View all Articles

Understanding the Evolution of Technology, AI, and People Analytics in HR

Over the years, the use of data and automation has grown more prevalent in HR. Initially, HR technology was focused on gathering and storing data.  Metrics were often the result of manually compiling and interpreting the results. Reviewing performance data, salary history, and employee engagement surveys, we tried to understand who our high potential employees were; however, the final results of our studies and discussions were inevitably delivered weeks later and sometimes too late to retain that employee. With the aid of artificial intelligence (AI), we are now able to automate this process, analyzing and applying what we have learned immediately, and even predict future outcomes.

HR technologies are being developed now with a mind toward identifying trends, predicting on-the-job behavior and optimizing productivity. With unemployment low, employers recognize the importance of keeping current employees engaged and attracting new candidates in a highly competitive marketplace.

This is the new focus of HR technology.

  • Hiring Top Talent
    AI and Predictive Analysis can provide data as to the traits of individuals who are successful in your organization and how to identify those traits in candidates for hire. Predictive Analysis can show you where candidates typically drop out in the hiring process and AI gives you the ability to use automated communication to keep those candidates engaged.
  • Retaining Essential Employees
    Automated systems give you the ability to identify top performers, understand success factors such as traits and job history. IBM reports they can now predict with 95% accuracy which employees are planning to leave their jobs.  This data can be used to design professional development plans, promotion paths and address turnover warning signs.
  • Identifying Great Managers
    Data gathered from employee surveys can help identify the traits that make a great manager. The company can use this information in hiring, coaching and promoting managers to ensure they have the right leaders in place. Google is one of the companies leading the charge in data-driven decision-making and it’s hard to argue with their success. Their “Great Managers Award” is based on employee input regarding what makes a great manager and used this feedback to establish positive behaviors and reasons they might struggle in their jobs.

Beware that you don’t rely excessively on a single data point no matter how you are using technology. Algorithms are flawed because they are programmed by humans who bring their own conscious and unconscious biases to the table. While data can be a helpful tool in decision-making, it is no substitute for plain human common sense.

There is a wide range of products and technologies available to help with these initiatives. Find the ones that best reflect the values and goals of your organization and offer the most ROI.

If you’d like to learn more about the positive ways you can use HR technology in your organization or to hear what tech red flags you should watch for, contact the experts at HR Works today.

© 2019 HR Works, Inc. All Rights Reserved

HR Works, headquartered in Upstate New York, is a human resource management outsourcing and consulting firm serving clients throughout the United States for over thirty years. HR Works provides scalable strategic human resource management and consulting services, including: affirmative action programs; benefits administration outsourcing; HRIS self-service technology; full-time, part-time and interim on-site HR managers; HR audits; legally reviewed employee handbooks and supervisor manuals; talent management and recruiting services; and training of managers and HR professionals.