Choosing the Right People Analytics Solution for Your Organization

Spreadsheets in HR Analytics: A Necessary Evil

For many small businesses and startups, spreadsheets in Excel or Google Sheets serve as an entry point into people analytics. In fact, over 95% of organizations state that they are still using Excel at some level for at least some form of data analysis. Spreadsheets are widely available, easy to use, and familiar to most HR professionals. They can handle basic tracking and reporting needs, such as monitoring headcount and turnover, without requiring additional investment in software. 

However, as organizations grow and begin to collect more data from multiple sources, spreadsheets quickly become a bottleneck. They require manual data entry, which is time-consuming and prone to human error. Data inconsistencies and version control issues can also arise, leading to unreliable insights. Furthermore, spreadsheets lack the automation and integration capabilities needed to connect different HR systems, making it difficult to generate meaningful workforce analytics. While spreadsheets may work for companies with fewer than 500 employees and minimal data needs, they are not a sustainable solution for organizations looking to scale their HR analytics capabilities. 

ATS & HRIS Analytics Modules: A Convenient but Limited Solution

Many organizations turn to the built-in analytics features within their existing Applicant Tracking System (ATS) or Human Resources Information System (HRIS). This approach offers a convenient way to access pre-configured reports on key HR functions like hiring, payroll, and performance management. Since these modules are native to the HR system, they require little additional setup and often come at a lower cost than standalone analytics tools. 

However, the biggest drawback of relying solely on ATS or HRIS analytics is the limited scope of data integration. These tools are designed to analyze data within their respective systems, which means an ATS will only provide insights into recruitment metrics, while an HRIS focuses on workforce-related data. This creates a fragmented view of HR performance, making it difficult to connect the dots between different HR processes, such as linking hiring data with retention rates. Additionally, many of these built-in analytics tools lack customization options, and accessing advanced reporting features may require additional costs. For organizations that only need basic analytics within a single HR system, ATS/HRIS modules may be sufficient. However, organizations seeking deeper insights across multiple HR platforms will likely need a more comprehensive solution that allows for apples-to-applies comparison of data across platforms. 

Business Intelligence Tools: A Customizable but Technical Approach

Another common approach to people analytics is using business intelligence (BI) tools such as Tableau and Power BI. These platforms are excellent for creating custom visualizations and integrating multiple data sources, offering a high degree of flexibility in reporting. Many companies already use BI tools for finance or sales reporting and may consider extending their use to HR analytics.

However, BI tools come with notable limitations when applied to HR. Unlike purpose-built HR analytics solutions, BI platforms do not cleanse or transform HR data, meaning organizations must ensure their data is properly structured before it can be analyzed. This requires technical expertise in data management and visualization, which many HR teams lack. While they work well for organizations with an internal BI team that can manage HR data structuring, they are not ideal for HR professionals who need immediate, easy-to-use insights without technical dependencies. Oftentimes HR requests to an internal BI function are deprioritized behind sales and finance requests, resulting in weeks or months-long delays before HR analytics troubleshooting or data needs can be addressed.

Enterprise People Analytics Tools: Powerful but Complex

For large enterprises with dedicated HR analytics teams, complex analytics platforms like Visier and OneModel offer powerful capabilities. These tools provide advanced data modeling, predictive analytics, and AI-driven insights, enabling organizations to process vast amounts of workforce data and uncover deep trends. They are particularly beneficial for HR teams with dedicated data science resources, who want hands-on access to the raw data models in order to manipulate and analyze their data as they see fit.

Despite their capabilities, these enterprise tools come with significant challenges. First, they require a substantial financial investment, often reaching six-figure licensing fees. Implementation can take months or even years, requiring extensive technical expertise and a dedicated data team to configure and maintain the system. Additionally, organizations without in-house data analysts may struggle to fully utilize these platforms, leading to wasted resources. While enterprise analytics tools are an excellent fit for companies with 10,000+ employees and an in-house team of HR data analysts and data scientists, they are often too complex and costly for mid-sized businesses with limited analytics resources or data expertise.

The platform is designed for HR teams without in-house data expertise, as it includes dedicated analyst support to handle data integration, transformation, and customized visualization. From data troubleshooting to custom dashboard brainstorming, PeopleInsight analysts save HR teams countless hours on data reporting and analysis, so that they can focus on strategic decision-making rather than struggling with complex data configurations.

Compared to enterprise platforms, PeopleInsight is also significantly more cost-effective. Many organizations spend well over $100,000 on analytics solutions, and often require additional investments in dedicated HR data experts to actually use and make sense of their analytics. In contrast, PeopleInsight delivers robust analytics at a fraction of the cost, making high-quality workforce insights accessible to companies that lack large analytics budgets.

For organizations looking to move beyond spreadsheets or siloed ATS/HRIS reporting, PeopleInsight provides an intuitive, scalable solution that meets them where they are in their analytics journey. Whether the goal is improving hiring efficiency, reducing turnover, or measuring DE&I initiatives, PeopleInsight delivers actionable insights that drive better workforce decisions.

Conclusion: Making the Right Choice for Your Organization

Selecting the right people analytics solution depends on several factors, including company size, budget, and internal expertise. Smaller organizations may find spreadsheets sufficient for basic tracking, but they quickly become unmanageable as data complexity increases. ATS and HRIS analytics modules offer a convenient entry point but are often too limited in scope. BI tools require significant technical expertise to be leveraged for HR use cases. Enterprise platforms provide deep analytics but come with high costs and complexity.

For mid-sized organizations that need a balance of ease of use, affordability, and comprehensive insights, PeopleInsight is the ideal choice. With its fast implementation, seamless data integration, and expert support, it empowers HR teams to make data-driven decisions without the headaches of managing complex analytics tools.

If you’re ready to move beyond fragmented HR data and unlock the full potential of people analytics, schedule a demo today to see how PeopleInsight can transform your HR decision-making.