Workforce analytics tools: what to buy, and the stage before you need any

Workforce analytics tools come in three tiers and most teams buy the second or third when they are at the first. That is not a criticism of the products; it is that the first tier is unglamorous and consists mostly of putting four numbers in one place. This page describes the tiers, the test for which one you are at, and what the first one actually requires.

Tier one: the four numbers, in one place

Headcount by role, leavers, starts, and plan against actual. No product required, and most teams do not have them together. The work is agreeing definitions, which is where the real disagreements are: a leaver, a start and a role each mean two things in most companies until somebody writes them down.

Tier two: the same numbers, automatically

A product connected to your HR system, keeping the four numbers current without anybody exporting a spreadsheet. This is a genuine improvement and it is worth buying once tier one is agreed, because automating a definition nobody settled just distributes the disagreement faster.

Tier three: modelling and prediction

Attrition risk scores, scenario engines, benchmarking against a vendor's panel. Useful at scale, and on a few hundred people the sample will not support the confidence the interface projects. Buying it early produces a number people act on and cannot defend.

The test for which tier you are at

Ask three people what your attrition rate was last year. If you get three answers, you are at tier one and no product fixes that, because the disagreement is about the definition rather than the data.

Questions people ask about workforce analytics tools

What is the cheapest useful thing?

Agreeing the definitions and putting the four numbers beside the plan. That is a morning and it settles most of the arguments a dashboard would otherwise host.

Do these tools produce the plan?

Some do. Most report on it, which is a different job and is why teams often end up with both.

Does Orgplanly do analytics?

It keeps the plan, its assumptions and its versions, which is the half the reporting tools cannot supply. It does not connect to your HR system today.

Sources

Related answers

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