• Jeff Doolittle

Changing the HR Game with Data Analytics


The advances in technology within the workplace are revolutionizing Human Resources (HR) and creating many exciting new opportunities. Technology is collecting massive amounts of data with the potential to create a competitive advantage. As the world changes, people and businesses must change too. There is a growing need to focus on using analytics within human resources (HR) to hire top talent and achieve diversity, equity, and inclusion (DE&I). CEOs and boards recognize they need to have the right people with the right skills in the right jobs to gain a competitive advantage and are championing these changes. Data analytics is changing the HR game and improving organizational talent decision making.


"It is logical to expect that the better we manage our talent, the better an organization will be at achieving its mission" (Mayo, 2018).

Changing the Game



Leading HR organizations are using descriptive, predictive, and prescriptive people analytics. Unfortunately, many organizations have inequities in their hiring and compensation processes. HR is using analytics to understand pay-equity attributes such as tenure, location, experiences, and skills so organizations can make better compensation decisions. Additionally, studies support that when HR applies people analytics to identify low and high performers' skills and attributes, leaders tend to make unbiased decisions in talent acquisition processes.


Blockchain is a disruptive technology trend with promising new opportunities for HR functions. The secure decentralized network verification created through blockchain simplifies hiring, performance management, and total rewards. For example, blockchain is being used to:

  • verify applicants' backgrounds in the hiring process

  • streamline verification of external credentials for performance management

  • simplify international compensation in local currencies eliminating the use of a go-between

  • improve workforce competency through learning and development.

In the constrained resource reality within Human Resources departments, the apparent benefits of improved efficiency and reduced costs attract many leaders to consider the use of technology for automation. However, before investing in automation, HR leaders need to consider if perceived or real diminished service levels will offset the value of automation for employees, key stakeholders, and customers. Sometimes in the excitement of looking ahead to future possibilities associated with innovation, it is easy to underestimate and forget to consider the full range of potential reactions. In Olaf's words from the movie Frozen, advancing technology can be both our savior and our doom without proper change management.


Cultural Considerations


It takes more than selecting the right technology investment to realize a positive return on investment from analytics. Investments in people analytics have underperformed primarily due to HR organizations' failure to change their operating model, data architecture, and user experience. Organizations need to consider company culture, processes, and people's role to maximize an organization's investment into data analytics.


We can partner with you to develop a customized solution to transform your organizational culture and build a more change resilient organization. Walk with us and build increased organizational resilience and a culture that fits the future of the business you need. Contact us to get started today.


References:


Bartlett, R. (2013). A practitioners guide to data analytics: Using data analysis to improve your organizations decision-making and strategy. McGraw-Hill. New York.


Fachrunnisa, O., & Hussain, F. K. (2020). Blockchain-based human resource management practices for mitigating skills and competencies gap in workforce. International Journal of Engineering Business Management, 12 doi:10.1177/1847979020966400


Intelligent HQ. (2018). Using blockchain in human resources. London: Newstex.


Kaji, J., Hurley, B., Gangopadhyay, N., Bhat, R., & Khan, A. (2019). Leading the social enterprise: Reinvent with a human focus [PDF]. Deloitte Development, LLC.


Marler, J. H., & Fisher, S. L. (2017). Making HR technology decisions: A strategic perspective (First ed.). New York, New York (222 East 46th Street, New York, NY 10017): Business Expert Press.


Mayo, A. (2018). Applying HR analytics to talent management. Strategic HR Review, 17(5), 247-254. doi:10.1108/SHR-08-2018-0072


Noack, B. (2019). Big data analytics in human resource management: Automated decision-making processes, predictive hiring algorithms, and cutting-edge workplace surveillance technologies. Psychosociological Issues in Human Resource Management, 7(2), 37-42. doi:10.22381/PIHRM7120196


Oster, G. (2009). Listening to Luddites: Innovation antibodies and corporate success. Review of International Comparative Management. vol. 10(4), pages 647-667, October.


Upadhyay, P., & Kumar, A. (2020). The intermediating role of organizational culture and internal analytical knowledge between the capability of big data analytics and a firm’s performance. International Journal of Information Management, 52, 102100. doi:10.1016/j.ijinfomgt.2020.102100


Zielinski, D. (2019). People analytics software is changing the HR game. SHRM HR Magazine.




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About the Author:


Jeff's knowledge and expertise include leadership development, coaching, and workforce strategies to achieve influence and grow organizations. Jeff Doolittle is the founder of Organizational Talent Consulting in Grand Rapids, MI. He can be reached at info@organizationaltalent.com or by calling (616) 803-9020. Visit https://www.organizationaltalent.com/executive-coaching to learn more about executive coaching services provided.


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About Jeff Doolittle

He is the founder of Organizational Talent Consulting in Grand Rapids, MI. Executive leaders who work with Jeff describe him as thoughtful, decisive, intelligent, and collaborative.  Jeff is a business executive with over twenty years of talent development and organizational strategy experience working with C-suite leaders in Fortune 100, Forbes top 25 private, for-profit, non-profit, and global companies in many industries.

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