HR analytics: what’s holding users back?

Abstract

PurposeHR analytics is a process for systematic computational analysis of data or statistics. It discovers, interprets and communicates significant patterns in data to enable evidence-based HR research and uses analytical insights to help organizations achieve their strategic objectives. However, its adoption and utilization among HR professionals remain a subject of concern. This study aims to determine the reasons that facilitate or inhibit the acceptance of HR analytics among HR professionals in the banking, financial services and insurance (BFSI) sector.Design/methodology/approachA sample of 387 HR professionals in BFSI firms across India was collected through non-probabilistic purposive sampling. Structural equation modeling was applied to analyze the association between predetermined variables. In addition, the predictive relevance of “Data Availability” was analyzed using hierarchical regression.FindingsThe results revealed that data availability, hedonic motivation and performance expectancy positively influenced behavioral intention (BI). In contrast, effort expectancy, social influence and habit had an insignificant effect on BI. Also, facilitating conditions (FCs), habit, BI achieved a variance of 60% in HR analytics use. The use behavior of HR analytics was significantly influenced by FCs and BIs.Practical implicationsThis study focuses on insights into the elements that influence HR analytics adoption, revealing additional light on success drivers and grey areas for failed adoption.Originality/valueThis research adds to the body of knowledge by identifying factors that hinder the adoption of HR analytics in Indian organizations and signifies the relevance of easy accessibility and availability of data for technology adoption.