HR Analytics Market

Global HR Analytics Market Size (2024 to 2029)

The global human resources (HR) analytics market is predicted to reach USD 2.46 billion in 2024 and USD 4.67 billion by 2029, growing at a CAGR of 13.7% during the forecast period.

Human resource analytics includes business analysis and data mining solutions that process information generated by human resource activities like performance management, employee acquisition, engagement, support, compensation, training, etc., and improve these basic human resource functions. HR analysis increases the productivity of HR personnel by predicting important metrics such as retention, performance, and workforce management opportunities and provides extensive modeling capabilities for workforce planning. HR analysis also analyses the business scenarios surrounding these functions, guiding HR managers to obtain necessary information. This leads to more relevant decisions and appropriate and timely actions. Analytical solutions test the effectiveness of human resources policies and various interventions and make it possible to rationalize the various human resources policies. HR analytics solutions offer integrated functionality for small, medium, and large businesses. These solutions help streamline human resources and business intelligence functions, improving a company's operational efficiency. Human resource analysis involves data collection, data cleaning, data management, forecasting, and visualization. Integrate and correlate data to provide relevant, actionable, and timely information to improve performance and return on investment.

Human resource analytics integrates statistical models and data analysis tools to gather, measure, and process information related to employee and workforce performance, which senior managers also use to create strategies and improve employee decisions. Providing clearer business information, anticipating disruptions before the attack, and strengthening organizational values and team coherence are some of the benefits of analyzing human resources within the organization.

MARKET DRIVERS

The growing need for companies to reduce costs associated with human resource processes and streamline human resource processes is expected to drive global HR analytics market growth in all sectors worldwide. The global HR analytics market is primarily driven by the growing demand for cloud-based solutions. Cloud-based solutions are cost-effective, allowing easy and convenient data storage and download to the cloud. Also, the increasing globalization of the workforce should encourage the adoption of human resource analysis solutions by small, medium, and large companies. The rise in the adoption of human resources analysis solutions in small and medium-sized enterprises is expected to drive the human resources analysis market during the outlook period.

Impact of COVID-19 on the global HR Analytics market

The COVID-19 pandemic has brought the entire world to stand still, making employees stick to their homes and companies firing their workforce. This has resulted in an increased need to employ analytics in different areas of an enterprise, benefitting the global HR analytics market. The same trend is predicted to continue in the coming years.

REPORT COVERAGE

SEGMENTAL ANALYSIS

Global HR Analytics Market Analysis By Component

Among the components, the software segment is likely to maintain a larger size during the forecast period. Human resource analysis allows companies to analyze human resource data from various human resource systems and draw conclusions based on the analysis. By leveraging HR analytics, companies can improve their performance in terms of recruiting, retaining, and engaging employees. It also helps HR departments to make better decisions based on their data. It also improves the overall employee experience and hires them better.

Global HR Analytics Market Analysis By Deployment Mode

The type of cloud deployment to achieve a higher CAGR during the forecast period. Businesses today expect their solutions to be deployed in the cloud, as it offers several benefits, including scalability, flexibility in capacity, improved collaboration, and profitability. The implementation of cloud-based HR analysis makes it easier for small and medium-sized enterprises (SMEs) and large businesses to focus on their core skills rather than IT processes. With cloud-based HR analysis, organizations can avoid software, storage, and personnel costs and technical staff.

Global HR Analytics Market Analysis By Organization Size

Depending on the size of the company, the HR analysis market can be divided into small and medium-sized enterprises (SMEs) and large companies. Small and medium-sized enterprises (SMEs) are companies with a workforce of between 1 and 500. Large companies are companies with a workforce of more than 500. In large companies, the rate of adoption of the solution Resource analysis Human is high because it helps with compliance management and improves the organization's security measures.

Global HR Analytics Market Analysis By Application Area

By application area, the global market is separated into Workforce Management, Recruitment, and Employee Development.

Global HR Analytics Market Analysis By Vertical

The banking, financial services, and insurance (BFSI) sector is expected to develop with the most substantial share during the calculated period. BFSI vertical companies focus on increasing the number of clients and offering them better offers. The BFSI vertical faces unique challenges, such as low profit margins, threats to information security, and compliance requirements. Challenges have become the main drivers for BFSI organizations to minimize labor costs and analytically align the workforce to streamline operations.

REGIONAL ANALYSIS

Depending on the geography, the global HR analytics market is studied in North America, Asia-Pacific, the Middle East, Africa, South America, and Europe. The human resources analysis market in the Asia Pacific is supposed to expand at a rapid rate during the forecast period due to the increase in the number of medium and small companies in the region that are adopting human resources analysis.

KEY PLAYERS IN THE GLOBAL HR ANALYTICS MARKET

The main players in the global HR analysis market include IBM Corporation, Cognizant Technology Solutions Corp., Accenture plc, Infosys Limited, ADP LLC, Ascentis Software Corporation, Genpact Ltd., Cornerstone OnDemand, Inc., Oracle Corporation, Beeline, Kronos, Inc., GainInsights Solutions Pvt. Ltd., Paylocity, Nakisa, Inc., PeopleFluent Companies, SAP SE, PeopleStreme Pty. Ltd., Tableau Software Inc., Visier, Inc., TALENTSOFT, WorkForce Software LLC, PeopleAdmin, SumTotal Systems Inc., Kenexa Corporation, Taleo Corporation, Halogen Software Inc and Workday, Inc. The increasing number of payers in the market and Increasing competition are likely to stimulate the global HR analysis market during the forecast period.

RECENT DEVELOPMENTS IN THE GLOBAL HR ANALYTICS MARKET

• In March 2019, Oracle implemented and introduced an updated version of Oracle HCM Cloud to make work easier, smarter, and streamlined. The updated version is likely to improve the overall experience of candidates, recruiters, managers, and employees.

• In February 2019, Infor signed a contract with Montage, a provider of human resources analysis solutions for hiring, interviewing, and recruiting the best candidates. Under the terms of the partnership, the two companies would offer the next generation of predictive talent analysis and interview technology for the hiring process by leveraging the capabilities of their respective platforms.

DETAILED SEGMENTATION OF THE GLOBAL HR ANALYTICS MARKET INCLUDED IN THIS REPORT

This research report on the global HR analytics market has been segmented and sub-segmented based on the component, deployment mode, organization size, application area, vertical, and region.

By Component

• Software  

• Services    

By Deployment Mode

• On-Premises          

• Cloud         

By Organization Size

• large          

• SMEs      

By Application Area

• Workforce Management  

• Recruitment           

• Employee Development   

By Vertical

• BFSI            

• Retail         

• IT and Telecom      

• Healthcare              

• Government          

• Education

• Manufacturing      

By Region

• North America

  • The United States

  • Canada

  • Rest of North America

• Europe

  • The United Kingdom

  • Spain

  • Germany

  • Italy

  • France

  • Rest of Europe

• The Asia Pacific

  • India

  • Japan

  • China

  • Australia

  • Singapore

  • Malaysia

  • South Korea

  • New Zealand

  • Southeast Asia

• Latin America

  • Brazil

  • Argentina

  • Mexico

  • Rest of LATAM

• The Middle East and Africa

  • Saudi Arabia

  • UAE

  • Lebanon

  • Jordan

  • Cyprus