HR Analytics

What are the applications of HR Analytics?

HR analytics is a process of collecting and analyzing all HR data. It could be data related to recruitment, employee performance, payroll, attrition, etc. Organizations today are applying HR analytics to understand employee sentiment, engage them with them in the right way and improve overall workforce efficiency.

Centralizing different types of HR data and then mapping it to organizational goals is an essential aspect of HR analytics. This helps track how HR initiatives and policies are helping in meeting business goals. HR analytics can be learned from the IIT Roorkee HR Analytics Course, which allows you to understand the core topics of analytics and applications through Simplilearn online learning.

Machine learning and AI are now integrated with HR analytics to bring deeper insights, trends, and correlations. These insights enable an organization to know the true undercurrents and spot the gaps. AI-powered HR analytics also gives data-backed recommendations on what can be done to improve workforce performance.

Benefits of HR analytics in a company

  • While analytics is everyday for such roles, it has only been recently that HR professionals have been encouraged to harness analytics for themselves. Yet, HR teams haven’t been ignoring this growing trend. 
  • Leading companies have been investing a considerable amount of resources and time into data management for years; the insights haven’t been used or applied by HR to their full potential. 
  • Today, HR professionals can use a wealth of insights to better understand essential business operations and steps forward for organizational success.
  • When we think of HR data, people analytics likely first comes to mind. 
  • In its simplest form, people analytics involves applying employee insights and data to people management and decision-making. 
  • With people analytics, insights can be both broad and specific, such as looking at demographics, skills, education, etc.

Applications of HR Analytics

HR analytics is applied to different functions to derive meaningful insights and actions towards the workforce. Some of its critical applications include:

·        Workforce Planning

HR analytics is applied to optimize overall resource planning and allocation. It helps the management to understand which teams are running short of people and identify projects at risk of not meeting timelines. It enables them to foresee potential demand gaps and plan resource allocation optimally.

·        Attrition and Retention

With the help of HR analytics, organizations can foresee attrition patterns and take proactive actions to control them. They get insights like which team or department is likely to have higher attrition. Similarly, they get insights into where the team is fully engaged, and they can replicate the success in other departments. Based on these inputs, they can make the necessary changes to reduce the attrition rate.

·        Performance and Training

HR analytics makes the whole performance evaluation process very transparent and unbiased. With clear goals and KPIs defined, employees can track their progress and gaps daily. The managers can also work with their team members to help them improve by creating the most relevant training programs.

·        Getting the best Workforce training

Beyond recruitment sessions, the best scenario would include a growing workforce training that evolves through role-specific or team-building training. HR analytics can analyze the workforce’s performance and outline which knowledge, skills, and competencies are essential to the business goals. Employers can now find particular areas of focus for each employee to improve and thrive in their role.

More importantly, HR analytics can pinpoint the most promising employees in each area. This changes the talent-building gap issue and allows the workforce to upskill internally and externally to forgo hiring fresh outside talent in favor of internal candidates. 

·        Cultural-fit

Cultural fit can become a problem if not handled in the right manner. It’s very natural for a company to develop its internal parts like ‘ways to be,’ and the brand’s own identity needs to take a proper shape. However, there are certain common instances where candidates pass every step of the process, go through their onboarding, and later discover that they are not good at cultural fit. 

This has significant drawbacks for both the company and the employees themselves. It’s always best handled when you decide to prevent employee needs and talent dissatisfaction as early as possible. HR analytics is one possible way to overcome this issue. The proper data analysis relating to the organization’s previous and current growth, engagement levels, and individual talent satisfaction within the workforce area can help paint a picture of which candidates fit your company culture. 

Furthermore, it’s possible to leverage this data to predict future employee performance. This way, suitable candidates are easier to identify, roles are filled faster, and business is accelerated.

·        Employee turnover

Losing talent is an expensive endeavor.

It might be possible to get just one of the biggest face challenges for companies, now more than ever. Losing an employee and replacing them with another is a time-consuming process that catapults the company back to square one of filling that specific need.

Furthermore, it’s a distracting face or picture that can cause specific projects to be put on hold, projects that may require that particular role to move further. It can take the entire HR team’s focus away from an essential new task and divert it toward talent acquisition.

Employee retention continues to be a challenge facing every organization, but it can be tempered through data analysis. By working on HR analytics, companies can now prevent this issue from happening. Analyzing personal growth, promotions, salary range, and inclusion within the company culture can help identify employees most likely to leave the workforce immediately.

·        Tales Acquisition

HR analytics is helping organizations identify the right candidates to shortlist for the hiring process by studying their social footprint and behavioral statistics. As a result, the hiring process has become more effective and efficient, and HR teams can gauge the fitment and foresee performance trends before a person is taken on board.


IIT Roorkee HR Analytics Course offered by Simplilearn online learning helps to develop an analytical mindset and properly evaluate business objectives to make meaningful insights. Hence, it is a great choice to fit in for yourself.