- Background
- Case Discussion
- Governance, Methodology, and Skills
- Strengths and Limitations of Greenhouse
- Overcoming Misbeliefs and Challenges
- Reference
Background
Company Background
Agoda, a globally renowned online travel agency, specializes in hotel, flight, and vacation bookings. Founded in 2005, Agoda quickly rose to prominence, leveraging cutting-edge technology to provide travelers with the best deals. As a part of the Booking Holdings Inc., Agoda stands alongside other prominent brands in the online travel business, serving millions of customers worldwide.
Situation
With the advancement of the digital era and the increasing competition in the online travel industry, Agoda recognized the need to harness the power of data, especially in the realm of HR, to maintain its edge in the market. The company believed that by understanding its workforce better, it could optimize operations, foster a more inclusive work environment, and, in turn, provide better services to its customers.
To achieve this, Agoda turned to Greenhouse, a leading HR software solution, as a foundation for its ambitious journey in people analytics. Greenhouse, known for its structured and consistent candidate data capabilities, would allow Agoda to seamlessly integrate people analytics into its HR functions. The primary objectives were to improve employee engagement, retention, and to foster a data-driven decision-making culture within the organization. However, implementing such an initiative in a global company presented its challenges. There were concerns about the adoption of Greenhouse, potential resistance from managers fearing the loss of their decision-making autonomy, and the technical challenges of integrating various HR data systems.
Purpose of the Discussion
This case delves into Agoda’s strategic approach to people analytics using the Greenhouse platform. It examines the company’s efforts to harness data for enhancing employee experiences and aligning HR strategies with broader business goals. The case highlights the company’s strategies, the challenges encountered with the adoption of Greenhouse, and the measures taken to ensure that the integration of people analytics is both effective and ethically sound.
Through this exploration, readers will gain insights into the practical aspects of implementing Greenhouse for people analytics in a large, multinational organization, understanding the balance between data-driven decision-making and preserving the human touch in HR processes.
Case Discussion
Agoda’s strategic objectives for people analytics include improving employee engagement and retention. To achieve this, Agoda collects data on employee engagement, satisfaction, and well-being and uses predictive analytics to identify potential areas of improvement. By prioritizing workforce experiences, Agoda can attract and retain top talent, reduce turnover, and boost productivity (Levenson, 2018).
Agoda should foster a data-driven culture where people analytics is integrated into decision-making at all levels of the organization. This includes promoting analytics tools and techniques, investing in training and development for HR and other staff, and ensuring data privacy and security protocols (Murphy, 2023b).
The pyramid for analytics across HR functions emphasizes creating a culture of data-driven decision-making (Murphy, 2023a; Branch, 2012). Agoda can use this framework to develop an analytics culture aligning with its business strategy.
In addition, Agoda uses people analytics to optimize workforce planning and development and identify areas for cost savings. Agoda should use predictive analytics to forecast trends, make strategic decisions, and measure the impact of HR initiatives on KPIs. By aligning people analytics with business goals, Agoda can demonstrate the value of HR initiatives and drive overall business performance (Murphy, 2023d; Levenson, 2018).
Moreover, the concept of societal benefits highlights the importance of using people analytics to promote positive social outcomes (Ferrar & Green, 2021). Agoda can gather data on diversity metrics, conduct pay equity analyses, and implement initiatives to promote Diversity, Equity, and Inclusion (DE&I). This will create a more diverse and inclusive workplace, leading to a positive societal impact and fulfilling corporate social responsibilities.
Governance, Methodology, and Skills
Governance
The case should have explicitly discussed Agoda’s governance structure for people analytics. The company had a Chief People Officer responsible for leading the HR team, including the people analytics team. Based on this, it can be assumed that the company had a centralized structure for people analytics governance.
However, to achieve excellence in people analytics, Agoda must ensure that its governance structure aligns with its strategic objectives. The rights and duties of each employee are specified by the governance structures and principles, which also contain the business decision-making guidelines (Ferrar & Green, 2021).
For instance, the company needs a data governance policy defining how it collects, stores, and manages employee data to ensure compliance with privacy laws.
Methodology
Agoda used quantitative and qualitative data to conduct its people analytics. The company analyzed employee engagement surveys, exit interviews, and social media data to gain insights into its workforce. However, the case needed to provide more information on the specific methodologies Agoda’s people analytics team used.
