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#HRcongress16Designing and Building People-centric Organizations @AndySpence
Seven Challenges
People Analytics
Need To
Overcome
Andy Spence
Glass Bead Consulting
@AndySpence
#HRcongress16Designing and Building People-centric Organizations @AndySpence
“Without data you are just another
person with an opinion”
W. Edwards Deming
“Without questions, you are just another
person with data”
THE SCIENTIFIC METHOD AS AN ONGOING PROCESS
MAKE
OBSERVATIONS
DEVELOP TESTABLE
PREDICTIONS
THINK OF
INTERESTING
QUESTIONS
FORMULATE
HYPOTHESES
GATHER DATA TO
TEST PREDICTIONS
DEVELOP GENERAL
THEORIES
REFINE, ALTER,
EXPAND, OR REJECT
HYPOTHESES
#HRcongress16Designing and Building People-centric Organizations @AndySpence
• Annual performance reviews
• Employee Engagement Surveys
• The Bonus
• Change Management
• Project Management
• Command and Control
• Best Practice
• MBTI
• Others ?
EVERYTHING MUST GO…?
#HRcongress16Designing and Building People-centric Organizations @AndySpence
What causes attrition of high performing employees?
OWEN Analytics
High performing team
Low performing team
Tenure
GenderPerformance
EducationNetwork
score
LocationMarried
N Y N YN YN Y
< 1
year
MF
M B
< x >x
Other AAN Y
> 1
year
65%35%
75%25%
5% 95%
Machine Learning Algorithms Organization Network Analysis
 Decision Trees
 Random Forests
 Logistic Regression
#HRcongress16Designing and Building People-centric Organizations @AndySpence
THE QUANTIFIED WORKPLACE
#HRcongress16Designing and Building People-centric Organizations @AndySpence
HR need to be involved in all of these
• Challenge existing frameworks, assumptions and ways of working
• Use an evidence-based approach to decision making
• Evolve their strategy and business models
• Have a broad “work” strategy and plan
• Will use insights from behavioural science
• Adopt better management & organisation structures
Successful organisations in the future?
#HRcongress16Designing and Building People-centric Organizations @AndySpence
Seven challenges for People Analytics…
#HRcongress16Designing and Building People-centric Organizations @AndySpence
We prefer “gut feelings” to make people-based decisions
#HRcongress16Designing and Building People-centric Organizations @AndySpence
The Peak of inflated expectations
#HRcongress16Designing and Building People-centric Organizations @AndySpence
HR does not need Big Data, or Big Pants,
It needs BIG QUESTIONS
#HRcongress16Designing and Building People-centric Organizations @AndySpence
We need the right TOOLS for the job
#HRcongress16Designing and Building People-centric Organizations @AndySpence
Low confidence in the underlying frameworks
#HRcongress16Designing and Building People-centric Organizations @AndySpence
What causes employee productivity ?
#HRcongress16Designing and Building People-centric Organizations @AndySpence
Critique of current HR Operating Models
#HRcongress16Designing and Building People-centric Organizations @AndySpence
Challenges with HR Analytics
Challenge Possible solutions ?
