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Today recruitment has become quite challenging due to increased competition and requirements such as skill-based hiring. To reduce the time-to-hire and enhance the recruitment process, recruiters must leverage new technologies.

HR data analysis helps recruiters make data-driven decisions to streamline the entire process. In this blog post, we will explore what HR analytics is and the 5 effective ways in which human resource analytics can help with your recruitment needs.

What are HR Analytics? Why is it so important?

HR analytics involves analyzing, interpreting, and gathering data to gain insight into the hiring process. 

Quantifying the influence of various HR metrics on overall business performance allows your organization to make informed decisions based on data. Data-driven management of Human Resources is the essence of HR analytics.

88% of HR professionals believe that HR analytics has helped them generate insights and make data-driven decisions, according to an SHRM survey.

Here are some of the reasons why recruiters must leverage HR Analytics

  1. HR analytics Data based Decision Making
  2. Improved Candidate Selection
  3. Enhanced Candidate Sourcing
  4. Streamlined Recruitment Processes
  5. Cost Reduction
  6. Predictive Hiring
  7. Employee Retention and Succession Planning
  8. Talent Pool Analysis

5 Ways Human Resources Analytics Can Help You in Your Recruitment Process

1. Enhancing Candidate Sourcing

Candidate Sourcing is the first step in finding the right candidate for your requirements. A good candidate sourcing strategy improves the application to hiring rate and saves recruiters from interview fatigue.

HR analytics can help recruiters understand the most effective language, keywords, and sites to post open vacancies. With such an approach, the data can help target the right candidates looking for jobs.

A human resources analytics tool also allows recruiters to evaluate the effectiveness of various sourcing channels, including job boards and social media platforms.

2. Streamlining Candidate Selection

It is estimated that predictive analytics can increase hiring accuracy by 30% when used in candidate selection, according to a study by IBM.

HR analytics can help you to select the right candidate from the talent pool. For instance, by using keyword analysis, recruiters can filter out qualified candidates, saving time.

Streamlining the candidate selection process can also help improve the experience of candidates and foster a good employer brand online.

3. Reducing Time-to-Hire

Organizations that streamline their recruitment process reduce time-to-fill by 40%, according to research conducted by the Aberdeen Group.

To avoid interview fatigue, recruiters need to shorten the time to hire. By using HR analytics, it becomes easier to identify patterns and trends in successful hires, which speeds up the recruitment process.

By establishing a structured hiring process and identifying key performance metrics (KPIs), recruiters can reduce the hiring time without compromising quality.

4. Improving Employee Retention

Retaining the top talent is as important as hiring the right candidate. This helps business achieve their goals without spending a lot on employee acquisition and retention.

HR analytics can identify factors contributing to employee turnover based on exit interviews, employee surveys, and sentiment analysis.

HR data can help HR professionals target retention efforts which can help retain valuable employees.

5. Improving Employee Engagement

According to Gallup research, companies with highly engaged employees outperform their peers by 147%.

By using hr data analysis from employee surveys and performance metrics, HR analytics can improve specific areas that impact engagement and retention.

HR analytics helps with using personalized engagement strategies. By analyzing employee data, HR professionals can develop targeted initiatives to create an inclusive workplace.

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