Benefits: Predictive HR analytics enables organizations to become proactive in their use of data.
Instead of fixing past problems, organizations can create a future that prevents problems and solves future challenges before they even happen. This can save on future costs, both in revenue, goals, and productivity.
Challenges: Predictive HR analytics requires a level of skill, technology and investment that many organizations do not yet have.
Many factors also need to be taken into consideration in order to make predictions about employees or potential candidates.
Human beings can be unpredictable and have different personalities, backgrounds and experiences. Slotting people into a black and white algorithm in order to make predictions about their job performance or future poses not just a risk, but an ethical question.