1. Why HR data are powerful
HR data track and analyze employee information such as start date, contract type, department, salary, time‑to‑hire, performance, and internal mobility. Tracking these data helps you:
- Improve processes (e.g., fix recruiting steps if too many candidates stall at one stage)
- Anticipate hiring needs (project future hires based on entries, exits, and turnover)
- Understand correlations (e.g., salary vs. performance trends)
- Act on issues (e.g., intervene if one team’s turnover spikes vs. others)
- Train managers (give them data to improve processes and solve identified problems)
2. Where HR data live
Best case
Your HR systems:
- ATS (Applicant Tracking System)
- HRIS
- Payroll tools
- eNPS surveys
- Performance tools
- Onboarding tools
Otherwise
Data may sit in Excel—less secure, less collaborative, and more prone to manual errors.
3. Bring order to your HR data
To get reliable, actionable HR data, keep rigor, consistency, and governance across tools:
- Connect your HR systems (e.g., link ATS to HRIS)
- Establish data governance and standards within the team
- Assign owners for each tool to ensure correct entry and maintenance
4. Use reporting to persuade and act
Use HR data to make the case for actions and to track key company metrics:
- Headcount: Entries and exits, FTE count, remote workers
- Retention: Attrition (desired/undesired), probation attrition, turnover, average tenure, role evolution, internal mobility
- Recruiting: Average time‑to‑hire, source performance, average cost per hire, candidate satisfaction
- Diversity: Breakdown by gender, age, disability, etc. Note: under GDPR, ethnic statistics are prohibited.
- Management: Engagement rate, employee satisfaction, training participation, manager evaluations
Tip 1: Tie HR indicators to business outcomes. Linking attrition to finance, for example, increases credibility.
Tip 2: Be pragmatic. Not every company is advanced in people analytics. Most are at stage 1 or 2 per McKinsey’s “How to be great at people analytics.” Aim for indicators that are simple, accessible, reliable, shareable, and automatically computed.
Tip 3: Use a visualization solution to centralize and automate reporting. It improves communication and enables data‑driven decisions.