Knowledge Hubs in Competence Analytics:
With a Case Study in Recruitment and Selection
Emiel Caron
1
and Saša Batistic
2
1
School of Economics and Management, Tilburg University, Tilburg, The Netherlands
2
School of Social and Behavioral Sciences, Tilburg University, Tilburg, The Netherlands
Keywords: Human Resource Analytics, Human Resource DSS, Strategic Competence Analytics, Knowledge Hubs, Data
Integration, Network Analysis.
Abstract: There is a lack of consensus on the usefulness of Human Resource (HR) analytics to achieve better business
results. The authors suggest this is due to lack of empirical evidence demonstrating how the use of data in the
HR field makes a positive impact on performance, due to the detachment of the HR function from accessible
data, and due to the typically poor IT infrastructure in place. We provide an in-depth case study of Strategic
Competence analytics, as an important part of HR analytics, in a large multinational company, labelled ABC,
which potentially shows two important contributions. First, we contribute to HR analytics literature by
providing a data-driven competency model to improve the recruitment and selection process. This is used by
the organization to search more effectively for talents in their knowledge networks. Second, we further
develop a model for data-driven competence analytics, thus also contributing to the information systems
literature, in developing specialized analytics for HR, and by finding appropriate forms of computerized
network analysis for identifying and analysing knowledge hubs. Overall, our approach, shows how internal
and external data triangulation and better IT integration makes a difference for the recruitment and selection
process. We conclude by discussing our model’s implications for future research and practical implications.
1 INTRODUCTION
Human Resource (HR) analytics is a relatively young
and underexplored research field under the umbrella
of Big Data Analytics (BDA) (Batistič and Van der
Laken, 2018). HR analytics enables organizations to
use descriptive, visual, and statistical analyses of data
related to HR processes to establish business impact
and enable data-driven decision-making (Marler and
Boudreau, 2017). Empirical evidence showing the
beneficial role of HR analytics in the HR function and
in the organization, in general, is scarce (e.g., Van den
Heuvel and Bondarouk, 2016; Marler and Boudreau,
2017). Various potential pitfalls why HR analytics
fails to deliver have been identified, but there seems
to be consensus, that the HR Information Technology
(HR IT) might limit its function as an HR analytics
inhibitor: data could be inaccurate, inaccessible,
outdated, lack depth, could not have been collected at
all, or could not be integrated across function,
geography or department (Marler and Boudreau,
2017). Especially combining internal and external
data could provide challenges and pitfalls, such as
poor comparability among others (Brown and
Vaughn, 2011). Improvements should be made in HR
IT to improve its status as an enabler for HR analytics,
especially integrating different data silos (e.g.,
Rasmussen and Ulrich, 2015), which could provide
more evidence of the usefulness of HR analytics.
This scarcity of empirical evidence leads some
authors to speculate that HR analytics might be
considered a fad (Rasmussen and Ulrich, 2015;
Angrave, Charlwood, Kirkpatrick, Lawrence, and
Stuart, 2016), yet anecdotal evidence from practice
suggest that HR analytics is gaining momentum in the
everyday business. We suggest, that more evidence is
needed to provide support to the notion that HR
analytics is providing added value to the business
(e.g., Rasmussen and Ulrich, 2015).
In this paper we focus on a special class of HR
analytics and HR DSS, named strategic competence
analytics for recruitment and selection. Exploring
various issues in HR, such as recruitment and
selection, defined as the “process of seeking
applicants for potential employment” (Noe,
Hollenbeck, Wright, and Gerhart, 2014, p. 762),
Caron, E. and Batistic, S.
Knowledge Hubs in Competence Analytics: With a Case Study in Recruitment and Selection.
