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Creating
organisational
impact with
People Analytics
December 2022
Shane James
Australian People Analytics | Maturity Survey 2
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About me
Previous People Analytics Practitioner
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People Analytics Consulting Practice
Based in Australia
Source: Travel Victoria
Located in
Melbourne
Australian People Analytics | Maturity Survey 3
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That what and why of People Analytics
What is People Analytics?
Source: High-Impact People Analytics, Deloitte Consulting, 2020
People analytics refers to the
measurement, analysis, and reporting of
workforce-related data with the purpose
of insight – to drive more informed
actions and decisions.
The right insight at the right time can
be a difference between success and
failure
Employee
Data
Other
Workforce
Data
Business
Data
HR &
Organisational
Data
Employee
Supplied
Organisation
Generated
Passively
Gathered
External
Data
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That what and why of People Analytics
Source: High-Impact People Analytics, Deloitte Consulting, 2020
Why is it such a hot topic now?
Analytics promises to help organisations make better, more data-driven decisions about work, workplaces, and the workforce, but so far, this promise is unfulfilled…
of companies see people
analytics as high priority in
their organisations
of firms say always or most of
the time they understand the
key data elements to capture
and provide insights
38%
of firms feel they are
effective at integrating
different types of data
25%
Yet,
only
…
of the 6,300+ executives we
surveyed said they have the
information they need to make
sound people decisions
3%
72%
Source: High-Impact People Analytics, Deloitte Consulting, 2020
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The Deloitte People Analytics Maturity Model
Four Levels to Measure Maturity
Seven Factors To Build Maturity
The Deloitte People Analytics Maturity Model offers a roadmap to help leaders understand the progression of data capabilities from lower to higher maturity levels. To map the current state of the
participating organisations’ ability to run a people analytics function, we consulted the Deloitte People Analytics Maturity Model (Chakrabarti, 2017) which is made up of seven factors and four levels:
Data Culture
User Engagement
Business Alignment
Vision & Roadmap
Team Capability
Data Governance
Data Infrastructure
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5
4
3
Complying and
Reacting
Level 1
Level 2
Level 3
Level 4
Building and
Scaling
Automating and
Broadening
Embedding and
Exploring
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Australian Results:
Source: High-Impact People Analytics, Deloitte Consulting, 2020
Survey findings
Complying and Reacting
Fragmented & Unsupported
Organisations do not yet realise
the true value of people data (and
sometimes data in general) as a
core asset that can create
competitive advantage.
Level 1
Level 2
Level 3
Level 4
Building and Scaling
Consolidating & Building
Organisations have started an
intentional journey toward data
consolidation, accuracy,
timeliness, privacy, and security.
Automating and Broadening
Accessible & Utilised
Organisations use data and
insights more frequently and
begin to embed them in talent
decisions and key people-
related business decisions.
Embedding and Exploring
Business-Integrated &
Institutionalised Organisations
achieve a state in which the use
of people analytics throughout
the enterprise to support
people and business decisions is
so widespread as to become a
part of the organisational DNA.
It is intrinsic to how work is
done and how people-related
decisions are made. The HR
function overall is highly data
literate. Some organisations at
this level evolve their people
analytics functions into cross-
functional teams responsible for
enterprise-wide analytics
15% 62% 19% 4%
Global Results: 10% 72% 13% 5%
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Respondents consistently
reported that almost all
other business functions
were regarded as a higher
priority than HR and they
struggled to get IT resources
and support, this wasn’t just
because HR is traditionally a
cost centre, but could
possibly be made worse by
HRs historical tendency to
not be a strong or effective
consumer of IT resources.
HR last in the queue for
IT resources
Lacking resources and
investment
Increasing CPO expectations
and CEO interest
HCM Data is complicated
and disbursed
HR systems in need of
refresh to create usable data
Respondents reported facing most of these challenges
Many respondents from
larger organisations were
juggling employee and
worker data that was
scattered across up to 40
different internal systems.
Teams were also facing
challenges connecting and
synchronising the data
across all these systems.
Many teams reported that their
underlying HR systems lacked
standardisation or
simplification and that they had
not been updated to reflect
current processes. This made it
difficult to extract usable data
and undermined the
businesses faith that the data
was accurate and up to date.
