The demand for extensive data analysis of employee metrics is making some HR departments fall behind expectations. According to a global survey by the American Management Association, only 27 percent of firms rated the analytical skills of their HR departments as "expert." Fifty percent rated their department "poor."
In a recent blog post on LinkedIn, Josh Bersin, founder of the research firm Bersin by Deloitte, wrote about the new HR demands. Since talent management software was introduced in 2005, employers have become able to track and analyze their workforce systematically. The performance history, education, prior work and special training of employees could be saved and plotted on an advanced system. According to Bersin, only 14 percent of companies have begun to use this data extensively and the resultant workplace insights have helped companies improve. The top 14 percent, he states, "are generating 30% higher stock returns, twice the recruiting effectiveness, and more than twice the ability to develop leaders than their peers."
For companies that are too small to train an expert staff, HR outsourcing services could be the answer. Outside companies specialize in duties like HR and payrolling, which small firms can find challenging or time-consuming.
