Business intelligence is about transmitting the relevant and reliable information to the right people at the right time, with the goal of achieving better effective decisions faster. Growing level of competition in the market requires fast, long-lasting decisions. It should be accurate, understandable, actionable information on demand. This study aims to find the reasons for employees to leave their jobs and to help companies in these processes. Employees are the life blood of an organisation. They are the most significant sources for companies. For this study, IBM Employee dataset of attrition is used to analyse.
Firstly, ’Univariate Analysis’ of numerical and categorical executed. Secondly, I carried out ’Bivariate Analysis’ of numerical and categorical features by attrition. After that, I performed ’Multivariate Analysis’ of numerical features. Lastly, four different machine learning methods ’Logistic Regression’, ’Classification Tree’, ’Naive Bayes’, and ’Random Forest’ were used. As a conclusion I detected most important parameters for employee attrition. Besides, I selected the most suitable machine learning method.
Key words: Attrition, Employee, IBM
2 Introduction and Background
Employees are core to any organisation, whether it’s a small family company or an international company in any industry. For this reason, to find a perfect fit employee for the company’s needs is vital. There are several studies on how to find candidates and make the correct choice between these candidates for companies. James R. Faulconbridge and his team mates show the war for talent and the effect of headhunters in the recruitment process .
Recruiting new employees is not cheap. According to new benchmarking data from the Society for Human Resource Management (SHRM), the average cost per hire was nearly $4,700. But many employers estimate the total cost to hire a new employee can be three to four times the position’s salary, according to Edie Goldberg, founder of the Menlo Park, Calif. based talent management and development company E.L. Goldberg & Associates. That means if you’re hiring for a job that pays $60,000, you may spend $180,000 or more to fill that role .
In addition, even if the company finds and staffed the current employee another issue occurs. This is the attrition. Companies are searching, spending time, energy and money to find the excellent employee. Then they invest in these employees, training them, teaching about the business and industry. These corporations make these employees qualify people.However, when these people resign their job this is a huge loss for these corporations. Besides, these qualified people go for the rival company that is increasing the damage for the companies. End of the day, this makes a big vacancy and it takes time to cover it. As a result, keeping the employee in the company is more important than hiring them.
This project is about understanding what are the significant reasons for employee attrition? This paper analyses the employee situation. I found causes for resignation, and showed what can be done to eliminate the employee attrition.
To be continue…