Contradicting the lack of
resources and investment, 24
of the 26 respondents
reported increasing demand
for data to support decision
making from stakeholders.
However the lack of resources
to meet the increasing demand
was one of the contributing
reasons for high turnover
among survey respondents.
The majority of respondents
also felt that they were not
getting the necessary support
from within HR for them to
improve their impact and
maturity. Most respondents
felt that they were
understaffed as a team and
they were not getting the
funding they needed to upskill
their team members.
What are the common challenges?
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As more organisations
move from an annual
survey to more flexible,
employee experience
driven and frequent
channels of employee
listening, PA teams are
racing to be able to
organise and extract the
value from this powerful
data source.
Moving beyond simply
reporting headline figures
and meeting minimum
statutory requirements, PA
teams are working to
incorporate DE&I data
across all of their analytics
outputs.
Prompted by the rapidly
evolving working
environment, data around
employee wellness, flexible
working and identifying
burnout risk are a high
priority for boards and
executive teams.
As the labour market tightens,
Internal talent marketplaces
that increase internal mobility
and support a “build not buy”
approach are an increasing
priority. These rely on up-to-
date skills data which new
technology offerings can finally
deliver.
From near term rostering
and shift planning, to
strategic workforce
planning and scenario
planning, PA teams are
supporting the organisation
in getting the right people,
in the right place at the
right time.
What are the hottest topics?
These are the areas where respondents are putting their efforts into right now.
All respondents continue to put effort and resources into maintaining their existing dashboards and reports, preparing quarterly updates and board reports and creating operational reporting, but on
top of that, these are the topics that the hottest right now (from most to least). Perhaps surprisingly, “the great resignation” did not appear as a hot topic, though individual organisations reported it as
an area of focus, it was very industry specific and wasn’t an overall trend for Australian organisations, perhaps confirming that for now at least, the great resignation in Australia is a myth.
1. Employee
Listening
2. Wellbeing &
Burnout
3. Diversity,
Equity &
Inclusion
4. Workforce
Planning
5. Skills & Talent
Marketplace
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Deliver tactical projects
with quicker ROI
While strategic priorities
and big audacious
challenges are very
important, quick wins,
delivering relatively simple
projects to targeted and
address specific business
problems are enabling PA
teams to get quick wins,
build their brand, create
visibility and demonstrate
their ability to deliver real
business impact.
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Encourage and support a
data hungry CEO and CHRO
Organisations where both
the CEO and CHRO were
data hungry were definitely
making the most impact,
where at least one was really
engaged were making more
impact.
People Analytics teams in
organisations where neither
were engaged where still
making progress on the
fundamental building blocks,
while looking for data
friendly stakeholders to
demonstrate impact with.
Build strong IT relationships
for appropriate solutions
PA teams that are partnering
with IT to explore and select
tools and technology are
creating more impact than
those who are forced to use
generic tools and technology.
Having the right tools to
address challenges and
complexities that may only
exist in the HR domain
enables PA teams to focus on
important activities rather
than trying to fit square pegs
into round holes.
Free up team capacity
with “sustainable
reporting”
Organisations that are
more structured about
the reporting that they
deliver free up capacity to
do more advanced work.
Formalising the process of
gathering reporting
requirements ensuring its
reusable and meets the
needs of multiple
stakeholders help to
make reporting
sustainable.
What do higher maturity organisations do differently?
We identified eight key activities that more mature organisations were focused on that enabled them to create more impact.
We see these as key areas of focus for organisations with lower levels of maturity, to accelerate their impact and increase their maturity.
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Continued.
Actively develop a
community of analytics
enthusiasts
Most smaller People
Analytics teams reported
feeling isolated, both
internally and externally.
Teams that were better
connected internally were
able to leverage a wider
set of skills and experience
to make more progress.
There is a great appetite
for more external
networking, to help share
knowledge, lessons learnt
etc., but most importantly
to help keep the
motivation up!
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Collecting and analysing
non-traditional datasets
Several organisations had
rapidly accelerated their
impact by not focusing on
just traditional HRIS data.
Powerful insights are being
generated from surveys,
wellbeing data, networks
and skills data. These data
sources are generally
smaller, cleaner, more
complete and more up to
date and therefore easier to
derive value from.
