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Staying Close To Business The Role of Epistemic Alignment in Rendering HR Analytics Outputs Relevant To Decision Makers
Staying Close To Business The Role of Epistemic Alignment in Rendering HR Analytics Outputs Relevant To Decision Makers
Management
To cite this article: Markus Ellmer & Astrid Reichel (2021) Staying close to business: the
role of epistemic alignment in rendering HR analytics outputs relevant to decision-makers,
The International Journal of Human Resource Management, 32:12, 2622-2642, DOI:
10.1080/09585192.2021.1886148
ABSTRACT KEYWORDS
HR Analytics (HRA) are said to create value when providing HR analytics; HRM-as-
analytical outputs that are relevant to decision-makers’ practice; epistemic
immediate business issues. While extant research on HRA practice; eHRM; digital
HRM
attributes success (or lack thereof ) in providing business
relevant outputs to the presence or absence of particular
skills and resources, we know little about how practitioners
actually mobilize these skills and resources in daily practice.
Drawing on observational and interview data from a case
study of an HRA team, we identify boundary spanning, cus-
tomizing dashboards, and speaking a language of numbers
as three epistemic practices in which team members com-
bine and mobilize a particular set of skills and resources
that allows them to accomplish epistemic alignment, i.e.
aligning to decision-makers’ perception of business reality
when creating analytical outputs. Epistemic alignment
enables the team members to produce complex analytical
outputs while at the same time staying close to the deci-
sion-makers’ immediate business problems. At the same time,
team members are capable of accounting for conditions in
the broader organizational context, such as compliance
issues, dependencies, political tensions, and a prevailing
data-driven decision culture. Our findings contribute to
knowledge on how organizations can build effective HRA
and how advanced forms of digitalization transform the
work of HRM in contemporary organizations.
Introduction
Increased possibilities to gather, store, and process data have spawned
unprecedented possibilities to generate insights for understanding, pre-
dicting, and controlling business outcomes (Davenport, 2006). In the
Figure 1. The setting of HRA at TechCom including the position of interview partners.
How does HRA at TechCom work and what skills and resources are
present in these processes? Figure 1 (see above) provides an overview
over the most important actors involved in HRA practices at TechCom,
including the affiliation of our interview partners.
The HRA team at the very center is responsible for overseeing current
HRA projects, including the processing and delivery of analytical outputs.
All members have a high level of theoretical knowledge as well as
research and methods skills with more than a half of the team holding
a PhD degree in HRM or business psychology. For practicing HRA, the
team maintains star-like connections to a broad community of knowledge
including actors across TechCom as well as beyond organizational bound-
aries where professionals hold relevant expertise. For creating analytical
outputs, the HRA team has vivid exchange with data scientists specialized
in HRM at the AnalyticsCenter (AC) which have exclusive full access
to all data at TechCom as well as strong methods skills. When processing
outputs, the HRA team members and particularly the AC also have
regular exchange with regulatory actors, i.e. the works council and the
data protection office.
While the HRA team supports decision-makers at various levels (e.g.
the leaders of the HR Centers of excellence (CoEs), or line managers
at different levels) as well as HRBPs, we focus our analysis on how
team members create analytical outputs for the HR board member at
TechCom. When starting an analytical project, the team members have
some exchange with the board member in which they gather information
on the needs and requirements of the analytical outputs from the board
member’s perspective (this happened prior to our observations). Based
on these inputs, the HRA team conducts research related to the issue
at hand, collects related data, and runs analyses. If the analysis gives
insights into a recurring issue (e.g. prediction of employee attrition),
the team integrates the outputs into the HR board member’s standard
dashboard, showcasing statistics, diagrams, and figures on current and/
or strategically relevant HR issues.
In the past years, TechCom made considerable investments into its
technological infrastructure, including a highly reliable data base system
as well as data analysis and visualization software, including SAP and
open source systems. To ensure high data quality, data management is
The International Journal of Human Resource Management 2629
Data analysis
After having reified an epistemic object at hand, the HRA team members
move to crafting technical objects, i.e. building a first representation of
the epistemic object in question (i.e. ‘pre-technical objects’). In this
phase, the HRA practitioners mobilize skills related to research methods
and resources of high-quality data and technologies available, as well
as their access to their community of knowledge, particularly the data
scientists in the AC. The following episode gives insight into the crafting
of a technical object in the office of the HRA team.
Marco receives a call from Tim, a data scientist from the AC, to go through
some results Tim had calculated. When they explored drivers why people leave
TechCom (‘attrition drivers’) some time ago, China turned out to be somehow
puzzling compared to other countries and regions. In some prior meetings, they
had specified the research design and input variables for gaining a better under-
standing of the issue. Tim, who as a data scientist has full access to all data at
TechCom, has now run a random forest model based on the agreed input. In
the call, they go through the results and exchange their interpretations of the
patterns discovered. During the joint interpretation, Marco requests some ad-hoc
calculations and charts, e.g., results according to board area or hierarchical level.
Tim instantly delivers these calculations via screen transmission. Based on their
data explorations they conclude that payment seems to play the most important
role while age plays the most marginal. In the end, Marco instructs Tim how
to present some selected results for delivering them to the board member in a
tangible fashion.
i.e. changing the shape of the analytical output in order to increase their
relevance. The following episode illustrates how team members coordinate
with other actors at TechCom to adjust technical objects.
Christopher receives a call from a colleague at the communications department.
The quarterly board meeting is just two days ahead and there is still need to
discuss some KPIs related to HR communication (showing, e.g., Twitter followers
or how often board members get retweeted) in the board member dashboard.
Christopher and the caller start discussions on whether certain function in the
latest dashboard interface would actually provide value, especially for the HR
board member, by recurrently putting themselves in their shoes. Christopher
reminds the caller that the board member may not have much time, and yet
he has to answer questions: ‘He wants to know: What is going well, what is
going bad? Where do we have to act? And if we have only one dashboard for
representing the issue, then we have to carefully consider the dramaturgy of the
figures, we have to arrange them in a way that he easily understands the results’.
He suggests: ‘We have this KPI here and this KPI here–and I would just merge
them. The board members are supposed to be the target audience. I am not
sure, if this is actually “board-relevant”’. Later he concludes: ‘I would just let the
retweets-KPI where it is, because this indicates that our board members are very
active and this is arguably an achievement related to one of our strategic goals’.
Figure 3. Practices and related mechanisms for rendering HRA outputs relevant.
Acknowledgements
We would like to thank the HR Analytics team presented in this paper for inviting us
to data collection. We also thank the two anonymous reviewers and the editors of this
special issue for their constructive criticism and suggestions. Further, we want to thank
the attendees at various conferences and workshops where we presented earlier versions
of the paper and especially to Ewald Kibler (Aalto University) for his vital input and
feedback.
Disclosure statement
No potential conflict of interest was reported by the author(s).
ORCID
Markus Ellmer http://orcid.org/0000-0003-3344-9974
Astrid Reichel http://orcid.org/0000-0002-4188-360X
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2642 M. ELLMER AND A. REICHEL