Despite dissatisfaction being high, action is planned within the industry. More than three quarters (76%) of organisations are planning to increase investment in HR technology as a whole. At 68% of organisations, HR analytics is the most common area for future investment. 45% of companies are planning to increase investment in less than 2 years, growing to 65% within 3 years.
This investment has been earmarked as being critical for success, with nearly all of the organisations surveyed (95%) agreeing that high-quality data and analytics is important to the future success of the business.
When it comes to understanding HR’s goals behind this increased investment, 76% of companies surveyed said that the biggest driver for investing in HR analytics is to enable HR to become a stronger and more strategic business partner. Six out of ten (62%) of the respondents said a key driver for investment is to identify key talent, and 58% said it will enable better leadership and management.
Good business analytics has become a core part of almost every business function, but adoption in HR has lagged other areas,” said David Wilson, CEO of Fosway Group, Europe’s #1 HR Industry Analyst, “But good analytics is fundamental to HR’s ability to strategically engage with the C-suite, as well as its ability to optimise its own processes and investment priorities. HR needs to really raise its game, but this will bring significant benefits to core processes too; from finding and retaining new talent, to improving internal processes and employee engagement. This impact will be felt business-wide.”
Steven Van Hoorebeke, CEO of SD Worx Group: These figures show the increasingly important role that HR is playing in business. It’s clear from the survey that there is a real appetite to make improvements from both HR departments as from key decision makers in businesses. While the investment into HR is welcomed, it still has its work cut out to get buy-in from the whole organisation in terms of using HR data and analytics business-wide. That is going to be the biggest challenge for HR departments over the coming years. But, if it’s done well, it will have the biggest impact”.
Laura Lovejoy/Katie Evans
This data is taken from the annual HR Realities Research conducted in partnership between Fosway Group, Europe’s #1 HR Industry Analyst and UNLEASH, Europe’s #1 HR event. With input from 500+ senior HR leaders, from predominantly enterprise organisations across Europe, the research highlights the changing face of HR today, and looks ahead to the landscape of tomorrow. It explores strategic HR challenges, future HR skills and investment, plus Artificial Intelligence (AI), analytics and the growing role of automation.
Fosway Group is Europe’s #1 HR Industry Analyst focused on Next Gen HR, Talent and Learning. Founded in 1996, we are known for our unique European research, our independence and our integrity.
For over 20 years, we have been analysing the realities of the market, and providing insights on the future of HR, Talent and Learning. Fosway analysts work extensively with our corporate clients to understand the inside story of the challenges they are facing, and their real experiences with next gen strategies, systems and suppliers. Our independent vendor analysis also provides a vital resource when making decisions on innovation and technology.
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As the leading European player in payroll and HR, SD Worx provides worldwide services in the areas of payroll, HR, legal support, training, automation, consultancy and outsourcing. It focuses on customer centricity, fully embraces digitisation and is committed to international growth. More than 65,000 small and large organisations worldwide have currently placed their trust in SD Worx and its experience of more than 70 years.
The 4,150 employees at SD Worx operate in ten countries: Belgium (HQ), Germany, France, Ireland, Luxembourg, Mauritius, the Netherlands, Austria, the United Kingdom and Switzerland. SD Worx calculates the salaries of some 4.4 million employees and achieved a turnover of €443 million in 2017. SD Worx is co-founder of the Payroll Services Alliance, a global strategic network of leading payroll companies that together provide 32 million payroll calculations.
More info at: www.sdworx.com