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Journal of Mines, Metals and Fuels, 71(10): 1747-1753; 2023. DOI: 10.

18311/jmmf/2023/35858

Print ISSN : 0022-2755

Journal of Mines, Metals and Fuels


Contents available at: www.informaticsjournals.com/index.php/jmmf

Challenges and Opportunities of Big Data Analytics for


Human Resource Management in Mining and Metal
Industries
Prakash Chandra Mishra* and Pradipta Kumar Mishra
Faculty of Emerging Technologies, Department of Computer Science and Engineering, Sri Sri University,
Cuttack – 754006, Odisha, India; pcmseema@gmail.com

Abstract
Big data analytics has been transforming various industries and sectors including mining, metals, metallurgical, etc., and
the mining sector, known for its complex and dynamic workforce requirements, is increasingly turning to Big Data Analytics
to optimize its Human Resource Management (HRM) practices. The mining sector, being a significant economic segment,
contributes to economic growth and is confronted with the dual challenges of a rapidly aging workforce and a shortage of
skilled talent. As the mining industry is facing a talent crunch, HR has a significant role in attracting and retaining new talent
in this industry, as well as ensuring that competent talent is brought in to meet the sector’s future demands Big data analytics
for HR refers to the use of data analysis techniques to gain insights into employee behavior, engagement, productivity, and
retention. The purpose of this paper is to explore the challenges and opportunities of big data analytics for HR, best practices
for implementing it, and case studies of companies that have successfully implemented big data analytics for HR. The paper
begins by outlining the importance of big data analytics for HR, highlighting its ability to provide HR professionals with a
better understanding of employee behavior, engagement, and motivation. The challenges of big data analytics for HR are
then discussed, including data quality and accessibility, integration of data from various sources, protection of data privacy,
lack of expertise and resources, and resistance to change and adoption. The opportunities of big data analytics for HR are
then presented, including predictive analytics for talent management, data-driven recruitment and selection, employee
engagement and retention, performance management and productivity, and diversity, equity, and inclusion. Best practices
for implementing big data analytics for HR are also discussed, including defining clear objectives and metrics, selecting the
right tools and technologies, building a data-driven culture, collaborating with IT and other departments, and ensuring data
privacy and security. Case studies of successful big data analytics in HR are presented to provide real-world examples of
companies that have leveraged big data analytics to improve their HR functions. Examples include IBM's talent analytics
program, Google’s use of big data analytics to identify key drivers of employee satisfaction and engagement, and leading
mining company, referred to as “MinerCo,” leveraged Big Data Analytics to address HRM challenges and harness opportunities
for improvement.

Keywords: Data Quality, Data Privacy, Diversity, Equity and Inclusion, Expertise and Resources

1.0 Introduction for HR refers to the application of data analysis methods


to learn more about employee productivity, engagement,
HR is not an exception to how big data analytics has and retention. Big data analytics insights can assist
changed other companies and sectors. Big data analytics HR managers in making wise choices regarding talent

*Author for correspondence


Challenges and Opportunities of Big Data Analytics for Human Resource Management in Mining and Metal Industries

