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HR strategyHR TechnologyTalent management

Organisations yet to discover the benefits of predictive software

by Personnel Today 27 Oct 2009
by Personnel Today 27 Oct 2009

New research commissioned by HR, payroll and talent management solutions provider, MidlandHR indicates that organisations are yet to fully understand the benefits of predictive software in improving employee engagement. Four out of ten respondents (40.5%) were unsure of its role even though a staggering nine out of ten (92%) believed that employee engagement is key to organisational performance. Despite this, half (49.5%) of those surveyed do see it as providing information that can be used as an indicator.

The research, Investigating Employee Engagement and Predictive Analytics, surveyed over 100 business leaders in UK public, private and charity sectors on their views, with a view to optimising performance management within organisations. The general lack of knowledge about predictive software is epitomised by the limited understanding of the benefits it can bring with only 17% recognising how it can identify potential risk, 17% manage absence and 26% assist in talent management and retention. Interestingly however, the survey dispelled the issue that predictive software is a ‘big brother’ development with only 17% of those surveyed seeing it as an invasion of their civil rights (17%). 

Leslie Bowie, research director from MidlandHR, comments: “These results are extremely surprising considering predictive software is currently creating a buzz with companies looking to gain competitive advantage in these tough times. Some businesses may be missing a trick as our preliminary findings have shown predictive software to have a significant impact at reducing absence rates and improving talent retention.

“This research highlights a general lack of understanding in the marketplace that needs to be overcome before organisations can make best use of the exciting technology, a feature which we hope to educate the market on in the coming months.”

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Personnel Today articles are written by an expert team of award-winning journalists who have been covering HR and L&D for many years. Some of our content is attributed to "Personnel Today" for a number of reasons, including: when numerous authors are associated with writing or editing a piece; or when the author is unknown (particularly for older articles).

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