As we draw closer and closer to 2020, business leaders in every sector are looking at how they can make an even greater impact in the coming year.
It’s the nature of great leaders to push the envelope and develop bold new solutions to our problems. Where others may settle for the status quo or accept issues as “just part of business,” the most effective leaders have always explored how we can break past these challenges.
People analytics are a perfect example of this phenomenon. Businesses have always struggled with hiring the right people and unlocking our staff’s true potential. However, people analytics now provide leaders with a tried-and-tested method of selecting the right candidates and inspiring them to perform.
2020 will be a banner year for people analytics as more and more business leaders appreciate the value these tools offer their companies. Here are three reasons why business leaders can’t sleep on people analytics any longer.
Innovation Requires Risk-Takers
Digital disruption is leaving no industry untouched. Retail, healthcare, manufacturing, finance…you name it, technology is leading to big changes. Innovation is now more important than ever, and businesses need to rapidly adapt to stay competitive in an evolving marketplace. While many business leaders are quick to name innovation as a top priority in their strategy, they always miss one critical component…their people strategy.
In order to successfully innovate, businesses need to ensure they have the right people in the right positions. More specifically, they need individuals who are comfortable taking risks and making bold decisions. Without these people on our team and in key positions, we are destined to fail on innovation. People analytics allow us to identify who is risk-averse and who is risk-prone in a matter of minutes, greatly increasing our chance of success here.
Of course, businesses need to align their people strategy with their business strategy regardless of whether their goals include innovation. This is just one example of why people analytics will be so crucial in the near future.
People Analytics are Proven Solution for Retaining Top Talent
Attracting and retaining top talent was consistently reported as a #1 concern for business leaders in 2019. Given that US employers still have 7 million job openings, we expect this trend to continue well into 2020. Retention is the first step in any winning talent strategy, and people analytics are highly effective for this process.
With people analytics, business leaders can rapidly identify what drives their team members and what will help them thrive in the workplace. Leading analytics platforms like those offered by the Predictive Index can provide leaders with customized reports on any given employee, complete with suggestions for supporting them in the workplace.
In a nutshell, people analytics take the guesswork out of leading team members, promoting their growth and keeping them happy in the workplace.
It’s Now Unacceptable to Make Business Decisions Without Data
We now use data to guide virtually every business decision. Our ability to track and analyze data has exploded over the past decade, and savvy business leaders are milking that for everything that it is worth. In 2019 and especially in 2020, there’s no reason to forego any relevant data in our decision-making process.
So why aren’t more business leaders using data to guide hiring and performance management? We can now use scientifically validated analytics to make better hires and drive stronger performance with our teams. We have access to tried-and-tested people analytics that improve our success with these processes. In a nutshell, business leaders need to ask themselves why they would neglect to use these tools when data provides so much value to other decisions and tasks.
Businesses Need People Analytics More Than Ever in 2020
It’s increasingly clear that disruption will not only continue but accelerate in 2020. As such, it has never been more important for businesses to have a rock-solid talent strategy to support their overarching business objectives.
It’s only a matter of time until people analytics are a staple for leading businesses. The question for business leaders is whether they will be an early adopter or resign themselves to playing catch-up.
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