How to Use Data Science in the HR Industry


Data science and machine learning become new trends as very promising methods of understanding and analyzing companies’ structures and their workforce. Due to useful analytics results regarding how organizations find, hire, maintain, and retain employees, HR data analysis plays a significant role in operational activities of any business. How can data science help HR departments work more efficiently?

The HR sector is entering the era of scientific analysis based on smart technologies, unlike the past times when it relied mostly on simple surveys and psychologists reviews. Instead of conducting endless surveys or communicating with employees in order to estimate their loyalty or job satisfaction, new big data-driven techniques can bring valuable benchmarks and provide priceless insights using existing data.

Data scientists can estimate and prove the relevance, importance, and trustworthiness of corporate data within existing workforce. In addition, data science can help HR specialists wisely structure their analytics since some age-old metrics can be irrelevant to, for example, employee readiness to remain in a company in a particular term or their long-term satisfaction. Qualified data scientists can monitor and structure collected data, analyze the right data sets, and then provide analytics results by generating colorful graphics and charts that explain data value and meaning.


Data Science in HR: Application


Hiring a specialist may seem an easy task to those who’ve never been involved in all stages of the talent acquisition from looking for a convenient candidate to signing a contract. In fact, this issue is a time-consuming and significant expense that requires a lot of company’s resources.

Regardless HR managers are those people who are responsible for the entire hiring process; hiring managers develop plans that would help the whole department contact numerous convenient candidates and ensure a friendly and perspective environment that would encourage these candidates to become a part of the team for a long time.

Getting Insights

Data science can be used for collecting, processing, and sharing information about candidate’s skills and experience. This data can be collected from numerous sources, such as social media networks, various forums, and online communities. Data-driven advanced algorithms can accurately analyze aggregated information to transform it into valuable insights regarding professionalism and preferences of a specific candidate.


Estimating Future Investments

Performance analysis plays a significant role in HR management as well as most other corporate directions. With data science, HR-related specialists can obtain various useful estimates, such as the amount of necessary investment in finding currently and potentially needed specialists, investments in training both interns and new employees, and cost per hire. Data science delivers effective methods for optimization of forecasting, HR management processes, and reporting.


Workforce Analytics and Planning

With accurate analysis of corporate workforce, data science allows HR management representatives to better understand the main needs of their company and effectively monitor key metrics. Due to precisely understanding which candidate’s qualities are the most valuable to company’s objectives, HR specialists can faster find and hire convenient professionals and directly impact the overall success of a company.


Talent Analytics

According to the 2017 Global Human Capital Trends Report published by Deloitte, 90% of HR specialists want to reform their whole organizational model. This includes leadership, various management processes, enhancing opportunities for building good carriers for candidates, and jobs.

This is where data science can come in handy. It helps to wisely structure convenient talents, improve existing training programs, evaluate turnover, and perfect recruitment strategies to ensure a high level of employee retention. With removing outdated methods of analyzing HR metrics, data science can significantly transform the entire HR industry and let companies access to those insights they would never obtain with traditional surveys or interviews with candidates.


How to Effectively Use Data Science in HR

A study conducted by MIT and IBM showed that those companies that implemented the predictive analysis in their HR departments achieved positive results within their business. These organizations had the following achievements:

  • 8% increase in their sales;
  • 24% increase in the operating income;
  • 58% increase in the number of sales per employee.

Therefore, deploying data science for HR decision management seems to be a highly effective measure for any company that leverages a large workforce. Despite the fact that implementation of HR analytics may have its own issues, such as the need to invest in additional tools specialists, this decision will obviously be a cost-effective measure.


Questions to Ask

Numerous HR managers are hesitant to grasp new opportunities and techniques, particularly those identified with information — imagine a scenario in which they don’t create the expected return for money invested and don’t accomplish the tasks set. These worries can be eliminated with getting clear on the goals. What would you like to discover? Why is it critical? What will you utilize it for? For instance, do many employees leave the firm after a specific timeframe? Did some psychological challenges lead to failing any task? Can you list those challenges and possible countermeasures as well?

Thus, identify the information to aggregate and find the effective ways of finding necessary data, understanding it, and utilizing it wisely. Data scientists can maintain this procedure and offer assistance in choosing the right solutions.


Empower Your Efforts

In addition, consider utilizing information from other departments. For instance, financial information can enable HR managers to identify exact company’s goals, its metrics, and any other questions you might be interested in. Furthermore, you should identify what information you will need to track later to set up benchmarks you will be able to compare with competitors.

Keep in mind that data science can just advise measures rather than deciding instead of you. People are supposed to evaluate proposals and choose whether they fit corporate objectives.

Finding out how to interpret and adequately utilize data analytics as an effective technique can be a very useful asset for any company. When linked to HR’s comprehension of the company’s goals and its employees, HR analytics will be an effective tool for improving a corporate business strategy.




Data science is a fundamental method that allows to quantitatively monitor the expenses, the result of candidate engagement projects and to evaluate the cost-effectiveness of different HR activities. This technology allows organizations deeply analyze their HR activities and make the right decisions. Furthermore, Unicsoft, can gladly help your business develop and implement HR analytics solutions. Contact us at and get your talent acquisition to the next level!

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