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• HR analytics is the science of gathering, organizing and analyzing the data related
to HR functions like recruitment, talent management, employee engagement,
performance and retention to ensure better decision making in all these areas.
• HR analytics does is correlate business data and people data, which can help establish
important connections later on.
• HR analytics does not just deal with gathering data on employee efficiency. Instead, it
aims to provide insight into each process by gathering data and then using it to make
relevant decisions about how to improve these processes.
• Human Resource (HR) metrics are measurements used to determine the value and effectiveness
of HR initiatives, typically including such areas as turnover, training, return on human capital,
costs of labor, and expenses per employee.
• Vital way to quantify the cost and the impact of employee programs and HR processes and
measure the success (or failure) of HR initiatives.
• They enable a company to track year-to year-trends and changes in these critical variables. It is
how organizations measure the value of the time and money spent on HR activities in their
• Common data sources include internal data like demographic employee data, payroll data, social
network data, performance data, and engagement data. External data sources can include labor
market data, population data, LinkedIn data, and much more. Any data that’s relevant for the
specific project can be used.
• Capability analytics
The success of business depends on the level of expertise and skill of your workforce. Capability
analytics is a talent management process that allows you to identify the capabilities or core
competencies you want and need in your business.
• Capacity analytics
Capacity analytics seeks to establish how operationally efficient people are in a business, e.g. are
people spending too much time on admin and not enough on more profitable work, or are
individuals stretched far too thin? It also allows businesses to establish of how much capacity they
have to grow.
• Employee churn analytics
Hiring employees, training them and then integrating them into the business costs time and money.
Employee churn analytics is the process of assessing your staff turnover rates in an attempt to
predict the future and reduce employee churn.
• Corporate culture analytics
Culture is notoriously difficult to pin point and even harder to change. It is essentially the collective
(often unspoken) rules, systems and patterns of behavior that embody your business. Corporate
culture analytics is therefore the process of assessing and understanding more about your corporate
culture or the different cultures that exists across your organization.
• Employee performance analytics
Employee performance analytics seeks to assess individual employee performance. The
resulting insights can identify who is performing well and who may need some additional
training or support in order to raise their game. Today, we have many innovative ways of
collecting and analyzing performance, from crowdsourced performance assessments to big
data analytics.
• Leadership analytics
Leadership analytics unpacks the various dimensions of leadership performance via data to
uncover the good, the bad and the ugly. Data about leadership performance can be gained
through the use of surveys, focus groups, employee interviews or ethnography.

They are the backbone for decision making:
The human resource analyst is the backbone for making vital decisions. They are important to every organization because they
are the only one from whom the decision goes through and also gets final after proper evaluation.
• They help in reviewing the decisions:
The decisions taken by the management are reviewed by the human resource analyst and the suggestions are also made to
them. After making suggestions and amendments the decision is finalized. The decision has to pass many steps before it gets
• They provide an edge over competitors:
Just because of the decisions related to the policies being reviewed and taken into the consideration by the human resource
analyst, they give an edge to the organization in the decision making; also provide competitiveness in the market.
• They act as a bridge between the employees and the higher authority:
Higher authority is the management team; which includes the managers.
The managers make the policies, programs and decide on what is right and wrong with the help of the human resource
department which includes the human resource analyst.
The human resource analyst for the business decision is a good career, if anyone wants to pursue it. This is because the main
decisions are taken by them which is key to every organization and also very useful, indeed.
CASE STUDY : Saving money by predicting
who will quit
• On March 13 2015, the Wall Street Journal published an article titled: “The Algorithm That Tells
the Boss Who Might Quit”. The article explored how Credit Suisse was able to predict who might
quit the company. It was one of the first examples of the now very popular employee churn
• Not only were the analysts at Credit Suisse able to predict who might quit, but they also could
identify why these people might quit. This information was provided anonymously to managers
so they could reduce turnover risk factors (here’s how to calculate employee turnover) and retain
their people better.
1. Track the developments and the trends:
The human resource analyst tracks the developments and the trends in the different functional areas of the human
resource strategies used by the human resource management.
2. Administers the assigned functions:
The human resource analyst not only reviews, or collect data to review but also are assigned with various other
functions which are not limited to, employment analysis but also includes recruitment, decision making and so on.
3. Collects and analyzes the whole information:
The human resource analyst collects the information from the higher authority like managers and most of the time
they gather the information from the human resource department.
The human resource department gives them all the details of the employees, their behavior etc.
The human resource analyst analyzes the information taken from the human resource. Also suggest the changes if
any required.
4. Perform the research and prepare reports:
The human resource analyst is also required to perform various studies. Proper research is done before preparing the
studies and then finally the hr reports are prepared by the human resource analyst.
5. Their main challenge is to provide a blueprint:
• The human resource analyst is also called the talent analyst who are not only responsible for mining the
considerable data, but also provide the organization with a blueprint of what would happen if the particular
strategy is followed.
• So, this way they help in providing an insight for effectively managing the employees, monitoring their
performance so as to reach the goals effectively and easily.
6. Recommends and interpret policies:
• As also said earlier, the human resource analyst recommends the changes in the policies and the plans made
by the human resource strategist. The human resource analyst, act as a sieve to the policies discussed and
made in the HR conferences by the higher authority.
• The human resource analyst reviews those policies before passing them to the employees. Not just this, they
also recommend the possible changes and at times also make amendments in them.
• Apart from this, they are also assigned to interpret the policies. The interpretation is done to take out all the
possible faults if any resides in them.
7. Participate in working council and various groups:
• The human resource analyst is a part of the essential decision making process. So, they are also entitled to
participate in the working council and groups which finalize the policies. It is because, they are also the
crucial part of decision making.
The HR analytics is the process by which the team of human resource through the
analytical process works to improves the performance.
• When the team of human resource makes use of this process, the business of the
company is benefitted at large as it gets larger return on investment.
• Deals with the gathering of the employee information so as to know their efficiency
• Helps employees by providing the insights and the advice related to the task so as to help
them make relevant decisions.