How to be great at people analytics

Advanced analytics is transforming the HR landscape. Interviews with leading people analytics teams reveal how.

Adecade ago, someone touting the benefits of “people analytics” probably would have been met with blank stares. Was there value to be gleaned from HR data? Absolutely. But firms were thinking more narrowly about the potential—focusing on core HR systems and gathering straightforward information, such as snapshots of regional head counts or the year’s average performance evaluation rating, rather than using analytics capabilities to manage talent and make evidence-based people decisions.

Today, however, the majority of large organizations have people analytics teams,1 70 percent of company executives cite people analytics as a top priority,2 and there’s little argument that people analytics is a discipline that’s here to stay. What’s striking, though, is the different ways that firms have approached building their people analytics functions. Team size, composition, and organization vary widely, and priorities for capability development and maturation differ significantly.

Most companies still face critical obstacles in the early stages of building their people analytics capabilities, preventing real progress. The majority of teams are still in the early stages of cleaning data and streamlining reporting. Interest in better data management and HR technologies has been intensive, but most companies would agree that they have a long way to go.

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Πηγή: mckinsey

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