A Case Example of the Use of JMP® Statistical Analysis in the Corporate Human Resources Field: A Presentation on Personnel Management and Effectiveness Verification Through the Prediction of Potential Retirement and the Prediction of Future Performance of Employment Applicants
Information on the "humans" in human resources is managed by companies daily, and a lot of information is accumulated. However, many corporate human resources are not using personnel management, which is a measure for making humans the pillar for improving the value of a company. There are many reasons why: a lot of human resource information is quantified; there is a lot of blank data; data is flagged; it is difficult to tally and analyze data in conventional applications such as Excel. However, JMP eliminates these concerns, drastically improving the analysis efficiency in corporate human resources, which requires many complicated, case-by-case analyses. An example of this is the prediction of potential retirement using partition analysis. We calculated the possibility of retirement within one year with a prediction carried out on 400 subjects, then ranked the data and conducted a management review. One year later, 50 percent of the individuals in the ranked top 10 and 25 percent of the ranked top 50 had retired. Further, amongst these top 50, the two employees with the best performance remained on through retention measures (the result of some explanatory variables). In other recruitment activities, we created a contour map for employees using two types of personality and three performance axes, and plotted applicants on the map to create a future vision. Using discriminant analysis, we strove to determine whether or not the applicants would accept the position after being offered a job and if their future performance would be high, medium, or low. We compile the future predicted results of these applicants into assessment sheets, and use them for executive interviews. The correlation between executive decisions and the compiled data is extremely high, so we are looking into the elimination of interviews in the future. Using JMP in these ways has allowed us to take data on humans that is buried in corporations, and channel it into sources that cultivate corporate value. The use of statistical analysis tools, including JMP, is spreading to the human resources departments of other corporations, and we hope that this will lead to improvements in productivity across Japan.