PROJECT DESCRIPTION
Based on employee data recorded during 16 years of activity, a company seeks to reduce turnover rate, absences, and employee dissatisfaction; and increase performance.
After carrying out an exhaustive exploratory data analysis and identifying correlations between factors that affect an employee's stay and their performance, the insights and recommendations are delivered to the company to increase the time that workers remain in the company, reduce expenses in hiring, and increase teamwork and employee productivity.
Python Version: 3.8 Packages: pandas, numpy, sklearn, matplotlib and seaborn.
EXPLORATORY DATA ANALYSIS
INSIGHTS
The production department reports 8 times more employees who end their contract voluntarily rather than being terminated for cause. This finding implies possible sources of dissatisfaction within the department that cause them to leave the company.
At least 56% of employees terminated for cause had high performance scores, This finding implies that an employee can be terminated for cause even when their performance is good or excellent. This result is concerning, since it could indicate two possible problems. Either 1) The company’s performance measurement system is flawed, or 2) The company’s termination decisions are inappropriate.
Women exhibit an average of 31% more absences than men.It is noteworthy that, although the sales department has only 14% of the number of employees that the production department does, both departments present nearly the same number of total absences.
60% of the employees are highly satisfied with the company, and 34% are satisfied. This means that only 6% of the employees are not satisfied. It can thus be inferred that the company has good motivation strategies and employee retention, as well as corporate culture.There are only two completely dissatisfied employees, and they are in the production and sales department. Although production is the department with the largest number of workers, it would be good to review the sales department to know what factors may be at play.
Indeed and LinkedIn are the top platforms from which the company sourced its candidates.Although LinkedIn and Indeed have provided the largest portion of active workers, the recruiting source with the highest number of workers subsequently terminated for cause was Google search.Regardless of the source of the hire, all employees are able to achieve a performance score of "Fully Meets"; although top-scoring employees are more frequently sourced from Linked and Indeed.
Workers with low satisfaction scores also tend to have low performance scores. This could imply a positive causational relationship between the variables in either direction (i.e., low performance leads to low satisfaction or vice versa); or that another variable impacts both satisfaction and performance together (e.g., the quality of management in a given area impacts both satisfaction and performance).
At least 90% of the employees have high performance scores; implying that, in general, the staff is productive; although the afore mentioned finding may cast doubt upon the reliability of the company’s performance metrics.
Employees who are working on special projects tend to have higher performance scores.
RECOMMENDATIONS
Considering that women represent both the most frequent voluntarily withdrawals, as well as those most often terminated for cause; strategies should be developed to support female employees in the performance of their jobs; and ensure gender equality in terms of salaries, responsibilities, and positions.
Implement programs to drive employee engagement in creating, innovating, researching, and carrying out special projects; considering that the great majority of employees terminated for cause are not participating in these undertakings
Redesign employee satisfaction metrics to more accurately reflect employee feelings; given that currently, employees with high satisfaction scores are voluntarily leaving the company in equal measure.
Review the pay scales across various positions to reduce the loss of employees to other companies that offer higher remuneration. Design non-monetary motivation strategies to increase employee satisfaction as a complement for employee salary.Implement enjoyable team-building activities to build stronger inter-employee relationships and teamwork.Create a professional growth program to train high-performing employees for future career opportunities, and to provide employees with opportunities to demonstrate their skills via the assignment of new responsibilities.
Analyze workloads, in order to permit married employees to achieve a healthy work/life balance.Improve employee selection criteria used to select employees for production technician, production manager, and sales roles.
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