Between employee engagement drivers, productivity KPIs and retention metrics, big data can offer a broad spectrum of opportunities for improvements. Discovering trends in recruiting needs or performance technology can help companies best dedicate resources, as well as find strong fits for skill sets. It also allows for a path to improve staff morale by isolating elements that can hamper productivity.
Eight successful human resources executives from ForbesHuman Resources Council discuss the different ways human resources teams can benefit from using workforce analytics.
1. Uncover, Then Improve Engagement Drivers
Every employer strives to improve employee engagement. Employees are driven by factors that add to, or subtract from, their engagement with their work. The challenge is knowing which drivers matter and how best to impact them. Leveraging big data, not just annual benchmark surveys but also critical quarterly pulse surveys, can provide the clarity needed to know which engagement drivers to focus on. - Todd Richardson, Emplify
2. Predict Future Success
I’ve always been a big fan of leveraging big data to increase the quality of my hires, but technology will never replace the human element of HR. We use both a cognitive ability test and a personality test to add quantitative data to the interview process. Tracking metrics that are common to our most successful hires helps me to make better decisions over time and lowers our risk! - Brett Comeaux, LG Fairmont
Any company that makes a sizable investment in big data analytics clearly feels like it's of strategic importance to the company—but how important? Is it reasonable to assume that analytic efforts can be delegated to the chief information officer, chief analytic officer, or some other high-ranking officer in the company, or is this a job that's only suited for the top seat: the Chief Executive Officer (CEO)?
When big data first hit the scene, it seemed natural to give the CIO a few dollars so he or she could play with it for a bit. With all the hype and buzz about big data, it was hard not to imagine there might be something there, but most of the world struggled with what big data was and what it meant for them. So, the logical thing to do was pass it over to the CIO—if anyone would know what big data was all about, that's the person, right?
But that was then, and we're much smarter today. Lessons learned over the years from the companies that have been successful with big data have taught us that a big investment in big data and analytics means it's part of the corporate strategy, and the only person accountable for that is the CEO.
Remember where big data fits in the corporate strategy
I've written about getting the right return on investment on big data and how important it is to tie big data investments into the corporate strategy. If this isn't done properly, you run the great risk of squandering valuable time, money, and resources for little or no benefit. This is the most common mistake of the early big data pioneers.
In 1994, Amazon set out to change the world. Its initial public offering three years later valued the company at just $461 million. Today it’s worth $360 billion, a gain of roughly 50,375%.
Is it possible, though, that the company is just getting started? That's the surprise prognosis of Scott Galloway, a New York University business professor, and founder of the legendary marketing firm L2. He believes the Seattle retailer is on the verge of explosive growth as it transforms its fast-growing Prime subscription service into the perfect, frictionless omni-channel retail experience. As investors realize the potential scale, Galloway posits Amazon shareholders will be rewarded with the first $1 trillion market valuation.
“They might be able to take Prime households from $1,300 per year to $10,000 by basically saying we’re going to fulfill everything you need,”said Galloway in a recent YouTube interview with L2 co-founder Maureen Mullen.
The idea is Amazon would use artificial intelligence, purchase history, its reputation for value and web of warehouses within 20 miles of 45% of the U.S. population to create a zero-click retail experience. In effect, Amazon would just start sending stuff to its more than 63 million Prime customers without being explicitly asked. It will use Big Data to know what you want before you do.
And that lends itself to a bunch of very lucrative opportunities with private label branding. When your customer trusts your brand, you get to control the entire value chain. Just ask Apple, a company that coincidentally could be irreparably harmed by this development.
After a half decade of investment, and periods of trial and error, a near majority of business executives now report successful results from their Big Data investments. According to NewVantage Partners 5th annual Big Data Executive Survey, 48.4% of corporate executives that were surveyed indicated that their firm has achieved “measurable results” from their Big Data investments. Further, a remarkable 80.7% of executives now characterize their Big Data efforts to have been successful. This marks a sharp contrast with previous years, where investment levels had grown, but results had yet to be realized for most corporations.
NewVantage Partners survey, which was released on January 9th, reflects the viewpoints of corporate business leaders (CEO/President), data leaders (Chief Data Officer), technology leaders (Chief Information Officer), Analytics leaders (Chief Analytics Officer), and marketing leaders (Chief Marketing Officer). 50 major corporations were represented, including American Express, Bank of America, Bloomberg, Capital One, Charles Schwab, Disney, Ford Motors, General Electric (GE), MetLife, United Parcel Service (UPS), and USAA, among other leaders in financial services, the life sciences, media, and selected industry groups.
Some call it a passing fad. Others deem it critical to their organisation’s evolution. The role of the chief digital officer (CDO) is a major topic of discussion about leadership at organisations around the world and across industries, and people tend to fall into two general camps. One expects the role to proliferate and rise in prominence. Gartner, for example, predicts that 90% of large companies will have a CDO by 2019. The other side, conveyed in Information Age, anticipates the role will be short-lived as digital simply becomes everyone’s job and marketing leaders take greater ownership of the overall customer experience.
At the core, the CDO is a change agent — a C-level executive charged with helping the organisation transform in order to not merely keep pace but to maximise the digital opportunity. [We talked to some award-winning CDOs on this very topic.]
But what happens when that change is complete?...
As the tide of disruption and digitization sweeps into every sector, the flow of digital know-how into Executive Management Teams - CDOs, CIOs and CTOs - has stepped up. This report maps the digital competencies of the Boards of the 110 largest stock-listed companies in 11 countries in Europe and the US, and the backgrounds of 1280 Non-Executive Directors.
Digitization on Boards is Still in its Infancy.
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