People Analytics Trends for 2024: Part 2

In Part 1, we discussed the challenges Human Resources Outsourcers have in getting small and medium-sized businesses to adapt analytics that Professional Employer Organizations (PEOs) can provide. In Part 2, we will explore some use cases for people analytics. 

The key to PEO success in 2024 is being able to provide HR managers with reporting and analytic tools that facilitate decision-making, collaboration and innovation.  

What they’ll find is data-driven analytic tools make it easier than ever to do just that by allowing HR managers and other users to make faster, more accurate decisions.

I Can See Clearly Now With Data Visualization 

For years, PEOs and their SMB clients have collected terabytes upon terabytes of data. This represents an ocean of opportunity. But until recently, decentralized, disparate data has been the norm. 

SMBs haven’t always been able to enjoy the same data-based decision-making capabilities as larger companies, but it doesn’t have to stay that way. With your help, of course. 

The first obstacle PrismHR had to overcome was centralizing the data. By harnessing the power of centralized data, PEOs can provide modern, customized tools to help them meet their clients’ needs. 

Data is often thought of as numbers and information, but, on their own, they don’t necessarily tell the whole story. Data Visualization, for instance, would allow your clients to see beyond the numbers. Providing a clearer picture helps them make sense of even the most complex data. Think of this as a “sixth sense” for enhanced decision-making. 

New Data Visualization tools take reporting and analytics to the next level. Customizable tables, charts and datasets bring trends to the surface related to Time & Attendance, Benefits Administration, Payroll, Talent Management and other HR-related topics. Providing SMBs the ability to create customized reports empowers them to make smarter business decisions. 

It’s also important to explain to clients that Data Visualization can also help bring HR-related problems to the surface. A common goal with HR data, for example, is to improve talent acquisition and retention. Advanced reporting and analytics allow companies to dig down further in ways that were previously impossible for smaller businesses and even give them the ability to get prescriptive solutions. This is something larger organizations have been able to tap into for some time, but SMBs typically were not afforded the same luxuries.  

In the constant struggle to attract and retain talent, helping your clients level the playing field is essential. 

Performance Management Systems Put Employees First 

You probably know that one very effective way that SMBs can attract and retain talent is by using Performance Management software to improve workplace culture and employee engagement. By offering this type of solution, SMBs don’t have to wait on an annual performance review. The key message is that SMBs can compile employee data throughout the year, encouraging two-way communication and ongoing performance conversations. 

PrismHR’s Performance Management software helps set your clients’ employees up for success and helps improve morale by ensuring they receive regular feedback. These systems can help determine potential growth areas in certain competencies and prescribe training opportunities. They also help eliminate recency bias when determining raises or promotional opportunities.  

Better HR Technology Integration 

For people analytics to work most effectively and efficiently, HR technologies must be able to communicate with each other. As your SMB clients grow and look to you for HR solutions, you can’t possibly continue to support everything they need. But the PrismHR Marketplace is making the future of work easier as different software systems can share information through integration capabilities. 

The PrismHR Application Programming Interface (API) enables integration between your client’s PrismHR instance and their preferred HR tools, such as Time & Attendance, Payroll or Benefits Administration. Explaining to your potential clients that the API is like a middleman acting behind the scenes can help them understand how different HCM tools talk to each other. 

For your clients’ HR teams or more likely a team of one, that means less time inputting data or reconciling information across different platforms and more time focusing on attracting, developing and retaining talent. 

Think of employee onboarding, for example. An API can trigger different PEO onboarding solutions that will complete a series of predetermined tasks when a new hire is added. It also gives SMBs access to additional benefits, such as cyberinsurance and pet insurance among many other offerings, which helps them attract and retain talent. 

HR technology integration allows SMBs to pull data from multiple sources, ultimately helping them gain more valuable and relevant insight from their HR data. For example, pulling data from a Performance Management system, recruiting data from an Applicant Tracking System (ATS) and compensation data from an HR Information System (HRIS) can help identify trends and help your SMB clients address new hire strategies and future goals. It’s also important to note that custom dashboards and reports help ensure a holistic view of this information is easily accessible. As a PEO, you can also use this information to alert clients about trends you are seeing within the data. 

Connecting the Dots 

User experience is also key to making people analytics work. Millennial and Gen Z workers grew up with advanced technology and have high expectations, so letting your clients and potential clients know about the sleek, intuitive user interface is a key selling point. They are looking for easy ways to digest information and generate insight. To compete for talent, SMBs will need to provide a platform that puts powerful capabilities at the user’s fingertips. 

In 2023, PrismHR made a significant investment to streamline and modernize our Unified Employee Experience (UEX) for PrismHR, and boosted performance speeds significantly as well. More than just a cleaner, more modern look, it features faster navigation with more responsive views and guided workflows. It’s also scalable, so PEOs can compete for new business while retaining current clients. This same technology will be integrated into PrismHCM as well. 

Comprehensive reports help PEOs attract new SMB clients, too.  

The most exciting trend is that the technology is barely scratching the surface.   

When you understand what’s possible with Data Visualization and people analytics, the insights your clients can generate will help you take their in-house HR needs to a whole ’nother level. It doesn’t have to be done all at once. They can start with small amounts of data and insights and go from there. This will lead to more insights and better decision-making.