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How HR analytics helps you work smarter

Already a key concern since the beginning of COVID-19, operational efficiency stays top of mind. A recent employer survey by SD Worx, showed that over half of European companies (55%) plan efficiency projects in 2021. Understandable, but don’t just concentrate on doing things right. Doing the right things is just as important. And HR analytics could well be the glue between efficiency and effectiveness. Check the opportunities in 3 HR domains.

    Employer survey reveals need for new approach

    Still 1 in 4 European companies don’t have a good insight in HR and personnel costs. Monitoring the effects of HR management projects and processes appears to be even less of a priority.

      Data takes the guesswork out of HR


        The future of your organisation depends on your ability to hire the best people for the right position in the shortest amount of time. Pressure much?

          How HR analytics can help

          HR analytics enables the discovery and interpretation of meaningful patterns for sourcing, selecting, and hiring. Which sourcing channels provide the best applicants, how long does it take to hire employees, what do top candidates have in common and where in my recruitment process do candidates tend to drop out? Being able to answer these questions in real time is essential to improving decision-making and reducing inefficiencies (and costs) in recruitment, because it allows you to finetune every single metric you track.

            A selection of useful recruitment metrics

            Time to fill, Time to hire, Sourcing channel effectiveness, Cost of hire Applicants per job
            First-year attrition, Quality of hire Selection ratio, Candidate experience

              Retention and turnover

              Keeping your best talent on board should be a top priority for numerous reasons, ranging from maintaining high morale to safeguarding in-house expertise.
              How HR analytics can help
              Improving turnover rates requires HR to collect data throughout the whole employee lifecycle and to consistently hold exit interviews. When are employees hired, which roles do they perform in which teams, how does their performance evolve and why do they leave? Knowing this can help to detect flight-risk employees. For example, an above-average drop-out rate in one team could indicate an excessive workload or poor management, while short lifecycles might mean it’s time to think about adjusting employees’ salaries, work environment or career opportunities.

                A selection of useful retention metrics

                Voluntary/involuntary turnover rate, Retention rate by manager, Employee satisfaction
                Performance scores, Time at the company, Employee exit reasons


                  You can always expect some absenteeism – after all, people do get sick. But what about preventable absenteeism? Tackling that issue could be a major productivity booster.

                    How HR analytics can help

                    When delivery service DPD Belux asked SD Worx to start measuring engagement, we took it a step further. We combined the new engagement data with other employee data in our database to set up a predictive model for short absences among white-collar and blue-collar workers. After all, short absences are typically related to low engagement. One of the outcomes: payment scored low in the engagement survey, but wasn’t a driver of absenteeism. Knowing this allows an organisation to invest in actions that do have impact.

                      A selection of useful absenteeism metrics

                      Short absence rate, Engagement scores, Demographic data
                      Absence reasons, Absence by manager, Absence frequency

                        Ready to work smarter with HR analytics?

                        SD Worx can kick start your efforts.

                        Looking for other ways to revamp your HR in the new normal?

                        We’ve gathered the most-cited courses of action by European employers in our e-book ‘HR - From pitlane to pole: reassess, revamp, revive’.

                          Download free e-book