HR Data Analytics and the future of Total

August 2018

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 DESCRIPTION
Date of Industrial Training Defence:
August, 2018
Industrial Trainee: Department:
Ariyo – Agbaje Gbeminiyi Training and Development Department, DW.

HR Data Analytics and the future of Total

Abstract:

Human Resources (usually referred to as HR) involve everything related to the employer-

employee relationship and is about supporting and managing the organization’s people and
associated processes. It’s seen as a core business function essential to the organization’s
effective operation.
Data analytics (DA) is the process of examining data sets in order to draw conclusions
about the information they contain, increasingly with the aid of specialized systems and
software. Data analytics technologies and techniques are widely used in commercial
industries to enable organizations to make more-informed business decisions and by
scientists and researchers to verify or disprove scientific models, theories and hypotheses.

As a term, data analytics predominantly refers to an assortment of applications, from

basic business intelligence (BI), reporting and online analytical processing (OLAP) to various
forms of advanced analytics.

Keywords:
Pages: Language:
English
Remarks, notes on appendices

Supervisor: Company:
Aseigbu Chibueze, Jegede Olabode Total E & P Nigeria Limited

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 Content
1. Introduction
2. Human Resources Overview
2.1. Nature and Scope of Human Resources
2.2. Components and Function of Human Resources
3. Data Analytics Strategy
3.1. Data Profiling and Cleansing
3.2. Human Resources Data Analytics.
3.3.1. Chains/Flow of H.R. Data Analytics
3.3.2. Total Database Management System
4. Data Analytics: Decision Making
4.1. Recruitment Decisions
4.2. Re-assignment of staffs: Cross Functionality
4.3. Career Planning
4.4. Sstaff Development (Training)
4.5. Successions
5. HR Data Analytics (Total Projection for Future Growth)
5.1. Total as a global brand
5.2. Total with other global brands: Google, Facebook, Amazons
6. Appreciation

Human Resources Overview

Human Resources (usually referred to as HR) involve everything related to the
employer-employee relationship and is about supporting and managing the
organization’s people and associated processes. It’s seen as a core business function
essential to the organization’s effective operation.

Larger organizations in the public and private sector have their own designated
HR department, opening up a broad range of companies and sectors to applicants.

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Recent years have seen increasing numbers of companies outsource key elements of
their HR functions. So, opportunities within HR consultancies also exist.

HR has great scope for specialism and development within a particular HR

function (e.g. development, equality and diversity, recruitment and selection, etc.)
and with specialism comes with extra responsibility and remuneration.

HR is concerned with the human beings in an organization. “The management

of man” is a very important and challenging job because of the dynamic nature of the
people. No two people are similar in mental abilities, tacticians, sentiments, and
behaviours; they differ widely also as a group and are subject to many varied
influences. People are responsive, they feel, think and act therefore they cannot be
operated like a machine or shifted and altered like template in a room layout. They
therefore need a tactful handing by management personnel” HRM is the process of
managing people of an organization with a human approach. Human resources
approach to manpower enables the manager to view the people as an important
resource. It is the approach through which organization can utilize the manpower not
only for the benefits of the organization but for the growth, development and self-
satisfaction of the concerned people. Thus, HRM is a system that focuses on human
resources development on one hand and effective management of people on the
other hand so that people will enjoy human dignity in their employment.

Nature and Scope of Human Resources

Human Resource Management is a process of bringing people and organizations
together so that the goals of each are met. The various features of HR include:

• It is pervasive in nature as it is present in all enterprises.

• Its focus is on results rather than on rules.

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• It tries to help employees develop their potential fully.

• It encourages employees to give their best to the organization.

• It is all about people at work, both as individuals and groups.

• It tries to put people on assigned jobs in order to produce good results.

• It helps an organization meet its goals in the future by providing for competent and
well-motivated employees.

• It tries to build and maintain cordial relations between people working at various
levels in the organization.

• It is a multidisciplinary activity, utilizing knowledge and inputs drawn from

psychology, economics, etc.

The scope of HRM is very wide: 

1. Personnel aspect: This is concerned with manpower planning, recruitment,

selection, placement, transfer, promotion, training and development, layoff and
retrenchment, remuneration, incentives, productivity etc. 

2. Welfare aspect: It deals with working conditions and amenities such as canteens,
crèches, rest and lunch rooms, housing, transport, medical assistance, education,
health and safety, recreation facilities, etc. 

