SmartBiz IT Research Library

The human resources (HR) function is the one domain in the enterprise that has not widely applied analytical methods to its data. Using analytics to support fact-based decisions improves human capital management (HCM) practices, cuts costs and contributes to business performance. Most organizations report several basic HR metrics, while others have acquired the analytical tools to make fact-based decisions about recruitment, deployment and performance of employees. A few have progressed to the point of applying advanced statistical methods. Data is the foundation, but true analytics means taking that data and using it for predictive modeling and strategic, forward-thinking purposes. An accurate headcount of full-time equivalents is the prerequisite of all HR analytics. Not every HR professional needs to be a numbers guru. With proper leadership at the top and business executives who understand the value of analytics, an HR department can develop the necessary capabilities. There is wide agreement that doing analytics is nearly impossible without a single enterprise HCM platform.