The imperative to make better decisions faster has increased the pressure on organisations and their employees. Right now, the vast majority of HR decisions (e.g. hiring, promotion and rewards) are made on intuition, personal experience and corporate belief systems. Intuition alone is an obsolete way to make decisions.
Data-driven decision making refers to the practice of basing decisions on the analysis of data, rather than purely on intuition. Applying this concept to the HR domain, much of the recent discussion surrounding workforce analytics focuses on the benefits of optimising talent utilisation to improve overall organisational performance. However, most organizations remain wary of embracing workforce analytics for the fear of the unknown.
Discover how one organization decided to undertake this journey and unearthed a significant positive business outcome as a result. Besides realising multi-million dollar ROI by addressing employee attrition, they were able to get buy-in from executive leadership in adopting workforce analytics across the HR value chain.
The promise of workforce analytics is compelling — replace intuition with data-driven insights; prioritize the impact of HR investments; and bring rigor to HR processes through objectivity. Given the vast evidence advocating its benefits, why do organizations continue to overlook investing in workforce analytics in favor of relying on “gut feel”? The biggest challenge in making the evolution from a culture dependent on heuristics in decision-making to one that is much more objective is not the cost but, instead, the imagination and inertia of leaders in embracing a data mind-set.