People Analytics

People Analytics

Identify and enable talent-driven performance

Top employees outperform average employees by up to eight times. To stay ahead, leading companies identify, attract, develop, and retain these top employees. How do they do it? By developing a people strategy that is based on data and analytics.

McKinsey’s People Analytics team can help companies to address a broad range of talent-management goals. We specialize in helping our clients to:

Increase people performance by determining what drives high performance and by identifying high potentials and future leaders

Meet diversity and inclusion targets by analyzing talent pipelines and identifying the best levers for improvement

Retain employees by determining root causes of attrition and those individuals most at risk, and then identifying actions to protect the workforce

People Analytics by the numbers


increase in recruiting efficiency


rise in business productivity


decrease in attrition rates

How it works

McKinsey’s People Analytics team helps companies to define clear talent-management goals and identify initial hypotheses against which to test the data. The team then performs a data diagnostic to identify the availability of critical sources of data, before aggregating and cleaning it. Predictive models and analysis are then applied to generate insights. Expert McKinsey consultants then work directly with leadership teams and develop action plans to convert insights into actions that drive value. Depending on the level of complexity, the process can take anywhere from 2 to 10 weeks.

As a final step, we can help a company embed analytics deeply into everyday HR processes by providing training on how to track and quantify impact on an ongoing basis, and, if desired, a blueprint for how to build an HR Analytics function.

Features and benefits

Interactive visual dashboard

Data is cleaned and developed into an interactive dashboard, which can be maintained on an ongoing basis after the completion of the project. Data sources can include HR data (for example, performance ratings, work experience, and productivity), external data (such as social media and professional networking), and survey data (for instance, engagement, values, and change readiness).

Expert support

Expert support is provided throughout the process, including through a series of signature workshops designed to align people strategy to business goals and translating insights into actions.

Predictive insights

People Analytics generates three types of insights: individual employee predictions, organization-wide factors, and high-risk-employee clusters with their defining characteristics.

Automation and speed

Through our automated basic reporting, we help reduce labor-intensive HR activities and redirect focus to generating business insights. Regular data refreshes enable a team to make smarter decisions in short cycles and respond to a rapidly changing business environment.

Return for the business

Throughout the employee life cycle, People Analytics helps transform an HR function from a cost center into a strategic partner that drives direct impact for the business.

Find out how People Analytics can help your organization


How We Help Clients

Learn how we work together with clients to build analytics-driven organizations and achieve better performance through data.

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