March 10, 2022

What is People Analytics?

What is People Analytics?
What would you do if you were running a company and your human resource department presented you with an algorithm that they claimed would identify the best candidates for promotions? How quickly would you implement this new hiring tool, knowing that it has just proven itself to be 87% accurate at predicting who will succeed in management? This is how people analytics works – it takes the guesswork out of hiring and promotion by replacing gut feelings with data.

More specifically, people analytics is the application of statistical data, technology, and behavioral science to help organizations make better decisions. Generally, it involves using suitable data-driven methods and tools to transform the workforce into a systematic analytical approach.


Simply put, we can say that people analytics is about understanding people in detail through technology and advanced statistics and then applying that knowledge to help businesses make better decisions. It involves managing people and using data from all sources to understand what works and what doesn't.

Moreover, people analytics enables leaders to understand how to best leverage people and technology, apply leadership activities, measure the effectiveness of programs, and improve the efficiency of operations.

In fact, Google, one of the leading tech companies in the world, is using the data-driven approach in People Analytics to make decisions and guide business strategies. Leveraging its "People Analytics" team, Google began studying the successes and failures of managers.

Why care about people's data?

As the age of big data has arrived, so has the opportunity to use it for understanding people. People's data is a key factor in people analytics as it can be used to make better-informed decisions, make employees happier, and thus contribute significantly to a company's success in the same way that using the right tools can improve your work and make you more effective.

The power of people's data.

People's data is a powerful game-changer in the industry as it serves as a source of objective information about how businesses achieve their goals. For example, if you are working towards achieving a specific performance measure, such as customer satisfaction or growth, data will tell you if the business strategy is effective and give you an objective view when making important decisions. Simply put, data analysis is not merely a feature in the business but a must.

Are you interested in people analytics for your business? When to find out more?

People Analytics can provide better insight into your business and how you can leverage this information to improve your strategy.

If any of the following apply to you, you should consider investing in People Analytics:

  • You or your organization is considering whether there are more effective ways to produce value in a complex and changing environment.

  • You're interested in learning more about the most effective strategies for achieving long-term, sustainable success in your business.

  • You are an executive or manager with the power to influence the future of your organization.

  • You want to make an impact on your company's culture and productivity.

  • You work in HR with the purpose of building teams that deliver exceptional results for your company, clients, or customers.