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Is IT Taking Over HR?
But is any of this data valuable? How can HR organizations leverage it? And most importantly, could the drive to "perfect" recruiting and hiring spell the death of the "human" side of Human Resources? Algorithms and Employee Behavior For more and more companies, the hiring process is being done by an algorithm. HR is looking to personality tests and data analysis, instead of work history, interviews and education, to fill job vacancies. IT and data-driven analysis are critical in HR, because they provide long-range information on candidates that "old school" methods do not. For example, personality tests and data analysis can help an employer predict an amazingly diverse range of work behaviors, such as how likely a candidate is to:
Outliers and Analytics Ever heard of the name Malcolm Gladwell? His book "Outliers" examines the extraordinary characteristics that define how or why an individual or group is "successful" on the job. Gladwell's work perfectly illustrates the need for understanding analytics, and by extension those people who fall outside the realm of ordinary experience. Data-driven analytics should function much the same way within an HR organization's hiring process. By deconstructing the traditional hiring model and identifying "outlier" characteristics that correlate with success, Big Data can provide new parameters to guide companies' recruiting and hiring processes, such as: Value in human capital - These are strategies that engage and motivate employees; not just for short-term goals, but for long-term employee success. To create value through engagement, organizations can use a range of demographic or socio-graphic factors to identify groups of similar individuals who could be engaged in similar ways. Social capital - This focuses on how potential candidates will work together in a group or team setting. Together with other measures of engagement activities, a social network analysis can help companies understand what types of people are best able to work together as a community. Source of performance - This helps HR better understand:
The Human Factor The ultimate goal in using data-driven analysis in HR practices is to streamline recruiting and hiring processes--but that doesn't mean the human touch is obsolete. Quite the opposite, in fact. Using analytics to identify behavioral patterns that correlate with high productivity, service, innovation, and execution can provide a roadmap for hiring success--by looking for those same patterns in candidates. But while businesses are relying more on Big Data for hiring, human instincts are still invaluable in deciphering and applying that data. While technology can reduce the administrative burden associated with HR and enable them to focus on more strategic issues, HR will always be about people management--which requires human interaction and face-to-face contact. As a result, HR organizations should attempt to strike a balance between data and the human element. Can Your Company Improve HR with IT? Absolutely. Here are a few recommendations for leveraging the power of Big Data, without losing the human touch:
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