In the second of our two-part series exploring HR data and metrics, Nick Kemsley from the Centre for HR Excellence at Henley Business School looks at the final three of six practical steps any HR function can take to double the business value of the information they are providing to their organisation.
As CEOs and boards push to squeeze maximum value out of their organisations, the need for insight to guide their decision making and to manage both short- and long-term risk has never been greater. HR functions need to focus on providing insight, not just information, to align metrics to business goals and to examine outcomes at least as much as process metrics. The first part of this article looked at the first three of six practical steps HR needs to take in order to overhaul the business value of their approach to HR data and metrics:
- Identify the insight needed to underpin strategy delivery and manage organisational risk.
- Understand the decision-making data your board needs to support shorter-term performance.
- Determine the critical gaps between this and what you currently provide.
This article looks in detail at the final three steps towards doubling the business value of HR data and metrics, which are:
- Find the most pragmatic way to plug the gaps.
- Optimise the format in which the data is presented.
- Develop the right skills to analyse and talk about the data.
Find the most pragmatic way to plug the gaps
The question to ask: "What is the easiest way to generate the missing insight required, starting with what we already have?"
In step three, we said that we should understand the nature of the gap. Is it about the data itself or what we do with the data? If it's about the data itself, the first resort should always be to look at what data capability you already have. Do you have the data but are simply not presenting it? For example, data on leavers by grade. Can you create the data from other data you have? For example, time spent on training per head. Or do you have to get the data through new measurement or from another source, for example, by benchmarking with other organisations?
If it is about what you do with the data, then the firs