HR Analytics and AI

The benefits of  HR analytics and AI

 Utilizing HR analytics and artificial intelligence facilitates the formulation of data-informed decisions to enhance HR strategy. Through the meticulous collection, analysis, and interpretation of data sourced from diverse outlets like employee surveys, performance evaluations, social media, and external benchmarks,  can acquire a deep understanding of workforce's strengths, weaknesses, opportunities, and threats. Additionally, HR analytics and AI empower  to discern patterns, detect trends, and identify correlations that unveil the determinants of employee behavior, satisfaction, and productivity. Armed with these insights, can craft and .execute interventions tailored to address  specific challenges and objectives

The challenges of HR analytics and AI

Navigating the landscape of HR analytics and AI comes with its share of hurdles. A primary concern revolves around ensuring the quality, security, and privacy of data. This entails relying on dependable and valid data sources, establishing ethical and legal frameworks to safeguard both the data and the rights of employees. Proficiency in the skills and tools necessary for data analysis and interpretation is crucial, alongside effective communication of results and recommendations to stakeholders. Another obstacle involves tackling resistance and skepticism from employees and managers. Fostering trust and transparency in data processes is imperative, coupled with the task of showcasing the tangible value and pertinence of data insights to bolster your HR strategy.

The opportunities of HR annalistic and AI

"HR analytics and AI present numerous chances for HR strategy enhancement. One key opportunity is achieving strategic alignment. By utilizing HR analytics and AI, you can synchronize your workforce with business goals, values, and culture. These technologies also enable the evaluation and optimization of talent-related processes, including acquisition, development, retention, and succession planning. Leveraging data to match individuals with suitable roles, skills, and incentives can elevate organizational performance and competitiveness. Another notable opportunity is in enhancing employee engagement. HR analytics and AI help comprehend and enhance the employee experience, motivation, and well-being. These tools facilitate personalized and meaningful interactions, fostering a culture of feedback, recognition, and empowerment."

The best practices of HR analytics and AI

"To fully unlock the potential of HR analytics and AI, adopting certain best practices is essential. Firstly, establish a clear vision and purpose for your HR analytics and AI endeavors. Define your goals, inquiries, and metrics, ensuring alignment with both your HR strategy and overarching business objectives. Secondly, embrace a collaborative and cross-functional approach. Engage employees, managers, and leaders in your data processes, and forge partnerships with other departments like IT, finance, and marketing to exchange data and insights. Lastly, foster a continuous and agile mindset. Regularly assess and adapt your data outcomes, refining your methods based on feedback and evolving requirements."

The future of HR analytics and AI

HR analytics and AI represent dynamic and continuously developing tools, not fixed or singular solutions. These evolving technologies are poised to significantly influence the trajectory of HR strategy in the future. As HR analytics and AI progress in sophistication, accessibility, and integration, they empower organizations to craft HR interventions that are not only more predictive and prescriptive but also proactive. These advancements also facilitate the establishment of HR practices that are more human-centric, diverse, and inclusive. Embracing HR analytics and AI signifies a shift for the HR function – moving away from a reactive and transactional role toward a more strategic and value-driven position.(LinkedIn 2023)

7 Ways HR Professionals Can Integrate AI in Analytics

AI in HR analytics is rapidly advancing and transforming human resource management. Here are seven ways HR professionals can integrate AI into analytics:

• Augmented Decision-making: 

AI and analytics enhance decision-making by thoroughly analyzing company databases. This leads to improved company culture, employee engagement, and business output, offering valuable insights often overlooked by HR teams. The in-depth analysis helps identify organizational gaps and optimizes staff management for the future.

• Personalized Experiences: 

AI in HR analytics offers personalized experiences by analyzing employee skills and identifying areas for improvement. The system suggests appropriate training programs based on the database, fostering automated enhancement in productivity and engagement.

• AI-enabled Recruitment: 

AI streamlines recruitment processes by assessing data quality and optimizing job descriptions to attract top talent. It analyzes candidate profiles to predict their potential longevity with the company, providing insights for informed decision-making by recruiters. Additionally, AI helps assess whether a candidate can be trained in specific skills, aiding recruiters in their choices.

• Intelligent People Analytics: 

The integration of AI and HR analytics facilitates automated information gathering about individual employees. AI enables the extraction of intelligent data, predicting employee behavior based on past patterns. For instance, it can accurately forecast whether a staff member is likely to leave soon, considering factors like engagement, productivity, leave, and working hours.

