What Is People Analytics?

People analytics (also called HR analytics or workforce analytics) applies data analysis techniques to human resources data. It moves HR from gut-feel decisions to evidence-based strategy, the same transformation that happened in marketing and finance a decade ago.

The Four Levels of People Analytics

Descriptive: What happened? (Dashboards, headcount reports)

Diagnostic: Why did it happen? (Attrition root cause analysis)

Predictive: What will happen? (Flight risk models, hiring success prediction)

Prescriptive: What should we do? (Optimal compensation modelling, workforce planning)

Quick Wins to Start

You don't need a data warehouse to begin. Start with three analyses any HR team can do with existing data:

1. Time-to-fill by role and source reveals your most efficient hiring channels. 2. 90-day attrition by manager identifies onboarding gaps and management issues. 3. Engagement score vs. performance rating tests whether your engagement survey actually predicts outcomes.

Building the Business Case

Frame every analytics initiative in business terms. Don't say "we built an attrition model." Say "we identified 2M in replacement costs that are preventable by addressing three specific retention drivers." Finance speaks numbers. Speak their language.