Abstract
Purpose
Human Capital Analytics (HCA) promises to replace intuition with data-based decision making and evidence based strategies in Human Resource (HR) settings. However, doubt exists as to whether HR professionals are really embracing and utilising HCA (Jones, 2014). The objective of this research is “to identify technological, organisational, and environmental factors impacting HCA adoption in organisations”.
Design/methodology/approach
This study adapts the Technological, Organisational and Environmental Framework (TOE) (Tornatzky et al., 1990). A mixed methods approach is adopted consisting of multiple data collection techniques including expert interviews, a survey, semi-structured interviews and documentation analysis. Baker (2011, p.37) states “the freedom to vary the factors or measures for each new research context makes the TOE framework highly adaptable”. An adapted TOE framework provides an appropriate model to investigate HCA adoption.
Implications
An overriding perspective is that HCA improves business performance. Understanding how an organisations workforce is generating value is the true measure of HCA (CIPD, 2017). This research examines state of the art HCA implementations to identify technological, organisational, and environmental factors impacting adoption. The study brings rigour and validity to guide and prioritise human capital expenditure.
Originality/value
Firstly, the study conducts a comprehensive review of HCA literature and related prior research, consolidating disparate theoretical information. Secondly, state of the art applications of HCA are heretofore unresearched, so this study exposes the phenomenon. Thirdly, the study reveals technological, organisational, and environmental factors impacting HCA adoption.
Keywords
Human Capital Analytics; Human Capital Expenditure; Technological, Organisational and Environmental Framework.