Notes on HR Analytics Lecture

Introduction to HR Analytics

• Definition: HR Analytics, Human Resource Analytics, People Analytics, Workforce Analytics. All terms have similar meanings.
• Importance: Helps HR managers in decision-making within various functions of HR.

Key Functions of HR Managers

1. Recruitment
2. Selection
3. Learning (Training)
4. Development
5. Performance Management
6. Compensation

• Understanding metrics related to these functions is essential for effective HR management.

Questions HR Analytics Can Answer

• What are the basic questions in day-to-day HR operations?
  • Recruitment: How many candidates to attract for vacancies?
  • Learning & Development: What skill levels are needed?
  • Performance: Who are the best performers? How should salaries be determined?

Types of Analytics

1. Descriptive Analytics

   • Answers: What has happened?
   • Tools: Averages, standard deviation, mode, counts, percentages, ratios.
   • Visualization: Histograms, pie charts, bar graphs using tools like Tableau, Power BI, Excel.

2. Diagnostic Analytics

   • Answers: Why did it happen?
   • Tools: Correlation, regression, ANOVA, t-tests.
   • Visualization: Scatter plots, regression plots, box plots.

3. Predictive Analytics

   • Answers: What will happen in the future?
   • Tools: Regression analysis, decision trees, random forests.
   • Visualization: Line charts, scattergrams.

4. Prescriptive Analytics

   • Answers: What should be done?
   • Tools: Requires advanced statistical and operational research knowledge.

Differences Between HR MIS and HR Analytics

• HR Management Information System (HR MIS): Raw data source.
• HR Analytics: Processes raw data using metrics to make informed decisions.

LAMP Model of HR Analytics

• L: Logic
• A: Analysis
• M: Measurement
• P: Processing
• Importance of logic in application of HR analytics tools.

Implementing HR Analytics

Required Skills and Tools

• Analytical skills of HR professionals.
• Information technology (HRIMS).
• Basic knowledge of data analytical tools and techniques.

Outcomes of HR Analytics

• Understanding relationships between HR processes and business outcomes, such as employee engagement and performance.

Conclusion

• The course aims to provide foundational knowledge of HR analytics.
• Encouragement to apply learned concepts in real-world HR functions.