With resilience and growth high on the agenda of every modern-day business, business intelligence and analytics have become indispensable. By relying on big data, businesses of all sizes can make their operations more efficient, improve customer satisfaction, and spawn growth opportunities.
The HR pipeline has a lot to benefit from analytics too. AI and other top-of-the-line tools can automate gathering large data sets and help improve each phase of HR –from onboarding to compensation and appraisals. These sets of tools also make workplace analytics possible.
What are Workplace Analytics?
Workforce analytics is an advanced set of data analysis tools and metrics used to measure workforce performance.
These tools analyze critical HR touchpoints, including staffing, compensation, benefits, training, and development, and delve deeper into more granular aspects. These include standard ratios: time to fill, cost per hire, accession rate, retention rate, add rate, replacement rate, time to start, and offer acceptance rate.
How Do Workplace Analytics Work?
If you’re using tools such as Slack and Zoom, you’re already using workplace analytics to identify patterns in employee collaboration that impact productivity and effectiveness.
Using such software has improved workplace analytics significantly, with experts projecting the global market will grow from 765.72 million in 2020 to $1831.13 billion by 2026, with a CAGR of 15.64% between 2021 and 2026.
The Four Types of Workplace analytics
Descriptive analytics describes what already happened or what’s currently happening. In other words, they tell a story of what happened or describe an ongoing situation.
For example, a tool may present you with a turnover report in your customer support department over 12 months. The report may break it down further into roles, when they left, and other delineators.
Diagnostic analytics help establish why a certain thing happened. Diagnostic analytics presents the causes of the events revealed by the descriptive analysis so you can make sense of things.
In the first example of customer support turnover, diagnostics analytics provide why your customer support staff left and ranks the exact reasons -job dissatisfaction, burnout, etc.
Diagnostic analytics are vital in workplace planning because they give executives and employers a clear picture of essential employee performance metrics. These insights then help in optimizing the workforce to improve the organization.
Predictive analytics focuses on the power of forecast. It relies on historical data to create predictive models that forecast what is likely to happen in most or all areas of HR.
Here’s how that works. HR departments store large quantities of people data that are often managed in a human resources information system. Applying predictive analytics to this data pool allows HR to plan strategically and rely on proven data instead of speculation.
This way, HR departments can predict the impact of people policies on employee engagement and productivity, which significantly reduces turnover rates.
Prescriptive analytics use predictive data to suggest decision options and actions the organization can make. Unlike human ideas, prescriptive analytics relies on data, making it a better foundation for decision-making.
If predictive data forecasts that job dissatisfaction will remain high, prescriptive analytics may offer paid time off, career training, or more flexibility with work hours to deal with the problem.
These solutions support organizational growth by controlling time lost and employee turnover and improving employee engagement.
The Benefits of Workplace Analytics
Investing in workplace analytics is the best insurance you could give your business because it provides these invaluable benefits to your organization:
Creates a Smarter Organization
Businesses poised for future success combine the human touch and the power of analytics to satisfy customer needs.
Workforce analytics also help executives better understand their employees and customers while enabling them to strategize for talent acquisition, retain talent, and automate relationships for critical roles.
Powering Business Growth
Organizations are only as good as their workforce. Employee dashboards provide a large pool of vital information on aspects about these employees who either work for or against the organization.
And because workplace analytics provides data and recommends solutions, you’re better assured of developing an efficient workforce.
Helps Employers Make Better Long-term Decisions
Decision-making is a top concern for most employers because it has a ripple effect on the organization and its workforce. An employer relying on workplace analytics has the advantage of connecting disparate data for clearer and integrated storytelling about the organization.
This story guides them to have a more informed understanding of an event or problem and ultimately determine the best cause of action.
Determining the Right Employee Benefits
With employee benefits becoming some of the biggest determinants for attracting and retaining top talent, you need to provide benefits that talent actually wants as opposed to what top companies or competitors offer.
Workplace analytics opens you up to data that helps you understand trends, correlate them with employee churn, and get valuable insights into what benefits employees resonate with the most.
Better yet, workplace analytics provide data continually, making it easy to notice changes and adjust your benefits portfolio to match the current needs.
Supports Employee Training
Employee training is expensive. It’s only fair that you spend money on the right training to benefit everyone.
Workplace analytics aren’t only helpful in gauging employee performance. They identify knowledge gaps and suggest important training to supplement and close them.
Big data can also help with internal resource allocation and assist managers with aspects of organizational and team culture that need to be fanned or introduced to provide an environment where employees can maximize what they learn.
Addressing knowledge gaps saves the organization from the disadvantages of a disengaged workforce, burnout, and high turnover.
FM:Systems Is Here to Help
It goes without saying that an organization run by data-backed decisions stands firm and is more likely to succeed. Fortunately, the current technology landscape avails data for every part of an organization. Workplace analytics is how you use the data pool to make decisions that positively affect every part of your organization.
More importantly, it helps manage your most important asset -human resources. Data helps solve daily HR problems about engagement, hiring, behaviors, and shifts in culture. The ultimate advantage is environments where your workforce thrives.
FM: Systems was created to help real estate companies maximize workplace analytics and other intuitive data solutions to make solid decision-making.
Whether you have a hybrid, remote or physical workforce, our workplace analytics ensure your workplace performs optimally. Schedule a demo to see how FM:Systems work. For more information, contact us today and our teams will be more than willing to work.