2 of April, 2025

Currently, People Analytics is a trend on the rise. More and more companies understand that a key to business success revolves around the people that make up the organization. Allocating part of resources and time to getting to know the team is an urgent need. For such task, it’s necessary to understand the benefits of People Analytics.

One of the methodologies that’s being implemented more and more, thanks to its great utility, is HR Analytics or People Analytics. It is essentially one of the advantages offered by new technologies. Next, in this post, we will discuss all the details that surround this term.

What is People Analytics?

The HR department needs to be updated with the best strategies for personnel management. Through these strategies, they can obtain data to guide decision making. People Analytics, is a resource for the human area that allows them to have a much more complete view of the company. It also allows them to visualize the staff and helps to correct whatever is not working correctly.

By using Big Data in conjunction with Business Intelligence, we obtain data from your human resources. This allows us to better understand people and get to know them to a large extent. This only works when the data is transformed into valuable information. In other words, it works when it helps us to do something better than we would have done without it.

How to blend numbers and people for HR?

Getting and having data at hand through Big Data is not complicated. The key lies in the useful transformation we make with them. The knowledge of our employees to improve their experience with us.

At the end of it all, we are combining statistics, numbers and math to understand ourselves better, to know ourselves better and to easily connect. However, not all of it is measurement.

Benefits of People Analytics

After knowing what it’s all about, it’s necessary to know the benefits of People Analytics, we will know some of its most notorious advantages. This way, you can take advantage of them at all times and you will get a better performance from your workforce:

It allows you to make more strategic decisions for the company, thanks to concrete and important information.
It increases fairness, objectivity and transparency.
Develops new, diversified and much deeper analyzes.

What is truly relevant is to remember that the use of data forces us to keep our minds open. It also helps us to let go of our most basic intuitions and to go beyond our knowledge and experiences. If we manage to maximize the potential of our workers, we will increase the company’s overall performance.

What’s it used for?

In short, it allows managers and directors to better manage workers, and also helps to make better decisions.

Generally, we can highlight 5 areas in which People Analytics helps organizations:

Recruiting

Another advantage it offers is that it helps to choose ideal talent for companies from pre-established mathematical models. By implementing historical data related to other candidates with a similar CV and examining their job development within the position and the company, a statistical or applicable model can be determined for each new employee.

Development

Keeping the workforce trained, developing their skills and abilities, is a factor that provides high value to any company. With People Analytics we can know what training is the most ideal for each employee in order to optimize their performance. Evaluating post-training analyzes and studying which ones yielded the best results, helps us formulate predictive models for future training.

Loyalty

On the other hand, HR Analytics collects information about the status of employees in real time. It also allows detecting signs of demotivation and intentions of employees to leave the company. Such daily monitoring allows us the opportunity to carry out talent retention actions proactively. Basically, it’s about doing something before it’s too late.

Compensation

Studying the data related to employee compensation helps us understand their level of importance. This allows us to optimize their level of satisfaction and wellbeing. By conducting labor surveys and analyzing their answers, we can generate mathematical models that work to predict the impact that wage modifications will have on the staff.

Having the human resources software of Sesame HR, will be crucial to obtain all the benefits of People Analytics in companies.

Customer-oriented, both internally and externally, specializing in the definition and implementation of HR policies, as well as talent management, recruitment, and retention. Strong leadership, communication, negotiation, organization, and team coordination skills. Over 12 years of experience in Human Resources.

Do you want to rate our article?

Average rating:

5 stars (1 votes)

★★★★★

iriserrador

HR Content Specialist

People analytics, advantages for business success