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Companies around the globe are turning to workforce analytics to increase productivity.
For far too long, companies have managed employee performance subjectively. While you may save time and money on a short-term basis, this method isn’t sustainable.
Both employees and employers suffer when they can't see the impact of their work.
If you’re hoping to find a tangible approach to workforce analytics, you’ve come to the right place.
Workforce analytics is a set of tools for analyzing employee data and metrics used to evaluate and measure workforce productivity. The goal is to look at employee actions, behaviors, and processes to find patterns and ways to achieve business outcomes.
Keeping track of the right metrics helps HR professionals and business leaders make better business decisions about workforce management. For instance, HR data affects staffing, employee training, and retention.
Workforce planning looks at how the entire HR department works, not just each employee individually.
With people analytics and HR analytics, managers can make better decisions.
HR professionals can use these metrics to find skill gaps, provide training, or reevaluate less-than-ideal workflows. This data can help employees feel focused and confident in their jobs.
Here are a few ways that businesses benefit from using workforce analytics:
Reduced hiring costs
Improved employee retention
Reduced compliance risks
Increased employee morale
Many business leaders have found that big data has changed how they do business. Workflow and resource requirements vary from company to company.
Here are nine key performance indicators (KPIs) that you should track to optimize your workflow for better business outcomes.
Workforce analytics can help human resources and HR professionals set benchmarks and track people data.
These performance metrics include, but are not limited to:
Pay and benefits
Diversity among employees
Performance management data measures the interactions between an organization's employees and their HR department.
Most activities fall into one of three main groups:
Supporting and coaching
Corrective actions like training or clarifying job duties
Ending the workplace agreement
Measuring the frequency and effectiveness of conversations between employees and HR may seem like a pretty surface-level analysis, but don't overlook it. Make sure you are doing what you need to retain your top talent.
A simple way to measure workforce productivity over time is to divide the company's revenue by the number of employees who worked on the projects that brought in that revenue.
Employee experience, retention rates, employee turnover, and other data sources would be a better, more accurate way to give actionable insights.
Are there areas where you can cut down on staffing with productivity management?
Low employee engagement rates usually mean that you have some work to do when it comes to improving things like:
Another way that managers can determine how engaged their employees are is by looking at how many people show up to company events.
Or, they can start using employee surveys to discover what their employees need from them. From there, they can take this feedback and develop employee engagement strategies. This way, employees can find a better work-life balance, develop new skills, and become more involved at work.
Proof of work data is essential to enhance productivity in remote teams.
You can track workforce productivity by looking at the time it takes to complete a task and cross-referencing it with the quality of the work. Fortunately, there are plenty of time management apps that can make this process a lot smoother.
This way, you can find out if employees are more productive when they work from home instead of at the office.
With the help of employee monitoring tools, managers can determine how long tasks take to finish and what times of day employees work best.
The data analysis provided gives managers the ability to plan workdays and set up task workflows. This way, managers can balance meeting schedules and deep work time for their teams.
Are employees putting in too many hours? Employee monitoring helps with work-life balance too.
Some of the most critical financial metrics to track in the IT department are:
SaaS subscription costs
Ask yourself: do employees have the tools they need to do their jobs? Time tracking tools with website and app usage features can help you here.
Ticket resolution times are another excellent non-monetary metric to track. If you find teams struggling to help customers promptly, your company's technology management could probably use some work.
Improving operational efficiency doesn’t always start with big data.
Operational efficiency also stems from proof of work, downtime costs, and other simple bottlenecks you might be overlooking.
This downtime could be anything from a broken internet connection to a lack of skilled employees. There are many ways to look into the benefits of workforce analytics to make business decisions. You can start by looking at:
Hiring and retention statistics
Tools and technology utilization ratios
Associated costs for fixing tools and technology
The cost of adopting new technologies
How long tech lasts
Overall performance of existing tools and technology
Legal compliance means different things across different industries.
There is a lot of focus in the medical field on making sure that patient data is safe. Business leaders are legally required to keep an employee’s records years after they’ve moved on.
Are employees giving out information or documents about the company and the customers? Are you getting negative customer reviews?
A good analytics solution for legal compliance will let management know when something happens that could put the company at risk.
Employers can track metrics for workforce analytics manually. In a lot of instances, people use spreadsheets to track this data.
Managing this data manually leaves plenty of room for error. That’s why companies are switching to the most accurate and cost-effective way to track people analytics: workforce management software.
Fully integrated workforce analytics tools are more impactful than manual systems. Most have dashboards that help you organize your data in real-time.
Plus, algorithms for automation provide predictive analytics and machine learning that would take considerable time to figure out by hand.
When you turn to software to manage your workforce, executives get the business intelligence they need to make better business decisions.
Managers no longer need to rely on generic data.
Instead, they can utilize proof of work tools and workforce analytics for strategic planning.
Hubstaff's employee productivity measurement solution makes it easy for business leaders to look at projects and check team members' timesheets from a single screen.
Sign up for a free demo of Hubstaff's time management and productivity tools today to find out more.
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