Scale faster by building user
communities and aggregated
personas
Multiple benefits are being
derived from building and
active and organised user
community. Engaged
stakeholders and members
are creating, qualifying and
regulating demand pipelines,
owning and driving the
resulting business change.
Persona led development is
creating more targeted
insights and service levels that
have stronger resonance and
ownership in user
communities.
Use governance as an
accelerator
While most organisations
think of governance as a
necessary formality.
Effective governance
structures are accelerating
progress and impact, not
holding them back.
Engaged and involved
governance ensures that
projects and products are
fit for purpose, well
designed, scalable,
repeatable, appropriate
and ethical with a constant
eye on value and impact.
What do higher maturity organisations do differently?
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Inspiring Examples
Four inspiring case studies from Australia
Reducing attrition by
Identifying key retention
drivers
Organisation wanted to
understand which events or
actions had the most impact
on retention of employees.
Survival Analysis of retail
staff that joined the
organisation in 2020 found
those that did not complete
the onboarding training had
a risk of turnover five times
higher than those that did
complete the onboarding
training.
Increasing on-time
deliveries by reducing
predicting last-minute
absences
Organisation with a large
delivery driver workforce had
a big issue with drivers not
turning up for shifts.
A basic predictive model was
used to analyse historical
absence patterns and predict
the likelihood of an employee
being absent from a rostered
shift.
This information was shared
with shift managers to enable
them to proactively plan for
absences and not require last
minute contract workers.
Proving the value of the
leadership development
program
Under pressure from the board to
justify their leadership
development program, this
organisation wanted to show the
positive impact the program had on
employees.
Analysis showed that there was a
small but significant increase in
attendee’s scores for engagement,
promotion, internal mobility and
retention.
There was also a positive
relationship across those factors
for the direct reports of leaders
who had attended training.
Proving the impact of the
employee referral program
The organisation wanted to be
able to demonstrate the positive
impact that a new paid employee
referral program had on the
organisation.
Analysis of data showed referrals
were twice as likely to stay 12
months compared to regular
hires.
Modeling suggested increasing
referral numbers would reduce
turnover rates 5-10%
The analysis also showed that
referring employees had lower
turnover rates.
Impact:
Estimated saving in first year of
turnover costs $840k.
Paid referral program ROI 2171%
Impact:
Proven the impact of the program
and now challenged to look for
proof of wider business impact.
Impact:
Immediate reduction in cost
of contract labour and
reduction in missed deliveries.
Impact:
Renewed focus on managers
encouraging employees to
complete onboarding.
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Questions
“
“
“Thanks to the hard work of our
people analytics team, for the
first time in my career I can walk
into our executive meeting as
well prepared with data and
evidence as my peers from
Finance and Operations”
A quote from one of our survey respondents:
Shane James
Senior Manager—People Analytics
shanejames@deloitte.com.au
+61423726113
https://www.linkedin.com/in/shane-james-4624495a/
5
This publication contains general information only, and none of Deloitte Touche Tohmatsu Limited, its member firms, or their related entities
(collectively the “Deloitte Network”) is, by means of this publication, rendering professional advice or services. Before making any decision or taking
any action that may affect your finances or your business, you should consult a qualified professional adviser. No entity in the Deloitte Network shall be
responsible for any loss whatsoever sustained by any person who relies on this publication.
Deloitte refers to one or more of Deloitte Touche Tohmatsu Limited (“DTTL”), its global network of member firms, and their related entities. DTTL (also
referred to as “Deloitte Global”) and each of its member firms and their affiliated entities are legally separate and independent entities. DTTL does not
provide services to clients. Please see www.deloitte.com/about to learn more.
About Deloitte
Deloitte is a leading global provider of audit and assurance, consulting, financial advisory, risk advisory, tax and related services. Our network of
member firms in more than 150 countries and territories serves four out of five Fortune Global 500®companies. Learn how Deloitte’s approximately
286,000 people make an impact that matters at www.deloitte.com.