Adopting a rigorous and scientific methodology aligning with its strategic objectives is necessary. It concentrates on the frameworks and procedures that should be set up for dynamic and repeatable people analytics (Ferrar & Green, 2021).
For example, the company can leverage predictive analytics to identify employees at risk of leaving and develop targeted retention strategies.
Skills
Agoda’s people analytics team comprised data analysts, statisticians, and HR professionals with expertise in data analysis. The company also provided training to its HR staff on how to use data to make informed decisions.
However, to achieve excellence in people analytics, Agoda must ensure its team has the necessary skills to analyze and interpret data (Murphy, 2023c). The company should also invest in training its HR staff to use data to make strategic decisions that align with its objectives.
The Expansion and its Implications Agoda is experiencing the process of expanding the company’s business scope, increasing globalization, and implementing new technology. To make HR decisions that positively affect the employee experience, Agoda should use this data to identify areas for improvement and develop evidence-based strategies to address them (Murphy, 2023a).
For example, if employee feedback indicates that work-life balance is a concern, Agoda could implement flexible work arrangements or wellness programs to support employee well-being. If employee turnover data reveals issues with employee retention, Agoda could implement retention strategies, such as career development opportunities or competitive compensation packages.
One type of data that could be collected to measure the workforce experience is employee feedback. It is usually recorded as mixed of qualitative and quantitative data, which could be gathered through surveys, focus groups, semi-interviews, or other forms of communication (Yahia et al., 2021).
Agoda can also collect data on employee engagement through regular pulse surveys, which can measure employee satisfaction, motivation, and commitment to the company (Ferrar & Green, 2021). This data could provide insights into employees’ perceptions of their work environment, job satisfaction, and overall engagement.
Another type of data that could be analyzed is employee performance data, usually stored in the form of quantitative data, such as turnover, working years, productivity levels, and goal attainment (Ferrar & Green, 2021).
By identifying high-performing employees and understanding what makes them successful, Agoda can develop strategies to support and motivate other employees to achieve similar success (Tursunbayeva et al., 2018). Additionally, Agoda could analyze the effectiveness of its training and development programs by monitoring employee skill acquisition and career progression from the data collected.
Strengths and Limitations of Greenhouse
Strengths
One strength of Greenhouse is its ability to provide consistent and structured candidate data, allowing for easier analysis and comparison of candidates. This aligns with the people analytics resources dimension of data, which emphasizes the importance of data quality and consistency for accurate analysis (Ferrar & Green, 2021; Marler & Boudreau, 2017).
Greenhouse also has a variety of built-in metrics and reporting capabilities, such as time-to-fill and cost-per-hire, which align with the people analytics dimension of business outcomes.
Another strength of Greenhouse is its ability to provide a unified platform for recruiters to manage the entire recruitment process to achieve greater business outcomes (Ferrar & Green, 2021). The system allows for tracking candidate progress, communication, and scheduling of interviews, all in one place. This can help Agoda to increase recruitment efficiency, which is essential for a company that is rapidly expanding its workforce.
Limitations
One of the limitations of the Greenhouse recruitment system in the context of people analytics function is the concern over data privacy and ethics. Greenhouse collects and processes a large amount of personal and sensitive data about job candidates, including their names, contact information, education and work history, and even their racial and ethnic background.
This data can be analyzed to identify patterns and biases that may exist in the recruitment process, but it also raises concerns about the privacy and confidentiality of job candidates. This concern is also relevant to the governance in the dimension of foundation. (Ferrar & Green, 2021; Murphy, 2023c). Suppose job candidates feel that their data needs to be correctly used or handled correctly. In that case, it can damage the company’s reputation and make it more difficult to attract talent in the future.
Another limitation is that Greenhouses may require significant resources and corresponding operation skills. This aligns with the people analytics dimension of resources, emphasizing the importance of investing in technology and skills (Ferrar & Green, 2021).
Implementing Greenhouse may require significant efforts to ensure successful adoption by recruiters and hiring managers. This involves more workloads for recruitment staff to develop the ability to use the software proficiently, training recruiters in data thinking. The additional workload and learning pressure may have a negative impact on employees’ work experience.