DOI: 10.5220/0008117805850594
In Proceedings of the 14th International Conference on Software Technologies (ICSOFT 2019), pages 585-594
ISBN: 978-989-758-379-7
Copyright
c
2019 by SCITEPRESS Science and Technology Publications, Lda. All rights reserved
585
might serve as a case for examining the additional
positive effects and usefulness of HR analytics for
business (Marler and Boudreau, 2017). When
recruiting potential employees, it is important to
know what the company is looking for in a new
employee. The description of a competence helps, as
it provides HR recruiters with a set of knowledge,
skills, and abilities (KSA’s) combined with personal
characteristics to look for in potential employees.
This competency describes important enablers for
employees to fulfill their job (Noe, Hollenbeck,
Wright, and Gerhart, 2014). Strategic competencies
are competencies that the company must obtain, in
order for them to fulfill their business strategy
(Barney, 1991).
This research aims to provide a practical business
case study example, which shows the potential of HR
analytics and BDA in the HR function. In doing so we
answer a call to provide more empirical evidence
showing the business value of HR analytics on a
recruitment case (van den Heuvel and Bondarouk,
2016; Marler and Boudreau, 2017, Batistič and Van
der Laken, 2018). We base our case study on
knowledge hubs, defined by Knight (2013) as a group
of individuals that focus on “… the production and
application of new knowledge which has the potential
for commercial use”. Knowledge hubs are
characterized by high connectedness and high
internal and external networking and knowledge
sharing capabilities (Evers, 2008). Hubs have three
major functions: producing knowledge, putting
knowledge to practice, and passing on this knowledge
through education and training. In HR, knowledge
hubs could be used for more effective recruitment
activities by analyzing both internal, (for example:
employee’s education, conferences visited,
publications made) and external data (for example:
graduates of a certain study, LinkedIn profiles
regarding a business function), and then linking the
internal and external data to model relationships
between the enterprise and the knowledge hubs.
Having this information, the HR department can
decide on which knowledge hubs to focus their
recruitment efforts and create an action plan. Our case
study shows how to answer typical questions in
competence analytics and derive related metrics, like:
Where are knowledge hubs related to the
company located?
Which knowledge hubs are relevant for the
company and what is the size of the relevant
knowledge hubs?
How close are the knowledge hubs to the
company in terms of internal and external network
analysis?
Our study has two important theoretical
contributions. First, it provides further evidence of the
usefulness of HR and competence analytics in a
business environment and puts the emphasis on
knowledge hubs in the recruitment and selection
domain and provides a convenient practical model
that organizations can use. In doing so, we also show
how overcoming the limitations of the silo mentality,
due to lack of HR IT infrastructure (Rasmussen and
Ulrich, 2015) in place, and how a link between
internal and external databases valuable for the
recruitment process, further enhance the value of HR
analytics (Brown and Vaughn, 2011. Second, we also
contribute to the information systems (IS) literature
by adapting existing models for strategic workforce
planning from Phillips and Gully (2009) and
Makarius and Srinivasan (2017) to data-driven
competence analytics. We show the usefulness of this
model in a case study at the ABC-company.
This paper is structured as follows. In Section 2, a
model for data-driven competence analytics is
presented. This model is used in a case study in
Section 3, to identify important knowledge hubs in a
company's network of related institutions and
individuals. Finally, theoretical and practical
conclusions are drawn.
2 STRATEGIC COMPETENCE
ANALYTICS
2.1 Recruitment and Knowledge Hubs
Human Resource Management (HRM) refers to the
“policies, practices, and systems that influence
employees’ behavior, attitudes, and performance”
(Noe et al., 2014). The strategic objective of HRM is
to maximize their positive influence on company
performance. The recruitment and selection process
is an integral part of HRM. We consider a potential
employee’s KSA’s to be heavily related concepts that
HR recruiters look for in this process. In HR literature
(Marler and Boudreau, 2017), the importance of
KSA’s is stressed in the knowledge-based view of the
firm, this view sees knowledge as the most important
strategic resource of the firm for value creation.