About Deloitte Asia Pacific
Deloitte Asia Pacific Limited is a company limited by guarantee and a member firm of DTTL. Members of Deloitte Asia Pacific Limited and their related
entities provide services in Australia, Brunei Darussalam, Cambodia, East Timor, Federated States of Micronesia, Guam, Indonesia, Japan, Laos,
Malaysia, Mongolia, Myanmar, New Zealand, Palau, Papua New Guinea, Singapore, Thailand, The Marshall Islands, The Northern Mariana Islands, The
People’s Republic of China (incl. Hong Kong SAR and Macau SAR), The Philippines and Vietnam, in each of which operations are conducted by separate
and independent legal entities.
About Deloitte Australia
In Australia, the Deloitte Network member is the Australian partnership of Deloitte Touche Tohmatsu. As one of Australia’s leading professional
services firms. Deloitte Touche Tohmatsu and its affiliates provide audit, tax, consulting, and financial advisory services through approximately 8,000
people across the country. Focused on the creation of value and growth, and known as an employer of choice for innovative human resources
programs, we are dedicated to helping our clients and our people excel. For more information, please visit our web site at www.deloitte.com.au
Liability limited by a scheme approved under Professional Standards Legislation.
Member of Deloitte Asia Pacific Limited and the Deloitte Network.
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Shane James: Creating impact with People Analytics, lessons learned from the Australian People Analytics Survey

  • 2. Australian People Analytics | Maturity Survey 2 2 3 1 4 5 7 8 6 9 10 About me Previous People Analytics Practitioner 1 People Analytics Consulting Practice Based in Australia Source: Travel Victoria Located in Melbourne
  • 3. Australian People Analytics | Maturity Survey 3 2 3 1 4 5 7 8 6 9 10 That what and why of People Analytics What is People Analytics? Source: High-Impact People Analytics, Deloitte Consulting, 2020 People analytics refers to the measurement, analysis, and reporting of workforce-related data with the purpose of insight – to drive more informed actions and decisions. The right insight at the right time can be a difference between success and failure Employee Data Other Workforce Data Business Data HR & Organisational Data Employee Supplied Organisation Generated Passively Gathered External Data 1
  • 4. Australian People Analytics | Maturity Survey 4 2 3 1 4 5 7 8 6 9 10 That what and why of People Analytics Source: High-Impact People Analytics, Deloitte Consulting, 2020 Why is it such a hot topic now? Analytics promises to help organisations make better, more data-driven decisions about work, workplaces, and the workforce, but so far, this promise is unfulfilled… of companies see people analytics as high priority in their organisations of firms say always or most of the time they understand the key data elements to capture and provide insights 38% of firms feel they are effective at integrating different types of data 25% Yet, only … of the 6,300+ executives we surveyed said they have the information they need to make sound people decisions 3% 72% Source: High-Impact People Analytics, Deloitte Consulting, 2020 1
  • 5. Australian People Analytics | Maturity Survey 5 2 3 1 4 5 7 8 6 9 10 2 1 7 The Deloitte People Analytics Maturity Model Four Levels to Measure Maturity Seven Factors To Build Maturity The Deloitte People Analytics Maturity Model offers a roadmap to help leaders understand the progression of data capabilities from lower to higher maturity levels. To map the current state of the participating organisations’ ability to run a people analytics function, we consulted the Deloitte People Analytics Maturity Model (Chakrabarti, 2017) which is made up of seven factors and four levels: Data Culture User Engagement Business Alignment Vision & Roadmap Team Capability Data Governance Data Infrastructure 6 5 4 3 Complying and Reacting Level 1 Level 2 Level 3 Level 4 Building and Scaling Automating and Broadening Embedding and Exploring 2
  • 6. Australian People Analytics | Maturity Survey 6 2 3 1 4 5 7 8 6 9 10 Australian Results: Source: High-Impact People Analytics, Deloitte Consulting, 2020 Survey findings Complying and Reacting Fragmented & Unsupported Organisations do not yet realise the true value of people data (and sometimes data in general) as a core asset that can create competitive advantage. Level 1 Level 2 Level 3 Level 4 Building and Scaling Consolidating & Building Organisations have started an intentional journey toward data consolidation, accuracy, timeliness, privacy, and security. Automating and Broadening Accessible & Utilised Organisations use data and insights more frequently and begin to embed them in talent decisions and key people- related business decisions. Embedding and Exploring Business-Integrated & Institutionalised Organisations achieve a state in which the use of people analytics throughout the enterprise to support people and business decisions is so widespread as to become a part of the organisational DNA. It is intrinsic to how work is done and how people-related decisions are made. The HR function overall is highly data literate. Some organisations at this level evolve their people analytics functions into cross- functional teams responsible for enterprise-wide analytics 15% 62% 19% 4% Global Results: 10% 72% 13% 5% 3
