HR Analytics helped to Reduce Employee Attrition Rate of a PAN India Company
HR Analytics is proving its mettle in various sectors by helping companies not only save heavily on recruitment of new talent but also deal with age-long problem like attrition of employees, their training and rewarding programs. It has been proven from various examples that companies which implement HR Analytics in their HRM tend to have better work-environment than companies which don’t use it. One of our clients approached us with an issue in HRM which was related to attrition of their employees and it also affected their work-environment and revenues.
Untimely attrition of employees was causing workforce management hurdles and deteriorated customer service quality in stores. Increased HRM costs for regularly hiring new employees and reduced revenues due to customer experience issues were eating heavily into our client’s profitability.
A major Retail Store Chain in India
Developed EMS (Employee Management System) and IPS (Individual Predictive Score) by integrating innovative algorithms and analysis after studying behavior, performance patterns of individuals and teams.
• Primary survey of HR Managers and Employees
• Study of compensation and reward programs in the company
• Analysis of historical turnover rates
• Sentiment analysis of employees
• 360 degrees evaluation
• Mapped ‘Willingness to work’ of employees at various locations and times in specific teams
• Structured new ‘Exit Interview’
Using studies like these helped us define independent parameters for developing our customized EPS for this company. We developed algorithms to optimize this process of recruitment and rewarding which resulted immediately in better staffing of employees.
In addition to these, we developed unique IPS (Individual predictive score). This displayed evaluation of each individual employee in quantified manner based on our analysis, which helped managers to take informative decisions beforehand. This use of data science helped predict attrition rates which were proved to be correct in the course of time to up to 90%.
• 22% Reduction in attrition of Employees in just 6 months
• Increased productivity of Managers and Employees
• 16% increase in ‘Profit per store’
• Average Customer Experience score increased from 3.6 to 3.9 (on a scale of 5)