Business units at ABC Telco are creating their own human capital analysis each month and using the reports to fine-tune people strategies and improve performance.
The approach features single-page colour-coded reports with charts headed ‘Workforce Profile Report’ and ‘Recruitment & Termination Report’. Consolidated reports incorporate hot-spots. For example, a highlight report shows all segments where if an employee-initiated separation rate is higher than 12 per cent or lower than 5%. These percentages can be changed in real time by ABC Telco. An example of this highlight report is set out in Figure 1 below.

The HR function ‘spends time analysing the story the data is conveying, rather than spending time gathering the data,’ ABC Telco said. ‘When an issue is identified, a sub-unit undertakes root cause analysis and hypothesis testing to determine drivers.’

For example one business unit identified a high rate of employee initiated separations by of high performers. This was particularly prevalent in three areas:
• Employees in critical occupational groups (senior technical officers, electrical engineers, project managers),
• Employees with position tenure of more than three years, and
• Employees with high levels of emotional engagement.

This finding has assisted the business unit to determine where to focus employee retention strategies. ‘More investigation on the reasons these employees are departing, and regular reporting on these targeted segments, is ongoing.’ Based on this analysis, ABC Telco developed a comprehensive career management process designed to target retention of high potential employees with high emotional engagement scores. This is a critical group to retain and ABC Telco hadn’t realised that this critical group had higher than average labour turnover until they completed this analysis.

The company has also worked with its adviser, specialist consultancy Infohrm, to produce impact assessments. This uses statistical analysis to gauge the impact of aspects of employee engagement on different outcomes.

Key learning points from ABC Telco’s human capital analysis are:
 Importance of segmenting workforce,
 Importance of not looking at single measures in isolation,
 Integration of data from multiple sources (Eg. staff surveys, talent management systems, HR/Payroll systems) to drive better analysis,
 Starting at a basic level - thorough analysis of one topic at a time to create interest and educate (measure of the month), and
 Tailored training and roll-out strategies.

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