HR experts: making the most of performance indicators with your data

Before launching a recruitment or training plan, the HR department must set performance indicators. An HR indicator is a measurement tool that assesses the performance and effectiveness of various HR action plans and processes. The aim is to help the company in its decision-making process, while revealing the strengths and areas for improvement of the actions implemented.

HR strategy: what are the main performance indicators to take into account?

To obtain indicators, human resources management must first collect a lot of accurate and reliable data. Then, the data management is processed in an HRIS. From there, human resources management must select the most relevant indicators corresponding to the HR policy to be implemented. Generally speaking, the main HR performance indicators concern recruitment processes, training, absenteeism rates and those measuring the company’s social climate.

Indicators related to recruitment

To be successful in a future recruitment campaign, you need to be able to use data from past recruitment processes with powerful HR tools. The indicators resulting from these analyses or from HR dashboards make it possible to reorganize or improve future recruitment campaigns. Several indicators should be taken into account: recruitment time, rate of successful candidates, diversity ratio (diplomas, level of education), number of applications received, channels for publishing the job offer (specialized sites, social networks), average cost of recruitment, etc.

HR indicators of absenteeism

Each year, the company needs to carry out a barometer of the absenteeism rate, because the cost of absences has a strong impact on the company. Moreover, in a very competitive context, the competitiveness of the company is questioned. It is therefore a key indicator of a company’s performance. Here are a few examples of indicators to keep an eye on, such as average length of absence, absenteeism by department, average age of absentees, direct cost of absenteeism, etc.

Indicators related to training

Talent management is a key area of development for any company. There are a number of indicators that can be used to highlight how a company is developing internal mobility or to assess the effectiveness of its talent management policy.

To do this, the HR department relies on indicators such as the number of training courses offered, the rate of access to training, the cost of training per employee, the number of action plans for skills development, the rate of internal recruitment, and so on.

Indicators measuring the quality of the social climate

Evaluating a company’s social climate is a key performance indicator, since it shows whether employees are valued and feel good in the company.
This can be measured by turnover rate, average compensation, average seniority or promotion rate.

HR Analytics indicators for recruitment

From the HR dashboards and data management, the HR department is able to extract the main indicators to optimize the recruitment process and the management of costs related to this important part of the HR function. It can therefore plan future recruitment campaigns more effectively. To successfully manage the recruitment process, the HR department can rely on :

• the number of recruitments per department indicator ;
• the number of interviews held ;
• applications received per job advert (assessment of the attractiveness of the advert according to various criteria: remuneration, responsibilities, etc.);
• the number of distribution channels indicator (job boards, social networks, etc.) to find out which publication channel is most effective;
• the average cost of recruitment ;
• breakdown of new hires by type of contract ;
• the average duration of a recruitment campaign ;
• the turnover rate, which measures the number of new hires and departures in a given year;
• the new recruit rate indicator.

Using data to optimize HR performance

Big data is widely democratized, so much so that today human resources management uses it fully to optimize the HR function in its entirety. Real-time data analysis has become essential to the HR department through the use of high-performance, state-of-the-art HR tools. The use of data to improve HR processes particularly concerns recruitment.

Thanks to powerful algorithms, the HR department is able to match the skills described in the CVs with the job offers to be filled. These algorithms can be used both for internal mobility and to find the ideal candidate profile on professional social networks. As a result, application management is more efficient, with a significant reduction in lead times and costs.

Moreover, thanks to the exploitation of Big Data, human resources management acquires a better knowledge of the company’s personnel by facilitating the development of personalized career paths and the updating of personal data in real time. The data collected, cross-referenced and analyzed, allows HR to make more relevant decisions. It helps them anticipate training, internal mobility and recruitment needs.

Using data to optimize HR performance

Big data is widely democratized, so much so that today human resources management uses it fully to optimize the HR function in its entirety. Real-time data analysis has become essential to the HR department through the use of high-performance, state-of-the-art HR tools. The use of data to improve HR processes particularly concerns recruitment.

Thanks to powerful algorithms, the HR department is able to match the skills described in the CVs with the job offers to be filled. These algorithms can be used both for internal mobility and to find the ideal candidate profile on professional social networks. As a result, application management is more efficient, with a significant reduction in lead times and costs.

Moreover, thanks to the exploitation of Big Data, human resources management acquires a better knowledge of the company’s personnel by facilitating the development of personalized career paths and the updating of personal data in real time. The data collected, cross-referenced and analyzed, allows HR to make more relevant decisions. It helps them anticipate training, internal mobility and recruitment needs.