BlogPeople Analytics: A Key Driver of Employee Engagement

People Analytics: A Key Driver of Employee Engagement

19 July, 2022

People Analytics: A Key Driver of Employee Engagement

An inevitable power shift in the employer-employee dynamic is taking place, and organizations across the globe are contemplating the adaptation to this workplace revolution. As traditional hierarchies are being replaced with flattened structures and agile teams, a fresh and innovational organizational culture driven by engaged employees is in line. But how does such an insurgency materialize? The truth of the matter is- organizations cannot envision a progressive, growth-oriented future without the help of digital tools that can enhance the overall employee experience.

The contingency? Digital transformation is the path forward, and HR technologies such as people analytics are the way to go! If people analytics seems like unchartered territory to you, read on for some articulate insights into this myriad field!

What is People Analytics?

People analytics is the practice of collecting, evaluating, and acting on HR data to improve people-based business outcomes such as performance, well-being, and engagement. HR thought leader Josh Bersin defines people analytics as data that “allows organizations to understand the way they operate, improve productivity and performance, reduce employee turnover, and really make work better for people.”

A data-driven and goal-focused approach to studying people processes, functions, and challenges at work, analytics provides comprehensive, readable data to HR that can be leveraged to make informed, evidence-based decisions. This takes the guesswork out of measuring employee engagement and paves the way for a scientific, technology-enabled strategy. However, a survey of HR professionals found that only 8% reported to have access to “useable data.” Nonetheless, the HR technology space is broadening its horizons and becoming increasingly accessible with the advent of user-friendly platforms that convert information into digestible data. Read more about employee engagement platforms here.

4 Ways People Analytics Helps in Employee Engagement

1. Boost Employee Retention

Employee turnover is one of the top concerns for organizations across the globe, especially amid the Great Resignation wave. So how do you retain your best people? Data based on people analytics allows HR leaders to tackle organizational weaknesses head-on and redirect more attention to the critical problem areas that cause employees to leave. Data can also enable the creation of personas that represent the people who are more likely to quit their jobs. This can help HR in taking proactive steps in the right direction.

2. Improve Employee Performance

This famous quote by Lord Kelvin is extremely relevant in the context of performance management- “If you cannot measure it, you cannot improve it.” Reports on employee sentiment and the quality and frequency of recognition that flows across the team can motivate managers to address the underlying gaps and build on a strategy that works.

On a similar note, if employees have a transparent view of their own contributions and behaviors, they become more aware of their strengths and weaknesses, which is a key motivator for performance. A digital R&R platform generates coherent insights into recognitions received and given, their frequency, as well as provides productivity indicators in the form of performance scorecards.

3. Elevate Work-Life Balance

People analytics helps decode the causes for absenteeism, disengagement, and poor performance- saving hefty organizational costs incurred from unscheduled time-offs and leaves. When the gaps are identified, it becomes easier for HR to implement employee wellness programs that focus on the health, wellbeing, and overall happiness quotient of the people. It is needless to mention that a better work-life balance is the best way to engage and retain your employees!

4. Track DE&I

Diversity, equity, and inclusion has emerged as one of the top priorities for forward-looking organizations in recent years. Wouldn’t it be ideal if you could track, measure, and analyze the state of DE&I in your firm? People analytics does just that- it generates accurate, transparent data based on how diverse, inclusive, and equitable your workforce is, and which areas require focused improvement. For a comprehensive know-how of DE&I at the workplace, browse through this blog.

The Way Forward!

Research shows that more than 70% of companies now consider People Analytics as a high priority. Suffice to say, the implementation of HR technology will soon become a mandate across every organization; so if you are still in the midst of deliberation, this is the best time to take appropriate action! Interested in leveraging the technological advancements in employee engagement?

Reach out to the Gratifi team to explore the possibilities and experience our digital R&R platform in action today!

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