What is HR Analytics? | Definition, Examples, Metrics

Drag to rearrange sections
Rich Text Content


Human resource is a vital stream for organizations, no matter the size of it. Organizations are run by their professionals, and managing and handling the personnel is a challenging task. The human resource team carries out many tasks from recruiting, termination, negotiating their remuneration package, arranging travel plans for the personnel, to being the counsellors to personnel going through rough patches either in professional or personal lives. Technology is coming to the aid of the human resources department with their hr analytics. Analytics is proving to be beneficial in the adapted fields. So, human resource departments are implementing hr data analytics for the suave handling of human resources in the organizations.

What is HR analytics?

 Human resource analytics is a process wherein the HR functions data such as employee turnover, training expenditure, recruitment, managing the talent, to name a few, are gathered. This data is then analyzed to define metrics to measure the impact on the organization. Analytics in hr is a process wherein a few meaningful insights are drawn out of the metrics to understand the revenue earned to the organization on investing in the employees. 

Examples of HR Analytics

Common examples wherein HR analytics utilized are:

Employee turnover

The rate at which the employees leave the organization can be a cause of concern if it is high. In the QSR industry, the turnover rate is high. The organization loses out on the time, effort, and money if the employee attrition is high.  HR analytics aids in getting the rate also provides an opportunity to analyze the reason behind the attrition.

  • The reason behind the employee's resignation. This data from the employees leaving the organization can aid in identifying the current trends and patterns indicating the reason behind the employee's exit.
  • Collecting behavioural data such as employee engagement and productivity to understand the status of the employee.
  • Correlating the above data to understand the reasons behind the employee turnover
  • Create a predictive model to track the employees better falling into a similar pattern. 


Organizations are looking out for professionals with the right skills and the right attitude and attribute to match the organization's work ethics and culture. HR analytics aids in shortlisting the resumes to match the required skills and know the applicants better by their personality, interests, creative level, and work experience. The HR analytics in an organization collects the below data. 

  • Aids secured, fast, and automated collection of data
  • Opportunity to get insights to candidates by considering variables like the organizational cultural match, and opportunities of growth 
  • Identify the features of the candidates in comparison with the high performers in the organization.
  • A data-driven approach to recruitment ensures equal opportunity to all the candidates.
  • Can create metrics to hire professionals for certain roles, empowering the departments to be prepared for the possible need of hires.

HR analytics metrics

Below are few metrics utilized by HR analytics in various organizations to keep track of employee records in congruence with the organizational goals. AI and ML are making it easier to scan a huge amount of data to conclude. 

Time to Hire

It is the duration of time taken to hire the required professional. The time is considered when posting an advertisement to the time the candidate joins the organization. This metric is continuously monitored following the organizational goals.

Recruitment cost

It is the entire cost incurred while hiring potential employees. This metric is monitored over a duration to understand the cost involved while recruiting specifically skilled candidates.

Turnover rate

It is the rate at which the organization’s employees quit the jobs after a year of employment. This metric lets the organization focus if the current rate is in confluence with the organizational goal.

Employee engagement rating

This rate measures the employee's productivity concerning employee satisfaction, which displays the professional's involvement in the work. Surveys and assessments obtain the metrics.


Data collected in organizations are of no use unless appropriately arranged and analyzed. The analysis is what makes hr data valuable. The analysis leads to drawing conclusions that can lead to set organizational goals. The goals set with insights can yield high returns to the organization. HR analytics is of great concern to every organization. Dedicated long-term employees are the assets of the organization. 

The HR analytics provide the much-required metrics to draw strategic decisions and in optimizing the business processes. The hr analytics course is one of the human resource courses from Jigsaw Academy available for hr training.






Drag to rearrange sections
Rich Text Content

Page Comments