Overcoming Misbeliefs and Challenges
Misbelief about HR
To address the misbelief that the HR department might take away managers’ independence, HR staff should provide training and support to managers to help them understand how people analytics can improve their decision-making process (Tursunbayeva et al., 2018).
HR can also involve managers in designing and developing people analytics reports to ensure that they meet their needs. The recommendations would train managers on how to use people analytics reports to reconstruct their recognition and how they can benefit from them.
The evaluation plan would be to survey managers’ perceptions of the HR department’s role in the organization, the use of people analytics, and their level of independence in decision-making. Then, compare the survey results before and after implementing the recommended actions. If there is an increase in managers who understand the HR department’s strategic role and how it can support their decisions, it can be concluded that the recommended actions have been practical.
Adoption of New Systems
To address the challenge of persuading users to use the new systems, Agoda needs to ensure that users understand the benefits of the new systems and how they can improve their work processes. It necessary to establish a reward mechanism to incentivize employees who are proficient in using the new system or active learner.
HR staff can provide training and support to users to help them use the new systems effectively (Murphy, 2023b). The evaluation plan would be to track the usage of the new systems, especially tracking the indexes like the number of logins, reports generated, and user feedback.
Then, Compare the usage metrics before and after implementing the recommended actions. If there is an increase in usage and positive feedback from users, then the actions have been effective.
Integration of HR Data Systems
To address the challenge of different HR data systems causing practical and technical issues, Agoda needs to build a full-training group to target the issues specifically. The group will consolidate the different datasets from HR data systems into one platform. This will make it easier to manage data and ensure no duplication. Additionally, the group should review the data systems regularly to ensure that collected data meet the organization’s needs (Ferrar & Green, 2021).
An evaluation plan would be a cross-validation to the group working logbook and survey results to the satisfaction of employees. Metrics will be reviewed, such as the number of technical issues reported, the time it takes to resolve these issues, and the impact on the quality and availability of HR data. The plan looks for results like a decrease in the number of technical issues reported, faster resolution times, and positive feedback from employees.
Reference
-Branch, S. E. R. (2012). A review on effect of culture, structure, technology and behavior on organizations. Australian Journal of Basic and Applied Sciences, 6(3), 128-135. -Ferrar, J., & Green, D. (2021). Excellence in people analytics: how to use workforce data to create business value. Kogan Page Publishers. -Levenson, A. (2018). Using workforce analytics to improve strategy execution. Human Resource Management, 57(3), 685-700. -Marler, J. H., & Boudreau, J. W. (2017). An evidence-based review of HR Analytics. The International Journal of Human Resource Management, 28(1), 3-26. -Murphy, S. (2023a). Week 2. Exploring data-driven Human Resource decisions [PowerPoint slides]. https://www.learn.ed.ac.uk/webapps/blackboard/content/listContent.jsp?course_id=_99396_1&content_id=_8260480_1 -Murphy, S. (2023b). Week 3. Science of HR Analytics and Introduction to techniques and technology across HR practices [PowerPoint slides]. https://www.learn.ed.ac.uk/webapps/blackboard/content/listContent.jsp?course_id=_99396_1&content_id=_8260481_1 -Murphy, S. (2023c). Week 4. Introduction to Operational Reporting [PowerPoint slides]. https://www.learn.ed.ac.uk/webapps/blackboard/content/listContent.jsp?course_id=_99396_1&content_id=_8260482_1 -Murphy, S. (2023d). Week 5. Predictive models and Prescriptive Data Analytics examples [PowerPoint slides]. https://www.learn.ed.ac.uk/webapps/blackboard/content/listContent.jsp?course_id=_99396_1&content_id=_8260483_1 -Simbeck, K. (2019). HR analytics and ethics. IBM Journal of Research and Development, 63(4/5), 9-1. -Tursunbayeva, A., Di Lauro, S., & Pagliari, C. (2018). People analytics—A scoping review of conceptual boundaries and value propositions. International Journal of Information Management, 43, 224-247. -Van den Heuvel, S., & Bondarouk, T. (2017). The rise (and fall?) of HR analytics: A study into the future application, value, structure, and system support. Journal of Organizational Effectiveness: People and Performance, 4(2), 157-178. -Yahia, N. B., Hlel, J., & Colomo-Palacios, R. (2021). From big data to deep data to support people analytics for employee attrition prediction. IEEE Access, 9, 60447-60458.