Human Resources Analysis in Organizational Talent Management

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As the business environment evolves to become increasingly competitive, talent management has come up as a critical area of focus in organizations. It refers to the overall process of acquiring, developing, maintaining and deploying human resources to accomplish organizational objectives. Human Resource analytics or HR analytics has proven to be a strategic tool that organizations use to enhance the talent management process through data analysis. In this article, the author discusses HR analytics and its use in talent management systems including the advantages, uses, and disadvantages.

Understanding HR Analytics

HR analytics are the use of statistical methods to gather, analyze and interpret Human Resource information with a view of bringing efficiency in the different tasks of the organization. Modern data analysis tools like predictive analytics, machine learning and natural processing language enables the HR professionals to get better insights of their workforce. These insights assist in uncovering more patterns and forecasting outcomes and more importantly aiding in designing strategies to enhance the talent management processes.

Therefore, the rationale for managing talent.

Competitive Advantage: Employers who have well implemented talent management practices enjoy a competitive advantage when it comes to retaining the best candidates.

 Employee Performance: This paper found out that when talent management is in line with organizational goals, it will be easy for an organization to increase employee performance and productivity.

 Employee Retention: This saves costs associated with high turnover such as hiring and recruiting costs which are some of the most expensive costs in organizations.

Succession Planning: Talent management involves making sure that the organization has the right people ready to fill higher level positions.

This paper discusses the role that HR analytics plays in improving talent management.

Talent management can be greatly benefited from the use of HR analytics as much of the data and decision-making is grounded in analytics and analysis.

Talent Acquisition
Benchmarking results may also be used to forecast the success of applicants, guide decisions about which recruitment sources to utilize for various positions, and otherwise improve hiring efficiency. The time required to fill a position, the total cost incurred per hire, and the quality of hiring source can be compared by HR professionals to identify which source gives the best candidate. Another application of predictive analytics is in evaluating candidates’ commitment to a role and measuring their suitability against previous performance data.

Employee Development
The cultivation of human capital is vital in any organization talent management strategy hence the need for employee development. HR analytics can provide a scope for the organization to determine its deficiency areas for competency and skills hence it can come up with precise training and development. Examining data gathered from workers, their performance, preference for learning, and their career developments may help the HR professionals design specific developments that correspond to the employee and employer’s needs. However, not only does this improve the competency of the applicant, but also the levels of satisfaction and turnover of the employees.

Performance Management
Possible benefits of adopting HR analytics is in the area of performance management where HR analysis can lead to change by divulging patterns of performance analysis to pin point determinants of success. As a result of performance data, the analyst is able to pinpoint exactly who the high performers are, and what elements of their environment provide them with the impetus to succeed; he or she is then able to search for these keys systematically throughout the organization. Another advantage of the application of predictive analytics is the anticipation of future performance trends in order to have a solution to certain problems and foster the development of the employees.

Employee Engagement
This means engagement of the workforce is central to success of organizations and worker turnover. HR analytics provides the means to quantify engagement and identify its areas of strength and weakness based on collected data drawn from surveys and feedback, as well as performance appraisals. Applicants may then use the factors to identify potential engagement antecedents at their organizations or organizations of interest that include leadership quality, WLB, and CD to design appropriate measures to improve employees’ engagement and commitment.

Succession Planning
Some of the benefits of succession planning include; The process make sure that organizations have bench strength in place so that in occasions when there is a that there is a pool of qualified candidates for each strategic position. Succession planning can be supported by the data provided by HR analytics since such information will help to determine suitable candidates for higher ranks and their preparedness for such responsibilities. Using performance information, promotion pools, and leadership promotions, HR specialists create programs that expand a company’s leadership pipeline and guarantee leadership succession.

Trends and Efficiency of HR Analytics in the Area of Talent Management

Here are some practical applications of HR analytics in optimizing talent management processes:

1. Predictive Hiring Models
Predictive hiring models employ statistics in an attempt to determine the probability of a hire to succeed given some prototype criteria and histories. Using tools and metrics based on past signup information, populated by the recruiters and HR specialists, the probability of the candidates’ success in certain positions can be calculated. This makes it easy for the hr department to adopt more informed personnel’s status and their selection likely hood in the positions.