Furthermore, social networks are important to
knowledge, as they have been shown to have an
influence on its creation, diffusion, absorption, and
use (Phelps et al., 2012). Phelps et al. (2012) define a
knowledge network or hub as “a set of nodes—
individuals or higher-level collectives that serve as
heterogeneously distributed repositories of
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knowledge and agents that search for, transmit, and
create knowledge—interconnected by social
relationships that enable and constrain nodes’ efforts
to acquire, transfer, and create knowledge”.
Knowledge hubs consist of nodes that represent
actors within the network. These nodes represent
individuals or collectives such as universities,
research institutes, companies, and project teams. The
knowledge hubs can become a source of a
competitive advantage according to the knowledge-
based view. This is confirmed by Vauterin et al.
(2013), who mention that in highly competitive
markets access to, and retainment of people and ideas
is supported by strong social network relationships.
Making these knowledge hubs a source of a
competitive advantage and a structure to be exploited
in recruitment and selection (Phelps et al. 2012).
2.2 Model for Data-driven Competence
Analytics
Strategic workforce planning (SWP) is used by firms
to “identify and address current and future challenges
to gaining the right talent, in place at the right time”
(Phillips and Gully, 2009). Acquiring and retaining
talent is a necessity for successfully executing a
firm’s business strategy, and a strategic and proactive
approach helps a firm to get the right talent. HR
analytics can be used in SWP to assure accurate and
real-time information in the planning process (Momin
and Mishra, 2015). This gives firms an overhand on
their competitors, which is necessary in highly
competitive talent markets. The Talent Supply Chain
Management (TSCM) model from Makarius and
Srinivasan (2017) aims to align talent supply with
talent demand by creating a relationship between the
firms and talent suppliers such as universities, a topic
which is missed in the SWP model. In order to tackle
the problem of misalignment between knowledge
supply and demand we adapt the SWP model for data-
driven strategic competence analytics. In this adapted
SWP* model, we fully integrate the strategic
knowledge sourcing process derived from Makarius
and Srinivasan (2017). Figure 2 in the Appendix
provides an overview of the SWP* model.
In the SWP* model, a step related to the
development of strategic competence data analytics
and knowledge sourcing is added after Step 3 ‘Gap
identification’. Step 4 ‘Strategic competence
analytics’ is composed out of sub steps 4a-4c:
Development of a sourcing strategy (step 4a);
o Analyze internal HR data to determine the
skills expected of future employees.
o Analyze internal and external data to identify
knowledge hubs using social network
analytics.
Development of hub selection criteria (step 4b);
o Determine a multi-criteria hub selection
approach. For example, by using criteria like
inter-hub competition for talent, long-term
relationship potential, cost of creating tie, etc.
Knowledge hub evaluation (step 4c).
o Make a selection from the total number of
knowledge hubs by using the most important
criteria.
In summary, the 6-step SWP* model is an extended
version of the 5-step SWP model Phillips and Gully
(2009, with a dedicated step for strategic competence
analytics after step 3 based on the TSCM model
Makarius and Srinivasan (2017).
2.3 Social Network Analysis
To facilitate the identification of knowledge hubs in
the sourcing strategy step (4a), social network
analysis is integrated. This analysis comprises:
Data Collection and Preparation: For the
formation of knowledge networks, three classes of
data sources are important:
o Internal data from HR information systems:
e.g. employee IS, performance management
IS, recruitment IS, etc.
o Professional Social Networks: e.g. LinkedIn
(2019), Xing (2019), etc.
o Scientometric and Bibliometric Databases:
e.g. Web of Science (2019), Scopus (2019),
Patstat (2019), Research Gate (2019), etc.
These data sources are integrated in the data
preparation phase, on the level of individuals and
organizations, and fed into a dedicated data mart
for HR and competence analytics.
Knowledge Hub Visualization: With the HR data
mart we connect software for competence
analytics and knowledge hub visualization. Two
types of software are relevant: 1) software for
performance dashboarding (e.g. MS Power BI
(2019)) and 2) software for network visualizations
and analysis (e.g. Gephi (2019)). With 1) HR
professionals create interactive visualizations and
overall competence measures and geographic HR
data, and with 2) knowledge hubs are visualized
and analyzed.
