There is a huge movement towards HR analytics and that is a good thing. However there is a risk that this will create a culture war within HR with the “numbers people” squaring off against the “people people”. That war won’t be good for anyone.
HR is undergoing something of a revolution with the influx of analytics people. It’s true that compensation has always been steeped in numbers, but in general HR has been staffed by “people” people; and in some cases by people who explicitly chose the profession because they didn’t like math.
Given their importance to business outcomes, it would be expected that HR leaders would have a clear understanding of the ongoing ebbs and flows of their workforce. However, research shows that few organizations have a good grasp of their workforce dynamics.
Performance management systems are not just about motivating, developing and rewarding employees. They need to fit into the overall talent management system, and are a key part of an employee’s life cycle within an organization.
In today’s high-velocity world, having timely information at your fingertips can make all the difference between staying ahead of the competition and going out of business. The modern organization changed. We are faced with a new economic reality where many skill sets are becoming obsolete and software is eating the world.
Big data is a term increasingly being used to capture the emerging industry practice of analyzing multiple databases to help business leaders make decisions and become better future forecasters. The challenge for the HR leader is to wade through the noise to find the signal.