management, recruitment, performance, and diversity. analytics in HR, and 82% of those that have adopted it
Big data analytics’ significance for HR is demonstrated report positive outcomes1,5. However, the adoption of big
by its capacity to give HR professionals a greater data analytics in HR also presents several challenges. One
understanding of employee motivation, engagement, and of the most significant challenges is the quality of data
behavior. HR professionals may find patterns, trends, used in big data analytics. HR data is often incomplete,
and opportunities to boost productivity and employee outdated, or inconsistent, making it challenging to
happiness by using the insights gained through data obtain reliable insights1. Another challenge of big data
analytics. This study examines big data analytics for HR’s analytics for HR is the integration of data from various
prospects and difficulties, best practices for putting it into sources. HR data comes from various sources, such as
practice, and case studies of businesses that have done so HR systems, social media, surveys, and other third-party
successfully. sources. Integrating these sources of data can be difficult,
requiring complex data management and analysis
1.1 Challenges of Big Data Analytics for HR techniques2. In addition, the use of employee data for
Big data analytics for HR comes with its own set of analytics raises privacy concerns. HR professionals need
challenges, some of which are: to ensure that they comply with data protection laws
Data Quality and Accessibility: The quality of the data and obtain consent from employees before collecting
used in big data analytics is critical to obtain accurate their data3. To implement big data analytics for HR
insights. However, HR data is often incomplete, outdated, effectively, organizations should follow best practices,
or inconsistent, making it challenging to obtain reliable such as defining clear objectives and metrics, selecting
insights. Integration of data from various sources: HR the right tools and technologies, building a data-driven
data comes from various sources, such as HR systems, culture, collaborating with IT and other departments,
social media, surveys, and other third-party sources. and ensuring data privacy and security4. Marler5 has
Integrating these sources of data can be difficult, presented a complete review of e-HRM and strategic
requiring complex data management and analysis human resource management. Importance of human
techniques. sustainability has been studied with context to modern
Protection of Data Privacy: The use of employee data for management by Pfeffer6. No doubt, the role of human
analytics raises privacy concerns. HR professionals need resource management is very crucial in any organization
to ensure that they comply with data protection laws and and a comprehensive exploration and the emerging
obtain consent from employees before collecting their landscape with context to big data has been discussed
data. Lack of expertise and resources: Big data analytics by Raghuram7. Sambamurthy and Zmud8 in their work
requires specialized skills and expertise in data analysis, insights on importance of digital transformation which
statistics, and data visualization. HR professionals may is need of the hour and one of the requisites for future
lack the necessary resources and expertise to analyze sustainability when it comes to HR management.
data effectively. Resistance to change and adoption: The Despite these challenges, big data analytics for HR
adoption of big data analytics in HR requires a cultural presents numerous opportunities for organizations.
shift in the organization, with employees and managers Predictive analytics can help HR professionals forecast
embracing data-driven decision-making. However, some future talent needs, identify high-potential employees,
employees may resist this change, leading to resistance and develop personalized career paths for employees14.
and slower adoption. Big data analytics can also help HR professionals identify
the factors that contribute to employee engagement and
retention, such as job satisfaction, work-life balance, and
2.0 Literature Review career development2. To implement big data analytics for
HR effectively, organizations should follow best practices,
Big data analytics for HR is a growing area of interest in
such as defining clear objectives and metrics, selecting
the field of human resource management. According to
the right tools and technologies, building a data-driven
a study by Deloitte, 56% of companies are using big data

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Prakash Chandra Mishra and Pradipta Kumar Mishra

culture, collaborating with IT and other departments, 4.0 Best Practices for


and ensuring data privacy and security4. Successful case
studies of big data analytics in HR, such as IBM’s talent
Implementing Big Data
analytics program, Google’s use of big data analytics Analytics for HR
to identify key drivers of employee satisfaction and To implement big data analytics for HR effectively,
engagement, and Xerox’s optimization of its recruitment organizations should follow these best practices:
and selection processes, provide valuable insights into the Defining Clear Objectives and Metrics: HR professionals
potential benefits of big data analytics for HR2. Overall, should define clear objectives and metrics for data
the literature suggests that big data analytics for HR has analysis, aligning them with the organization’s strategic
the potential to revolutionize the field of human resource goals.
management by providing HR professionals with Selecting the Right Tools and Technologies: HR
valuable insights into employee behavior, engagement, professionals should select the right tools and technologies
productivity, and retention. However, organizations need for data analysis, based on their needs, budget, and
to be aware of the challenges involved and follow best expertise.
practices to maximize the benefits of big data analytics Building a Data-driven Culture: HR professionals
for HR. should promote a data-driven culture in the organization,
with employees and managers embracing data-driven
3.0 Opportunities of Big Data decision-making.
Collaborating with IT and Other Departments: HR
Analytics for HR
professionals should collaborate with IT and other
Despite the challenges, big data analytics for HR presents departments, such as finance and marketing, to ensure
numerous opportunities for organizations, including: that the data is integrated and analyzed effectively.
Predictive Analytics for Talent Management: Predictive Ensuring Data Privacy and Security: HR professionals
analytics can help HR professionals forecast future talent should ensure that the data is collected, stored, and
needs, identify high-potential employees, and develop analyzed in compliance with data protection laws and
personalized career paths for employees. ethical standards.
Data-driven Recruitment and Selection: Big data
analytics can help HR professionals identify the most
suitable candidates for a position, based on their skills,
5.0 Case Studies of Successful Big
experience, and personality traits. Data Analytics in HR
Employee Engagement and Retention: Big data Several companies have successfully implemented big
analytics can help HR professionals identify the factors data analytics in their HR functions. For example:
that contribute to employee engagement and retention, IBM: IBM implemented a talent analytics program to
such as job satisfaction, work-life balance, and career identify and develop high-potential employees. The
development. program used predictive analytics to identify employees
Performance Management and Productivity: Big who were most likely to leave the company and developed
data analytics can help HR professionals identify the personalized career plans to retain them. As a result, the
factors that contribute to employee performance and company reduced attrition rates by 20%.
productivity, such as training, feedback, and workload Google: Google used big data analytics to identify the
management. factors that contribute to employee satisfaction and
Diversity, Equity, and Inclusion: Big data analytics engagement. The company analyzed employee surveys,
can help HR professionals identify and address performance data, and other sources of data to identify
biases in the recruitment, selection, and promotion the key drivers of employee satisfaction, such as work-life
processes, promoting a more diverse and inclusive balance, career development, and job autonomy.
workplace.