Knowledge Hub Analysis: In this analysis, we first
determine community structures within the
complete network, indicating structures of
competence, institutes or individuals, with the
algorithm described in (Blondel et al., 2008). This
Knowledge Hubs in Competence Analytics: With a Case Study in Recruitment and Selection
587
algorithm reports the network modularity, where
a high score represents a network with dense
connections. Network nodes have a certain
position within a knowledge hub (Phelps et al.,
2012). Therefore, another prospective way of
creating ties between hubs is the targeting of such
specific persons in the hub that have a central
position. These people can be used as an
influential link to other players within their hub,
thereby creating a connection from hub to hub.
Central individuals are recognized by using
typical centrality measures as: closeness,
betweenness, and degree centrality (Sumith et al.,
2017). Ties between actors are viewed as a means
through which information and know-ledge are
transferred. Direct ties are perceived to be more
efficient for sharing relevant and complex
information, compared to indirect ties (Singh,
2005). An individuals’ central position within a
network allows them to have more up-to-date
access to rich and diverse information, which
increases their ability to gain knowledge from
their network (Phelps et al., 2012). Therefore,
individuals or institutes with a higher value for the
centrality measures, compared to others, are
perceived to be more knowledgeable actors in a
knowledge network. Especially degree centrality,
which measures the number of direct ties, is
important in determining knowledgeable nodes in
a network (Zhang and Ma, 2016). Besides, the
centrality measures are used to cross-validate an
actors’ importance. Network eccentricity is used
to determine the distance a certain node will have
to travel to the node furthest away from it. This
measure is used to benchmark how far the
company is from other nodes.
3 CASE STUDY ON STRATEGIC
COMPETENCE ANALYTICS
3.1 ABC-company’s Supply and
Demand Profile
This case study focuses on one of the technical
competencies identified within the ABC-company, a
large technical multinational based in The
Netherlands. The name of the company is
anonymized here because of rules related to non-
disclosure. The ABC-company delivers state-of-the-
art technology in its field. ABC has a business
strategy that aims to achieve technological leadership
with an operational excellence and customer focus.
Innovation in all business segments is very important.
The company’s talent strategy starts by identifying its
core competencies. This was done through strategic
competence sourcing. A competency is identified as
a critical core competency when:
1. There is long-term demand for the competence.
2. There is high demand for the competence.
3. There is low availability of the competence in the
external labour market.
The criticality of these competencies has been
determined by looking at projected growth of
demand, and the time needed to hire a person within
the specific competency. This has led to the
identification of core competencies. This case study
focuses on one of these: competence X. Competence
X is the competency in the ABC-company for which
demand is expected to grow the most of all
competencies for the years to come, and the talent for
competence X is needed in several of its branches.
Competence X is an area of knowledge for which
the ABC-company’s demand in the long-term is high,
but the supply from the labour market is low.
Analysis shows that a several hundreds of additional
functions related to competence X are expected to
open this year. The current de-mand for competence
X in the global market is around 6,000 in 7 significant
countries identified by (Gartner, 2019): The
Netherlands, South-Korea, Japan, China, India,
Germany, and Israel. In terms of demand, the
company has a need for potential employees with a
master’s degree or a PhD. Talent supply in the same
nine countries as identified before by Gartner (2019)
offer a supply of around 35,000 competence X
talents. Currently the gap between demand and
supply is mainly experienced for master-level
competence X employees. However, it is predicted
that the overall gap for both master and PhD students
will grow in the future. Therefore, it is important to
start recruitment efforts in knowledge hubs.
3.2 Data Collection and Preparation
In order to map the ABC-company’s internal
knowledge network for competence X, a data set is
created, described in Table 1. The dataset covers 124
employees, 136 of their co-authors, and their 127
knowledge products written in the last 20 years.
