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Intro to HR Metrics and Workforce Analytics
Showing the value of HR and
putting it into context within
the Business it supports
world of analytics
WEBINAR WILL START SHORTLY
About the HR Observer
• The HR Observer is an initiative by IIR Middle East
aimed at becoming a platform for HR professionals in
the Middle East to exchange insights and expertise,
both online and offline, in an effort to take the industry
forward.
• The initiative features a blog, LinkedIn group, Twitter
feed, online webinars and a series of offline informal
networking functions.
Housekeeping
• You can type your questions throughout the session
• Time will be allocated in the end for the speaker to
address your questions
• Unanswered questions will be posted with answers to
our blog
• Slides will be available on our SlideShare page, link will
be emailed to you
• Recording of the webinar will be available to download,
link will be emailed
• Take the time to complete post-webinar survey that will
pop up at the end
Today’s Presenter
Bill Robinson is the Training Manager for Society of Human Resources
(SHRM). He is former Head of Learning at Averda and was the Senior HR
Manager at Cornell University.
He is in the unique position of holding both UK and USA Certification,
MCIPD, SPHR, GPHR and the new SCP Senior Certified Professional. Bill
utilises the SHRM learning system to train HR professionals in the GCC and
globally towards certification exams in CP and SCP.
He helped establish and was a partner with ResourceBank in the UK and
developed assessment and development centers for Budweiser, L’Oreal
and Allied Domecq working closely with them for 10 years.
Intro to HR Metrics and Workforce Analytics
Senior Manager show me the
Money ‘wants the return’.
How quickly can you deliver a
return?
I cannot release the staff
Understanding the world of analytics
Intro to HR Metrics and Workforce
Analytics
Measures or metrics, without analysis, have no
true value and in some instances can be
dangerous.
No Context, No Value
Understanding the world of analytics
Intro to HR Metrics and Workforce
Analytics
Gather Data
Understanding the world of analytics
Intro to HR Metrics and Workforce
Analytics
Human Capital Analytics Today
Highest purpose is to create
predictive business indicators that
CEOs can use to help chart the
course of their business and
manage the workforce impacts on
business results.
Where we are today
Where we are today
Intro to HR Metrics and Workforce
Analytics
i.9
Our Reality
Where we are today
• Perceived HR knowledge, credibility, and competency
• HR do not leave their office and go out into the business
• Accounting models Not based on Knowledge based
industry but manufacturing with less value human
capital
• Standardization is difficult ISO Started project
• Limited access to analytical tools
• Benchmarking is difficult externally
• Internally Finance control most of the data
• HR Metrics not able to make leap to analytics
Intro to HR Metrics and Workforce
Analytics
• Establish consistency
• Examine the usefulness
• Understand the business context
• Get off HR floor and chair
• Link human capital to business
strategy, objectives, and goals
• Connect HR and workforce metrics to
existing business metrics
• Avoid silos
• Continuously improve data management
and quality
i.1
0
What we can do to foster change …
Where we want to go
Intro to HR Metrics and Workforce
Analytics
i.11
HR and Workforce Analytics Concepts
Measures
Metrics
Analytics
Fundamental
constructs based
on tabulation of
data
Higher level
constructs based
on two or more
measures
Converting metrics
into decision
supporting insight
Employee
headcount
Revenue per
FTE
Turnover of high
potential employees
in poor performing
BUs
Understanding the world of analytics
Intro to HR Metrics and Workforce
Analytics
• HR Analytics
- Purpose is to determine those
aspects of HR management that
must be prioritized and improved
to allow HR to perform better
• Workforce Analytics
- Purpose is to determine those
aspects of people management
that must be prioritized and
improved to make the
organization perform better
i.1
2
Differences between HR and Workforce Analytics
Understanding the world of analytics
Business Impact
Talent
Optimization
Practice
Efficiency &
Effectiveness
Operational
Require-
ments
CEO and BOD
HR Leaders,
Executives
and Line Managers
HR Staff
and
Leaders
HR Staff
and
Leaders
Audience Purpose
Human
Capital
Mgmt.
Human
Resource
Mgmt.
Strategic
WF
Analytics
WF
Metrics and Analytics
HR
Metrics and Analytics
Reporting
Human Capital Analytics Architecture, JBR and Associates, 2011
Data Relevance
Human Capital Analytics Architecture
Levels of measurement
Key Objectives
Efficiency
Effectiveness
Business Impact
Predictive
HR Analytics Workforce Analytics
Inputs & Resources
Metrics By HR Function
Linking cost per hire,time per hire, attrition and profit
Inputs & Resources
Linking cost per hire, time per hire, attrition and profit
Time to Fill
Inputs & Resources
Linking cost per hire, time per hire, attrition and profit
Time to Fill
Inputs & Resources
Linking cost per hire, time per hire, attrition and profit
Attrition rate
Inputs & Resources
=SUM(E6+J6+O6+T6)
Linking cost per hire, time per hire, attrition and profit
Inputs & Resources
Linking Attrition to Profitability
Revenue
Employee
Turnover /Attrition/Leavers
Manage
Turnover
Key Objectives
Intro to HR Metrics and Workforce
Analytics
Summary
Understanding the world of analytics
• Gather data
• Understand the business both tangible and
intangible, culturally/financially
• Align with business needs and priorities
• Evaluate your activities
• Did it produce the desired results
• Analysis the results to ensure they are still
supporting strategies and objectives
• Publish value and outcomes
Intro to HR Metrics and Workforce
Analytics
Thank You
Understanding the world of analytics

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Introduction to hr metrics and workforce Analytics

  • 1. Intro to HR Metrics and Workforce Analytics Showing the value of HR and putting it into context within the Business it supports world of analytics WEBINAR WILL START SHORTLY
  • 2. About the HR Observer • The HR Observer is an initiative by IIR Middle East aimed at becoming a platform for HR professionals in the Middle East to exchange insights and expertise, both online and offline, in an effort to take the industry forward. • The initiative features a blog, LinkedIn group, Twitter feed, online webinars and a series of offline informal networking functions.
