BLOG: Data Driven Workforce

People Analytics Helps HR Focus on Value

Data-driven HR means connecting people data to business outcomes data to drive better people and workforce decisions. These decisions can be material if you know where to look. Here's scenario-based (yet representative) data from a 1,600 person tech company.

Make Smarter Hiring Decisions

First Year Effectiveness by Recruiting Channel

Channel & First Year Effectiveness is a massive opportunity given the spend in these areas, and the reality that this spend is often blind. Wouldn't you like to know your Cost of a "Quality" Hire? And where they are most likely to come from?

For Example: One of your Agency suppliers delivers consistently the highest Quality of Hire, a Very Strong Fit, 39% of which are Outstanding in their first year, with a total Cost of 1st Year Turnover of $0.3M.
 
 

Business Impact of Unfilled Sales Roles

This is focused on Sales roles, or one of the many other "value-creating" roles in your company. Missing recruitment fill targets means the opportunity cost of an unfilled position increases. This analysis helps you focus alternate recruitment strategies on the key roles that help you deliver your corporate business plan.

For Example: 24% of Sales Reqs were not filled within the 70 day target - resulting in 1,057 days of lost sales productivity (not including the 70 days fill target per role) and a revenue opportunity cost of $1.7M.
 
 
 

Retain Key Talent

Cost of Top Performer Turnover

 At a simple multiplier of 1x salary, the Cost of Top Performer Turnover can mean major financial exposure - let alone the business impacts of losing your key talent. In many cases, top talent deliver much more value than others - giving upwards pressure on this cost impact.

For Example: Total Cost of Turnover is $5.2M over past 12 months for Outstanding employees. 35 terminations with a spike in Q3.
 
 
 

Top Talent with No Progression in Past 36 Months

Is your talent receiving progression opportunities in a timely manner? Or maybe Recognition is a better measure for your company? Regardless, the way you treat your top talent, and the opportunities you provide them, will play into how engaged they are.

For Example: 13 employees in critical and vulnerable roles are in a danger zone and beyond our maximum threshold for progression (>36 months).

 

ROI and Productivity

Manager Development Program (MDP) ROI

Your managers are there to deliver business outcomes by leading and leveraging the resources available to them. Some are better at it than others. Some just need the right learning and development opportunities. Others, however, might get the job done, but leave a disengaged workforce with high-turnover and poor customer service results. Visibility into manager effectiveness is key, as is the ROI and business impacts of Manager Development Programs.

For Example: Managers who attend the MDP have teams with 12% higher customer satisfaction, 29% higher engagement and 22% less turnover. $1.3M in turnover costs avoided since Program start.
 
 

Business Impact of Absenteeism Over Past 12 Months

Understanding where your pockets of exposure are for absenteeism, and the patterns around these Days Lost per Employee, is both critical and material for many organizations. Identifying hotspots by role, tenure, location, calendar cycle and manager will help you place focus where it's really needed - instead of broad-based initiatives which are too generic. Every improvement you find in DLE has a direct and pure impact to productivity and your bottom line.

For Example: 15 Days Lost Per Employee in Tech Operations. Most likely on Sunday, Monday & Tuesday in July & August, with 87% spike in Q3. Total Impact of $12k/FTE or$19.3M annually. 

 

 

 

Topics: People Analytics