Four sources of data are identified, listed in order
of importance:
1. Internal data obtained from the ABC-company’s
records. This data has been anonymized by
replacing employee numbers by identification
numbers. Age has been grouped within intervals.
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Table 1: Data entities for the internal knowledge hub.
Data Entity
Employee
data
Knowledge
Products
Co-Author
data
Data Source
ABC company
Nationality
Employee
Number
Country of
Employment
Age Group
Gender
LinkedIn and Xing
Education
(Institute,
Study, Level,
Location)
(1969- 2018)
Working
Experience
(Institute,
Length,
Function,
Location)
(1988-2018)
LinkedIn, Research Gate, Xing
Skills
Product Type
(Journal Article,
Patent, Report, or
Conference)
Name
Title
Current
Employer(s)
Source
Country of
Employment
Date of
Publication
(1999 to 2018)
Skills
2. LinkedIn. LinkedIn is an online social network
used for professional networking, including job
and CV posting. Data has been obtained through
the recruitment tool offered by LinkedIn, namely
LinkedIn Recruiter. With over 530 million
members worldwide, it offers a wide base of
labour market data (LinkedIn, 2019).
3. Research Gate. Research Gate is a social
networking platform where scientists and
researchers share papers, ask and answer
questions, and find collaborators. It has over 15
million verified scientist members (ResearchGate,
2019).
4. Xing. Xing is a social networking site targeted at
professionals in German speaking countries
Germany, Austria, and Switzerland. In these
countries, Xing has over 13 million users (Xing,
2019).
Two different types of individuals were identified,
each with their own sourcing method:
1. Employees were identified through the
competence X employee list obtained from
internal company records.
2. Co-Authors were identified by gathering the
names of co-authors or co-owners belonging to
articles and patents written or owned by the ABC-
company’s personnel.
Knowledge products like journal articles, patents,
reports and conference publications serve as a link
between these two types of individuals; together
creating ABC’s internal knowledge network. The
obtained data was then accumulated in the HR data
mart and imported into the analytics software to
create visualizations.
3.3 Sourcing Strategy
The sourcing strategy consists of the following
components:
the analysis of internal HR data to determine the
skills expected of future employees.
the analysis of both internal and external data to
identify knowledge hubs.
Map visualizations are used to answer questions Q1
and Q2:
Q1. “Where are the competence X’s knowledge hubs
related to the ABC-company located?”, and
Q2. “Where are the external competence X’s
knowledge hubs located worldwide?”.
Question 1 is answered by comparing the
geographical maps produced by the analytics
software. These show the location of employees’
current and past employers, location of current
employers of the co-authors, and location of the
employees’ past educational institutes, respectively.
Looking at the map, we can see the areas around the
ABC-company locations are most heavily covered by
related knowledge players in their hub. Especially
Eindhoven, in the overall Europe area and the areas
around San Diego and San Jose in America.
The co-author employer locations, depicted in
Figure 1, show an interesting overview, suggesting
additional locations such as: Israel, United-Kingdom,
India, Turkey, China, Russia, Germany and Greece as
possibly interesting knowledge locations. The
Netherlands and East- and West-Coast of the United
States remain large suppliers of knowledge players.
Question 2 is answered in the same manner. Here
maps are used to show the location of external
competence X talents’ current and past employers,
and the location of the external’s past educational
institutes, respectively.
Knowledge Hubs in Competence Analytics: With a Case Study in Recruitment and Selection
589
Figure 1: This map shows the locations of the current and
past employers of the ABC employees’ co-authors. The
color of the labels indicates the country it is part of, the size
of the labels indicates the number of co-authors that have
worked for that employer.
3.4 Hub Selection Criteria
In order to select the hubs most relevant to ABC, a
multi-criteria hub selection approach has been
formulated based on the requirements of ABC. The
requirements are the result of structured interviews
with HR professionals. The knowledge hubs of
interest are selected based on the following selection
criteria, listed in order of importance to ABC:
1. The occurrence of skills requested. These skills
ensure that the individuals in the hub, when
selected or recruited, fulfil the different aspects of
their job.
