What is People Analytics?
People Analytics is the application of data analysis techniques to make decisions in the field of human resources. Also known as HR analytics, it has received a lot of attention in recent years. While the practice of gathering data in itself is not new (HR has always been sitting on a lot of data such as employment records or performance reviews), its newly discovered potential is closely linked to the rise of Big Data.
The technology linked to analysing HR data and turning it into actionable results has spawned a whole new ecosystem of companies (HR Tech) and has caused the first HR departments to hire data analysts or mathematicians. Within People Analytics, there are several subcategories, such as:
- Recruitment Analytics (Goal: Identifying talent to hire and efficient hiring practices)
- Staffing Analytics (Goal: Optimising promotion schemes and employee turnover)
- Talent Analytics (Goal: Assessing and developing employee skills)
- Collaboration Analytics (Goal: Optimising teams and cross-department work)
How People Analytics affects your recruitment
As mentioned above, recruitment analytics the part of People Analytics concerned with optimising hiring practices and decisions. Amongst others, the applications of data analytics in recruitment include:
- Understanding which channels (such as job boards, social network etc.) can best deliver relevant candidates.
- Identifying which candidate traits can best predict a quality hire.
- Understanding biases and blind spots in the current hiring process and improving better screening processes.
Ultimately, the goal of all the recruitment-focussed HR tech out there is to optimise the key recruitment metrics quality of hire, the speed of recruitment and the cost per hire.
With the advancement of machine learning and artificial intelligence, the field should see many more interesting developments in the near future.