Exploring the Factors of HR Analytics Competency and its Impact on Business Outcomes


  • Gayathri R
  • Revathy Shivashankaran


Research Background: In the past few decades the Human Resource Management (HRM) practices have tremendously evolved and with technological development came the innovative data-driven approach largely known as HR analytics. HR analytics applies various statistical tools on the collected data to create interventions, propose strategies and assess their effectiveness in the organizational performance of various departments such as marketing, finance, etc. Though the HR analytics is not less known but has been remained relatively less explored. This article attempts to explore the factors of HR analytics competency and its impact on business outcome. Methodology: The hypothesis was framed to test the influence of data-based HRA competencies in different processes in the organization and the business outcome. A well-structured questionnaire was used to collect the data from HR analytics professionals (n=180) working in the Bangalore city, India. The mean score, Pearson correlation and MANOVA analysis were performed. Major findings and conclusion: The study revealed a strong, positive and significant correlation between the sub factors of HR capability, motivation and opportunity. Our study suggests that HR capability and level of opportunities can affect the HR analytics competency outcome like process performance and strategies. Further, the results support the positive impact of HR analytics competencies on business outcome involving Return on Investments (ROI) and decision-making process. Our study emphasizes on the implementation of effective HR analytics.