Why invest in People analytics?
Do you know the number one reason why you should implement People analytics in your organization? It's a very simple reason, but it's so important: simply to improve the performance of your organization (not just HR performance, but the performance of the entire organization)! And there are studies to back it up!
According to a Deloitte study, companies that use People analytics experience an average three-year profit that is 82% higher than their counterparts who do nothing (or little) with their HR data. 82% - don't you think that's huge? The same study also showed that companies that do HR analytics (and that doesn't mean publishing a few metrics every quarter - although that's a start) are able to demonstrate a clear link between sound talent management, cost reduction, and efficiency gains.
Undeniably, organizations with a high level of People analytics maturity report better financial results than those with low maturity...
So what are you waiting for?
Unfortunately, HR lags behind other areas of the organization - sales, marketing, finance, operations, and information technology - in the use of analytics. Yet, more and more studies are showing the undeniable value of analytics in driving businesses forward when adopted by the HR team.
If you want to progress in People analytics or if you want to position yourself on an People analytics maturity model, stay tuned! We will soon be publishing our new HR analytics maturity model. A model adapted especially to companies with less than 10,000 employees. Let's face it, when Josh Bersin talks about its People analytics model, it's aimed more at large, very large companies. And make no mistake, People analytics is useful to all companies, whether you are 50, 200, 500, 1,000, or 5,000, HR data can help you better manage your talent!