By looking at the existing staff within a retail or production environment, combining sales figures with who is working on a certain day, or production figures of who was working on the production line, we can gain insight into the overall health of the workforce. We can identify whether there are enough staff employed but that they might not be doing a good job. Similar to my airport experience, they might have enough staff to operate efficiently, but they might not be on the floor at peak time, or they are mis-allocated in the wrong areas of the airport. We can also detect if there are too many people working in a department, where they would better serve a department and where there are staff shortages. This will have an impact on your recruitment and selection processes, as you may want to reallocate staff or identify where new staff is needed.
Using analytics can improve your recruitment and selection process
By having an analytical view of this workforce information it allows you to make the necessary changes needed to improve the overall performance of the company. By analyzing business profitability you will have a strong idea of what your business can afford to spend on a new candidate before you begin the recruitment and selection process. By using these analytical tools you can predict what the payroll spend will be on a monthly basis including your new candidates.
Analyzing salary information can be an indication of experience
You can use analytics to understand your payroll information and get a candidates exact cost to company. This information is used in generating an average salary or salary scale for employees performing a specific task. If your candidates have a much higher or lower salary compared to the average, this may indicate a lack of skill which means that you would have to budget for training. If the salary is much higher than the average then it might indicate that the person is too experienced for the job and would potentially get bored quickly.
Data analysis can provide answers when it comes to the recruitment and selection process
Using tools to analyse your data will help you to identify where the staffing shortages are in your organization. Again this can be an indication that you need to start the recruitment and selection process or it could be to reallocate staff. Identifying where profitability is lacking is another benefit of these tools, ensuring you can see which departments are not performing, allowing you to make the appropriate adjustments. Staff performance could be tracked, high performers could be used in departments where service and production is lacking.
By incorporating workforce analytics, an organisation has the insight and ability to understand exactly how the organization is operating at all times. This allows you to make informed staffing decisions which will ensure that the company operates and performs as it should.