People analytics, a data-driven approach to managing people at work, is gaining traction in the business world. By using data and advanced analysis, companies can make better decisions about hiring, promotions, and team formation. People analytics can help identify the characteristics of high-performing employees, predict which employees are likely to leave, and even forecast which candidates are likely to be successful in a particular role.

Despite the potential benefits, adoption of people analytics has been slow. Many companies lack the necessary skills and technology to implement it effectively. There’s also a fear of data privacy issues, and a concern that people analytics could dehumanise the workplace.

Nevertheless, the trend is clear. Companies that embrace people analytics are seeing significant improvements in their performance. Google, for example, has used people analytics to improve its hiring process, reduce employee turnover, and increase productivity.

The future of people analytics looks promising. As technology improves and companies become more comfortable with data, people analytics is likely to become a standard part of business operations. It’s not just about numbers; it’s about using data to understand people and make better decisions.

Go to source article: http://www.mckinsey.com/insights/organization/power_to_the_new_people_analytics