HR Professionals Struggle to Leverage Technology for Actionable People Analytics

A recent study conducted by HR.com's HR Research Institute has uncovered significant challenges faced by HR professionals in leveraging technology for actionable insights from people analytics. The research, titled HR.com's State of Today's HR Tech Stack and Integrations 2024, highlights the growing importance of employee experience in HR technology features while shedding light on the pain points and areas for improvement in current HR tech stacks.

According to the study, 54% of HR professionals consider employee experience a top priority when it comes to HR technology features. However, the biggest struggle for HR departments lies in their ability to utilize technology effectively to gain useful people analytics. While most respondents report the capability to extract accurate data, the challenge remains in translating this information into actionable insights that can drive strategic decision-making.

The research also reveals that ensuring smooth integration among various HR technology tools is another significant pain point for professionals in the field. Strong integration is identified as a defining feature of leading HR tech stacks, yet 30% of respondents indicate that a lack of tech integration is hindering their ability to achieve important HR goals.

Debbie McGrath, Chief Instigator and CEO of HR.com, emphasized the importance of not just investing in the latest technology but making it work seamlessly to meet business objectives and enhance the employee experience. She stated, "Companies today are investing heavily in HR technology, but the real challenge lies in integrating these tools and making them user-friendly."

The findings of this study have significant implications for HR professionals, the HR industry, and business leadership. As organizations continue to invest in HR technology, the ability to effectively integrate these tools and extract meaningful insights from data will become increasingly crucial for strategic decision-making and maintaining a competitive edge in talent management.

For HR professionals, this research underscores the need to develop skills in data analysis and interpretation, as well as the importance of advocating for integrated technology solutions within their organizations. The HR industry may need to focus on developing more user-friendly and easily integrated solutions to address these challenges. Business leaders should be aware of the potential impact of these technology integration issues on their organization's ability to make data-driven decisions regarding their workforce.

The full report, available for download, provides actionable strategies and key takeaways to help organizations understand and address current trends in the application and integration of HR technology portfolios. Additionally, a recording of the research presentation, titled How Does Your HR Tech Stack Measure Up in 2024?, is available for on-demand viewing, offering further insights into the study's findings.

As the HR landscape continues to evolve with technological advancements, addressing these challenges in leveraging HR technology for actionable insights and seamless integration will be crucial for organizations aiming to optimize their human capital management strategies and drive business success.