  • 7. Australian People Analytics | Maturity Survey 7 2 3 1 4 5 7 8 6 9 10 Respondents consistently reported that almost all other business functions were regarded as a higher priority than HR and they struggled to get IT resources and support, this wasn’t just because HR is traditionally a cost centre, but could possibly be made worse by HRs historical tendency to not be a strong or effective consumer of IT resources. HR last in the queue for IT resources Lacking resources and investment Increasing CPO expectations and CEO interest HCM Data is complicated and disbursed HR systems in need of refresh to create usable data Respondents reported facing most of these challenges Many respondents from larger organisations were juggling employee and worker data that was scattered across up to 40 different internal systems. Teams were also facing challenges connecting and synchronising the data across all these systems. Many teams reported that their underlying HR systems lacked standardisation or simplification and that they had not been updated to reflect current processes. This made it difficult to extract usable data and undermined the businesses faith that the data was accurate and up to date. Contradicting the lack of resources and investment, 24 of the 26 respondents reported increasing demand for data to support decision making from stakeholders. However the lack of resources to meet the increasing demand was one of the contributing reasons for high turnover among survey respondents. The majority of respondents also felt that they were not getting the necessary support from within HR for them to improve their impact and maturity. Most respondents felt that they were understaffed as a team and they were not getting the funding they needed to upskill their team members. What are the common challenges? 3
  • 8. Australian People Analytics | Maturity Survey 8 2 3 1 4 5 7 8 6 9 10 As more organisations move from an annual survey to more flexible, employee experience driven and frequent channels of employee listening, PA teams are racing to be able to organise and extract the value from this powerful data source. Moving beyond simply reporting headline figures and meeting minimum statutory requirements, PA teams are working to incorporate DE&I data across all of their analytics outputs. Prompted by the rapidly evolving working environment, data around employee wellness, flexible working and identifying burnout risk are a high priority for boards and executive teams. As the labour market tightens, Internal talent marketplaces that increase internal mobility and support a “build not buy” approach are an increasing priority. These rely on up-to- date skills data which new technology offerings can finally deliver. From near term rostering and shift planning, to strategic workforce planning and scenario planning, PA teams are supporting the organisation in getting the right people, in the right place at the right time. What are the hottest topics? These are the areas where respondents are putting their efforts into right now. All respondents continue to put effort and resources into maintaining their existing dashboards and reports, preparing quarterly updates and board reports and creating operational reporting, but on top of that, these are the topics that the hottest right now (from most to least). Perhaps surprisingly, “the great resignation” did not appear as a hot topic, though individual organisations reported it as an area of focus, it was very industry specific and wasn’t an overall trend for Australian organisations, perhaps confirming that for now at least, the great resignation in Australia is a myth. 1. Employee Listening 2. Wellbeing & Burnout 3. Diversity, Equity & Inclusion 4. Workforce Planning 5. Skills & Talent Marketplace 3
  • 9. Australian People Analytics | Maturity Survey 9 2 3 1 4 5 7 8 6 9 10 Deliver tactical projects with quicker ROI While strategic priorities and big audacious challenges are very important, quick wins, delivering relatively simple projects to targeted and address specific business problems are enabling PA teams to get quick wins, build their brand, create visibility and demonstrate their ability to deliver real business impact. 1 2 3 4 Encourage and support a data hungry CEO and CHRO Organisations where both the CEO and CHRO were data hungry were definitely making the most impact, where at least one was really engaged were making more impact. People Analytics teams in organisations where neither were engaged where still making progress on the fundamental building blocks, while looking for data friendly stakeholders to demonstrate impact with. Build strong IT relationships for appropriate solutions PA teams that are partnering with IT to explore and select tools and technology are creating more impact than those who are forced to use generic tools and technology. Having the right tools to address challenges and complexities that may only exist in the HR domain enables PA teams to focus on important activities rather than trying to fit square pegs into round holes. Free up team capacity with “sustainable reporting” Organisations that are more structured about the reporting that they deliver free up capacity to do more advanced work. Formalising the process of gathering reporting requirements ensuring its reusable and meets the needs of multiple stakeholders help to make reporting sustainable. What do higher maturity organisations do differently? We identified eight key activities that more mature organisations were focused on that enabled them to create more impact. We see these as key areas of focus for organisations with lower levels of maturity, to accelerate their impact and increase their maturity. 3
