Monday, December 27, 2010

10 HR Analytics Predictions for 2011

Ok, it's my LAST post of the year. It's time for me to ponder and think about what all I have learned in 2010 and try to see what 2011 brings in the world of HR Analytics.

I was so fortunate to have been invited to speak and blog on the subject this past year. I learned a lot from speakers and attendees.

My partner and I are writing our first book on the subject of Human Capital Analytics which HR should be heavily involved in.

All these experiences haven given me a lot to think about analytics and ponder what's next.

So here it list of 12 predictions for next year:

1) HR will continue to struggle to find their role in HR Analytics, it should be in the drivers seat

2) CEO's will get MORE demanding in their need for fact based decision making

3) Data analysis tools are no longer just for statisticians. The tools are now available for end users right on their desktops. (Excel, SPSS, etc.)

4) HR Departments will hire data analysis talent to get the data that CEO's need to work within HR.

5) Metrics are yesterday.....(tracking). Analytics are today and tomorrow (insight based decision making)

6) Collaboration will be needed across functions to make sure the RIGHT analytics are being used to measure and test the RIGHT things. Who drives this? (my thought...HR)

7) I believe reporting will become more and more simplified due to #3. Data and insight will be cascaded down to the end user level.

8) The HR person that has business acumen, statistical skills and HR generalist knowledge will be a very popular person in 2011!

9) Small to medium sized business will continue to adapt Analytics as they can't afford not to. Insight leads to competitive advantage.

10) Companies that use analytics to predict, measure, and make decisions will be those that beat their competition and adjust their strategies based on insight and experience.

What are your thoughts on HR Analytics? Let's add to this list of predictions!


Traci Cuthbertson said...

There will be an increase of narrative reporting--reporting that includes contextual information and tells a story.

Unknown said...

Good one Traci and I so agree. The story telling piece was mentioned a lot. It gives context and engages the non-analytical types!

Thanks for reading and posting!!!

Michael D. Haberman, SPHR said...

Is there a good "primer" on analytics that you would recommend? What can the uneducated read to become educated in the most effective manner and time?

Unknown said...

HI Mike:

I recommend any work by Dr. Jac Fitz Enz....that is how I started. Either of his books are great but I read his new HR Analytics book regularly.

I would also recommend HR practitioners spending time with Finance to understand what metrics/analytics are being used today and which ones would be beneficial to the business.

Thanks for the great question and for reading.

Happy New Year!


Anonymous said...

I would also recommend reading "Investing in What Matters: Linking Employees to Business Outcomes". Cathy will tell you that the other is brilliant :-)
Scott Mondore

Unknown said...

Scott that is so true and I should have mentioned your book. I have finished reading it. Mike, you will see it on my LinkedIn profile-reading lists.

Scott is awesome, worked at UPS has a PhD and gets it!


Liz said...

Thanks for the endorsement on the authors. Just ordered three books. In HR I am telling my customers to look at what is next, so this is good advice to myself!

Unknown said...


I am sure you will love the books. Pleas let me know what you think!

Happy New Year!


Anonymous said...

Nice one Cathy,HR Personnel also need to have an in-dept knowledge of the Organization they work with in order to perform.

Unknown said...

I believe the HR scorecards with shift towards a balance between leading and lagging indicators, and hence we can reconcile the adherence of the metrics approach (lagging data) and apostles of analytics (leading information). At the end of the day, the ability to massage and analyze the data is not the real question: what matters is what you do with that data. Happy holidays!

Unknown said...

Thanks for this information. I'm going to look for these books.
I'm learning to tell compelling stories with numbers and these should help.

Rebecca (Becki) Gregory

Unknown said...

@anonymous, excellent point, the organizational knowledge has to be there.

@Sergey you are so right, why have the data if it just lays around in a scorecard. It is turned into information and insight when we actually overlay our experience and take action on it. Great point.

Becki-I think you will really like the books. They have helped me immensely! Let me know if you have any questions!

Thanks to all for reading!!


Barbara A Hughes said...

You know where I start, Cathy: business strategy; so I recommend grabbing your company's strategy statement, the latest transcript from the analysts' call or better yet, collar your CEO and demonstrate your interest in the company's direction by initiating a conversation about strategy, strategic goals and so on.
Analytics are tools and the data needs business context so strategy will drive the analysis.

To Traci's point, there will be a greater need to combine qualitative and quantitative data sets to provide a richer narrative.

Unknown said...


Yes, you must start at strategy or really, what is the point? We see that so often with our clients don't we....measuring for measuring sake...without it linking to business strategy!

Excellent point!


Unknown said...

I completely agree with Barbara, working for one of the biggest banks in Australia, if what I do isn't aligned to our strategy then it's not worth the time. My additional prediction is that Workforce Planning is going to be front of mind for most HR departments. HR Analytics feeds straight into this so it's going to be exciting times ahead.

Laura Schroeder said...

This blog post is featured in the January 5 Carnival of HR:

Unknown said...

Thanks Laura for including me in the Carnival and all your hard work in pulling it together.