Why It Matters

Businesses with a strong people strategy have 3.5 times higher revenue growth and 2.1 times higher profit margins than those without.

Attracting the right talent can increase productivity by up to 67%. Hiring the wrong talent can be costly, with the average cost of a bad hire being up to 30% of the employee’s first-year earnings.

Only 34% of US employees feel engaged at work, highlighting the importance of creating a positive work culture and investing in employee engagement initiatives focused on talent retention. For example, engaged employees are 21% more productive than their disengaged counterparts. The cost of losing an employee can range from 16% to 213% of their salary, depending on their position. This can significantly impact your business’s margins and cash flow.

By organizing employee data, businesses can make informed decisions and implement strategies that benefit both the company and its employees. Access to HR technology enables HR analytics, and in turn, enhances organizational performance. The use of HR technology and analytics can help organizations make better data-driven decisions. For example, companies that effectively manage organizational design are 2.2 times more likely to outperform their peers. Effective organizational design can help companies align their structure, processes, and people with their strategic goals, leading to improved performance and greater agility.

people waiting for job interview

Curious to see how well you are doing in your current people practices?