Data analytics are fast becoming an integral part of any company's operations. Organizations are quickly learning how to use the vast amount of information available to them to plan their business strategies, target potential customers and identify emerging market trends. One area that has not received as much attention but is also benefiting from the analytics boom is the hiring process.
According to a recent column in Forbes, so-called "talent analytics" are on the rise, especially among large companies that are looking to refine their headhunting and hiring methods. Data can provide human resources departments with valuable insights into employee engagement and help them make internal decisions, such as deciding who to promote or give a raise.
HR managers have never had access to this much information before and are lagging behind other departments in utilizing it to their best advantage. However, that should change soon because major HR software vendors are increasingly including analytics tools in their products. IBM, Oracle and SAP, to name a few, have all developed complex systems that allow companies to gauge candidates' suitability through the use of predictive analytics.
Data management professionals should work in conjunction with HR teams to make sure that they are making the most of these new tools. While data can help companies make better hires, the process of effectively analyzing it to draw useful conclusions still requires a great deal of expertise.
There is no doubt that analytics will continue to permeate HR just as is happening in so many other areas. Companies that make a point of implementing personnel analytics will have a leg up on their competition in identifying talent.