brainyard: optimize HR costs with people analytics.

September 22, 2021 Sue Marcus

Studies show that CFOs who pay attention to workforce analytics tend to deliver higher profit margins, better share prices and stronger overall performance. This applies to companies of all sizes, in any industry. Knowing what to measure is key, as is understanding how to apply the data.

“Leveraging and understanding which data you have available, which systems you're using today, and which capabilities those tools have around visualization are all certainly starting points," says Sue Marcus, regional president at Randstad Sourceright North America. “Understanding the data points that you're looking for and what you want to be able to measure [in advance] is critically important."

It is recommended that a robust people analytics strategy include metrics on turnover rates, recruitment costs, retention rates and absenteeism. Every piece of data, properly analyzed and applied, is a potential cost-savings opportunity. Especially considering that the Society for Human Resource Management (SHRM) estimates that each employee replacement can cost up to two times their annual salary.

“There is revenue loss by having roles unfilled, and it can impact the efficiency of your workforce,” said Marcus. “It’s also important to have visibility into your cost-per-hire … and be able to drill down to understand what goes into that and where there’s opportunities for better efficiency to reduce spend.”

Ready to do more with people analytics? Read more in brainyard to get started. Then, explore the talent analytics stream for additional insights, research, case studies and more.

about the author

Sue Marcus

Sue Marcus is managing director, Randstad Sourceright North America with executive responsibility over Randstad Sourceright in the U.S., Canada and Mexico. She is responsible for aligning contingent and permanent workforce strategies as part of a broader global initiative that will be offered to enterprise customers who are calling for more agility and flexibility in their talent solutions. With the expertise of the RPO, MSP and Payroll teams, Marcus helps clients adopt a total talent approach that ensures business objectives are met while competing in today's labor market.

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