• Human Bias Avoidance: 

AI plays a crucial role in eliminating inherent human biases from processes such as recruitment, recognition, and performance rewards. By making fair judgments, AI ensures a bias-free HR environment, contributing to the development of a diverse workforce that is beneficial for both employees and the organization.

• Predictive Analytics: 

AI's proficiency in handling large datasets makes it ideal for predictive analytics, utilizing existing big data and patterns to make more accurate future predictions. This capability enhances data-driven decision-making and provides valuable insights into employee behavior.

• Enhanced Recognition:

 AI empowers HR teams and management to easily identify and recognize high performers, ensuring enhanced visibility even for overlooked staff members in legacy systems. Through AI in HR analytics, companies can achieve improved recognition, leading to increased engagement and effective employee retention.(Lockt HRMS 2023)

Embracing the digital age: Applying AI to HR analytics

Kimberly Perryman, Vice President of People at Virtana, has embraced the challenge of making HR more analytical and understanding its impact on business outcomes. Even before the COVID-19 pandemic, there was a push for HR to adopt a more data-driven approach. Perryman, a self-described lifelong learner, has focused on studying how artificial intelligence (AI) can enhance HR analytics.

Virtana, based in Silicon Valley, offers an AI-powered multi-cloud management platform used by over 150 companies, including Apple, GEICO, Costco, and Hyundai. Perryman is particularly interested in leveraging AI to predict how HR decisions could affect employees, emphasizing the importance of finding correlations between data sets. She believes this analytical approach will lead to better decision-making in HR by moving beyond traditional reporting and prediction methods.

Kimberly Perryman joined Virtana in March during a period of significant growth and a record-breaking financing round for the company. With her extensive experience in leading people functions at tech firms, Perryman was chosen to help Virtana scale rapidly while maintaining its core values and culture. She played a similar role in her previous position at NextLink, where she guided the company's expansion from 150 to 900 employees and across multiple states. Perryman's focus is on thoughtful scaling, particularly in fostering cohesiveness and culture in geographically dispersed teams. Her transition from a recruiter to an HR leader reflects her commitment to ensuring that companies can deliver on the promises made to employees about a great workplace culture.

At NextLink, as the company grew, Kimberly Perryman implemented outreach initiatives to gauge employee sentiments amid changes. Anonymous surveys and internal tools tracked feedback on various aspects like training, leadership, opportunities, and pay. Perryman documented trends and reported them, emphasizing the importance of open communication. An integral part of the outreach program involved annual check-in calls with each employee to foster a culture where employees felt comfortable approaching HR.

Perryman's approach aimed to shift HR's perception from problem-focused to a holistic supporter of employees. This strategy led to positive interactions with both employees and leaders, contributing to a more favorable view of HR within the industry. While Virtana already boasts a strong culture, Perryman appreciates the company's existing positive environment, with numerous awards recognizing its commitment to innovation and leadership, including "Best Company Culture" and "Best Company for Women" by Comparably. Virtana's success is attributed to prioritizing its people, offering flexibility, autonomy, empowerment, and support.

Kimberly Perryman emphasizes the growing importance of a positive work experience and company culture in attracting candidates, stating that candidates prioritize these factors over salary. While compensation remains crucial, Perryman stresses the significance of representing the company's identity and engaging in meaningful conversations with candidates about their preferences.

Acknowledging the evolving needs of employees during the pandemic, Perryman notes the trend of individuals leaving their jobs for better opportunities, seeking higher salaries, improved working conditions, work-life balance, and career advancement. With over 50 million Americans participating in the Great Resignation, she sees her role as balancing company growth with the need for consistency, quality, fairness, and cultural stability. Perryman aims to prevent the loss of longstanding employees, create upskilling programs for the existing workforce, and ensure a balance between hiring and promoting from within.(Corrigan J 2022)

References

LinkedIn (2023),What are the challenges and opportunities of HR analytics and AI?(online)available at : https://www.linkedin.com/advice/0/what-challenges-opportunities-hr-analytics-ai-skills-hr-strategy#the-benefits-of-hr-analytics-and-ai (accessed on 25 November 2023)

Locket HRMS (2023),7 Ways HR Professionals Can Integrate AI in Analytics(online)available at https://www.pockethrms.com/blog/ai-in-hr-analytics/

(accessed on 25 November 2023)

Corrigan J (2022) Embracing the digital age-Applying AI to HR analytics(online)available at https://www.hcamag.com/us/specialization/benefits/embracing-the-digital-age-applying-ai-to-hr-analytics/403167(accessed on 25 November 2023)