If you are an organization and you are trying to decide is a team Who Should Attend the Healthcare Analytics Summit, then you should know that a decision like that should not be made without enough input from all departments in the organization. In order to keep employees happy and build a satisfied workforce, organizations need to understand the needs of its employees and how to meet them.
We now leave in the world of rapid technological advancement which has led to information sharing at the fastest pace. Employees are aware of everything that is going around them both in the workplace and in the industry.
Now both customers, stakeholders, and employees have access to a wealth of information and data from the internet. In order to have the best employees who are satisfied and in order to stay ahead of the competition, organizations have to have an effective Human Resources department and this human resources department must constantly carry out accurate and up-to-date HR benchmarking practices by access information across the full spectrum of Human Capital Management (HCM).
Let me explain in more detail what I mean when I say organizations should leverage the wealth of information available to measure industry standards and benchmark against that. There are industry-wide websites like Glassdoor that show average employee salary in companies and it also shows comments and rating by employees. This can give you a pretty accurate idea of how much your competitors pay and also give you direct access to the thoughts and complaints of both current and past employees of your competitors have shared online.
The word of caution in using this as a source of information is that organizations have to filter the sources. There are potential pitfalls that come from utilizing online review sites and competitors job postings. They never show the full picture. They can only provide insight is to what could be going on and it’s up to organizations to dig deeper or use whatever information they have with caution.
For example, salary surveys can provide insight, in theory — but in reality, they quickly become outdated because of the swiftly changing workforce and industry dynamics. A survey from six months ago will not serve as a proper barometer for the current landscape. These tools are too limited to truly provide effective information and so must be used in addition to other tools. Companies should aim to use the most robust and reliable data to inform the right decisions for their workforce.
When it comes to Human Resources, traditional methods of doing things are no longer effective and so HR managers need to implement new strategies while working to understand how the employees interact in an organization in this modern day. When it comes to new HR methods, . recent advances in technology have provided smarter and more sophisticated alternatives.
One of these alternatives is using big data. With the power of big data analytics, you can access up-to-date, aggregated and anonymized data from a variety of industries and geographical regions. Gaining visibility to the latest trends across similar industries, locations and organizations of similar size will empower a team to develop business strategies that go beyond HR strategies, to offer a competitive edge.
The job market is volatile and this generation of workers do not necessarily plan to stay in one job for more than a couple of years or at most five years. Hence, many HR departments seek to adapt to fi this new kind of employee. This is a good strategy but while doing this they should also not forget the importance of keeping long-term employees satisfied.
Research has shown that tenured employees drive far greater value than short stay employees. With a large volume of information available to you from benchmarking and so many decisions to make, it’s easy to miss out on opportunities to enhance your organization from within. Even if you’re consistently doing things right, such as giving employees regular raises, other details, like the state of current salaries, can fall between the cracks.
The reality is that some jobs increase in value more quickly than others. If you only provide a two percent merit and/or cost-of-living increase, you may find that your employees are leaving at an alarming rate, for a compensation package that they view as more in-line with their perceived worth on the open market. A lot of times compensation goes beyond just the financial benefits. Providing employees with other benefits and amenities goes a long way to increase their satisfaction.
New age employees look beyond just the financial benefits of a position. Millennials look beyond competitive salaries when they apply for a job or making employment decisions. Human resources need to consider other elements of the employee experience when creating overall compensation packages, including benefits, overtime and scheduling flexibility, as well as extra perks such as gym memberships, free coffee and snacks and the opportunity to work from home.
Common HR Benchmarks
There are multiple things that can be benchmarked when it comes to human resources. HR managers can choose which is most important to the organization and its employees. That being said, there are some major benchmarks that cannot be overlooked in this current job market. They are:
- Workforce diversity – Average age, headcount by generation, female percentage, etc.
- Workforce trends – Average tenure, turnover rate, new hire turnover, etc.
- Compensation – Average earnings, annual compensation, etc.
- Non-financial Benefits- Gym memberships, quality cafeteria, free coffee, 2-hour lunch breaks