FIVE-STEP MODEL OF HR ANALYTICS

Abstract

This article's purpose is to develop and substantiate a balanced, effective HR analytics model, critical for organizations leveraging human capital. Its relevance is highlighted by gaps in existing frameworks: many are too simplistic, lacking crucial monitoring, or overly complex, hindering practical implementation, especially with limited resources. This research provides a structured, comprehensive, yet practically applicable approach. The methodology involves a critical analysis of prevalent theoretical models for structuring the HR analytics process. This includes examining basic multi-step models and more detailed frameworks. By identifying inherent limitations – such as absent feedback loops in simpler models, and operational complexity in elaborate ones – a new conceptual model is developed. The core method is conceptual modeling, deriving a refined five-step structure from evaluating and synthesizing established practices. The primary result is a novel five-step model for HR analytics. It encompasses: Strategic Planning, ensuring alignment with business objectives; Data Collection and Integration, focusing on quality data; Analytical Processing and Modeling, for pattern identification and prediction; Interpretation of Results and Communication, translating findings into actionable insights; and Implementation of Recommendations and Monitoring, for practical application and continuous improvement. This model provides a complete analytical cycle, balancing strategic depth with operational clarity. Key advantages include its comprehensiveness, practical orientation, and focus on continuous improvement. The practical value of this five-step model is substantial. It offers organizations a systematic framework for data-driven human resource management decisions. By enabling thorough, strategically aligned HR data analysis, the model enhances human capital utilization efficiency. Its emphasis on monitoring and iterative improvement facilitates refining HR strategies and practices, ensuring adaptability to dynamic business needs. Adopting this model helps establish a robust HR analytics function, supporting strategic objectives and an evidence-based HR culture.