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Predictive analytics in HR: case studies

Posted by thehrdiary on June 27, 2016 at 10:20 PM


Predictive analytics in HR: case studies

Predictive analytics - are the game changer that enables HR to not only assess how employees work, but also to predict and optimize the impact of people policies on both the employees and the business. Here are some real life examples of predictive analytics in HR:


1) Google:

Google estimates the probability of people leaving the company by applying predictive analytics. One of Google’s findings is that new salespeople, who do not get a promotion within four years, are much more likely leave the company.


2) Best Buy:

Best Buy can accurately predict how employee engagement impacts the performance of their stores. A 0.1% increase in employee engagement results in an increase of over $100,000 in the store’s annual income. The enormous impact of engagement prompted Best Buy to make its engagement surveys quarterly instead of annually.

3) Hewlett-Packard:

By using predictive models, HP generated what they called a “Flight Risk” score. This score predicted the likelihood of leaving of each of HP’s 300,000+ employees. Their findings were groundbreaking. Based on the data they could see why employees would leave HP. Higher pay, promotions and better performance ratings where, for instance, negatively related to flight risk. However, there turned out to be intricate relationships between those findings. For instance, when someone received a promotion but did not get a substantial raise, this person would still be much more likely to quit.

Categories: HR news & trends

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Reply Can
11:48 PM on June 27, 2016 
Reply Wen
10:29 PM on June 27, 2016 
Great info!