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Challenges and Opportunities of Big Data Analytics for Human Resource Management in Mining and Metal Industries

Table 1. Challenges of Big Data Analytics for HR

Challenge Description
HR data is often incomplete, outdated, or inconsistent, making it challenging to
Data quality and accessibility
obtain reliable insights.
HR data comes from various sources, such as HR systems, social media, surveys,
Integration of data from various
and other third-party sources. Integrating these sources of data can be difficult,
sources
requiring complex data management and analysis techniques.

The use of employee data for analytics raises privacy concerns. HR professionals
Protection of data privacy need to ensure that they comply with data protection laws and obtain consent
from employees before collecting their data.
Big data analytics requires specialized skills and expertise in data analysis,
Lack of expertise and resources statistics, and data visualization. HR professionals may lack the necessary
resources and expertise to analyze data effectively.

The adoption of big data analytics in HR requires a cultural shift in the


organization, with employees and managers embracing data-driven decision-
Resistance to change and adoption
making. However, some employees may resist this change, leading to resistance
and slower adoption.

Table 2. Opportunities of Big Data Analytics for HR

Opportunity Description

Predictive analytics for talent Predictive analytics can help HR professionals forecast future talent needs, identify
management high-potential employees, and develop personalized career paths for employees.

Data-driven recruitment and Big data analytics can help HR professionals identify the most suitable candidates
selection for a position, based on their skills, experience, and personality traits.

Big data analytics can help HR professionals identify the factors that contribute to
Employee engagement and retention employee engagement and retention, such as job satisfaction, work-life balance,
and career development.

Big data analytics can help HR professionals identify the factors that contribute to
Performance management and
employee performance and productivity, such as training, feedback, and workload
productivity
management.

Big data analytics can help HR professionals identify and address biases in the
Diversity, equity, and inclusion recruitment, selection, and promotion processes, promoting a more diverse and
inclusive workplace.

Xerox: Xerox used big data analytics to optimize its screening criteria, and interview questions. As a result,
recruitment and selection processes. The company the company reduced recruitment costs by 30%.
analyzed job postings, candidate resumes, and interview MinerCo: The mining sector, characterized by its
data to identify the most effective recruitment channels, dynamic workforce and challenging operational

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Prakash Chandra Mishra and Pradipta Kumar Mishra

Table 3. Examples of Results of Big Data Analytics in HR

Company Results Description

IBM implemented a talent analytics program to identify and develop high-


Reduced attrition rates potential employees. The program used predictive analytics to identify
IBM
by 20% employees who were most likely to leave the company and developed
personalized career plans to retain them.

Google used big data analytics to identify the factors that contribute to
Identified key drivers of employee satisfaction and engagement. The company analyzed employee
Google employee satisfaction and surveys, performance data, and other sources of data to identify the
engagement key drivers of employee satisfaction, such as work-life balance, career
development, and job autonomy.

Xerox used big data analytics to optimize its recruitment and selection
Reduced recruitment processes. The company analyzed job postings, candidate resumes,
Xerox
costs by 30% and interview data to identify the most effective recruitment channels,
screening criteria, and interview questions.

