When updating talent management strategies, we find terms which are in fashion that, though not new, suggest a different way of “doing” and creating. In this article we will focus on People Analytics.
This strategy’s aim is to use data about the work environment to manage human talent in an effective way, which allows us to objectively measure how effective an employee is when doing their job, to determine if they invest resources adequately, and even if they are satisfied with their work environment, in order to take measures and avoid turnover, which definitely turns it into a practical tool to find answers.
A study carried out by Chartered Global Management Accountant (United States, 2014) discovered that 43% of the CEOs, CFOs and Human Resources Managers believe that their companies didn’t achieve their financial goals in the 18 months previous to the study because of scarce talent management practices.
In this sense, there are more measures and solutions available in the market for people management which are related to quantitative and analytic tools. This allows organisations to have information about their employees, their behaviour and culture, to support decision making.
To quote some success cases, we find Bank of America’s call centre, where by using tools for data collection they managed to increase productivity by 23%, by finding more efficient ways to organise the lunch break.
Google is another case. They found algorithms to improve recruitment and retention practices by using productive models to find problems in people management and opportunities in that area. The “People Operation’s” team at Google acts as an internal consultant and influences people towards change by using data and recommendations for actions suggested by the numbers.
According to the OBS Business School, using people analytics offers considerable benefits, since it allows you to:
– Detect any time leaks, distractions, tasks that consume longer than they should.
– Design plans for motivation and involvement so that your team is emotionally invested in the organisation and develops a sense of belonging.
– Manage analytics and find new ways of channelling the area’s resources.