1 We prefer “gut feelings” to make people-based decisions Find the middle ground
2 The Peak of Inflated Expectations Set realistic expectations
3 HR doesn’t need big data, it needs big questions Cast your net widely, coach HR on hypothesis
testing
4 We need the right tools to do the job Keep sharing requirements with technology vendors
5 No confidence in the underlying frameworks Collaborate with academia and peers in other
organisations
6 Focus on Productivity All paths lead to productivity
7 Structural issues with HR Operating Models Use best available evidence to work out which
practices work best
#HRcongress16Designing and Building People-centric Organizations @AndySpence
HR@AndySpence
Andy@GlassbeadConsulting.com
+44 (0) 1273 888 188
HR Transformer Blog
HR Transformation Magazine – ScoopIt
Future of Work and Organisations - Flipboard
Let’s continue the discussions…

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Seven Challenges For People Analytics

  • 1. #HRcongress16Designing and Building People-centric Organizations @AndySpence Seven Challenges People Analytics Need To Overcome Andy Spence Glass Bead Consulting @AndySpence
  • 2. #HRcongress16Designing and Building People-centric Organizations @AndySpence “Without data you are just another person with an opinion” W. Edwards Deming “Without questions, you are just another person with data” THE SCIENTIFIC METHOD AS AN ONGOING PROCESS MAKE OBSERVATIONS DEVELOP TESTABLE PREDICTIONS THINK OF INTERESTING QUESTIONS FORMULATE HYPOTHESES GATHER DATA TO TEST PREDICTIONS DEVELOP GENERAL THEORIES REFINE, ALTER, EXPAND, OR REJECT HYPOTHESES
  • 3. #HRcongress16Designing and Building People-centric Organizations @AndySpence • Annual performance reviews • Employee Engagement Surveys • The Bonus • Change Management • Project Management • Command and Control • Best Practice • MBTI • Others ? EVERYTHING MUST GO…?
  • 4. #HRcongress16Designing and Building People-centric Organizations @AndySpence What causes attrition of high performing employees? OWEN Analytics High performing team Low performing team Tenure GenderPerformance EducationNetwork score LocationMarried N Y N YN YN Y < 1 year MF M B < x >x Other AAN Y > 1 year 65%35% 75%25% 5% 95% Machine Learning Algorithms Organization Network Analysis  Decision Trees  Random Forests  Logistic Regression
  • 5. #HRcongress16Designing and Building People-centric Organizations @AndySpence THE QUANTIFIED WORKPLACE
  • 6. #HRcongress16Designing and Building People-centric Organizations @AndySpence HR need to be involved in all of these • Challenge existing frameworks, assumptions and ways of working • Use an evidence-based approach to decision making • Evolve their strategy and business models • Have a broad “work” strategy and plan • Will use insights from behavioural science • Adopt better management & organisation structures Successful organisations in the future?
  • 7. #HRcongress16Designing and Building People-centric Organizations @AndySpence Seven challenges for People Analytics…
  • 8. #HRcongress16Designing and Building People-centric Organizations @AndySpence We prefer “gut feelings” to make people-based decisions
  • 9. #HRcongress16Designing and Building People-centric Organizations @AndySpence The Peak of inflated expectations
  • 10. #HRcongress16Designing and Building People-centric Organizations @AndySpence HR does not need Big Data, or Big Pants, It needs BIG QUESTIONS
  • 11. #HRcongress16Designing and Building People-centric Organizations @AndySpence We need the right TOOLS for the job
  • 12. #HRcongress16Designing and Building People-centric Organizations @AndySpence Low confidence in the underlying frameworks
  • 13. #HRcongress16Designing and Building People-centric Organizations @AndySpence What causes employee productivity ?
  • 14. #HRcongress16Designing and Building People-centric Organizations @AndySpence Critique of current HR Operating Models
  • 15. #HRcongress16Designing and Building People-centric Organizations @AndySpence Challenges with HR Analytics Challenge Possible solutions ? 1 We prefer “gut feelings” to make people-based decisions Find the middle ground 2 The Peak of Inflated Expectations Set realistic expectations 3 HR doesn’t need big data, it needs big questions Cast your net widely, coach HR on hypothesis testing 4 We need the right tools to do the job Keep sharing requirements with technology vendors 5 No confidence in the underlying frameworks Collaborate with academia and peers in other organisations 6 Focus on Productivity All paths lead to productivity 7 Structural issues with HR Operating Models Use best available evidence to work out which practices work best
  • 16. #HRcongress16Designing and Building People-centric Organizations @AndySpence HR@AndySpence Andy@GlassbeadConsulting.com +44 (0) 1273 888 188 HR Transformer Blog HR Transformation Magazine – ScoopIt Future of Work and Organisations - Flipboard Let’s continue the discussions…