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HRA-Chap 1 (2020)
HRA-Chap 1 (2020)
4. Time since last promotion (avg time in months since last internal promotion)
This rather straightforward metric is useful in explaining why your high potentials leave.
8. Engagement rating
An engaged workforce is a productive workforce. Engagement might be the most
important ‘soft’ HR outcome. People who like their job and who are proud of their
company are generally more engaged, even if the work environment is stressful and
pressure is high.
Not only do organizations need to ensure they have employees with the
right skills presently, but they also need to be able to anticipate future
departures or changes in the organization’s needs, particularly for business
growth. HR needs a data-driven approach to successfully navigate the
ever-changing composition of organizational talent. This ensures that
workforce and capacity planning are optimized.
For example, an electronics OEM may need to anticipate a greater need for
call center support with the release of new products in the next quarter.
Once again, HR needs to be aligned with the goals of the business and
upcoming changes. Predictive analytics and data analytics platforms are
changing the way HR can utilize and anticipate these changes.
•Finding people with the right skill set to gather, manage, and report on the data
•Data cleansing
•Data quality
•Too much data to parse or not knowing what data is most important
•Data privacy and compliance
•Proving its worth to executive leadership
•Tying actions and insight to ROI
•Identifying the best HR technologies to keep track of the data
Isson, Harriott and Jac Fitz-enz, People Analytics in the Era of Big Data: Changing
the Way You Attract, Acquire, Develop, and Retain Talent, Wiley, 2016
Guenole, Ferrar and Feinzig, The Power of People: How Successful Organizations
Use Workforce Analytics To Improve Business Performance, First Edition, Pearson,
2017
Sesil, Applying Advanced Analytics to HR Management Decisions: Methods for
Selection, Developing, Incentive and Improving Collaboration, Pearson, 2014
13.______________ is one of the leading HRIS 14.___________ metric shows the efficiency of
tools in the market due to its cloud-centric system the organization as a whole, it is an indicator of
architecture. the quality of hired employees.
a)Python a)Revenue per employee
b)Excel b)Ratio of HR professionals to employees
c)MicroStrategy c)Absenteeism
d)Workday d)Effectiveness of HR software
• Example:
01 – Australia
02 – United Kingdom
03 – United States
04 – Hong Kong
05 – Singapore
06 – Canada
So although the system stores country as a number, it is not a numeric value with
which we could meaningfully add, subtract, multiply or divide.
• There are three different types of categorical variable: binary, nominal and
ordinal
Human Resource Analytics (18B12HS412) 58
Binary variable
Gender: male/female
Attended customer service training: yes/no
Binary Only two categories Gender, someone who has left versus someone still
employed
Nominal Three or more categories Division or function (eg HR, Risk, Finance, Sales, etc);
country (eg Canada, Australia, India)
Median
• So if we can be at least 95 per cent confident (from statistical tests) that the
pattern of data found would be unlikely to occur by chance, we would say
that the finding is ‘statistically significant’.
• If we want to be 95 per cent certain about our findings then another way of
putting this is that we want to be able to say that there is only a 5 per cent
likelihood that our findings might be due to chance alone.
• The term used to indicate the level of significance in statistical tests is the
probability level. A 5 per cent likelihood is presented as a 0.05 probability.
This is called a p-value and this is what our statistical tests present: the
probability that our findings could be due to chance alone. So with the
statistical tests we want our p-values to be 0.05 or lower (commonly
indicated as p<0.05). Human Resource Analytics (18B12HS412) 85
Statistical significance
• Sometimes our statistical tests indicate that we can be more
than 95 per cent confident that our findings are meaningful
and not due to chance alone. For example, our statistical test
may indicate that we can be 99 per cent confident that our
results would not occur by chance and thus the p-value
presented here will be p=0.01. If the p-value of the result is
smaller than 0.01 then we indicate p<0.01.
Isson, Harriott and Jac Fitz-enz, People Analytics in the Era of Big Data: Changing
the Way You Attract, Acquire, Develop, and Retain Talent, Wiley, 2016
Guenole, Ferrar and Feinzig, The Power of People: How Successful Organizations
Use Workforce Analytics To Improve Business Performance, First Edition, Pearson,
2017
Sesil, Applying Advanced Analytics to HR Management Decisions: Methods for
Selection, Developing, Incentive and Improving Collaboration, Pearson, 2014
2015 Promotions
Gender Promoted Not Promoted Total
•Male promoted:
Observed value = 127
Expected value that we would probably have if there was no link
between gender and promotions
= (total # men) × (total # promoted) / total people
= 6,911 × 176/15,338
= 79.3
•Female promoted:
Observed value = 49
Expected value
= (total # women) x (total # promoted) / total people
= 8,427 x 176 / 15,338
= 96.7
When you look up what the critical values of a chi-square test for a 2 x 2
table (1 degree of freedom), these amount to the following:
p < 0.05 = 3.84
p < 0.01 = 6.63
p < 0.001 = 10.83
Our value of 53.53 is far greater than the chi-square value required for us
to be 99.9 per cent confident that our findings are not due to chance. We
can confidently say that as a proportion of males and females in our
organization, males get promoted significantly more frequently than
females. Human Resource Analytics (18B12HS412) 106
Ch-Square in SPSS
Isson, Harriott and Jac Fitz-enz, People Analytics in the Era of Big Data: Changing
the Way You Attract, Acquire, Develop, and Retain Talent, Wiley, 2016
Guenole, Ferrar and Feinzig, The Power of People: How Successful Organizations
Use Workforce Analytics To Improve Business Performance, First Edition, Pearson,
2017
Sesil, Applying Advanced Analytics to HR Management Decisions: Methods for
Selection, Developing, Incentive and Improving Collaboration, Pearson, 2014
4. A researcher asked 933 people what their favourite type of TV programme was: news,
documentary, soap or sports. They could only choose one answer. As such, the researcher
had the number of people who chose each category of programme. How should she
analyse these data?
e. t-test
f. One-way analysis of variance
g. Chi-square test
h. Regression
Regression Techniques :
Y = a + bX
Independent
variable
Slope
Dependent Vertical i.e., marginal change
variable intercept
Human Resource Analytics (18B12HS412) 131
Testing Regression Estimates :
The strength of relationship between the dependent variable and
the independent variables can be measured in two ways :
2. The t-statistic :
- used to test the strength of the relationship between an
independent variable and the dependent variable.
R
2 Explained Variation
(Yt Y )
ˆ 2
TotalVariation (Yt Y ) 2
bˆ 3.53
t 6.79
sbˆ 0.52
Isson, Harriott and Jac Fitz-enz, People Analytics in the Era of Big Data: Changing
the Way You Attract, Acquire, Develop, and Retain Talent, Wiley, 2016
Guenole, Ferrar and Feinzig, The Power of People: How Successful Organizations
Use Workforce Analytics To Improve Business Performance, First Edition, Pearson,
2017
Sesil, Applying Advanced Analytics to HR Management Decisions: Methods for
Selection, Developing, Incentive and Improving Collaboration, Pearson, 2014