In this Bite, you will learn how
to drive HR Analytics value in one week.
So stay tuned.
HR Analytics promises tremendous value to organizations
who leverage it for good.
However, starting with analytics
is often seen as a big hurdle.
In this Bite, you will learn five steps,
one for each day of the week,
so you can implement HR Analytics
in your organization incredibly fast.
So let's go through these five steps
and then see how they can help you
to deliver value through Analytics.
Step one, what single overriding business purpose
would motivate everyone in the business?
Step two, what ware the business strategies, priorities?
Owners, shouldn't we know these already?
Step three, what existing analytics are being done?
Who looks at them and what do they think and do?
Step four, how much is being spent
on internal and external people analytics?
Step five, what is the regular schedule
over the next 12 months for reviewing the outputs
and connecting to new priorities?
Now let's go over these one-by-one
to see how they can deliver the most value.
On Monday, have a single overriding purpose.
The challenge of thinking
through a single overriding purpose
is a good one for any organization,
as it gives direction to all other analytical questions.
Several organizations have transformed themselves
by using a shared-reference point to coordinate change.
Alcoa, a U.S. aluminum producer, for instance,
saw successful transformation when a new CEO took office
and focused all conversations on safety.
As one aim that everyone could agree on,
it helped the organization discuss
the other things that were needed:
joint working, analyzing, tracking,
learning from errors, simplification, and training.
The result was a transformation in performance
along with a significant performance in safety.
Similarly, when Atul Gawande sought to implement
the World Health Organization's checklist for better health,
he oriented hospitals around simple but significant goals,
such as reducing the number of deaths.
This was a clear target, and it motivated everyone
to get behind this new way of working.
Next, save Tuesday for strategic priorities.
Even when the overall purpose is clear and aligned,
how to achieve it is still uncertain.
Not everyone has the same understanding
of strategic targets.
Should we priorities sales of product or sales of services?
Should we focus more on new customers or customer retention?
New features or usability?
There will be different answers from each person
in the organization,
and from each executive until strategic priorities
are explicitly established.
Setting strategic priorities can be sorted out in one day,
but if the head of HR Analytics
can have the conversation with the HR Director,
or the HRD with the CEO for that matter,
it helps to set the scene for all that follows.
Should the executive team already be aligned
on their priorities?
Perhaps.
But all too often, there are different views.
So go as high as you can to get the best view that you can.
The output should be a list of assumed strategic priorities
for the business.
That's Tuesday done.
On Wednesday, analyze the existing analytics landscape.
What existing people analytics initiatives
are going on in the business?
How often?
Is it regular or ad hoc?
Who looks at them?
And the old classic question,
if you were to stop creating your HR reports
for a month or two, would anyone notice?
What do your customers think of HR analysis
that is being produced?
What decisions are they changing
because of what the reports say?
On Wednesday, you should be able to populate
a list of all the analytic initiatives
and efforts happening in the organization.
Who uses them?
Whether they find them useful,
and what they actually do with them.
Your target to be to find the three least used reports
and to stop them.
On Thursday, you should consider how much is being spent
in internal and external analytics.
How much do you actually spend on all this analytical work?
Of course, it's not only your internal team
that carries out people analytics.
Most large organizations see a rotating carousel
of consultants coming in to offer insights.
Now, can you estimate the money spent on these initiatives?
If you don't know the spent, don't worry.
Assume a day rate per consultant,
and make a rough estimate of how much is going where.
What you want to aim for is to get a rough idea
of where the organization is putting its time and money,
and the returns it gets for each analytics line,
or initiative.
What is the regular schedule over the next 12 months
for reviewing the outputs and connecting new priorities?
Would it work for you and your boss
to sit down once every three months
to review what analytics initiatives are happening
and how they connect to the strategic aims of the business?
How about if you knew how many decisions
were getting changed on the basis of analysis?
And how much it was costing you to produce?
Are there any systems you could switch off,
because they are simply not needed anymore?
Are their strategic questions that are important
for the business that are not being addressed
with analytical insight?
Could you redirect your resources there?
At the end of one week, you will have a much better idea
of your strategic direction than you had at the start.
Ideally, you will have reached out
to your directors or managers
and realigned your teams work with their aims.
You may also produce a populated template
that will stand as a point-in-time report
on your analytics, it's cost, and it's impact,
as well as foundation for the adding even more value
in the future.
Now that you have completed these steps,
you might want to just go ahead and implement
what you've just learned.
To make it even easier for you,
we've made sure to include
a one-week HR Analytics Impact template
that you can access by following the Download link
in the description.
If you're interested in more details
concerning how to drive HR Analytics value in one week,
remember to check out the links in the description,
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