3. Industrial relations aspect: This covers union-management relations, joint

consultation, collective bargaining, grievance and disciplinary procedures, settlement
of disputes, etc. 
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Human Resource Activities 
Major Activities of Human Resources are listed below: 

1. Human resource or manpower planning. 

2. Recruitment, selection and placement of personnel. 
3. Training and development of employees. 
4. Appraisal of performance of employees. 
5. Taking corrective steps such as transfer from one job to another. 
6. Remuneration of employees. 
7. Social security and welfare of employees. 
8. Setting general and specific management policy for organizational relationship. 
9. Collective bargaining, contract negotiation and grievance handling. 
10. Staffing the organization. 
11. Aiding in the self-development of employees at all levels. 
12. Developing and maintaining motivation for workers by providing incentives. 
13. Reviewing and auditing manpower management in the organization 
14. Potential Appraisal, Feedback Counselling. 
15. Role Analysis for job occupants. 
16. Job Rotation. 
17. Quality Circle, Organization development and Quality of Working Life. 

Data Analytics Strategy

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What is Data Analytics?

Data analytics (DA) is the process of examining data sets in order to draw

conclusions about the information they contain, increasingly with the aid of
specialized systems and software. Data analytics technologies and techniques are
widely used in commercial industries to enable organizations to make more-informed
business decisions and by scientists and researchers to verify or disprove scientific
models, theories and hypotheses.

As a term, data analytics predominantly refers to an assortment of applications,

from basic business intelligence (BI), reporting and online analytical processing
(OLAP) to various forms of advanced analytics. In that sense, it's similar in nature
to business analytics, another umbrella term for approaches to analyzing data -- with
the difference that the latter is oriented to business uses, while data analytics has a
broader focus. The expansive view of the term isn't universal, though: In some cases,
people use data analytics specifically to mean advanced analytics, treating BI as a
separate category.

Data analytics initiatives can help businesses increase revenues, improve

operational efficiency, optimize marketing campaigns and customer service efforts,
respond more quickly to emerging market trends and gain a competitive edge over
rivals -- all with the ultimate goal of boosting business performance. Depending on
the particular application, the data that's analyzed can consist of either historical
records or new information that has been processed for real-time analytics uses. In
addition, it can come from a mix of internal systems and external data sources.

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Types of Data Analytics

More advanced types of data analytics include Data Mining, which involves sorting
through large data sets to identify trends, patterns and relationships; Predictive
Analytics, which seeks to predict customer behavior, equipment failures and other
future events; and Machine Learning, an artificial intelligence technique that uses
automated algorithms to churn through data sets more quickly than Data
Scientists can do via conventional analytical modeling. Big data analytics applies data
mining, predictive analytics and machine learning tools to sets of big data that often
contain unstructured and semi-structured data. Text mining provides a means of
analyzing documents, emails and other text-based content.  

Data analytics initiatives support a wide variety of business uses. For example,
banks and credit card companies analyze withdrawal and spending patterns to
prevent fraud and identity theft. E-commerce companies and marketing services
providers do click stream analysis to identify website visitors who are more likely to
buy a particular product or service based on navigation and page-viewing patterns.
Mobile network operators examine customer data to forecast churn so they can take
steps to prevent defections to business rivals; to boost customer relationship
management efforts, they and other companies also engage in CRM analytics to
segment customers for marketing campaigns and equip call center workers with up-
to-date information about callers. Healthcare organizations mine patient data to
evaluate the effectiveness of treatments for cancer and other diseases.

Data Analytics Process

Data analytics applications involve more than just analyzing data. Particularly on
advanced analytics projects, much of the required work takes place upfront, in

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collecting, integrating and preparing data and then developing, testing and revising
analytical models to ensure that they produce accurate results. In addition to data
scientists and other data analysts, analytics teams often include data engineers,
whose job is to help get data sets ready for analysis.

The analytics process starts with data collection, in which data scientists identify
the information they need for a particular analytics application and then work on
their own or with data engineers and IT staffers to assemble it for use. Data from
different source systems may need to be combined via data integration routines,
transformed into a common format and loaded into an analytics system, such as
a Hadoop cluster, NoSQL database or data warehouse. In other cases, the collection
process may consist of pulling a relevant subset out of a stream of raw data that
flows into, say, Hadoop and moving it to a separate partitioning the system so it can
be analyzed without affecting the overall data set.

Data Scientist Data Engineer

Identifies relevant data sets needed for data Builds data pipelines to pull together
analytics applications. data from different systems

Works with others to collect, integrate and Aids data scientists in integrating,
prepare data for analysis. consolidating and cleansing data.

Develops and runs analytical models and

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assesses their findings Structures and organizes data for use in
specific analytics applications.
Communicates the results to business
executives and other end users

Once the data that's needed is in place, the next step is to find and fix data quality
problems that could affect the accuracy of analytics applications. That includes
running Data Profiling and Data Cleansing jobs to make sure that the information in
a data set is consistent and that errors and duplicate entries are eliminated.
Additional Data Preparation work is then done to manipulate and organize the data
for the planned analytics use, and Data Governance Policies are applied to ensure
that the data hews to corporate standards and is being used properly.

