Despite the enormous interest in human capital analytics, organizations have struggled to move from operational reporting to analytics. A recent study undertaken by Deloitte found that although 75% of surveyed companies believed that using human capital analytics is important for business performance, only 8% viewed their organizational capabilities in this area as “strong” (Deloitte, 2015). Numerous consultancy reports and LinkedIn blogs concur, that despite the huge amount of corporate data available, organizations have been slow to develop their analytics capabilities. Why so?
There are “push” and “pull” factors behind the lack of greater use of human capital analytics within organizations. Push factors are the conditions necessary for suitable HCA to be available for the users. It is very much about the competencies (and existence) of the people analytics function, including their business partnering ability, but also the quality of data and processes. However, these factors alone are not sufficient for advancing human capital analytics. There should also be a corresponding level of demand from the organization: general curiosity about people analytics, high expectations for deliverables and organizational scope & willingness to implement analytics projects. NHCA’s framework for building people analytics capability incorporates both factors.
The framework is available for application in your organization. You will need to complete an online questionnaire consisting of 6 questions. The questionnaire will need to be completed separately by a representative of the people analytics function and a business leader (potentially CHRO on behalf of the business leaders).