or not), or at what point employees are most likely to experience burnout. Predictive modeling is one of the main benefits of people analytics.
Data Visualization
Data doesn’t do much good if it cannot be simplified and visualized by decision-makers. This type of HR technology will not only generate reports quickly for people with access but will also present the information in an understandable way. Managers and HR leaders will be able to decide on actionable steps once the information is presented clearly and concisely.
Applications in HR
Talent Acquisition
Many hiring managers say they choose an employee based on a hunch or a “gut feeling,” only to regret the decision later when they realize the person was not the right fit. Predictive people analytics takes the guesswork out of talent acquisition. It allows you to make an evidence-based decision when it comes to hiring.
Employee Engagement
Predictive people analytics allows you to take employee engagement surveys and track their engagement over time. It lets you identify areas where you may need to stage interventions to improve employee work-life balance and overall satisfaction. HR teams can use people analytics to help with employee retention, productivity, professional development, and much more.
Performance Management
A solid predictive people analytics platform allows a company to identify where actions directly correlate to business performance. Metrics that can be measured and tracked over time to identify patterns include revenue per employee, operating margins, and return on assets (ROA). Determining the average performance rating of employees lets you identify areas for improvement.
Challenges and Ethical Considerations
Data access and security are two of the biggest issues when it comes to this type of HR analytics. Predictive people analytics contain a lot of sensitive employee data. HR departments have to take extra care that only authorized users can have access to this data.
One problem with this under traditional models is that sensitive employee data has to be transferred to spreadsheets or data visualization tools to share them for analysis. That more traditional process exposes the data to security risks. With predictive people analytics software, all the data stays in your HR system. When the data is shared with others for reporting and analysis, it is encrypted and can only be accessed by authorized users.
ASAP Payroll’s Approach
ASAP Payroll’s human capital management (HCM) platform can help your organization take a more data-driven approach to operations and decision-making. Identifying short- and long-term trends with our predictive people analytics tools allows you to track employee engagement and productivity. With this data in hand, it allows you to streamline business operations and make decisions much faster. Your business will become more effective at identifying emerging trends or problems and then addressing them.
Our unified HCM platform allows your recruiters and managers to optimize their talent acquisition process through data and analytics. By collecting and interpreting data, you increase your chances of hiring the best fit for your organization. ASAP Payroll’s platform lets you manage the entire life cycle of your employees, from hiring to retirement.
HR departments can become more efficient in carrying out their duties with the help of ASAP Payroll’s unified HCM platform. You can adopt a more proactive approach to operations with the help of data-driven decision-making. Contact us to request a quote or try our free demo here.
