Research carried out by software provider, Workday - in association with the Chartered Institute of Personnel and Development (CIPD) - revealed that only 52% of organisations were using people data to deal with issues in business. This has resulted in experts calling for specialist data training.
Of the 3,852 business professionals surveyed in the study of HR departments’ experiences, it was found that 39% did not have access to people data for the purpose of making decisions but 35% of non-HR professionals thought that their HR team was expert in people analytics.
Workday identified a link between the use of people analytics and business performance, with 65% of the respondents who worked in people analytics cultures feeling that their business performed better than competitors who were less data-driven.
Human capital and governance adviser for the CIPD - Edward Houghton - said:
“We need to see greater investment in the skills needed to understand people data and we need to encourage the use of people analytics across different functions in organisations, and in finance in particular. HR must lead the development of cultures that share a ‘common language’ when it comes to people data and a shared understanding and appreciation of the positive impact people data can have on business outcomes.”
Gonzalo Benedit - President of EMEA and APJ at Workday - stated:
“People analytics should be available in real-time, and on demand so that that they can be quickly used to make effective decisions. While the business case for people analytics may be clear, the data must be accessible and used as only then will businesses have the confidence to use it most effectively."
Bernard Marr - author of Data Strategy - speaking at the Cognition X conference in London, warned that “people people” were sometimes in want of the mathematical know-how needed to properly take advantage of HR analytics. He argued that by splitting the function in two, those with stronger people support skills could create a positive employee experience and those who were more analytical could focus on capturing data and insight. He stated:
“The two functions don’t always blend well.”
Also warning that HR was currently failing to appreciate the true workplace potential of artificial intelligence (AI), Bernard Marr said they were “just jumping on the bandwagon” rather than taking time to assess the strategic points and identify the genuine issues that AI could solve.
Colin Strong - Global Head of Behavioural Science at Ipsos Mori - told People Management that he was not convinced that the case had been made for people analytics as a driver of business success. He said:
“Workplace metrics are important but they are only part of the story. There’s more to people management than can be reflected in a set of data.”