Sven Löffler
5. June 2015 0

Big Data in Human Resource Management

Big Data analysis promises a better basis for decision-making in HR. A recent study of the network LinkedIn and Bitkom expects that Big Data will soon have a decisive influence on human resources. Large amounts of unstructured data are already evaluated, especially in the areas of internal communication and employer branding. About 36 percent of all businesses are already familiar with this process and in 9% it is being used successfully, with an upward trend.

Big Data has real potential in fields such as workforce management, the foreign and domestic employee recruitment or personnel controlling. HR managers expect improved decision basis of up to 75 percent. Currently not all available data, including corporate external information, is used in the analysis. Especially large companies pursue active usage.

The “Big Ones” are Pioneers

Approximately a quarter of large companies with more than 500 employees are already using Big Data applications successfully. In addition, approximately 50 percent of HR professionals do know the relevant procedures well, according to the study mentioned earlier. In companies with more than 2,000 professionals over 60 percent have this knowledge.

Especially in Social Recruiting when talented young professionals are addressed via social networks, Big Data analysis has already led to improvements. Hence, it is no surprise that the focus of HR departments is on employer branding. Not only are good employees found by evaluating the data, but there is also additional knowledge about personnel movements and information about the company’s professionals gained. For the analysis of such external data, there is a high, untapped potential that companies have been developing gradually more for themselves, according to Axel Pols from Bitkom.
According to LinkedIn, the vision is to create transparency in labor markets, so that information about supply and demand of labor are accessible to all HR fields.

Use of internal data

78 percent of the companies collect anonymised data internally relating to HR issues. For example, information about rewards or leadership training is collected, to develop strategies. Was the wage increase a motivation for employees, along with having an impact on profitability? Did management training lead to greater satisfaction? With Big Data, these questions and many more can be answered more accurate.

Big data greetings
Sven Löffler

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