People Analytics in the Era of Big Data Changing the Way You Attract, Acquire, Develop, and Retain Talent

People Analytics in the Era of Big Data provides a blueprint for leveraging your talent pool through the use of data analytics. Written by the Global Vice President of Business Intelligence and Predictive Analytics at Monster Worldwide, this book is packed full of actionable insights to help you source, recruit, acquire, engage, retain, promote, and manage the exceptional talent your organization needs. With a unique approach that applies analytics to every stage of the hiring process and the entire workforce planning and management cycle, this informative guide provides the key perspective that brings analytics into HR in a truly useful way.

You're already inundated with disparate employee data, so why not mine that data for insights that add value to your organization and strengthen your workforce? This book presents a practical framework for real-world talent analytics, backed by groundbreaking examples of workforce analytics in action across the U.S., Canada, Europe, Asia, and Australia.

• Leverage predictive analytics throughout the hiring process
• Utilize analytics techniques for more effective workforce management
• Learn how people analytics benefits organizations of all sizes in various industries
• Integrate analytics into HR practices seamlessly and thoroughly

Corporate executives need fact-based insights into what will happen with their talent. Who should you hire? Who should you promote? Who are the top or bottom performers, and why? Who is at risk to quit, and why? Analytics can provide these answers, and give you insights based on quantifiable data instead of gut feeling and subjective assessment. People Analytics in the Era of Big Data is the essential guide to optimizing your workforce with the tools already at your disposal.

Foreword xi

Preface xiii

Acknowledgments xvii

About the Authors xxiii

List of Case Studies and People Interviewed xxvii

Chapter 1 The People Analytics Age 1

The People Analytics Advantage 3

The World of Work Has Changed 10

Notes 31

Chapter 2 How to Migrate from Business Analytics to People Analytics 33

A Short History of Analytics Adoption 35

Marketing and Human Resources Similarities 39

Advanced Business Analytics and Advanced People Analytics 44

The Promise of Analytics and People Analytics Bridges 50

Building a People Analytics Center of Excellence 53

Notes 64

References 65

Chapter 3 The Seven Pillars of People Analytics Success 67

Data and Tools Challenge 71

The Seven Pillars of People Analytics Success 76

Leveraging the People Analytics Framework 77

Workforce Planning Analytics Pillar 79

Sourcing Analytics Pillar 80

Acquisition/Hiring Analytics Pillar 82

Onboarding, Culture Fit, and Engagement Pillar 84

Performance Assessment and Development and Employee Lifetime Value Pillar 86

Employee Churn and Retention Pillar 88

Employee Wellness, Health, and Safety Pillar 90

Notes 96

Chapter 4 Workforce Planning Analytics 99

What is Workforce Planning? 101

Workforce Planning Analytics 102

Why Should You Care About Workforce Planning Analytics? 104

Key Components of Workforce Planning Analytics 108

Making an IMPACT with Workforce Planning Analytics 112

Workforce Planning Analytics Best Practices: Dos and Don’ts 128

Notes 129

Chapter 5 Talent Sourcing Analytics 131

The Business Case for Talent Sourcing Today 132

Why You Need to Care about Your Talent Sourcing Today 135

Talent Sourcing in the Era of Big Data and Advanced Technology 138

The Mobile Impact on Talent Sourcing 167

Putting the IMPACT Cycle into Action 169

Notes 172

Chapter 6 Talent Acquisition Analytics 175

What is Talent Acquisition Analytics? 177

How Talent Acquisition Works 190

Application Phase 191

Preinterview Assessment Analytics 194

Interviews: Separating the Wheat from the Chaff 196

Putting It All Together: Predictive Analytics for Selection 198

Notes 203

Chapter 7 Onboarding and Culture Fit 205

Organizational Culture 206

Onboarding Process 207

Stages of Onboarding 209

Early Employee Needs 212

OPEN Analytical Framework for Effective Onboarding 213

Time to Productivity and Other Outcome Measures 216

Create an Onboarding Predictive Model 217

Tying it All Together 217

Notes 222

Chapter 8 Talent Engagement Analytics 223

Importance of Employee Engagement 225

Employee Engagement Surveys 227

Making Employee Engagement Surveys Predictive 229

Moving Beyond the Survey: Employee Engagement Measures 232

Notes 236

Chapter 9 Analytical Performance Management 237

Why You Should Care about Performance Management Analytics 238

Linking Individual Objectives to Company Objectives 239

Defining Performance Measures 243

Performance Incentives and Promotion 245

Provide Insight to Senior Management 247

Benefits of Analytical Performance Management 249

Best Practices 250

Predictive Analytics and Graph Theory to Optimize Career Pathways and Employee Promotion 251

Note 252

References 252

Chapter 10 Employee Lifetime Value and Cost Modeling 255

Understanding the Most Expensive Asset 256

Are Employees Costs or Assets? 256

The Basis for Advanced Analytics 257

Chapter 11 Using Retention Analytics to Protect Your Most Valuable Asset 283

Traditional Approaches are Failing 285

What is Retention, Anyway? 285

What You Need and How it Works 286

The Business Case 288

Deploying Retention Analytics . . . Piece of Cake? 294

How to Implement Proactive Talent Retention Models 295

Data for Talent Attrition Predictive Modeling 298

Putting Your Employee Attrition Findings to Work 302

The Segmentation Strategy of Talent Retention Model Insights 303

Notes 305

Chapter 12 Employee Wellness, Health, and Safety to Drive Business Performance and Loyalty 307

What is Employee Wellness? 310

Why Should You Care about Workplace Wellness? 311

Employee Wellness Program Best Practices 320

Optimizing Your Employee Wellness Health and Workplace Safety with Predictive Analytics 325

Notes 328

Chapter 13 Big Data and People Analytics 331

What is Big Data? 332

Big Data and People Analytics 336

Leveraging People Analytics 338

Workforce Planning Analytics Pillar 339

Sourcing Analytics Pillar 341

Acquisition/Hiring Analytics Pillar 343

Onboarding, Culture Fit, and Engagement Pillar 345

Performance Assessment and Development and Employee Lifetime Value Pillar 347

Employee Churn and Retention Pillar 349

Employee Wellness, Health, and Safety Pillar 351

Notes 355

Chapter 14 Future of People Analytics 357

Rise of Employee Behavioral Data 359

People Analytics Moves beyond the Averages 361

Predictive Becomes the New Standard 363

Automated Big Data Analytics 363

Big Data Empowers Employee Development 365

Models Become the New Gold of People Analytics 366

People Analytics Becomes More Accessible 366

People Analytics Becomes a Specialized Department 367

Employee Data Privacy Backlash 368

Quantification of HR 369

Notes 372

Index 373

JEAN PAUL ISSON is global vice president of business intelligence and predictive analytics at Monster Worldwide Inc. He is a worldwide expert and evangelist in Big Data analytics and advanced business analytics with more than 22 years of experience and coauthor of Win with Advanced Business Analytics.

JESSE S. HARRIOTT, PHD, is chief analytics officer at Constant Contact and former chief knowledge officer of Monster Worldwide. For over 20 years, Jesse has led analytics professionals to drive business results. He is the coauthor of Finding Keepers and Win with Advanced Business Analytics.