2.Employee Development Analytics
During its process of data gathering and analysis HR analytics can facilitate ascertaining the need for additional training among employees, as well as their skills, and career plans. This information can also help to supervise personal career plans and development activities that require correlation with the employee’s and the organization’s needs. Desensitization and development are important elements in determining training since it can affect the overall employee performance thereby increasing retention.

3.Self-administered Employee Engagement Questionnaires and Offline/online feedback analytics.
Surveys and feedback employees give is useful information that may be used for interpretation to determine mood concerning certain issues or practices. There is always an opportunity to aggregate common themes and trends to provide direction for Workday regarding engagement issues, which can then be addressed at a root cause level by the HR business partners. For instance, if employees continuously point out the absence of adequate work-life balance, then HR can consider offering possibilities for implementing flexible working hours or incorporating wellness programs that could contribute to employees’ satisfaction, morale and ability to remain in the company.


4.Succession Planning Tools
Strategic HRM tools used in succession planning involve using HR metrics against potential leaders within the organisation to determine their overall readiness for promotions. Hence, through the analysis of data on performance, career advancements, and leadership capabilities, HR specialists can design appropriate leadership management development solutions to foster the future leaders and sustain organizational performance. Through proactive planning, organizations are also assured of a pool of qualified candidates for various positions once they are vacant.

5.Workforce Planning
Workforce planning can be defined as a process that encompasses a prediction of the future Human resource demands and ways of fulfilling those demands. One of the practical ways through which the HR analytics can help is by offering accurate demand forecasts after considering the historic data of employees’ requirement and organizational performance and market conditions. This allows the strategic-minded HR professional to proactively build a workforce plan that will be instrumental in the expression of a future state.

Challenges and Considerations

While HR analytics offers significant benefits for optimizing talent management processes, there are also challenges and considerations to keep in mind:

1.Data Privacy and Security
Data privacy and protect is crucial when dealing with employee data because it is a typical part of HR analytics. There is growing concern from organizations to protect the data of their employees, and therefore, the implementation of data security measures and conformity to applicable laws is mandatory. This needs to be enhanced by incorporating measures such as encryption and other forms of access control, and security audits.

2.Data Quality and Accuracy
There are two forms of HR analytics: transactional and predictive, and the accuracy of data strongly determines the outcomes of any analysis. Data of low quality can result to wrong recommendations and hence the organization’s approaches to talent management are not beneficial. It is necessary for organisations to have control over the data that is being stored in the HR department so as to reduce on the issue of incomplete, inaccurate and inconsistent data. This involves ensuring that data conforms to specific standard, enforcing checks to ensure that the data collected is of high quality and conducting periodic assessments of the quality of the collected data.

3.Change Management
It is apt to note that sourcing and launching HR analytics involves change management in terms of organizational culture and perception. Finally, all employees, especially the human resources professionals and other stakeholders, have to learn and understand the dynamics of data management and work in the framework of data science nowadays and be ready to adapt innovations. There are multiple components of change management, which means that to implement these changes, people should be informed, trained and supported.

4.Ethical Considerations
This remains a serious issue in the employment of predictive analytics since it touches on questions of bias and fairness. It is critical for organizations to ensure that the models being used for prediction are beneficial and that the processes of designing and creating these models are not only fair, but are also not perpetuating unfairness in particular situations. This entails constant checking and appraising of the algorithms and data adopted in the process.


Talent management is another talent management process where HR analytics is instrumental in offering intelligence required in decision-making processes or the formulation of strategies. Through using of HR analytics, organizations can gain various possibilities in choosing valuable talents, training and developing both existing and newly hired employees, measuring and rewarding performances, providing engagement, and finally, in succession planning. As these issues indicate there are also certain disadvantages of HR analytics like data privacy, data quality issue, managing the change process and ethical issues But overall, identifying the significance of HR analytics leads to the fact that it provides us more advantages than its disadvantages.

Therefore, it is not just a question of implementing a new technique in the form of some kind of investment in HR analytics tools; there is a need for a mindset shift where changes occur that are continuous to address constant changes at the business level. Those organisations that are incorporating the use of HR analytics are set to benefit from superior market competitive advantages, increased workforce satisfaction and total organisational performance. The role of analytics is to be the key trend of talent management in the future, and people who invest in the HR analytics today will have good reaping results in years.