HR analytics: what’s holding users back?

• Published in: Global knowledge, memory and communication Vol. 73; no. 3; pp. 432 - 452
• Main Authors: Arora, Meenal, Prakash, Anshika, Mittal, Amit, Singh, Swati
• Format: Journal Article
• Language: English
• Published: Bingley Emerald Publishing Limited 13.02.2024; Emerald Group Publishing Limited
• Subjects: Automation; Big Data; Competitive advantage; Cost control; Decision making; Employee involvement; Human capital; Human resource management; Information technology; Organizational change; Technology adoption; Data availability; Structural equation modeling; HR analytics; Hierarchical regression analysis
• ISSN: 2514-9342; 2514-9350; 2514-9342
• DOI: 10.1108/GKMC-03-2022-0067

Purpose HR 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/approach A 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. Findings The 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 implications This 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/value This 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.