At that point, the data analytics work begins in earnest. A data scientist builds an
analytical model, using predictive modeling tools or other analytics software and
programming languages such as Python, Scala, R and SQL. The model is initially run
against a partial data set to test its accuracy; typically, it's then revised and tested
again, a process known as "training" the model that continues until it functions as
intended. Finally, the model is run in production mode against the full data set,
something that can be done once to address a specific information need or on an
ongoing basis as the data is updated.

In some cases, analytics applications can be set to automatically trigger business

actions -- for example, stock trades by a financial services firm. Otherwise, the last
step in the data analytics process is communicating the results generated by
analytical models to business executives and other end users to aid in their decision-

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making. That usually is done with the help of Data Visualization techniques, which
analytics teams use to create charts and other info graphics designed to make their
findings easier to understand. Data visualizations often are incorporated into BI
dashboard applications that display data on a single screen and can be updated in
real time as new information becomes available.

Human Resources Data Analytics

HR analytics, also called talent or people analytics, is the application of

considerable data mining and business analytics techniques to talent data. Analytics
that measure performance and efficiencies that matter to HR only. Examples include:
time to fill a job requisition, number of people trained, number of people with certain
competencies, last year’s attrition, estimated attrition for next year, estimated
number of candidates to have in the pipeline based on estimated attrition, which
source provides the best candidates, compliance reporting, diversity reporting.

Chains/Flow of H.R. Data Analytics

Recruitment Process

The process of hiring a suitable candidate is arduous. A recruiter has to flip through
thousands of resumes to shortlist the best ones. With manual screening, the process
becomes cumbersome error-prone, and time-consuming. For this reason, having
recruitment analytics systems in place can save you a lot of headache as an
employer. The last recruitment process for employees and 2nd batch of interns at
Total will be use as a case study.

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 Recruitment as a process is data-driven the use of data and effective analytical
processes can be powerful tools for a recruiter. The insights generated can
significantly help human resources HR in Total to gauge how successful an employee
would be in the company.

Collecting the right data

Candidates’ data can be tabulated into various parameters such as years of

experience, age, qualification, etc. this data can be consolidated and ranked based on
the need of the profile or job requirement. Total too also engages in sorting
candidate’s public data from social media platforms such as LinkedIn to add value to
their profiles. This would yield better returns in the form of right hires which can
improve the overall quality of the company. However, overpopulating the data with
unnecessary attributes might complicate the selection process.

Data Cleansing

Once the data is collected, it needs to be cleaned to feed it to different models.

This is the most important step where a small error might skew the overall result. A
lot of tools have advanced options to slice a large volume of data. The incidents of
resumes with exaggerated facts and false statements are increasing every day. By
identifying such profiles at this steps, recruiters would be able to select right
candidates for the profiles they are searching for.

Applying Analytical Techniques

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 By using analytics, Total can determine whether new recruits meet expected
performance levels to contribute to the success of the company. With parameters
like candidates’ achievements, stints at previous company, Total would get a clear
indication of whom to hire for the job. Predictive Modelling helps Total to match the
right candidates to the right job by identifying the traits that distinguish high
performers. Potential Candidates can be analyzed against a list of predictors from the
current employee data to know if they would accept the offer.

Data Analytics in terms of Decision Making

Recruitment Decisions

HR analytics makes predictive analysis easier and helps managers to make a better
choice based on historical data. HR analytics also prevent companies from making
mistakes by understanding the past errors.

Re-assignment of Staffs – Cross Functionality

Candidate records often go untouched once they apply for the role or after the job
posting is closed. Analytics allows Total to re-engage a targeted group of candidates
to determine their level for other available positions in the company. It can also help
to reflect new positions, work experiences or skills that might have acquired by the
candidates since the last time they were engaged.

A good tool that Total is presently using is the HR for You. With this software,
Staffs can be able to access their various trainings after appraisals might have been

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carried out. The software also assists in assigning new roles and position (i.e
movement of employees from one entity to another using their position numbers) to
employees.

Employee Development (Training)

Training is an essential part of workforce management for any company. However,

if there are any gaps in the training process, it could cause some serious problems
and increase the cost to the company. Use of analytics tools helps Total identify if
employees are making the full use of the opportunities and the knowledge imparted
to be able to forge ahead in their various entities.

