Only one third (36%) of employers are applying the data and insights gathered from their benefits platforms to tailor their offerings for staff, according to research from Buck, an integrated HR and benefits consulting, technology, and administration services firm. However, over half (53%) say that increasing personalised benefits would help their employees, which suggests this issue needs to be a primary focus.
The findings are part of a recent report produced by Buck and the Reward & Employee Benefits Association (REBA), looking at how reward and employee benefits systems and data are evolving.
John Deacon, Head of Employee Benefits in the U.K. at Buck, comments:
“Individuals have come to expect a more personalised experience in every facet of their lives, so it makes sense that the workplace needs to follow suit. The world of work has changed dramatically over the past 18 months; it’s vital that businesses are able to rely on good data from their benefits platform to make informed decisions about their employee benefits programmes.
“Using more targeted and personalised offerings is one of the top ways to improve the employee experience, boost employee engagement, and enable employers to meet the needs of an increasingly diverse workforce. The technology exists to achieve all these goals, and yet few companies are using it to maximum advantage.”
The research also found that, while 83% of employers can see the take-up of various benefits, far fewer effectively apply that insight beyond this initial stage. In fact, less than half (44%) use it to make strategic decisions about their packages, and only a third use it to tailor their benefits offering to different employee groups (36%) or to individual employees (33%). Even fewer businesses (12%) said they understood how their benefits helped them deliver against Diversity & Inclusion (D&I) objectives, and more than one in 10 (14%) said they don’t use their data at all.
The good news, however, is that employers are looking to improve in this area, with more than half of respondents (53%) saying that improving management information and data reporting will be a top area of focus for reward technology over the next 12 months. On top of this, 42% said that improving the analytical skills of system users is a top priority.
John Deacon concluded:
“Knowing where to start can be a daunting prospect, especially for businesses with a large number of employees or less sophisticated IT departments. Working with a trusted partner can make an enormous difference here, as it can help employers unlock the value of their data to improve the employee experience and deliver a significant boost to their business.”