Are you delivering value through your people analytics projects?
No organisation can build a sustainable, successful people analytics function without clear understanding of what it should and shouldn’t do.
Strong governance underpins all analytics and ensures the right people provide direction for work, that the structure and stewardship for managing data and projects are implemented and applicable, and that risks are managed appropriately.
However, this is no easy task. Insight222 conducted a survey across 57 of the world leading organisations which highlighted the extent of the challenge:
81% of companies reported that their workforce analytics projects were sometimes or often jeopardised by data ethics/privacy concerns.
Data ethics uncertainty partly explains why so many companies struggle to show tangible value from their data analytics work. It continues to be of the key reasons why we see companies restructuring their analytics functions or taking a step back from their initial commitment to people analytics.
How do you add value through your people analytics projects? We believe that every company needs to have clear guidance and alignment around the employee data it should collect; especially regarding how it should be collected, analysed, stored, used, and distributed.
Typically, such alignment takes the shape of a data ethics charter.
What is a data ethics charter?
A data ethics charter is…
However, our research uncovered that almost half of companies we surveyed do not have a data ethics charter in place.
Our experience shows world-class analytics functions demonstrate the following criteria over the seven areas:
Ethics - They have a well-defined and communicated Ethics Code of Conduct for data and analytics, with an integrated data model for people analytics
Prioritisation - They have well organised and defined criteria for the selection of advanced people analytics projects
Sponsorship - They secure the sponsorship of Senior Business Executives (GM, EVP level) for significant people analytics projects
CHRO Investment - They have a Chief Human Resources Officer actively involved in people analytics projects and who invests in the function, even if the total cost of HR is declining
People Analytics Leader - They have outstanding People Analytics Leaders who “get things done”
ROI/Value - They focus the function on delivering financial and employee value
Upskilling HR - They create the appropriate level of data and analytics skills across HR, especially HRBPs
People analytics continues to remain a prominent feature in LinkedIn’s Global Talent Trends report, ranking as one of the top three trends for the past 3 years in a row, and is set to continue growing in importance.
Prioritising data ethics will ensure you’re building a solid foundation to ensure your people analytics projects have lasting business impact.
In XXXX we bought together 15 of the world’s leading organisations in a co-creation effort to craft a set of principles and led to a universal data ethics charter.