Attrition Analytics

HR analytics is an important tool for human resources managers to identify the

reasons why employees leave or stay with the organisation. It is highly effective in
finding the skill gaps and areas where employees are struggling. Various tools like
employees satisfaction surveys, tem assessments, exit and stay interviews can be
used to identify the reasons for employee attrition and the strategies to retain them.

Machine Learning can be used to build models to know the expected employees
attrition rate in the coming time. It uses parameters such as age, income, satisfaction
level, years in the company, and other important factors to know how many
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employees are on a lookout for a change. This analytics can be used to take
preventive measures and retain valuable employees in the organisation.

HR Data Analytics (Total Projection for Future Growth)

Total as a global brand

The lack of credible data doesn’t have to be a source of frustration for Total.
Specific to the HR, big data has been shown to help with real-time prediction of hiring
needs, improving the quality and retention of new employees and connecting
recruiting performance with business performance. Here is a more detailed
explanation of some of the advantages of data-driven recruitment.

Increase Quality of New Hires

Hiring the wrong people can have serious consequences for companies. According
to a 2013 survey by CareerBuilder of more than 6,000 HR professionals, 27% of U.S.
employers stated that one poor hire cost the company more than $50,000. With the
introduction of big data into the recruitment process, costly hiring mistakes can be
avoided.

Big data allows Total to be more analytical and strategic when it comes to finding
the ideal candidate. With access to online resume databases, employment records,
social media profiles, applications, tests and other data, Total will be able to compile
and identify potential candidates by sorting the information and narrowing down the
talent pool.

Improve Training and Employee Success Rate

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 Recruiting is not the only costly part of the hiring process. Training can be just as
expensive, and it can be a waste of money if overall employee retention is
unsatisfactory. The 2014 State of the Industry report by the Association for Talent
Development found that employee training and development costs businesses an
average of $1,208 per employee.

Big data lets businesses measure the potential effectiveness of a particular training
initiative so they can make sure they are making wise investments when it comes to
the training and development of their employees. Conducting frequent performance
evaluations can also help Total better understand the effectiveness of their employee
development efforts.

Increase Employee Engagement and Retention

According to Business News Daily, organizations have found that tracking,

analyzing and then sharing performance metrics with employees can be very
beneficial. According to Jason Palmer, president of vehicle safety and efficiency at
SmartDrive, big data is able to analyze real-time information, condense it into
performance data and provide insights based on that data to help employees execute
their job better.  

According to the Business News Daily article, Palmer saw an increase in motivation
and company retention at his company after providing employees with actionable
data to better themselves in the workplace.  

With big data, Total will be able to analyse the reasons behind poor morale and
low employee retention rates. Tools like social media, exit interviews, team
assessments and employee satisfaction surveys give HR professionals the information
to predict and help prevent future decreases in employee satisfaction and
effectiveness.

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HR Big Data Trends

Neither big data nor technology will ever fully take the place of a skilled HR
professional, but both can help better inform decision making and increase
productivity. According to a 2016 article by Talent Culture, there are several big data
trends expected to impact the HR industry in the next couple years.

Vanity metrics are going away: Vanity metrics are statistics that look good on
paper, but offer little insight. When it comes to data, quality is much more important
than quantity, and the application of metrics is also growing in importance. As
companies implement data analytics and train their employees to use these new
programs, they are mostly focusing on the strategic use of the data they are
collecting. 

Smarter predictive analytics:  As a whole, predictive analytics can be a useful

tool for a business. Predictive analytics can provide a forecast of trends in the
industry, as well as provide insights into employee benefits, talent management and
promotions. For example, businesses can use predictive analytics to measure the
effectiveness of employee training activities and identify which employees are more
likely to hit their target goals and why.

Data can put value on human capital: Businesses often claim that human
capital is one of their most important assets; however, many companies struggle to
back up that statement with data. With data analytics, companies are able to assign
financial value to the individual tasks that keep the business running so they can
better understand the financial impact of every employee working for the
organization. 

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Analytics tools are becoming simpler and more affordable : One thing that
has held some companies back from fully adopting data analytics is the lack of
affordability and the complexity of programs that are available. However, as the
popularity of business intelligence and big data continues to grow, so too will the
number of options for businesses looking to implement data analytics.

Collecting data with sensors offers a new perspective – HR professionals are

beginning to discover the power of sensor-driven data. Online listening platforms and
internal monitoring systems are a few ways businesses can collect data via sensors.
Sensors can help HR departments monitor worker safety and regulate HR compliance
policies.

Data analysts are in high demand – According to an article by CNBC, data analyst is
the sexiest job of the 21st century, and jobs in the field are in high demand. A skilled
data analyst, sometimes referred to as a data scientist, analyses data and produces
actionable reports. If organizations want to meet their analytics needs, they will need
to get creative during their search for this kind of talent.

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