Connect with us


Joy Eneghalu: This is Why HR Analytics Has Become Important

Avatar photo



When I hear of HR, I begin to think of people who manage the employee life cycle (i.e. recruiting, hiring, onboarding, training, and firing employees) and administering employee benefits. They still remain in charge but a major disruption has come into that space.

Organisations are struggling to understand their complex existing and potential workforce and how to use each effectively. So questions like these come up a lot:

  • Which applicants should we recruit?
  • Which of our hires do we wish to retain for our performance and productivity?
  • Who amongst our internal talents do we wish to groom for career advancement?
  • What are the most effective compensation, benefits and development options that will optimize the organization’s competitiveness in the marketplace?

The answer and solutions to these questions are HR analytics. HR Analytics is rapidly growing because of the following reasons:

  • Availability of data
  • Growing recognition of behavioural biases
  • The fact that a firm’s greatest assets are its employees

HR analysts have been in short supply and high demand recently, as employers recognise the results these staff can bring to the bottom line. For this reason, employers are looking to hire HR analysts mainly because of their technical expertise and not just generalist experience. To be successful in this role, there are major aspects an individual should excel in.

  • Analytical skills like Microsoft Excel and PowerBI
  • System analysis
  • Attention to detail
  • Strong communicators

Pursuing a career in HR is not for the faint-hearted. Being responsible for making hiring and firing decisions, keeping watch over employee welfare and handling a company’s most sensitive information isn’t for everyone. Employers are looking to employ HR professionals that can get the job done with facts and people’s data, and that is why analytics in HR is super important as it gets the work done effectively.

What is HR Analytics?

Human resource analytics is an area in the field of analytics that deals with people analysis, and applying an analytical process to the human capital within the organisation to improve employee performance, and improving employee retention.

Why is HR analytics so important?

Better HR Decisions

HR analytics provides access to critical data and insights about the workforce which can then be analysed for making better decisions.

Better Employee Understanding

Not only does it improve the HR performance but also provides a better understanding of what motivates employees to work productively and how organisational culture affects employee performance.

Better Quality of Hire

Properly utilising candidate’s data allows companies to identify the best matching talent for a vacant position, thereby improving the quality of hire.

Effective Training

Training is a necessity for any organisation to constantly grow. But various resources are invested in training the staff and there is a need for HR to know the true value of every training plan. HR analytics create relevant insights needed to design training plans for maximum return on investments.

Reduced Talent Scarcity

When talent is scarce for a specific industry or role, it might seem that talent isn’t there at all. The talent is there but finding it would require you to employ new methods of attracting or searching for it. With the help of HR analytics, you know who to target for a particular position when a requirement arises in the company.

Reduced Attrition Rate

HR analytics can easily help identify and demystify the causes and patterns of attrition among employees. It tells you the reason why employees leave and why they stay. Understanding the exact reason behind your employees leaving your organization sooner than expected can help you rectify the challenge and connect with your employees better.

A wise man once saved many lives when he said, “The more seriously you take your growth, the more seriously your people will take you.” Most HR personnels and enthusiasts find it hard or almost impossible to get into tech because they think it is mandatory to have a background in technology or coding skills.

Some people also think that there is no correlation between analytics and HR. I’m happy to tell you that this is not the case; analytics is solving a lot of problems in the HR space.

Joy Eneghalu is a digital media consultant and she works with thought leaders to build a personal brand to boost their brand visibility, increase their sphere of influence and make profit. Connect with me: IG/Twitter: @joyeneghalu Facebook:

Star Features