• Just Arrived

The questionable state of HR – and how to move forward

In a recently published study conducted by our partner Talent Data Labs,

144 companies of different sizes were examined to see how they handle

their HR data collection – and interpretation. As clear as the outcome is,

the future of human capital management looks far from bright for many

organizations. Luckily the tools to change the current trend are readily

available: we just need to know how to properly utilize them.  


The world of talent analytics is on the brink of radical change, especially in a

time where we’re re-envisioning the way we work entirely, and borders are

fading. It’s a development that calls for drastic changes on how we view

technology and data, but the question remains whether the HR industry is ready

for a transformation on such a large scale. A team of researchers and data

analysts of Talent Data Labs decided to find proof of the pudding by

investigating to what extent today’s widely used HR tech and software solutions

actually provide strong and meaningful talent analytics that’s truly beneficial to

the workforce. The study examined if the participating companies have the right

software to move forward, whether they use it in a way that allows them to

make impactful predictions that can bring about measurable changes, and

whether these changes can deliver demonstrable benefits to the workforce.


Method


It was crucial to the study to involve a diverse field of participants, so the

companies were selected by size, industry and country of origin to ensure that

the research would be secure yet widely applicable. The researchers held

interviews of three different parts with representatives of the firm in question.

The first goal was to get a better understanding of how these companies applied

different technologies, whereas the second was aimed at getting a better

understanding of employer’s responsibilities, the company’s reporting standards

and the flow of information. The last part consisted of evaluating the

effectiveness of the different processes and the results they produced on their

talent analytics efforts. After all the interviews were held, the researchers used a

cause-and-effect model to transform input such as attributes, traits and skills

into outcomes ranging from happiness within the workforce to the success of a

company’s cost-per-click marketing campaign. In the process of gathering data it

became clear that independent variables such as demographics and personality

traits are not hard to come by: to the companies involved it seems a lot more

challenging to actually process them into reliable outcomes.


Results


One of the most remarkable findings of the study is the mismatch between what

companies communicate and reality. It’s commonplace to talk about data and

insights as a staple of the HR market but hard evidence is difficult to come by if

existing at all. The research shows that it’s not a software problem but a people

and probably empowerment issue. On the one hand, the software and tools are

very mature and prevalent but on the other hand, the types of data and

information we use are limiting. We overemphasize behavioral data (post hoc

analysis) and we underestimate the value of independent data and variables. The

problem with that is that once you’re monitoring behavior you’re already too

late to change it, which is why most predictions currently lack meaning. And

that’s exactly the reason why Just Arrived started working together with Talent

Data Labs, who helped us optimize our recruitment process. Our goal is and

always has been to implement recruitment methods that are both competence-

based and non-biased, which is why we set up TeamTailor and Astronaut: two

of our front-running and fully digitalized recruitment programs. Because it's our

mission to provide other organizations in establishing a fair and non-biased

hiring policy, it was a no-brainer for us to lead the way by keeping our own

recruitment process strict and merely based on extensive research and reliable

data. We believe that it's the one and only way to maintain a working

environment that moves towards the right direction: one that’s based on

equality.



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