  • 3. Housekeeping • You can type your questions throughout the session • Time will be allocated in the end for the speaker to address your questions • Unanswered questions will be posted with answers to our blog • Slides will be available on our SlideShare page, link will be emailed to you • Recording of the webinar will be available to download, link will be emailed • Take the time to complete post-webinar survey that will pop up at the end
  • 4. Today’s Presenter Bill Robinson is the Training Manager for Society of Human Resources (SHRM). He is former Head of Learning at Averda and was the Senior HR Manager at Cornell University. He is in the unique position of holding both UK and USA Certification, MCIPD, SPHR, GPHR and the new SCP Senior Certified Professional. Bill utilises the SHRM learning system to train HR professionals in the GCC and globally towards certification exams in CP and SCP. He helped establish and was a partner with ResourceBank in the UK and developed assessment and development centers for Budweiser, L’Oreal and Allied Domecq working closely with them for 10 years.
  • 5. Intro to HR Metrics and Workforce Analytics Senior Manager show me the Money ‘wants the return’. How quickly can you deliver a return? I cannot release the staff Understanding the world of analytics
  • 6. Intro to HR Metrics and Workforce Analytics Measures or metrics, without analysis, have no true value and in some instances can be dangerous. No Context, No Value Understanding the world of analytics
  • 7. Intro to HR Metrics and Workforce Analytics Gather Data Understanding the world of analytics
  • 8. Intro to HR Metrics and Workforce Analytics Human Capital Analytics Today Highest purpose is to create predictive business indicators that CEOs can use to help chart the course of their business and manage the workforce impacts on business results. Where we are today
  • 9. Where we are today Intro to HR Metrics and Workforce Analytics i.9 Our Reality Where we are today • Perceived HR knowledge, credibility, and competency • HR do not leave their office and go out into the business • Accounting models Not based on Knowledge based industry but manufacturing with less value human capital • Standardization is difficult ISO Started project • Limited access to analytical tools • Benchmarking is difficult externally • Internally Finance control most of the data • HR Metrics not able to make leap to analytics
  • 10. Intro to HR Metrics and Workforce Analytics • Establish consistency • Examine the usefulness • Understand the business context • Get off HR floor and chair • Link human capital to business strategy, objectives, and goals • Connect HR and workforce metrics to existing business metrics • Avoid silos • Continuously improve data management and quality i.1 0 What we can do to foster change … Where we want to go
  • 11. Intro to HR Metrics and Workforce Analytics i.11 HR and Workforce Analytics Concepts Measures Metrics Analytics Fundamental constructs based on tabulation of data Higher level constructs based on two or more measures Converting metrics into decision supporting insight Employee headcount Revenue per FTE Turnover of high potential employees in poor performing BUs Understanding the world of analytics
  • 12. Intro to HR Metrics and Workforce Analytics • HR Analytics - Purpose is to determine those aspects of HR management that must be prioritized and improved to allow HR to perform better • Workforce Analytics - Purpose is to determine those aspects of people management that must be prioritized and improved to make the organization perform better i.1 2 Differences between HR and Workforce Analytics Understanding the world of analytics
  • 13. Business Impact Talent Optimization Practice Efficiency & Effectiveness Operational Require- ments CEO and BOD HR Leaders, Executives and Line Managers HR Staff and Leaders HR Staff and Leaders Audience Purpose Human Capital Mgmt. Human Resource Mgmt. Strategic WF Analytics WF Metrics and Analytics HR Metrics and Analytics Reporting Human Capital Analytics Architecture, JBR and Associates, 2011 Data Relevance Human Capital Analytics Architecture
  • 14. Levels of measurement Key Objectives Efficiency Effectiveness Business Impact Predictive HR Analytics Workforce Analytics
  • 15. Inputs & Resources Metrics By HR Function
  • 16. Linking cost per hire,time per hire, attrition and profit Inputs & Resources
  • 17. Linking cost per hire, time per hire, attrition and profit Time to Fill Inputs & Resources
  • 18. Linking cost per hire, time per hire, attrition and profit Time to Fill Inputs & Resources
  • 19. Linking cost per hire, time per hire, attrition and profit Attrition rate Inputs & Resources =SUM(E6+J6+O6+T6)
  • 20. Linking cost per hire, time per hire, attrition and profit Inputs & Resources
  • 21. Linking Attrition to Profitability Revenue Employee Turnover /Attrition/Leavers Manage Turnover Key Objectives
  • 22. Intro to HR Metrics and Workforce Analytics Summary Understanding the world of analytics • Gather data • Understand the business both tangible and intangible, culturally/financially • Align with business needs and priorities • Evaluate your activities • Did it produce the desired results • Analysis the results to ensure they are still supporting strategies and objectives • Publish value and outcomes
  • 23. Intro to HR Metrics and Workforce Analytics Thank You Understanding the world of analytics