Rani Puja

MBA 3rd Sem

HR Analytics
 Analytics is done by companies having access to the
technological tools.
Will the average organization be able to do it?

• HR is about feelings and emotions • Analytics can quantify, build a model and
predict their behavior.

• Decisions can be taken based on experience.

 • R, Python

• Data Scientist

• Big Data

• Predictive Analytics

• Algorithm

• Visualization
HR is based on well researched
principles.
Hawthome study is one of the earliest
examples of a behavioral research.
Behavioral assessments- FIRO, Beblin team
profiles, Big 5 personality test (statistically
validated).

Geert Hofstede set up Personnel Research

Department in IBM (1960s)
He arrived at the cultural dimensions theory
based on extensive research.
People management processes
 Goal setting
 Reward and recoginition
 Competency skills for high performance.
Pioneers of HR Analytics
• Published “Measurement Imperatives” in 1978.
• Set up Saratoga institute inn 1980 to develop and benchmark
metrics in HR.
• Pioneered a list of 30 metrics that can be used across
companies.
Dr. Jac Fitzenz • Created HCM21, a predictive strategic human capital system.

• Prolific author and speaker, published several

books on measurement and HR Strategy.
• Expert in strategic HR and talent acquisition
metrics.
• Teaches at San Francisco State University.
• HR measurement.
Dr. John Sullivan • Talent Acquisition.
 Business Impact of HR
• The impact on business performance due to
HR policies and practices. The strategic
• More unique to an organization depending impact of
high
on their culture and business environment. performance
work system

Mark Huselid (1995)

• Set of 12 questions that predicts employee

engagement.
Gallup • Based on more then 30 years of research.
Q12
 Business Impact of HR
The Employee-Customer-Profit Chain

A compelling place to work A compelling place to Shop A compelling place to Invest

Customer
Recommendations.
Attitude
about the 1.
job. Service 8.
helpfulness.
4.
6.
• Return on assets.
Employee 10.
• Operating
behaviour. Customer Margin
impression. • Revenue Growth.
5.
3.
2.
7. 9. 11.
Attitude
about the Employee
Merchandise
company. retention Value.
Customer
retention.

5 Unit increase in employee attitude 1.3 Unit increase in customer impression 0.5% increase in reverse growth
 Two Important Books

•1990’s Balance scorecard concept was created.

•It is not enough to measure the outcomes like revenues, profitability

but you also need to look at indicators which are leading and
lagging.

•Structured into learning, HR process, internal customers and

financial measures.
Two Important Books

Leverage Team Success

 Two Important Books

•Helped create the analytics wave.

•Oakland athletics baseball team with a very low budget

outperformed well funded teams using unconventional
analytics called “Sabermetrics”.

•Strong Implications for HR.

Not every organization has the resources required to hire and retain the best employees.
 Google Project Oxygen
Google conducted a multi-year research on what good manager do ?

They arrived at 8 key behaviors and 3 pitfalls

which was widely shared in 2011.

Not every manager is equal

 Google Project Oxygen
Google conducted a multi-year research on what good manager do ?

Some of the key behaviors are –

• Have technical skills to help advice the team.
• Have a clear vision and strategy for the team.
• Be a good communicator and listen to the team.
• Be productive and result oriented.

The pitfalls include-

• Lack of consistent approach to performance management and
career development.

Evolution of HR Analytics from 1960 to the current decade.

Thank You