There are several categories of HR analytics that contribute to the development of a high quality talent pool. These general categories of analytics and talent management bring the power of big data into talent development.
- finding the talent,
- computing competitive compensation levels,
- making comparisons with the overall business community,
- assessing the personalities and potential of candidates,
- fitting candidates to particular jobs,
- human motivation analytics.
This does not include the ordinary human resources management processes that are handled by HR management software.
Most of the talk in the market place is about the application of big data analytics to marketing and consumer relations activities, however, the application of big data to human resources (also called “talent analytics” or “people analytics”) is a growing field.
Companies are loaded with employee data, human resources data, employee background data, and performance data on both corporate and individual employee levels. However, few companies make use of their data to study the human resource factors that improve performance or use the data to help them scientifically make people decisions.
Talent Management Software:
The development of talent management systems represents an effort to bring the development of employee talent into the purview of managers rather than relying entirely on human resources departments. The software includes systems of dashboards that enable managers to fully monitor their employees on the measures that affect their performance.
Integrated management software systems help organizations plan their workforce, align their employees with organizational goals, train and develop their talent, and appropriately compensate employees and reward good performance. Recruiting systems are complemented by systems of workforce planning and succession management. Systems of employee orientation include onboarding and goal alignment. Systems of supervision include 360 degree assessments and “career pathing.” Recognition programs are geared to performance and quality work habits.
New systems use big data potential to reach outside of the workplace into the community. The data gathered is used to make social science based human resources decisions. Studies of human resource factors that actually predict success in sales or efficiency are supplementing traditional seat-of-the-pants decisions.
Josh Bersin, writing in Forbes.com, gives the example of a large financial services company who operated under the assumption that getting good grades from highly ranked colleges would make good performers, and based their recruitment and human resources promotions on those assumptions.
A statistical analysis of actual sales productivity revealed that factors of where an employee went to school, grade-point averages, and quality of references did not predict sales effectiveness. Good predictors were error free resumes, not quitting school before the degree, previous appropriate sales experience, demonstrated success on previous jobs, ability to succeed with minimal instruction, experience with time management and planning. In that case, modification of the hiring criteria resulted in a $4 million improvement in sales revenue.
Analysis of job descriptions and profile fitting:
The job description is a key factor in the talent search and hiring process. There are three basic types of job descriptions:
- Advertising or selling job descriptions are designed to attract good candidate resumes. They emphasize the positive aspects of the job, tempered only by the desire to draw in substantial numbers of minimally eligible resumes. These are, in themselves, not useful in selection.
- Legal job descriptions describe the official position of the job in the organization. They often include a list of minimal standards of acceptable performance. They may include a checklist used in future accountability audits and supervisory sessions to set standards for advancement and remuneration.
- The functional job description is the form of job description that has real utility for hiring. Writing a functional job description requires a study of the job, usually carried out through a process of interviewing incumbents as well as those in direct communication with incumbents. The idea is to find out what is really being done. Functioning on the job is affected not only by task but by patterns of supervision and communication that are rarely noted in legal job descriptions.
Once a functional job description is established, job sample testing and other measures of work patterns and behavior patterns can help to establish an objective profile to fit the candidate against the job requirements.
Surmount HRM offers cloud-based human resources and candidate tracking software for talent management and analytics. Please contact us to learn more.