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HR Analytics- What it is and Why it is needed?

It is indeed that data is crucial to our decisions! A good piece of data will help you uncover the correct information, and a good amount of information will help you make an informed decision that will benefit you and your business. Hence, it reflects the growing importance of data analytics. Increasingly, companies are finding that data-driven decisions perform better than instinct-driven ones. 

As a result, the demand for skilled data scientists is increasing as businesses seek ways to identify insights that would enable HR managers and senior executives to make more efficient and effective decisions. In addition, you may know that data analytics are used across various industries and sectors, such as supply-chain management, customer behaviour, and IoT. 

A new buzzword that the niche IT sector has managed to create is HR analytics. It is the analytics technique to understand employees, their behaviours, measure resources in hand, apply workforce to projects, analyze patterns of attrition, recruitment, employee satisfaction and just appraisal and incentive systems.

HR Analytics: Its impact

The general economy and the HR industry are changing to meet the demands of the digital era. It means individuals looking to build careers in HR will need to expand their skill sets and be prepared to wear many hats within their roles. In addition, to help organizations meet their strategic goals, HR professionals can also analyze data and draw valuable insights using HR Analytics. 

HR Analytics: Its Benefits

HR analytics aims to transform this data into valuable insights by making sense of it. The application of HR analytics enables HR to gain several strategic and operational advantages as follows:

  • Making better HR decisions requires the use of data and analytics tools
  • To get the benefit of a better quality of human resources
  • To attain employee retention metrics and analytics
  • To play as a strategic partner of the HR Department
  • To predict the organization hiring needs using HR analytics

HR Analytics: Why should you learn it?

Are you looking for opportunities in HR? Then, it’s highly recommended that you pursue a specialized role in HR analytics, as it will not only fetch you an authoritative job profile. But also help you climb up the career ladder. Here are five reasons you should take an HR analytics certification course for more clarity.

An effective recruitment process

If the organization’s human resources are matched to its business goals, it is likely to flourish quickly. You can use HR analytics to get insight into which departments of your company need which types of talent, which departments lack what skills, what kind of training a particular department needs, how to recruit qualified personnel, and more. 

The Behaviour of Employees

Employee behaviour is one of the crucial aspects of an HR professional. If an employee does not go home happy, is not credited for their efforts, or is not recognised and satisfied, you can be sure they could throw in the towel at any time. Employing HR analytics will allow you to analyze employee behaviour to find unique ways to engage with them and improve the overall culture and happiness at your company.


HR executives find this alarming because there are many reasons behind attrition: inadequate pay, heavy workload, work-related stress, a dull workplace, a lack of incentive schemes, and creative freedom. Therefore, HR executives must dig into the various attrition aspects and come up with data on what’s going wrong and where. HR analytics can assist you with that, and once you have the facts right, it is easy to address them.

Evolve and adapt

In an organization, HR is the backbone that binds everything together in an invisible way. You can use HR analytics to identify what your company lacks and what rectifications and changes you can make to improve it. You can use it to stay on top of your business and implement technologies that will enhance the function of your business.

Employee Efficiency and Incentive Plans

Conflicts immediately arise in the event of disparities, and managers are notified. Implementing HR analytics is the practical approach to formulating incentive schemes and categorizing employee productivity. Transparency will allow greater understanding and alignment with individual tasks/goals and incentive payouts. HR analytics can help you ease tons of conflict on this.

As a conclusion

Many organizations have begun using recruitment analytics and have been reaping the benefits. A few companies that consistently use HR Analytics are Cognizant, HCL, Deloitte, and ZS Associates. These new possibilities promise a plethora of potential from data insights, which have been a game-changer for many years. You can learn HR Analytics through RIDM’s course to help you get in tune with the changing world. So sign up now to kick-start your career.

For more information, you can reach out to us at+91-9480384045 or

– By Sreeja Mohan & Marbin Shamini, RIDM Content Team.

Reach us right now to get yourself enrolled in RIDM’s HR Analytics Course. 

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