Whether you are in a small company or a large multinational, you have to deal with HR data \u2013 to fulfill regulatory reporting requirements or respond to an employee question about benefits or advise management on ways to address a high turnover problem.<\/p>\n
Let\u2019s face it.\u00a0 Data is here and it\u2019s here to stay.\u00a0 Nonetheless, data is just data \u2013 numbers, words, statistics. It\u2019s the answer to the question: \u201cWhat\u2019s so<\/em>?\u201d\u00a0\u00a0 But that\u2019s only half of the picture.\u00a0 The other half is the answer to the next question: \u201cSo what<\/em>?\u201d<\/p>\n Coming up with data or generating a report is only half of the picture. \u00a0It represents only the early stages of a broad understanding of where the business stands.\u00a0 It requires analysis and exploration that answers questions such as \u201cwhy\u201d, \u201cwhat is going on?\u201d, or \u201cwhat can we do to fix this\u201d?<\/p>\n <\/p>\n What managers need is information they can act upon — the answer to the question \u201cso what<\/em>?\u201d<\/strong><\/p>\n What\u2019s needed is meaningful analysis that will lead to an actionable conclusion.\u00a0 Here\u2019s an example:\u00a0 HRIS data shows that the company has an unusually high turnover rate.\u00a0 (That\u2019s the \u201cwhat\u2019s so\u201d.)<\/p>\n The HR Manager attempts to identify the cause\/s of the high turnover rate. \u00a0Further analysis of HR data can provide clues:\u00a0\u00a0 Where is the turnover highest?\u00a0 Is the problem isolated to one department or geographic location? \u00a0Is the high turnover a natural consequence of poor hiring decisions?\u00a0 Is it from lack of employee development and training?\u00a0 Is there a problem with the manager of that department? (Don\u2019t skip those exit interviews!)<\/p>\n The problem is when the HR department does not have the right tools to provide such HR intelligence.\u00a0 How can a solution to a problem be found, when the problem has not been well-defined?\u00a0 How can turnover be addressed when there is no data to show where it\u2019s happening, who\u2019s affected — areas where more detailed investigation can lead to possible corrective action?<\/p>\n Some employee data might be in spreadsheets, some in your payroll system, some in multiple databases, or even paper files. \u00a0I spoke recently with an HR Manager whose HR data is stored in a large, complex enterprise-wide system.\u00a0 But she finds it too complex and difficult to use for practical day-to-day HR data retrieval, analysis and reporting.<\/p>\n It\u2019s time for HR Managers to do something more with your valuable HR data. \u00a0With employee-related costs bearing the brunt of a company\u2019s expense budget (e.g. salaries, benefits, legal compliance), it behooves HR Managers to be close to their HR data.\u00a0 They should understand what data they track, how it is stored, and how to quickly retrieve, analyze and summarize it.<\/p>\n