When you use EBDM, you take data from four types of sources that have been identified by The Center for Evidence-Based Decision Making:
Empirical studies from academic journalsInternal company dataProfessional expertise from practitionersValues and concerns of stakeholders
Furthermore, during an evidence-based decision-making process, there are three stages of action:
Gathering evidenceInterpreting evidenceApplying what you have learned
A study by Carol Gill at the Melbourne School of Business found that HR practitioners fail to follow the EBDM model even though that leads to “negative consequences for employees, organizations, and HRM practitioners.” Implementing evidence-based decision making in a human resource department can help it make decisions that drive the company forward.
Example of Evidence-Based Decision Making
For example, an HR manager who resists putting an employee recognition system in place because they don’t want their workers to become “complacent” is missing out on a chance to use evidence-based decision making. With the EBDM approach, the manager would seek out the experience of other HR managers who have used employee recognition to see the effect it had on employees. The manager could look for data from academic studies about the efficacy of employee recognition systems. And they could inquire with actual employees what their projected reception would be to instituting such a policy. If, after doing such due diligence on this decision, the overwhelming evidence was not in favor, the manager could feel justified in resisting the new approach. But if the evidence pointed to the likelihood of increased employee engagement and morale with a recognition system, the HR manager owes it to the business to go forward.
Four Types of Data to Use for Evidence-Based Decision Making
The four sources of information that provide data for an evidence-based approach are each unique but important factors for decision-making.
Empirical Studies
The first quality source of evidence for decision making is empirical or academic studies. Whether this information is discovered through reading academic journals directly, reading analyses in other publications, or attending conferences, it’s essential to know and understand the research behind human resources practices.
Internal Company Data
Another important source of information is internal data from your company. Fifty-five percent of companies use either an applicant tracking system (ATS) or a human resources information system (HRIS), so there is likely data from your own organization to be used. HR practitioners who are comfortable using and analyzing data can bring their department in line with other business functions that are improving their efficiency with data. Using data can help them differentiate competitively as well.
Professional Expertise From Practitioners
In addition to internal data and academic research, human resources practitioners should keep up with what others in the field are saying. Conferences by groups such as the Society for Human Resource Management, Work Human, and Unleash regularly draw thousands of HR practitioners who share their experiences. You can also find discussions online that center around trends and topics in human resources. These discussions are a great way to find new ideas and different perspectives to inform your decision-making. HR practitioners can also obtain certifications from the HR Certification Institute or the Society for Human Resources Management to maintain their skills.
Stakeholders
When managers make decisions, they directly affect employees. Employee satisfaction surveys and exit interviews can give you an idea of what your employees think. Human resources tools can also take instant reads on what people think, which can boost engagement and productivity. Getting a read on what key stakeholders think about proposed actions is part of evaluating all the best data available in order to make a good decision.
