Completion Date:
Project Overview
The primary goal of this project is to leverage the capabilities of a Human Resource to gain valuable insights into patterns and trends. This analytical approach aims to facilitate strategic decision-making within the organization. HR analytics serves as a potent tool for optimizing workforce efficiency, enhancing employee engagement, and aligning organizational objectives with the skills and capabilities of the workforce.
With the power of data visualization through Power BI, the project seeks to uncover actionable insights that can contribute to informed decision-making. The integration of HR analytics is crucial for identifying key performance indicators, understanding workforce dynamics, and enhancing overall organizational effectiveness.
Furthermore, the Human Resource Dashboard will provide a comprehensive view of various HR metrics, including but not limited to employee turnover, employee efficiency levels, and job satisfaction evaluation. These metrics will be instrumental in gauging the health of the organization\'s human capital and enabling data-driven strategies for talent management.
The project recognizes the evolving role of HR analytics as an indispensable tool for modern organizations, allowing them to adapt to dynamic workforce challenges. The dashboard\'s capabilities extend beyond mere data representation, providing a holistic understanding of the workforce landscape and offering insights that can directly impact strategic planning and execution.
Role:
Problem Statement
The current Human Resource system requires a comprehensive and integrated approach to monitor and manage essential workforce metrics beyond the churn rate, as the absence of a holistic perspective hampers addressing crucial aspects like job satisfaction percentage, employee service years, age distribution, and educational qualifications. To optimize human capital management, there is a need for a robust HR dashboard that encompasses a broader spectrum of metrics, providing actionable insights and fostering a more informed, proactive, and strategic approach to talent management.
According to the 2021 survey:
1. Voluntary U.S. turnover doubled between 2011 and 2021.
2. The U.S. average annual turnover rate reached 47% in 2021.
3. A significant 54% of quits are attributed to a lack of feeling valued. Additionally, 34% of new hires quit within the first 90 days due to company culture. Implementing regular employee feedback is shown to result in a 14.9% lower turnover rate, emphasizing the importance of a proactive approach.
Key Takeaways
In reviewing the HR dashboard, several key observations provide insights into the organizational dynamics, workforce composition, and performance metrics. These findings are instrumental in understanding the current state of the workforce and identifying areas for strategic intervention.
Positive Insights -
1.Job Satisfaction% :
A large percentage of employees are highly satisfied with their jobs. This high job satisfaction is particularly noticeable among employees at Job Level 2, those aged 31-40, working in the field of Life Science education, and those who have been with the company for 5 years. Additionally, 70% of satisfied employees live nearby, and 63% of them are male.
2.Average Service Years:
The average service tenure of employees is 7 years, indicating a relatively stable and experienced workforce. For those who have worked for 6 years in the 31-40 age group, job satisfaction is even higher at 73%. This suggests that the 5–6 year mark is crucial for assessing employee happiness.
To maintain an average service period of 7 years, its essential to focus on keeping employees satisfied in their early years of service.
3. High Performance Rating:
High performance ratings have been observed consistently across various departments, service years, age groups, and educational backgrounds. The average performance rating falls within the range of 82-85%, serving as an asset to the organization.
Negative Insights -
1. The churn rate analysis reveals significant trends:
- Employees with 0-2 years of service experience a high churn rate of 35%.
- Those who worked for less than a year face an even higher churn rate of 36%, with a majority falling in the 20-30 age group.
- Similarly, individuals with just one year of service also exhibit a 36% churn rate, predominantly in the 31-40 age group. This is notably pronounced among level 1 employees.
Understanding the factors contributing to this elevated turnover is essential for organizational health and future planning.
2.Low job satisfaction:
The \"Low\" satisfaction category comprises 170 males and 119 females, signifying a segment of the workforce that may require focused attention to enhance satisfaction levels.
When job satisfaction is low, the average churn rate is 23%. The majority of departures come from the Research and Development team, with a background in life science, closely followed by those in medical field. Employees at Levels 1 and 2 tend to have the lowest job satisfaction. Therefore, addressing this issue is crucial, as even employees residing close to the workplace express dissatisfaction.
3.• Job Level 1
1. Job Level 1 has the highest number of employees, comprising 344 males and 199 females.
2. Overall, Job Level 1 employees experience a 26% churn rate.
3. Within Job Level 1, employees aged 20 to 30 years have a notably higher churn rate of 34%.
4. Employees in this Level, with low satisfaction status exhibit a significant churn rate of 39%.
5. Specific departments show high churn rates, with the marketing department at 57% and the human resources department at 46% for this Level of Employees.
6. Among Job Level 1 employees, those with less than a year of experience are leaving the company at a churn rate of 48%.
Next Steps
Suggestions:
1. Low Job Satisfaction:
While overall job satisfaction is generally positive, there are discernible variations among distinct employee groups. For those experiencing job satisfaction levels at 25% and below, it is imperative to employ targeted strategies aimed at fostering a happier work environment for everyone. Implementing specific initiatives tailored to address the unique challenges faced by different job levels, with particular emphasis on Level 1 employees, is essential. These efforts are crucial not only for mitigating attrition but also for elevating overall job satisfaction, ultimately contributing to the creation of a more positive and productive workplace.
2. Service Years :
While the average service years suggest a stable workforce, it is crucial to implement measures aimed at retaining experienced talent. This can be achieved through engaging initiatives, robust career development programs, and the celebration of employee milestones. It is especially important to focus on employees with service years ranging from 0 to 3, as the churn rate within this period is notable, ranging from 16% to 36%. In addition to the mentioned initiatives, fostering a supportive and inclusive workplace culture, providing mentorship opportunities, and recognizing achievements can further contribute to increasing the service years of employees who are within their initial four years with the organization. This comprehensive approach aims not only to retain valuable talent but also to enhance overall employee satisfaction and commitment.
3. Employee Proximity Overview:
A significant 70% of our workforce resides in close proximity to the office, with 16% categorized as staying far and 14% identified as staying very far. Recognizing the geographic distribution of our employees holds importance for factors related to commuting, the formulation of remote work policies, and overall employee convenience. The predominant geographic proximity of the majority of our staff presents potential opportunities for optimizing office locations or exploring the feasibility of implementing flexible work arrangements. For those categorized as staying far, providing flexible work options may be a strategic initiative to enhance retention, given their churn rate stands at 22%. This approach aligns with the understanding that accommodating employees with greater distances may contribute to improved job satisfaction and overall workforce stability.
4. Age specific programs:
Explore the implementation of programs and benefits tailored to specific age groups, particularly targeting employees in the 20-40 age range. This approach aims to boost engagement and job satisfaction, considering the churn rate within this demographic fall between 14% and 26%. Beyond age-specific initiatives, consider introducing flexible work arrangements, professional development opportunities, and mentorship programs to enhance motivation for employees in this age bracket. Additionally, acknowledging and celebrating achievements, both individual and team-based, can contribute to a positive work environment. Regular feedback sessions and avenues for career advancement further serve to elevate job satisfaction and foster long-term commitment among employees aged 20 to 40.