The global HR analytics market is expected to reach $4,763.5 million by 2024, progressing at a CAGR of over 15.0% during the forecast period. Rising demand for workforce optimization, shift toward data-driven decision making, increasing demand for efficient hiring, changing work dynamics, and increasing need for efficient talent retention strategies are some of the key factors driving the growth of the market across the globe, according to P&S Intelligence.
Insights on market segments
On the basis of deployment type, the HR analytics market has been bifurcated into on-premises and cloud, wherein cloud deployment is expected to witness the faster growth during the forecast period. Presently, companies are looking forward to having their solutions deployed on the cloud, as it offers various benefits such as flexibility, scalability, enhanced collaboration, and cost efficiency.
On the basis of the region, APAC is expected to witness the fastest growth in the HR analytics market during the forecast period. The growth can be attributed to the escalating IT investments by enterprises for improved operations in developing countries, primarily China and India. Furthermore, developing countries in the region are promoting digitalization and introducing various initiatives to develop the IT infrastructure, which would further support the growth of the market in the region.
Increasing demand for efficient hiring would drive the market
Increasing demand for efficient hiring is one of the key drivers for the HR analytics market. HR analytics provides insights into prospective hires by analyzing their skills and expertise. It also guides the company in making an impartial decision based on this data, which reduces the hiring biasness. Effective recruitment can support organizations in achieving faster growth and can also provide a competitive advantage in the market that directly impacts the business performance. Henceforth, as productive hiring allows businesses to be more proactive and agile, the demand for efficient hiring is increasing worldwide, which is further fueling the growth of the market.
Growing demand from SMEs to bode well for the market
An increasing demand for HR analytics solutions from SMEs is driving the market across the globe. In the recent years, a rising number of SMEs have adopted HR analytics solutions and services in order to increase productivity. The players in the HR analytics market are also focusing on providing more-flexible solutions and services to SMEs, as they are increasingly moving toward data-driven decision making to scale up their business operations.
Employees’ resistance to change would hinder the market growth
Employees' lack of trust in technology and resistance to change are the key factors restraining the growth of the HR analytics market. The deployment of new technologies in the workplace has a big impact on employees, as it re-engineers the way business is carried out, often leading to a change in roles and responsibilities. Employees from the older generation often fear or resist the digital transition. Thus, separate training sessions are conducted to equip employees with the skills to operate new technologies, which is often an additional burden on the management.
Browse report overview with detailed TOC on "HR Analytics Market Research Report: By Offering (Retention, Recruitment, Workforce Planning, Compensation and Incentive Program, Employee Development, Employee Engagement), Deployment Type (On-Premises, Cloud), Enterprise Size (Large Enterprise, SME), Industry (BFSI, IT & Telecom, Healthcare, Education, Energy & Utilities, Government, Retail), Geographical Outlook (U.S., Canada, U.K., Germany, France, Italy, Spain, China, Japan, India, Australia, South Korea, Brazil, Mexico, U.A.E., South Africa, Turkey, Saudi Arabia) – Global Industry Analysis and Growth Forecast to 2024" at:https://www.psmarketresearch.com/market-analysis/hr-analytics-market
The global HR analytics market is quite competitive owing to the presence of many players. However, the market is primarily dominated by four companies, namely ADP LLC, SAP SE, Oracle Corporation, and Workday Inc. These companies hold the major share of the market as they are the foremost choice of consumers due to their reputation and the quality of their analytics solutions. Other prominent players in the market include MicroStrategy Incorporated, Sage Group PLC, Zoho Corporation, Kronos Incorporated, Visier Inc., Sisense Inc., International Business Machines Corporation, Infor Inc., Crunchr, and TalentSoft SA.
Global HR Analytics Market Segmentation
Market Segmentation by Offering
Market Segmentation by Deployment Type
Market Segmentation by Enterprise Size
Market Segmentation by Industry
Market Segmentation by Region