Making better staffing decisions with data analytics
Data analytics can help companies choose between Staff Augmentation and Managed Services when coming up with the right HR model.
Many companies have discovered that it is very difficult to find a pool of talented employees. Fortunately, new advances in big data technology are helping companies get better qualified workers.
Data analytics technology is very important in assessing the performance of staffing services. Companies can use data analytics to improve their hiring processes.
What Are the Benefits of Data Analytics in Staffing?
The Forbes Research Council showed that there are a lot of great benefits of leveraging big data in human resources. These benefits include the following:
- Improving workforce planning. Big data has become more important as employers move towards a more heterogenous workplace. They can use data analytics to assess the performance of employees in different situations, including traditional workers in-house, remote workers and independent contractors. It also helps with creating a solid hiring model. It has been shown that big data can minimize employment risks during the hiring process.
- Reducing staffing costs. Employers can use HR software that relies extensively on data analytics technology to minimize the need for unnecessary HR professionals. This reduces costs considerably.
- Identifying overlooked talent. There are a lot of great employees that don’t get noticed in the labor market. Some people traditionally perform certain services, but are better at some than others. Data analytics helps companies match the right employees or applicants with the right responsibilities.
- Anticipating hiring needs. There are a lot of challenges that employees face when they try to forecast future staffing needs. Big data and predictive analytics helps companies project future employment needs and allocate sufficient capital to their human resources.
- Improving employee retention. Big data helps companies assess employee satisfaction by analyzing a variety of key metrics. This helps organizations take a data-driven approach to improving employee retention.
- Choosing the right staffing model. There are different staffing models available to companies. Data analytics helps them assess the effectiveness of different staffing models in various industries and companies with similar business models. A data-driven approach to choosing a staffing model can be very helpful.
The benefits of big data in staffing and HR are very clear.
Using Data Analytics to Choose the Right Talent Acquisition Model
Human resources are a driving force in digital transformation that makes various IT companies seek the services of people with great expertise in their various fields. Data analytics is helping with this change.
In our world today, the digital transformation sphere is rolling on a fast track and IT companies seek to be part of these developments by taking advantage of the latest advances in big data technology.
It is because of this digital transformation that different companies seek to develop digital products, applications, web pages, software and all that have you. They have found that data analytics is making it easier to achieve these objectives.
However, some companies are facing the downside of not having an effective IT department that can take on digital advancements or utilize the latest data analytics technology.
This usually is due to the fact that many organizations focus mainly on the business model of a traditional industry that thinks it doesn’t have room for an IT team. If your company falls under that category, don’t be dismayed. There is a perfect solution for you to keep your company up-to-date with the digital world.
So, what’s the way out? External hiring modes that use the latest data analytics technology.
What are these hiring modes? They are of two types and from any option, you can select which one is best for your
You can choose from Staff augmentation and Managed services modules.
These modes are commonly employed by IT companies who seek to develop digital products, applications, web pages, software, as the case may be.
“What method would be suitable for my company?”, you may ask. Both methods are highly effective in the manner in which you desire to use them.
However, I’m in no place to decide which method is best for you, so in this article, I’ll merely create an unbiased comparison between Staff Augmentation and Managed Services. We will start with an overview of the two options and then discuss the importance of using data analytics with it.
Staff Augmentation VS Managed Services in Focus
In this section, you find an in-depth view of the Staff Augmentation VS Managed Service Provider, and how they can be utilized to help your IT company in their ways.
- Foremost, for a comparison between the two IT sourcing models, I’d say that managed services are devoted to delivering an outcome while Staff Augmented is majorly focused on giving inputs to your company.
- When you contact a company that engages with managed services, it is the service provider that takes total control of all or part of your IT service component.
On the other hand, when out-tasking, the service provider commits to investing specified resources at a cost.
- In the case of risk-taking, when engaging in managed services, it is the Managed Service Provider (MSP) that takes on all the risks involved.
On the other side of the spectrum, Staff augmented services require the clients to take on all the delivery risks.
- In terms of the period it would take to engage augmented services, the team hired focuses on the job without any long term engagement.
While with managed services, the Managed Service Provider trains your available staff to increase their expertise. This may take a prolonged period.
- Also, in the aspect of pricing. With managed services, the pricing module is bound to service levels and outcomes. While with augmented services, the pricing is linked to the factors of availability and period of work.
Data Analytics Can Help You Select Between the Two
Data analytics helps make much better staffing decisions. Now that you understand the two staffing models that you can choose from, you can start using data analytics to choose the one that is ideal for your company. You can look at the performance of both Staff Augmentation and Managed Services for different companies by using publicly available data. This can help you choose a model that is best for your respective company.
Author: Farnaz Erfan
Source: Smart Data Collective