2. The number of central actors, based on the
centrality measures: degree, betweenness, and
closeness. The centrality of actors within a hub
gives an indication of their knowledge base.
Furthermore, the more connections an actor has,
the bigger its impact will be when it is added to
the internal network of ABC.
3. The size of the hub. The size of the hub is based
on the number of actors that are part of the hub.
The larger the number of actors, the more
interesting the hub will be. Any recruitment
activities will be able to yield a larger number of
possible employees.
4. The competition for individuals in the hub. This
selection criterion is applied on the hubs that
remain after the first three criteria. Gartner’s
TalentNeuron (2019), a platform used by ABC
providing talent analytics insights, is used to gain
information on the competition for competence X
talent in the geographical areas of the selected
hubs. When competition is high, it will be more
difficult for ABC to recruit from these hubs.
Other possible selection criteria are based on the
proximity to current locations of ABC, and the
existence of connections to ABC:
5. The proximity to actual locations of ABC
branches is currently not an important selection
criterion to ABC. ABC has specified that it is
willing to open branches in new locations, if the
size of the talent supply there gives them reason
to.
6. The existence of direct connections to ABC is
currently not an important selection criterion to
ABC. Already having a connection to important
hubs will make it easier to approach them for
recruitment. However, it is more important to get
insight in all hubs that could be of interest to ABC,
not just the ones where ABC already has some
kind of relationship with.
3.5 Internal Network Analysis
Figure 3 in the Appendix depicts the internal network
for competence X. The centrality measures allow us
to identify the most ‘knowledgeable actors’ in its
network. Table 2 gives an overview of the ten most
important institutions and their centrality measures,
ordered by degree, and Table 3 gives an overview of
the ten most important individuals and their centrality
measures, again ordered by degree.
Table 2: Top-10 centrality measures for internal network
institutions.
Institute
Centrality measure
Degree
Betweennes
s
Closeness
Eindhoven Univ. of
Technology
20 0.011904 0.325911
University of Arizona 16 0.007337 0.310212
Tech. company XYZ 11 0.002154 0.312621
University of Twente 10 0.001427 0.304348
Delft University of
Technology
9 0.001763 0.312621
Utrecht University 7 0.003895 0.315068
TMC 7 0.001033 0.306667
Imperial College
London
6 0.005639 0.346237
University of
Groningen
6 0.000558 0.297048
Hellas (FORTH) 6 0.000168 0.26094
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Table 3: Top-10 centrality measures for individual actors.
Individual
Centrality measure
Degree
Betweennes
s
Closeness
Employee 4051 41 0.413872 0.509494
Co-Author 34 19 0.003991 0.350763
Employee 4111 16 0.015800 0.431635
Employee 4117 15 0.012473 0.428191
Employee 4112 12 0.011973 0.427056
Co-Author 44 12 0.001183 0.346237
Co-Author 38 12 0.000896 0.346237
Employee 4115 10 0.005898 0.423684
Co-Author 40 10 0.002686 0.345494
Co-Author 42 10 0.000632 0.345494
The ten most important individuals have been
selected based firstly on their degree centrality, as
direct relationships have been assumed to contribute
most to an actor’s knowledge (Phelps et al., 2012).
The betweenness and closeness centrality measures
have been normalized, which makes it easier to see
the difference between actors.
Inspecting Table 2, we see institutions that are
important according to all centrality measures, the
top-3 being: Eindhoven University of Technology,
University of Arizona, and Tech. company XYZ.
Looking at the most important individuals in the
network depicted in Table 3, we see Employee 4051
and 4111 in the top-3 based on all centrality
measures, and Co-Author 34 based on degree
centrality. These institutions and individual actors
play an important role in ABC’s knowledge network,
and since these are all part of ABC’s internal network,
the relationships of this network are used in
approaching the institutions and individuals
connected to them in the external network.
