Today, big data has made it possible to reap immense benefits for businesses, right from sales, to marketing and accounting, and almost everything. Human Resources (HR) is not a business function that comes to our mind when we think about big data, but it is a business function that can acquire huge benefits.
Let's have a look on how big data can transform HR in an organization:
i. Hiring with Big Data:
It has always been relatively easy to collect certain data on employees such as salaries, the value of sales data, and benefits packages. But the technology of today places big data at the fingertips of HR, making it possible to collect and examine data after, during, and before the process of hiring, empowering organizations to make smarter hiring decisions, and develop a more efficient workforce.
Big data is useful for monitoring and tracking the efficiency of recruitment efforts, allowing HR teams to hone in on the highly efficient recruitment strategies that yield top-tier candidates. As every functional business unit aims to do more with less, the power to recruitment costs by shortening the hiring process is quite appealing.
ii. Employee Motivation and Engagement:
HR can readily locate and reward the top performers by tracking the employees' activities on the job. On the other side, on-the-job data can provide insights into ineffective behavior and violations of policies or expected standards, activities that always impact the growth of a company in some way, while also allowing HR to take prompt corrective action.
Metrics on employee performance, motivation, and engagement allows organizations to retain their highly valuable team members and make effective use of their human capital. Big data can disclose whether an employee is struggling in their position, such as prompting management and HR to implement extra training and other support that can improve performance.
In few cases, moving an employee to a different role or to another location is a win-win situation, This helps in leveraging their talents and skills in a way that benefits the business. Every employee requires job satisfaction and few of them are happy in the jobs in which they are struggling to succeed.
iii. Enhancing Resource Utilization:
In today's workforce, human capital management is a big focus. Organizations who make effective use of their resources including their talent can attain more than the competitors who are wasteful with their resources. For example, poor scheduling can mean the extinction of a field services company as field techs become frustrated with ineffective routes and have to handle angry customers, as they did not arrive within the scheduled service window.
Many resources exist that allow HR to leverage data for better resource utilization and workforce management, from the tools that enable data-driven scheduling and dispatching to those that help balance the tasks that generate revenue with tasks that generate expense. It is all about efficiency in the modern enterprise.
iv. Enhancing Employee Retention:
Big data can be a strong tool for enhancing retention in industries that usually experience high employee turnover. Employee exit interviews offered some insight into the motivations of an individual for leaving the organization, but often, this anecdotal data did very little, if anything, to enhance overall retention in the long run.
The HR teams of today can locate patterns and trends, implement data-driven programs that are aimed at improving loyalty and provides the reasons for employees leaving the organization by leveraging data analytics. By making use of regular surveys on employee satisfaction that offer quantitative data, HR can examine their workforce in new ways to unveil the desires and needs of employees, providing the right perks and benefits, the right level of flexibility in order to retain top talent, and the right level of support.
Initially, big data did not arise as a tool for HR. But, it is proving itself to be a highly valuable strategic opportunity for HR teams that make the maximum use of their power to foster retention, engage employees in a much better way, and provide more efficient targeted training.
Organizations are looking forward to implement data analytics to aid the recruitment of their staff. People drive the business operations. So, organizations must utilize them to their fullest potential, and big data enables to achieve this.