Turning Data into Smart Data
As you continue to experiment with presenting your data in different ways, you will likely feel some of the phenomenon of “analysis paralysis.” This is normal. The secret to being successful with HR analytics is not to present everything you are measuring. It is to present the things that tie to important business outcomes.
If the CEO wants to know the salary distribution of males to females for different job levels, make sure that is what you present. But also, add in the things that you believe could be causing them to be different. Simple correlations are great starting points from which to figure out causal relationships. Remember, though, that correlation does not always equal causation. For example, it is pretty easy to prove that tenure is correlated with turnover. People who stay a long time are likely to continue to stay. But it isn’t the cause. You would need to tap into your other attributes to try to find a cause.
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