The identified institutions can be associated with
via partnerships and the universities might be
partnered with to secure future supply of talent. The
companies are important to ABC for the purpose of
knowledge sharing. All institutions are candidates for
recognizing suitable employees in the selection
process, when they occur in an applicant’s curriculum
vitae. In the future, the data on the identified
individuals of a network is used to create an average
persona to which future candidates can be compared
in the selection process. Furthermore, the recognition
of central individuals in the network of a strategic
competence makes it easier to recognize whom to
turn to when questions regarding this competence
arise. Since degree centrality is a measure of direct
connections, and with that an indicator of knowledge,
it suggests that, although Co-Author 34 might not
hold much knowledge of competence X on its own,
this person is able to refer to the right people and can
create a team of knowledgeable actors.
3.6 Knowledge Hub Evaluation &
Recommendations
Using the concept of network modularity, 38 hubs or
sub-networks are detected in the network for
competence X. The modularity score of the
competence X network is high with 0.846, indicating
strong community structure within the network. In
order to answer the question: “Which of these
knowledge hubs are relevant to ABC? we apply the
selection criteria identified in coordination with ABC
to the 38 identified hubs. Selection criterion one, the
occurrence of demanded skills, has been met through
the data collection method. The externals’ skills are,
like the employees and co-author’s skills, directly
related to the demanded skills. The internal ABC
network has been confirmed to contain skills that are
related to the skills demanded by ABC. The external
network consists of individuals that have at least ten
of these skills. Therefore, all 38 hubs satisfy the first
selection criterion.
Selection criterion two, the number of central
actors, evaluates the 38 remaining hubs according to
their number of central actors. The actors are deemed
‘central’ when at least two centrality measures
identify them to be among the ten most central
individuals or institutes. In the competence X
network analysis, for example, the ‘Eindhoven
University of Technology’-hub is evaluated as a
central institute and Employee 4051 is evaluated as a
central individual. The remaining hubs are then
evaluated according to their size expressed in number
of actors. This analysis indicates, for example, that
the ‘Eindhoven University of Technology’-hub and
the ‘Indian Institute of Technology’-hub are
relatively large in terms of size. Lastly, we determine
competition for talent in the locations of the central
actors of these five hubs. We use TalentNeuron
(Gartner, 2019) to determine the demand for
competence X personnel in the locations of these
hubs. After this analysis several hubs are excluded
because the number of direct employers competing is
very high. This last selection criterion leaves, for
example, Eindhoven and Kanpur as most desirable
hubs after applying the SWP* model.
In order to answer the question: “How close are
these knowledge hubs to ABC?”, we define the metric
Knowledge Hubs in Competence Analytics: With a Case Study in Recruitment and Selection
591
weighted number of ties (WNT). This metric counts
the number of ties from ABC with the resulting hubs
from the hub selection process. The WNT is defined
as the weighted total of: 1) the # of ABC employees
belonging to that hub (w
1
=1), 2) the # of institutes
ABC has a partnership with (w
2
=1), and 3) the co-
authors of ABC employees (w
3
=0.5). The co-authors
have a smaller weight, since these actors are often not
directly connected to ABC. The WNT determines the
approach of action that has to be taken towards the
hub. A low WNT indicates that the first step should
be creating partnerships and creating awareness of
ABC within the hub. A high WNT indicates a
relationship exists already, therefore these can be
used to source knowledge talent from these hubs. In
this case the ‘Eindhoven University of Technology’-
hub has a high WNT close to 50. Next, we connect
the hubs with a high WNT to the identified central
actors. For these hubs and actors, the recruitment
actions are, for instance: to build a ‘persona’ based on
data on the individuals within the hub that recruitment
will be targeted towards, and to build
partnerships/relationships with central institutions
and individuals. And as a final step, it is important to
continuously monitor the strategic competence
network, and evaluate the selection and recruitment
activities’ positive and negative effects per hub. By
doing this, up-to-date network information is ensured,
and the recruitment and selection activities are fine-
tuned to the specific hubs.
