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Which of the following statements is true in the context of the use of data analytics and big data in human resource management (HRM)?

a. Data analytics does not have implications for decision-making in the human resource area.
b. The use of big data in human resource management is risk-free.
c. Data analytics has been more popular in areas such as marketing, rather than in human resource management.
d. The application of big data in human resource management is limited to the analysis of transactional data in large volumes.

User Nmoliveira
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Final answer:

The true statement about the use of data analytics in HRM is that analytics has been more widely adopted in marketing than HRM, but its use in HRM is increasing. Data analytics in HRM aids in decision-making, is not without risks, and is not limited to transactional data.

Step-by-step explanation:

The correct answer to the question “Which of the following statements is true in the context of the use of data analytics and big data in human resource management (HRM)?” is option c. Data analytics has been more popular in areas such as marketing, rather than in human resource management. Over time, however, the use of analytics is becoming more widespread in HRM because of its potential to inform and improve decision-making. For example, analytics can help HR departments in predicting employee turnover, identifying the characteristics of high-performing employees, and enhancing engagement strategies. It is important to note that the application of big data is not without risks, as it can involve issues related to privacy and data security. Moreover, contrary to option d, big data in HRM is not limited to transactional data but can include a diverse range of data sources from both within and outside the organization, including social media profiles, performance data, and more.

User Elysha
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