HR Analytics: The Business Needs to Improve Organizational Performance

Abstract

Human Resources plays a demanding role in any organization. In the competitive market with transitional social and political conditions, success of organizations depend on the linkage between business strategies and HR strategies. Organizations can achieve goal by aligning human resource functions with the business goals. Human resource management is developing fast by integrating the data analytics tools which are introducing analytical thinking in organizational set up. Now a days business leaders are more focusing on creatin g a high performing workforce. In this digital era of growth and expansion, it is very much essential to enhance economic output of the employees for gaining organizational excellence. For this purpose, the organizations are interested in implementing Human resource analytics. HR analytics refers to use of statistical tools to evaluate employees‘ data which can be useful in developing HR strategies. HR analytics supports HR managers in performing all the HR functions. HR analytics helps organizations in creating, analyzing and storing large amount of employees‘ data which helps managers in filtering the performance of employees. It aids in analyzing the employees‘ problems using the data. By using HR analytics, organizations can manage workforce more effectively and can improve organizational performance by predictive decision making. The goal of this research is to investigate how HR analytics tools can help organizations to improve the performance of the employees and organizations as well. The present research paper explores the existing literature on HR analytics, its impact on the HR related tasks and organizational performance.