Quantifying HR data for saving L&D costs

Dec 14, 2015

Talent management is one of the most challenging aspects of particularly large organizations since it is characterized with a great deal of unpredictability.

Employees leave organizations at any time for a myriad of reasons which could develop skill gaps at workplaces affecting productivity directly. Filling up vacant positions with the ‘right fit’ talent is yet another challenge while on the other hand companies endeavour to maximize their talent potential to prepare for the future. As human capital management becomes a strategic cog in the organizational wheel, business leaders are looking to CHROs for promising solutions and cost reduction.

With Data Analytics CHROs can sharpen focus

While mentorship, job rotations and L&D (Learning and development) initiatives help engage employees better and are valuable in their own right, often they are not based on the right HR data as most of it is purely plain recorded information such as – employee details, time-to-hire, trainings undertaken, compensation, etc. This kind of data does not give any insights for decision makers.

Most L&D programs are standard modules which employees go through on a routine basis. There is hardly any available data computation by virtue of which organizations can determine – what the skills of employees are and where they could be of use; skill gaps vis-à-vis company goals and cost plans; knowledge of new projects, etc.

Customize L&D programs with insights derived from contextual analytics

Contextual intelligence can bolster the way HR data is understood and applied in organizations. Organizations get in-depth talent analytics and real-time insights which can help CHROs make more informed and accurate decisions.

Utilizing contextual data analytics, L&D programs can be customized to exactly address critical talent gaps and succession planning by understanding skill proficiencies and disposition of each single employee in detail. Thus high performers with the majority of the skills necessary to make a particular transition to management positions are identified.

Employees too can track their individual growth trajectories within an organization and choose functions of their interest. HR can further forge mentor-mentee relationships with employees based on comprehensive talent analytics. Most importantly, CEOs can make investment decisions based on real-time skill insights vis-à-vis future projects.

Lack of meaningful HR data analytics can prevent an organization from making its human capital management an important contributor in their strategic planning role which it is expected to play in today’s marketplace.

Data analytics can also offer ROI figures that so many CEOs are looking for.

Best data-driven decision making option for CHROs

Contextual intelligence tools have the ability to take transactional data an organization is already collecting and give decision makers a complete bird’s eye view of an organization’s talent skills, gaps, performance, and future planning scenarios along with costs involved. Such data driven decision-making reduces hiring costs, efficiently manages talent capacity, creates data-based forecasting and planning, and creates a competency-focused organizational map that effectively create lean, efficient organizations.

Contextual intelligence analytics gives organizations and decision makers a 360 degree view of their talent – skills, gaps, performance, future planning scenarios and costs involved. Such data driven decision-making reduces recruitment costs, cuts operational effort and unnecessary time spent. Most of all, it gives an organization a competency-focused analytical map in real-time to help create a lean and efficient business model.