MinerCo implemented a talent analytics program to identify and develop


Reduced recruitment high-potential employees. The program used predictive analytics to
MinerCo
costs by 30% identify employees who were most likely to leave the company and
developed personalized career plans to retain them

Figure 1. Workflow for HR Analytics for Human Resource Management

environments, has been increasingly embracing Big Data to optimize HRM processes, improve safety, and boost
Analytics to enhance its Human Resource Management operational efficiency.
(HRM) practices. This case study explores the real-world These Tables (1-2) provide a concise summary of the
application of Big Data Analytics in a mining company challenges and opportunities of big data analytics for HR,

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Challenges and Opportunities of Big Data Analytics for Human Resource Management in Mining and Metal Industries

making it easier to understand and compare the different 5. Predictive Maintenance: To schedule maintenance
factors involved. and replacement of equipment, HR and operations
This Table 3, provides examples of the results teams must first analyze maintenance data from
that companies have achieved through the use of big mining equipment to determine when machines
data analytics in their HR functions. These results are most likely to fail.
demonstrate the potential benefits of big data analytics, 6. Workforce Planning: The HR department may
such as improved employee retention, engagement, and optimise workforce planning, ensuring they have
recruitment. the correct amount of trained workers at the right
time, using big data analytics to estimate labour
5.1 Algorithm Implementation requirements based on production schedules and
The use of digital data-driven software algorithms to market demand.
support human resources decisions and/or automate
HRM tasks. 6.0 Conclusion
Workflow for HR Analytics for Human Resource
Management HR professionals have several chances to learn about
employee behavior, engagement, productivity, and
Implementation retention thanks to big data analytics. But, it also has
1. Data Collection and Integration: The MinerCo its own unique set of difficulties, including adoption,
Mining Company begins gathering data from a integration, privacy, and data quality. HR professionals
variety of sources, including sensor data from may use big data analytics to make wise decisions that
mining equipment, employee performance enhance company performance and employee happiness
records, HR data, and external sources like by adhering to best practices and studying successful case
weather and geological data. studies. HR professionals must keep up with the most recent
2. Predictive Analytics for Safety: Real-time sensor trends and technology as big data analytics continues to
data from mining equipment, such as vibrations, develop to compete in the employment market. It’s crucial
temperature, and gas levels, are used to provide to keep in mind that the industry is continually changing
early warnings and maintain employee safety. The in addition to the potential and problems presented
company leverages previous data on accidents by big data analytics for HR. To be competitive in the
and incidents to construct predictive models that employment market, HR professionals must keep up with
identify possible safety issues. the most recent trends and practices as new technology
3. Recruitment and Talent Management and data sources are developed. For instance, big data
• The HR team creates algorithms to analyse analytics using Artificial Intelligence (AI) and Machine
the performance of prior recruits using data Learning (ML) can offer even more sophisticated insights
analytics, discovering elements that affect on employee behavior and performance. To ensure that
employee tenure and job performance. big data analytics are ethical, impartial, and compatible
• They develop a prediction model to evaluate with data protection rules, HR professionals must make
job candidates’ appropriateness based on sure the data is trustworthy. HR experts must also make
their credentials, employment history, and sure that workers have the right to access their data and
personality attributes. are informed about how it is used. To ensure that the
4. Employee Performance Optimization: The data is integrated and evaluated successfully, HR experts
business analyses employee performance data must collaborate closely with IT and other departments,
using machine learning algorithms to spot such as finance and marketing. Effective communication,
patterns and trends. This data is used by HR to teamwork, and a common appreciation of the value of
design tailored training and development plans data-driven decision-making are required for this. HR
for every employee. practitioners make wise decisions that enhance corporate

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Prakash Chandra Mishra and Pradipta Kumar Mishra

performance and employee satisfaction by utilizing the 4. Marler JH, Fisher SL. An evidence-based review of
power of data analysis. e-HRM and strategic human resource management.
Hum Resour Manag Rev. 2013; 23(1):18-36.
5. Nasir MHN, Nadarajah S. Big data analytics and its impact
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2020; 17(9):3156. what we can do about it. Harper Business; 2019.
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resource management: A systematic review. Int J Manag emerging landscape. Hum Resour Manag Rev. 2013;
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3. Brenner W, Cebulla A, Pfeiffer M. Challenges of HR ana- 8. Sambamurthy V, Zmud RW. Guiding the digital transfor-
lytics in practice: A study on the problems and solutions mation of organizations. MIT Sloan Manag Rev. 2015;
when applying HR analytics in organizations. Int J Hum 57(2):37-44.
Resour Manag. 2016; 27(22):2705-2735. 9. Wang X, Zhu H. Predictive analytics for human resource
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