Driving Performance: Transformation with HR Analytics

AI refers to technologies that enable computers to learn, reason and assist in decision-making; captured using hand-crafted rules or, more commonly, using machine learning (programs that automatically improve their outputs with experience) [1]. AI systems also include language and speech technologies that assist the interpretation and understanding of richer sources of data, enabling more natural forms of user-system interaction, especially when coupled with mobile technology.

Similar to other sectors, HR is making increasing use of AI and data analytics technologies to help HR Professionals improve processes and decision-making, and develop new services [2, 3]. Areas where HR Analytics is being used to improve management decisions include recruitment and talent acquisition (e.g., sourcing candidates, automation of hiring processes, predicting new hire performances), staff learning and development (e.g., personalised training and coaching), HR strategy and employee management, performance management (e.g., predicting performances), compliance and reporting (e.g., monitoring bias) and risk management (e.g., retention and attrition analytics, fraud detection).

However, despite the benefits of HR Analytics, many organisations are not adopting AI and analytics solutions as this following quote from [3] highlights:  

“TheHuman Resources Professional Association (HRPA) reported in a 2017 survey that 52 percent of respondents indicated their businesses were unlikely toadopt AI in their HR departments in the next five years [4]. About 36 percent believe their organization was too small to do so, while 28 percent said their senior leadership did not see the need for such technology.”  

There are many reasons behind the lack of adoption, such as not being able to recruit people with the right AI and analytics skills, competing priorities for investment, security concerns with AI-related technologies (including bias and transparency), cultural resistance to AI approaches from within the organisation, limited IT capability, lack of leadership to support AI initiatives and an unclear or non existent business case [5].  

AI and analytics have the potential to change the direction of HR, but despite the many opportunities there are still barriers to overcome, many of which go beyond the technology, and instead lie with individuals and the culture of the organisation.  

How Peak Indicators Can Help 

It is clear that for some organisations, AI is currently transforming and shaping the business and providing substantial value-add. For others, there is potential, but currently the adoption of AI is low and beyond their reach. 

Peak Indicators are helping organisations to manage and gain insights from data, to inform decision-making and help use data more effectively in their processes, products and services. For example, the new Tallinn Machine Learning platform helps businesses to utilise AI more effectively within their business workflows. 

We are also keen to plug the skills gap and educate leadership of the benefits (and challenges) of using AI and data and identify value-add for the organisation. If you’re keen to develop skills with an existing team and would like to discuss training or discuss the opportunities AI technology can bring to your business call us on 01246389016 or email us on enquires@peakindicators.com 

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