Most of the data that companies collect is filtered through databases and used to improve external, customer-facing initiatives. However, companies can also collect data that's useful in the human resources (HR) department. HR data systems are growing in popularity, and the data that companies are collecting is being used to help find qualified candidates for open positions, as well as to identify company needs and help current employees plan smart career paths. Ultimately, by putting an emphasis on data quality, you can improve your company's overall corporate HR initiatives.
Data on applicants can come from multiple sources. For example, LinkedIn recently began a project that gathers information on the entire global workforce. The information gathered is used to categorize everyone's skills and every company's workforce needs. Jeff Weiner, CEO of LinkedIn, stated that once the data is collected and categorized, the company will create the first economic graph, which will enable employers to fine-tune searches to find potential employees with specific skills.
Companies transitioning to paper-free human resources departments are also implementing the use of HR data systems. Human resource information systems are designed to collect all the information you need to help you streamline the entire hiring process. When job applicants submit applications online, your system collects specific data that enables you to search your database for qualified applicants. When you hire new employees, their information can be imported to your employee database, along with offer letters and new employee paperwork that you've sent.
In addition to helping with the hiring process, current employees can also reap the benefits of HR data systems. By collecting information on all your employees, including the skills they possess, their promotion history, and their performance reports, you can help them create a career path that suits their needs. For example, if someone is being promoted very quickly, that person is probably determined to work his or her way to the top, so your HR data system could analyze the specific employee's data and recommend available jobs that are a step up.
HR data systems can also identify areas where your company is lacking. You may have an entire staff full of talented employees, but these employees aren't always being used in the most appropriate roles. By collecting skills data on your employees, you can analyze areas to which your company is devoting too much or too little time. You can also examine the productivity levels of each department to identify skills gaps and determine where more employees are needed.
Companies utilizing human resource information systems are able to collect all the data they need and streamline their HR department's day-to-day operations. HR data systems have many benefits, and by implementing a quality-control process alongside the software, you'll have high-quality data that can be used to improve any area of the company.
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