3 ways data helps employers deliver a winning reward strategy
Using data allows employers to measure the impact of benefits on the employee and employer, introduce benefits that are more likely to have a positive impact, and effectively feedback results to company decision-makers.
So long as it is built on a foundation of transparency where the how’s and why’s of data collection are made clear to employees, it can be a valuable resource to aid decision-making. However, of the businesses that do currently collect data, only 45-percent1 are using it to make meaningful decisions on benefits programs.
So, where and when can data help?
Research
There is no one-size-fits-all solution to employee benefits. The key is understanding the needs of your own employees. What may be popular on a national level in surveys and headlines may not work in your own place of work.
Taking a closer look at the current situation of your staff can make sure you are providing benefits that have high take up and a genuine impact in your workplace. Brief periods of anonymised data collection using wearable devices can provide an objective snapshot of your employees – covering areas like exercise, stress or even sleep. The results can be used to tailor benefit programs that meet the needs of individual employees, or departments. Remember to clearly explain the aims and intentions of any such data collection to ensure positive buy-in.
Return on investment
Providing return on investment (ROI) is important. Management are often looking for evidence that money is being spent efficiently and providing actual positive outcomes. Tracking how many employees sign up for certain benefits is one basic way to get immediate feedback. However, taking a deeper look at data before and after a benefit roll out offers more useful insights. Delving into sick leave statistics, employee well-being data, or work performance metrics can highlight the effectiveness of specific benefits and help decipher their value (or lack thereof).
Data analysis can also be used to help ‘predict the future’. Conducting the research described above lets you pinpoint to decision-makers the areas the organization should focus on moving forward. Doing so lets you offer the right benefits rather than waste money on offerings that are either not wanted by employees or simply don’t match their needs.
Results
As their name suggests, employee benefits should benefit the employee in some way, shape or form. Data can be used to measure if a benefits program is having the expected result.
As well as informing future benefit initiatives, relevant data can give employees themselves the information they need to pick the right benefit for them. For instance, an organisation may offer lunchtime gym classes to boost well-being. However, the data – whether that be in the subjective form of a questionnaire or an objective method like a wearable device – may reveal these classes are actually tiring employees and impairing afternoon performance. In this case, something that promotes daytime recovery like extended lunch breaks, a yoga class, or switching the gym class to the morning may be more appropriate.
Finding what works for your business
Employee benefits don’t only benefit the employee. An employer offering appropriate and relevant benefits for their staff can see the knock-on gains for themselves in increased efficiency, positive atmosphere and better performance in the workplace.
Using data in all three stages of an employee benefit program – from planning, to roll out, to feedback - is an effective way to fine tune a benefits program that works for your business.
This article was provided by Firstbeat.
Reference
- How Can Data Analytics Help Enhance Employee Benefits? Brink News, October 25, 2018, Roshni Mahesh, Principal at Mercer Asia
In partnership with Firstbeat Technologies
Firstbeat is the leading provider of physiological analytics for well-being and sports.