Frequently asked questions

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Why are HR analytics important?

HR analytics are important because of their power as a strategic tool for today’s HR and People leaders. Rather than relying on experience and instinct alone, HR leaders can use analysis of data they hold about their workforce to help them understand, respond to and predict behaviors, trends and market factors.


Leading HR information systems store accurate HR data and use advanced analytics tools to provide insight through automated reports and customizable dashboards. Managers can monitor key metrics and see at a glance when intervention is needed to improve processes or make changes. For example, insight about workforce turnover can help organizations investigate why some roles have poor retention and to take action in recruitment or engagement activities to improve it.


Today, this activity is often called People Science. The term conveys how firms use data to develop stronger historic and predictive insights about their people and motivations. These insights support more informed, evidence-based decisions. In People Science, predictive insights help managers understand and make decisions based on employees’ behavior and motivations.



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