A ‘critical’ time for HR data proficiency is looming. How to prepare

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The pace of innovation in HR technology is driven by the need for strategic alignment with changing workforce dynamics and AI-driven advancements. Justin Angsuwat, chief people officer at employee experience platform Culture Amp, says HR leaders can navigate this critical moment effectively—but only if they utilize a strong foundation of workplace and HR data.

The critical 12-18 months

With a background spanning software engineering consulting and people leadership at companies like Google and PwC, Angsuwat brings a unique perspective to the challenge of data-driven HR transformation.

“The next 12 to 18 months are going to be the critical window for HR teams to get their data in order,” he explains.

This isn’t just theoretical speculation, he says, but a strategic imperative driven by the emerging capabilities of artificial intelligence and predictive analytics. And for HR leaders interested in taking advantage of agentic AI, the pressure increases. Deloitte predicts that one-fourth of companies using generative AI will launch agentic AI pilots or proof-of-concept projects this year, with adoption expected to reach 50% by 2027.

This urgency stems from a technological convergence where AI vendors are beginning to move beyond surface-level process optimization, such as automation. Angsuwat believes the true potential for HR impact lies in “personalizing organizational insights and action at scale”—a capability that will fundamentally reshape what HR does and how it impacts organizations.

Currently, most organizations are exploring AI’s prospects through process optimization—automating transactional activities to free up HR professionals’ time. However, Angsuwat sees this as merely the first stage.

The real breakthrough will come from generating workforce insights that were previously impossible to extract. As McKinsey researchers wrote in the January 2025 report, Superagency in the workplace: Empowering people to unlock AI’s full potential: “To truly harness the potential of AI, companies must challenge themselves to envision and implement more breakthrough initiatives.”

Laying the foundation for AI-ready data

The journey begins with fundamental data hygiene. Angsuwat recommends a systematic approach that starts with clear definitions of basic metrics. Even something as seemingly simple as distinguishing headcount requires precision, he says—the organization needs a consistent understanding of the difference between total headcount, full-time equivalents and active employees. Angsuwat says that HR leaders must aim to create data structures that are truly AI-ready. This means ensuring data is:

  • Structured consistently across multiple systems
  • Portable between different platforms
  • Free from potential bias
  • Capable of real-time integration and access

“The power of the HR team is no longer going to be finding data,” Angsuwat notes. “It’s about finding insights and knowing what to do with them.”

The four stages of data maturity

According to research from McKinsey, most companies now invest in AI, yet only 1% consider themselves fully mature in its implementation. Angsuwat outlines a progressive framework for HR data capabilities:

  • Descriptive: Simply describing the current workforce state
  • Diagnostic: Understanding why certain patterns emerge
  • Predictive: Forecasting potential future outcomes
  • Prescriptive: Recommending specific interventions

Most organizations currently operate at a basic level of data sophistication, according to Angsuwat. However, this isn’t bad news—it’s a necessary step in building a data-driven HR function. He believes the opportunity lies in methodically progressing through these stages, leveraging increasingly sophisticated analytical capabilities.

Justin Angsuwat, chief people officer at Culture Amp
Justin Angsuwat, chief people officer at Culture Amp

One critical warning emerges from Angsuwat’s insights: Do not rush to purchase expensive AI tools before building a solid data foundation. “You can’t take advantage of these tools [if] your data is not ready yet,” he cautions. The result is often organizational friction and wasted resources instead of meaningful insights.

Drawing from his extensive experience across tech and consulting, Angsuwat envisions a future where HR becomes as data-driven as marketing or sales. Just as marketing teams have sophisticated tools to understand customer behavior, HR will develop equivalent capabilities to understand and support workforce dynamics.

AI will drive revenue, if orgs transform

“People leaders will demand that HR is data-informed,” he predicts. “Gut feelings will no longer work in HR.” Organizations that invest in their data infrastructure now will gain significant competitive advantages.

Angsuwat is not alone in this philosophy. AI presents a rare and powerful opportunity—nearly 90% of leaders expect it to drive revenue growth within the next three years, according to McKinsey researchers. However, they warn that achieving that growth requires corporate transformation, an area where businesses often struggle.

The technology is maturing rapidly, according to Angsuwat. He says organizations now have a critical window to prepare their data infrastructure. Those who wait a year or two risk falling behind competitors who have already begun building sophisticated data ecosystems.

For HR leaders, this represents both a challenge and an extraordinary opportunity to reimagine their strategic role within organizations. “Now is the time to do something about it,” Angsuwat emphasizes.

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