  • 10. Australian People Analytics | Maturity Survey 10 2 3 1 4 5 7 8 6 9 10 Continued. Actively develop a community of analytics enthusiasts Most smaller People Analytics teams reported feeling isolated, both internally and externally. Teams that were better connected internally were able to leverage a wider set of skills and experience to make more progress. There is a great appetite for more external networking, to help share knowledge, lessons learnt etc., but most importantly to help keep the motivation up! 5 6 7 8 Collecting and analysing non-traditional datasets Several organisations had rapidly accelerated their impact by not focusing on just traditional HRIS data. Powerful insights are being generated from surveys, wellbeing data, networks and skills data. These data sources are generally smaller, cleaner, more complete and more up to date and therefore easier to derive value from. Scale faster by building user communities and aggregated personas Multiple benefits are being derived from building and active and organised user community. Engaged stakeholders and members are creating, qualifying and regulating demand pipelines, owning and driving the resulting business change. Persona led development is creating more targeted insights and service levels that have stronger resonance and ownership in user communities. Use governance as an accelerator While most organisations think of governance as a necessary formality. Effective governance structures are accelerating progress and impact, not holding them back. Engaged and involved governance ensures that projects and products are fit for purpose, well designed, scalable, repeatable, appropriate and ethical with a constant eye on value and impact. What do higher maturity organisations do differently? 3
  • 11. Australian People Analytics | Maturity Survey 11 2 3 1 4 5 7 8 6 9 10 4 3 2 1 Inspiring Examples Four inspiring case studies from Australia Reducing attrition by Identifying key retention drivers Organisation wanted to understand which events or actions had the most impact on retention of employees. Survival Analysis of retail staff that joined the organisation in 2020 found those that did not complete the onboarding training had a risk of turnover five times higher than those that did complete the onboarding training. Increasing on-time deliveries by reducing predicting last-minute absences Organisation with a large delivery driver workforce had a big issue with drivers not turning up for shifts. A basic predictive model was used to analyse historical absence patterns and predict the likelihood of an employee being absent from a rostered shift. This information was shared with shift managers to enable them to proactively plan for absences and not require last minute contract workers. Proving the value of the leadership development program Under pressure from the board to justify their leadership development program, this organisation wanted to show the positive impact the program had on employees. Analysis showed that there was a small but significant increase in attendee’s scores for engagement, promotion, internal mobility and retention. There was also a positive relationship across those factors for the direct reports of leaders who had attended training. Proving the impact of the employee referral program The organisation wanted to be able to demonstrate the positive impact that a new paid employee referral program had on the organisation. Analysis of data showed referrals were twice as likely to stay 12 months compared to regular hires. Modeling suggested increasing referral numbers would reduce turnover rates 5-10% The analysis also showed that referring employees had lower turnover rates. Impact: Estimated saving in first year of turnover costs $840k. Paid referral program ROI 2171% Impact: Proven the impact of the program and now challenged to look for proof of wider business impact. Impact: Immediate reduction in cost of contract labour and reduction in missed deliveries. Impact: Renewed focus on managers encouraging employees to complete onboarding. 4
  • 12. Australian People Analytics | Maturity Survey 12 2 3 1 4 5 7 8 6 9 10 Questions “ “ “Thanks to the hard work of our people analytics team, for the first time in my career I can walk into our executive meeting as well prepared with data and evidence as my peers from Finance and Operations” A quote from one of our survey respondents: Shane James Senior Manager—People Analytics shanejames@deloitte.com.au +61423726113 https://www.linkedin.com/in/shane-james-4624495a/ 5
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