How do human resources analytics create value for organizations? A qualitative investigation

Purpose: Human resources analytics (HRA) can potentially create value and provide a competitive advantage; however, whether and how HRA creates this value has been sparsely explored in scholarly literature. Hence, the purpose of this study is to provide a process-oriented framework for value creation from HRA use by exploring the underlying mechanisms, complementary resources and outcomes. Design/methodology/approach: The study used a qualitative research design as the research question was exploratory. A total of 26 in-depth expert interviews with different organizations were conducted. These interviews were transcribed and coded for emerging themes, which were placed in a temporal sequence of occurrence to derive a process understanding of value creation from HRA. Additionally, validation tests were conducted. Findings: The thematic analysis using NVivo provided qualitative evidence of the value-creating potential of HRA. Further, it unraveled the process of value creation from HRA in the form of problem construction, insight generation, the buy-in of stakeholders and solution implementation. This process resulted in various human resource management (HRM) and organizational outcomes. The analysis also highlighted the significance of three complementary resources, namely data quality, analytical competency and business knowledge. Practical implications: This study offers guidance for HR executives and business managers to assess the conditions under which HRA can add business value to organizations. Originality/value: The paper is novel as this is among the first studies to provide evidence of value creation from HRA and identify the underlying mechanism, which has been highlighted as a gap in the literature. Based on resource-based theory and its complementarities perspective, the study makes a valuable contribution to the nascent HRA literature.

The version of record is available at https://doi.org/10.1108/JOEPP-10-2022-0303. The full citation is as follows: [How do human resources analytics create value for organizations? A qualitative investigation. Journal of Organizational Effectiveness: People and Performance (2024)]. 'This author accepted manuscript is deposited under a Creative Commons Attribution Non-commercial 4.0 International (CC BY-NC) licence. This means that anyone may distribute, adapt, and build upon the work for non-commercial purposes, subject to full attribution. If you wish to use this manuscript for commercial purposes, please contact permissions@emerald.com'

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Work Title How do human resources analytics create value for organizations? A qualitative investigation
Access
Open Access
Creators
  1. Shweta Jaiswal Thakur
  2. Jyotsna Bhatnagar
  3. Elaine Farndale
  4. Prageet Aeron
License CC BY-NC 4.0 (Attribution-NonCommercial)
Work Type Article
Publisher
  1. Journal of Organizational Effectiveness
Publication Date January 1, 2024
Publisher Identifier (DOI)
  1. https://doi.org/10.1108/JOEPP-10-2022-0303
Deposited November 16, 2024

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  • Added Author_accepted_manuscript_-_JOEEP_Shweta-1.PDF
  • Added Creator Shweta Jaiswal Thakur
  • Added Creator Jyotsna Bhatnagar
  • Added Creator Elaine Farndale
  • Added Creator Prageet Aeron
  • Published
  • Updated