Exploring the different types of People Analytics

People analytics has become a cornerstone in the modern workplace, providing valuable insights that drive better decision-making.  Understanding the different types of people analytics can help organisations leverage their workforce data more effectively. Here’s a useful summary.

Descriptive Analytics

This form of analytics focuses on what has happened within an organisation. It involves analysing historical data to identify patterns and trends. For instance, descriptive analytics can reveal turnover rates, employee demographics, and performance metrics. It’s a foundational type that provides a comprehensive view of past behaviours and outcomes.

Diagnostic Analytics

Going a step further, diagnostic analytics aims to explain why certain events occurred. It delves into the root causes behind trends identified through descriptive analytics. For example, it might explore why a spike in employee turnover happened during a particular period, providing deeper insights for managerial action.

Predictive Analytics

This type of analytics looks forward, using statistical models and machine learning algorithms to forecast future outcomes. Predictive analytics can identify employees at risk of leaving or predict future hiring needs, enabling proactive workforce planning.

Prescriptive Analytics

The most advanced type, prescriptive analytics, not only predicts future events but also recommends actions to achieve desired outcomes. It integrates data from various sources to suggest strategies for improving employee engagement, enhancing productivity, or optimising recruitment processes.

By understanding and applying these types of people analytics, organisations can make more informed decisions, foster a data-driven culture, and ultimately enhance their overall performance.

Many organisations find it difficult to progress past descriptive analytics. If that is your experience, what are the reasons for that? Is it because you don’t have the right data or the right tools? We’d love to to hear your experiences. Contact us for a chat.