How Predictive Analytics is Fast Emerging as a Top Trend in the Staffing Industry
There is no denying the fact that the talent and staffing industry forms the bedrock of all major economies in the world, and the US economy is no different. In fact, during the course of a year, America’s staffing companies will typically hire about 15 million temporary and contract employees, says the American Staffing Association.
I have seen the industry consistently evolving over a period of time and a large part of the credit for its success has to go to the fact that it has embraced new and emerging technologies to improve its internal practices and desired outcomes. One such smart use of available technology has been in the field of Predictive Analytics, and how staffing companies are now using it to predict trends and behavior patterns.
Role of Predictive Analytics in Staffing and Talent Management
- Assessing and Improving Performance — It has been established that goal orientation plays a key role in evaluating the performance of an employee, according to research published by the ILR School at Cornell University. The three broad levels of classifications for employee goal orientation were found to be:
1.Learning orientation — Here employees are self-driven and look for ways to improve their own skills without any external pressure.
2. Performance-prove — A situation in which an employee displays his/her accumulated skills.
3. Performance-leave — Situations in which employees react to avoid a consequence.
- In Helping Reduce Overheads — Ever wondered what your cost-per-placement is or the average time it takes for you to fill a certain position? Analytics can empower you with the ability to study historical data to derive quick and invaluable insights out of it. Powered by these insights, a staffing company can end up reducing their overheads because it is important to understand the cost of a bad hire and find ways to avoid it, says the team at Talent Plus Staffing.
- Identifying your Best Interviewer — A lot of times, we fail to notice this all-important aspect of the hiring process. Not every recruiter or interviewer would score the same when it comes to identifying top talent and hiring them. This is especially true for large enterprises that are hiring on a regular basis and dealing with an avalanche of résumés. With the help of available data, a company can easily narrow down their best interviewers, with a consistent success rate of delivering top talent.
- Talent Planning — It helps to know the best locations from where you can get a prospect with a specific skill-set. I am sure this will help someone in the staffing business perform better allocation of the staff, and accordingly plan for specific campaigns, and even ramp-up hiring activity in that region.
The fact that we are living in a competitive world makes it important for players in the talent management and staffing business to incorporate the best of what technology has to offer. The advent of big data and machine learning has now made it possible for staffing and talent management companies to use predictive analytics to their advantage and positively impact the bottom line for businesses they hire for.