78% of CEOs say their top concern in the upcoming years is the availability of talent.
Yet, according to Indeed, 84% of the working population is actively seeking a job. There is a clear disconnect between job seekers and hiring staff, and this leaves a great opportunity for innovation in HR.
There is new technology in the HR space but companies have been slow to adopt. Unlike the financial sector, most HR departments don’t work with with data and analytics. We should be collecting and analyzing data in HR just like we do with finance, but HR is falling short for several reasons.
-Only 18% of leaders trust data analytics from HR
-25% of CEOs feel they get sufficient data or analytics from HR
-Only 12% of CFOs feel they spend the right amount in the right areas of HR
While 95% of CEOs say they plan to increase spending on HR data and analytics over the next two years, this is not enough. Paying more to get sophisticated technology platforms and fancy metrics does not add value by itself, HR needs to change how they use this data. They must analyze data and metrics to gain insight and make better decisions. Organizations with high analytic impact have up to 17% higher talent outcomes, including improved employee performance. HR is clearly ripe for opportunity to grow, we just need to take that next step.
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