HR analytics involves the collection and evaluation of human resources data for the purpose of enhancing HR processes and other general business operations. Unlike people analytics or workforce analytics, HR analytics aims to directly impact HR functions and strategies that directly affect revenue, expenses, risk, and planning. Both B2B and B2C companies benefit from HR analytics processes.
For example, on the one hand, HR tech companies can leverage alternative data to help fuel HR analytics software and services. On the other hand, organizations are able to take the actionable insights gained from HR analytics software to implement revenue-building strategies surrounding human capital. Let’s take a closer look at HR analytics, its data sources, benefits, and trends for 2021.