HUMAN RESOURCE ANALYTICS AS A CATALYST FOR STRATEGIC DECISION-MAKING: A CONCEPTUAL PERSPECTIVE
The evolution of Human Resource Management (HRM) from a primarily administrative function to a strategic organisational partner has amplified the need for evidence-based decision-making. In this context, Human Resource Analytics (HRA) has emerged as a critical capability, providing data-driven insights to support workforce planning, talent management, and strategic HR interventions. Despite its potential, many organisations undervalue analytics in strategic decision-making due to conceptual ambiguity and weak integration with HR strategy. This conceptual paper examines the role of HR analytics as a catalyst for strategic decision-making, aiming to develop a comprehensive framework that links analytics capabilities, decision effectiveness, and organisational outcomes. Drawing on a strategic HRM perspective, the study integrates the Resource-Based View (RBV) and Dynamic Capabilities Theory to position HR analytics as a strategic resource that drives sustainable competitive advantage. Key constructs include HR analytics, strategic decision-making, and organisational performance, conceptualised as interdependent elements within the proposed framework. The paper contributes theoretically by illustrating how HR analytics transcends operational functions to become a strategic enabler, transforming HRM from reactive administrative processes to proactive, insight-driven practice. Implications for research include theoretical validation of the framework, sector-specific studies, and cross-national comparisons. Practically, organisations are encouraged to develop analytical capabilities, embed data-driven practices into HR strategy, and foster a culture that prioritises evidence-based decision-making to enhance strategic outcomes.
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