4 CONCLUSIONS
4.1 Theoretical Contribution
By providing a case study of the usage of analytics in
knowledge hubs related to the recruitment and
selection process, we provide two main theoretical
contributions. First, we provide much needed
empirical evidence on how the right usage of HR
analytics can have beneficial effects on the
organization business (Marler and Boudreau, 2017)
and especially in the recruitment and selection
domain of the HR function. We provide an example
on how HR decision making benefits by triangulating
internal and external data (Brown and Vaughn, 2011),
and show how beneficial it is for the HR function to
overcome its internal focus and look for useful data
even outside the function itself (Rasmussen and
Ulrich, 2015). The proposed model SWP* contributes
to the literature by providing an example on how the
use of strategic competence analytics and overall HR
analytics, helps the organization recognize and utilize
competencies in and around the firm. For example,
the results and proposed model show, how recruiters
identify important talents or important institutions in
their knowledge network, which in the end provide
the organization with unique human capital – as they
can focus to recruit specific individuals with unique
SKA’s (Lepak and Snell, 1999). Second, we also
contribute to the general IS literature by further
developing a model for data-driven competence
analytics, inspired by the work of Phillips and Gully
(2009) and Makarius and Srinivasan (2017), in
producing and validating dedicated analytics for HR.
In the model, knowledge hubs are identified
algorithmically as community structures and
subsequently analysed with centrality measures.
Hence, concepts from network analysis are applied in
the context of strategic competence analytics. In
addition, the presented method builds also on the
visualization strength of network analysis, which
provides a simple and effective overview of the most
important actors in the knowledge hub. This approach
enables recruiters to identify hubs that fulfil their
criteria of interest, recognize the important players in
these hubs, identify their connections to these hubs of
interest, and adapt their recruitment strategy
accordingly.
4.2 Practical Implication
Instead of relying purely on social capital and
intuition to find the right talents, recruiters, can use
the model provided in this paper. The model provides
an easy to understand network visualization, which
potentially points out individuals and institutions that
have a strong connection with the company. Such
networks provide data-based insights into central
actors within the company network, which can be
targeted for recruitment.
4.3 Limitations and Future Work
A limitation of this paper is the fact that only a
confined number of data sources has been used as
sources for the network data. For example, LinkedIn
has high coverage of the labour market of the USA,
but low coverage of the East-Asian and African
labour market (LinkedIn, 2019). Therefore, the
representation of population by the data is not entirely
accurate. Future research should include multiple
sources of data to obtain more reliable and global
results, such as Facebook (Brown and Vaughn, 2011).
In addition, for future research we want to:
Develop appropriate models for data cleaning,
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to better facilitate the integration of HR data
sources and align with legal issues.
Finetune the set of relevant metrics for
competence analytics, and
Validate and develop the presented model at more
companies and organizations.
ACKNOWLEDGEMENTS
The authors would like to thank Demy van Hassel for
her work on this topic and the ABC-company for their
contribution.
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APPENDIX
Business Strategy
Talent Strategy
Develop Action
Plan(s) to Address
Forecasted Talent
Gaps
Identify Gaps
(Projected Labor
Surpluses or
Shortages)
Monitor, Evaluate,
and Revise Forecasts
and Action Plans
Forecasted Demand for
Labor
Forecasted Supply of Labor
Strategic
competence
analytics
Step 1 Step 2 Step 3 Step 4 Step 5 Step 6
(a)
Sourcing
strategy
(b)
Hub selection
criteria
(c)
Hub
evaluation
Figure 2: Model for data-driven strategic competence analytics (SWP*). Adapted from Phillips and Gully (2009).
Figure 3: This knowledge network shows the internal network of ABC. The size of the nodes is determined by degree
centrality, and its color by the modularity class. Nodes with a low degree centrality are filtered out to improve visibility of
important actors.
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