Predictive Analytics in HR
Planning something based on a vision is indeed a very smart thing to do. It gives a drive and direction helping in achieving goals in the smartest way possible. Predictive analytics is a technique which falls into the pre-planning category. Predictive analytics deals with planning the future, based on past occurring. It may sound like an easy task, but in reality, predictive analytics requires a higher level of planning, precision, and analytical skills.
The predictive analytics strategy is something which can create a huge impact in the HR section of an organization. Smart estimation happening in the HR section will lead to producing outputs which are really a blessing to each and every organization. Estimation of the employee performance, planning about employee retainment, efficient budget handling etc., are very much helpful in driving an organization in the correct path. Forecasting the employee behavior demands very sharp observation and regular follow up. By regularly following an employee, the HR understand and learn about his work pattern, efficiency etc., if it is not what the company expect from him, then necessary changes can be put forward to bring in positive changes.
In the modern corporate world, predictive analytics can be your trump card for business development. Simply talking, predictive analysis is all about planning the future via a detailed examination of the past data’s. In this blog, we will see how predictive analysis can be used in human resource management.
From the hiring process of the employee to his complete evaluation and other related processes, the predictive analysis can be made use of. The various areas where the predictive analysis in HR comes to play are;
1.Selection and interview process: The selection and interview process is very much crucial for an organization, since hiring the apt employee and utilizing him thereafter proportionate to the success of an organization. In the interview process, the predictive question can be put forward by the HR, by predictive it means questions which will describe an applicant and his compatibility with the position which he is about to take. By analyzing the answers of the applicant the HR can predict whether he can handle the job position.
Next strategy which can be formulated with predictive analytics is keeping away negative applicants and not letting them into the company. The people with negative attitude, can be a very bad influence to the employee crowd and therefore, the company should never hire them Through the predictive analytics, the HR professional of an organization can make sure that this never happens. For this purpose, the system generated psychometric tests and mental ability tests are provided across the applicant. From this, the HR can predict the employee nature and thereby take decisions accordingly. Smart HR round is another technique which can be used under predictive analytics. With smart predictive type questions, the HR professional can make sure whether the applicant is embedded with the right attitude, which the company is looking forward. Also points like the dependability of the applicant, service orientation, rule-following nature etc. can find out using this technique.
2.Retaining employees: Retaining good employees is equally important as hiring the right applicant. If an employee joins a company without stick-on plans, it eventually leads to great company loss like the loss in the recruitment costs and also revenue loss out of decreased productivity. To avoid this, predictive analysis can be made use of. It is very necessary for a company to retain people with good potential. There are situations where even after getting the promotions, employee leaves the organization for some reason. This may be due to the factor that there might not be a proper salary hike with respect to the promotion status. Situations like this can be properly maintained if predictive analytics in HR is used. Through the analytic strategy, the salary hike for each status can be pre-planned so that no issues happen in the later course. Thus the company can make sure that the potential employees get to stick with their portfolio for the long run.
3. Increase performance and boost productivity: Through predictive analytics in HR, employee performance in an organization can be increased. This will, in turn, increase the productivity of an organization. To make this happen, the HR can regularly follow the employee and find out about his work management, his office timings, the frequency of leaves etc. From these data, the HR can predict about the employee's efficiency and in case if it is not meeting the satisfactory level, he can thereby give suggestions and methods of improvement.
4.Employee engagement forecast: Employee engagement and retaining employees active is a must factor for any organization. The predictive analytics can be used for this purpose also. By taking surveys, feedbacks, conducting personal interactions etc. the employee mindset can be predicted. With all these data’s, the HR will have an idea about the requirements and improvements the employees are looking forward from a company and the HR can plan accordingly.
* The higher the working efficiency of the employees.
* Increased percentage of effective work.
* The productive outcome for the company.
* Cost saving as well as time-saving.