The use of people/HR analytics in public administration
- Project team:
Dr. Marlène de Saussure (Project management), Dr. Robert Peters, Tobias Hungerland, Lia Meißner
- Thematic area:
- Topic initiative:
Committee on Education, Research and Technology Assessment
- Analytical approach:
TA-Kompakt
- Startdate:
August 2024
- Enddate:
2025
In a nutshell
HR analytics refers to digital methods of analysing employee data, designed to provide evidence-based support for human resources decisions. These applications can be used throughout the entire employment lifecycle, from recruitment and day-to-day personnel management to resignation and retirement. The study provides a concise overview of current and future applications, as well as the associated opportunities, risks and resource issues. It also addresses the question of how HR analytics can be used in a ethically responsible manner within public administration.
What does HR analytics mean?
- HR analytics refers to digital applications that enable evidence-based decision-making in human resources based on employee data. The aim is to improve the efficiency of HR processe through (partial) automation.
- HR analytics applications, ranging from simple statistical analyses to machine learning, can be used throughout the entire HR process within public administration, from recruitment and employer management to resignation or retirement.
- The use of HR analytics is intended to counteract the skills shortage in the public sector and increase the efficiency of the administration. In this way, public administration can be made more future-proof, the modernisation of HR management accelerated and financial pressures addressed.
Where and how are HR analytics solutions already being used in German public administration today? Are there international examples of the successful use of HR analytics?
- While such systems are already used more frequently by private-sector companies, their application in Germany’s public administration, which is in need of modernisation, is currently evident only in isolated cases.
- There are currently only a few applications in Germany, many of which are still in the pilot phase. These include the analysis of HR management data to improve efficiency, supporting specific HR tasks and the use of artificial intelligence (AI) for transcription and summarisation, as well as in the field of knowledge management. The Deutsche Bundesbank, the Bundeswehr, the statutory health insurance provider AOK and Wuppertaler Stadtwerke are playing a pioneering role.
- The UK is regarded as a model for standardising HR analytics processes, particularly for staff identification and career planning. In Australia, examples can be found at the Public Service Commission and the Australian Taxation Office.
What opportunities and risks are associated with the use of HR analytics?
- The application of HR analytics has the potential to collect and continuously optimise data across the entire employment cycle, from recruitment processes through to employee exit management. When HR analytics solutions are used responsibly and transparently, both the organisation and its employees can benefit.
- The optimisation of work processes and increased productivity, as well as a reduced workload for employees, are possible. Predictive analytics can support forward-looking human resources management. Personalised development recommendations enable more targeted career planning. Using HR analytics in a transparent and objective way can also lead to more evidence-based and fairer decision-making. This can lead to increased employee satisfaction and retention.
- Risks associated with HR analytics include opaque black-box algorithms, resulting misinterpretations of data, and its misuse. The inadequate representation of soft factors, such as creativity and soft skills, also poses a risk to the use of HR analytics.
- The possibility of discrimination through algorithmic biases is just as much a part of the discussion as the risk of surveillance, control and employee anxiety. The danger of employers and managers losing control and autonomy, as well as the possibility of wrong decisions or decisions of poorer quality, should also be mentioned. The public sector’s dependence on private
What factors must be taken into account when designing and implementing HR analytics systems?
- Widespread implementation requires a suitable data infrastructure, as existing data must be standardised and processed. To ensure acceptance, data security and data protection must be guaranteed .
- Significant financial investment is required for the procurement of new software. However, existing procurement guidelines complicate the procurement of HR analytics solutions.
- Furthermore, there is a need for additional staff in the fields of IT, data science and HR as a whole. Existing staff must be trained and upskilled. Training programmes and qualifications must also be partially reformed to meet new technical and organisational requirements.
- With regard to the necessary organisational development, openness to change and a strong willingness to innovate are key. Cooperation between management and specialist departments must be structured and based on trust to ensure acceptance and implement changes efficiently.
- The use of HR analytics requires that trust in the technical systems can be established. To this end, the involvement of the employees concerned and the clear allocation of responsibilities are of central importance.
How can HR analytics systems be designed as responsibly as possible? What questions need to be answered to achieve this?
- A range of design options is available to leverage the potential of HR analytics and minimise risks. In particular, the creation of a homogeneous data structure, clear guidelines for use, the adaptation of procurement regulations, the provision of sufficient financial resources, the further development of regulatory frameworks and the active shaping of organisational cultural change can be supported through policy measures.
- The General Data Protection Regulation and the Artificial Intelligence Regulation are the overarching frameworks governing the use of HR analytics. In addition, there are state-specific data protection laws. Although numerous issues are regulated, the implementation of data subjects’ rights remains a key problem.
- To date, there are hardly any practical examples of HR analytics in public administration, despite growing pressure to act in the context of administrative modernisation. This creates a need for further research to better understand the contributions of HR analytics to the modernisation of public administration in the field of human resources. The question of what effects HR analytics may have on individual employees also remains unanswered.
Methodological approach
The study combines qualitative and participatory research methods. It is based on a systematic analysis of the current literature and 14 interviews with experts from various levels of public administration and from the fields of HR and HR analytics.
Building on this, the interim findings were further explored in a two-stage Delphi survey involving an interdisciplinary panel of experts (public administration, academia, civil society and HR associations) and considered in relation to future developments – including those linked to hybrid working arrangements. Finally, a futures workshop was held, during which three alternative scenarios for the use of HR analytics in public administration were jointly developed.
Download
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TA-Kompakt Nr. 4 (only in German) The TAB report provides a concise overview of existing and future applications, resource issues, opportunities and risks, as well as answers to the question of how the ethically responsible use of HR analytics in public administration could be structured.
In the TA-Kompakt series presents current topics in a concise, scientifically sound format for the German Bundestag, supporting political decision-making processes. |
In the Bundestag
The final report on the TA project was approved by the Committee on Research, Technology, Space and Technology Assessment on March 18, 2026 and thus enters into parliamentary work.
Process - Report on the parliamentary server (DIP)
Use of technologies for the evaluation of employee data (People/HR Analytics) in public administration [link to follow after publication]
Previous publication on the topic
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Themenkurzprofil Nr. 64
(abstract available, full-text in German only) |