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3 levels of People Analytics. What are they?
Discover what the 3 levels of People Analytics are, as well as their main characteristics and how they are used within the company.
Isabel García
HR Consultant
2 of April, 2025
People Analytics has become our best ally when it comes to analyzing the performance of the workforce. The HR department can collect countless data. However, they need to be interpreted. And that’s where the 3 levels of People Analytics come in.
Depending on the analysis you carry out, up to three levels can be identified. The descriptive level would be the simplest, followed by the predictive level. Finally, the prescriptive level is the most complex.
3 levels of People Analytics
Level 1: Descriptive analysis
We start with the most basic level of analysis, the descriptive. Broadly speaking, it involves using the history of collected data to measure the effectiveness of a team or department. This way, we obtain useful information to perform a comparative evaluation of performance.
This first level offers us a multidimensional analysis to improve decision-making. Both from the human resources department and from the organization’s management.
It could be said that it is the type of data analysis we are used to. In fact, taking a selection of historical data, summarizing them, and comparing them is something we do beyond human resources.
For example, when analyzing the evolution of sales or customer satisfaction.
Among the examples of HR descriptive models we have the employee count. A demographic breakdown of them would also be a descriptive model.
Also KPIs such as the turnover rate. Ideally, HR should go beyond the descriptive model and bet on the following levels of People Analytics.
Level 2: Predictive analysis
If in the first level we looked to the past, in the second level we look to the future. To do this, we will have to answer a simple question:
What could happen? The goal of predictive analysis models is to anticipate the future needs of the organization. So, we will be ready when the time comes.
Predictive analysis applies techniques such as statistics, models, or information extraction. As in descriptive analysis, the history of data is taken into account.
But also, the current data is used to forecast future scenarios. The development of models and statistical analysis will be our great ally.
At this point, it is essential that the company considers the different possible scenarios. From the most optimistic to a catastrophic situation. Thus, both management and human resources can anticipate events.
Let’s look at the practical applications of People Analytics’ predictive models. It can serve us to know how a candidate will fit into the company before hiring them.
Does it fit into the corporate culture? Will it adapt easily? It can also reveal to us how long an employee will stay in the company.
Level 3: Prescriptive analysis
We reach the most complex of the levels of People Analytics, the prescriptive analysis. It could be said that it is a natural evolution of the predictive model.
If in the previous level we asked ourselves what will happen in the future, in this one we ask ourselves what we can do. Always starting from that prediction.
To do this, People Analytics offers us a series of recommendations. Both the prediction and the company’s history are taken into account.
What happened when we faced similar situations in the past? We analyze complex data, and we obtain alternative business impacts.
When it comes to practicing this level of People Analysis, we have predictive models and risk analysis. Also, planning of different scenarios, which will allow us to respond to the situation.
If we take it to practical application, we get more complex answers. For example, the owner of a restaurant in a beach town.
Thanks to People Analytics, they can estimate how many people they need to hire in the summer. Or how many they will keep during the low season, when the tourists leave.
How to choose the levels of People Analytics
We have said that the three levels of People Analytics offer us relevant information about the organization. But… which level best suits my needs? The goal you have will be crucial.
Therefore, it is always worth remembering the 5 keys in the People Analytics strategy:
- Ask questions for which we seek answers. What do you want to achieve, what do you want to respond to? These are the two key questions, they will reveal which level of People Analytics interests us.
- Data and key metrics to answer those questions. We can associate them with an HR KPI, so we will use this information to develop the analysis.
- Investigation procedure. It is not enough to collect data, it will also be necessary to identify the technique to be used, the deadlines, etc.
- Collection, processing, and analysis of data. Going to the right source of information is just as important as correctly processing the data.
- Communication of results and action according to them. We will inform the interested parties and develop the necessary strategies to improve.
Having a human resources software like Sesame HR will help you design your People Analytics strategy. The storage of data related to collaborated allows measuring trends and behaviors.
It also allows us to create our own People Analytics dashboard. We channel the data through visual and intuitive graphics, facilitating their interpretation.
In this way, decision-making will be much easier. And it will be supported by the data.
Do you want to know more about the levels of People Analytics? In the People Analytics Guide, you will find all the information about this fantastic tool.
Need help?
I'm Isabel, HR consultant at Sesame HR. Book a meeting with my team to help you.