Chapter 3: HR Analytics: Here to Stay or Short Lived Management Fashion?

In this chapter, we apply diffusion of innovation theory and the theory of management fashion to examine the diffusion trajectory of human resource (HR) analytics in a U.S. context. We focus on the role mass media plays in influencing the diffusion process and address two research questions. First, does the mass media on HR analytics make observable the positive outcomes of HR analytics and is this related to increasing HR analytics adoption over time? Second, does the mass media on HR analytics show evidence of management trendsetting rhetoric?

We analyze published popular trade, business press, and peer-reviewed academic articles over a decade using a big data discourse analytical technique, natural language processing.

We find preliminary evidence that suggests that although the media has broadcasted positive outcomes of HR analytics, adoption has tailed off. In concert with the tailing off of HR analytic adoptions, the media appears to be recasting HR analytics as solving newer problems such as managing talent. Whether this shift makes a difference has yet to be determined.

Business press appears to influence the adoption process, both by broadcasting positive outcomes and through creating management fashion trendsetting rhetoric.

To promote the use of HR analytics, academic institutions and the HR profession need to train HR professionals in the use and benefits of HR analytics.

We lay the groundwork to improve our understanding of the role media plays in influencing how new HRM practices spread across organizations. We introduce the application of an emerging big data analytic technique, natural language processing, to analyze published media on HR analytics.