HR Technology

Here’s how manufacturing sector is leveraging data analytics to streamline HR functions, ETHRWorld

<p>According to industry leaders, data collected across various stages of the employee life cycle forms the base for the HR analytics interventions.</p>
According to industry leaders, data collected across various stages of the employee life cycle forms the base for the HR analytics interventions.

By Chitrali Ghatak

With the growing digitalisation of HR processes and the resulting accumulation of data, big data analytics has found its way into human resource management. Today, organisations across sectors are using data analytics for talent acquisition & management, learning & development, productivity assessment & optimisation, employee engagement & experience, among others.

According to industry leaders, data collected across various stages of the employee life cycle forms the base for the HR analytics interventions. Organisations look at metrics such as employee headcount and employee cost, along with factors like employee productivity, per capita value add, etc for the analysis of productivity and efficiency of the operations.

HR data analytics

Speaking about the use of HR data analytics, Sarajit Jha, Chief Business Transformation & Digital Solutions, Tata Steel and Vipin Sharma, Head HRM Strategy, Tata Steel, said, “We have a four-pillar approach towards HR analytics, which include Visualisation, HR & Business Use Cases, Advanced Analytics Use Cases and Exploratory Analytics.”

“These pillars are supported by HR analytics capability development module called ‘Marvel’ (Making Analytics Real, Valuable, Efficient and Logical), which is a gamified approach to developing HR analytics capabilities and the technology stack to enable the HR analytics infrastructure, including tools like SAP Business Warehouse, Tableau, R and Python,” they said.

Harpreet Kaur, Senior Vice President and Head – Corporate Personnel & Administration, Godrej & Boyce, said, “The people related data for managing HR processes include personal information of the employees, like date of birth, qualifications, work experience and certifications, skill and competencies assessment, family information, past references, information relating to conflict of interest, etc based on the organisation’s requirements.”

“Besides basic employee information, one also needs to consider Organisation Structure, Role & Job Description, Knowledge, Skills & Competencies,” she added.

Talent acquisition and retention

Speaking on talent acquisition through data analytics, Jha and Sharma said, “At Tata Steel, we have a framework for enabling evidence-based decision making for talent acquisition to help us fine tune our talent strategy.”

“We have a segmented approach towards talent analytics,” they said. Giving an example, they further said, “For our management trainee hiring, we deep dive into multivariate analysis (which is used to study data that contain more than one variable) of cadre, institute, performance, retention to enable data driven talent acquisition.”

“For our experienced professional hiring, we analyse data points like offer to hire ratio, consultant cost and performance. Overall, we also focus on metrics like per cent of diverse candidates hired, attrition rates of new hires and we also capture the voice of customers through surveys,” they added.

Taking this further, Kaur said, “Employee aspirations, development feedback from superiors and subordinates, internal customer and peer feedback through tools like 360-degree feedback processes are taken into account for prioritising the development agenda for the employees.”

This helps in capability development as per the organisation’s requirements, talent management, and in the decision of employee placement in the organisation thereby enabling talent retention, she added.

Skill development

Jha and Sharma from Tata Steel also spoke about how analytics interventions help in measuring the effectiveness of learning and development solutions. “All our programmes have a pre-learning and post-learning score, which are analysed to understand the effectiveness of the learning and developmental interventions,” they said.

“Each programme, which is delivered by an instructor, ends with a feedback where participants share their inputs on the faculty and the programme. Key metrics, such as programme quality index, learning index and faculty quality index, are reviewed and acted upon. Our blue-collared workforce is mapped against the 4Q score, based on which their developmental plans are crafted,” they added.

Kaur from Godrej & Boyce asserted, “Understanding the organisation’s and the business’ long-term direction and planning helps in manpower planning exercise to be done in a meaningful manner.”

She explained that this facilitates the decisions towards identifying skill requirements and skill gaps and aids in decision making for putting appropriate organisation initiatives on learning and development efforts and other OD (organisational development) interventions for reskilling, multi-skilling, job rotations and other development interventions for people’s capability development in technical, functional and behavioural areas.

“This also helps in grooming talent for the future talent requirements and thereby aids in decision making for talent deployment and in the hiring of laterals and freshers,” she added.

Challenges with big data analytics

Highlighting the challenges while dealing with big data analytics, Jha and Sharma mentioned, “In overcoming the challenge of aggregating the data, our approach is to create a single source of truth through a data warehouse approach where we are pulling in data from multiple sources and modelling it. We can also apply logic to model the data such as creating groups, mapping the data fields and dealing with junk data.”

“This also helps us in ensuring the data privacy is maintained. We mask critical personal information and only look at aggregate level insights for sensitive data,” they said.

“To unlock the people equation using data, the capability of the Human Resource Management team is the key. We have structured capability development interventions for our employees, which develop analytical abilities of the HRM team so that they can assimilate the HR analytics solutions,” they concluded.

  • Published On Mar 22, 2021 at 10:30 AM IST

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