Employee Attrition/Retention Prediction

Part
01
of three
Part
01

Employee Attrition/Retention Prediction (Part 1)

Ultimate Software, Paycor and Ceridian are three companies that offer HR employee attrition/retention prediction products. The products are offered as part of broader human capital management (HCM) solutions, and employee attrition/retention prediction features are usually part of a greater predictive analytics engine. Even though the products have very similar features, each has some distinctive characteristics that stand out when compared to their competition.

ULTIMATE SOFTWARE

  • Ultimate Software is the company behind UltiPro, a comprehensive human capital management (HCM) solution that features various predictive analytics, including retention prediction.
  • Ultimate Software has over 6,100 customers, including Red Roof, SUBWAY, Texas Roadhouse, and even the Miami HEAT basketball team.
  • The company's main competitive advantage is their "People First" motto. The company is using its own product to help create an inspiring work environment.
  • This "People First" philosophy enabled Ultimate Software to become one of the top companies to work for in multiple areas.
  • For example, Ultimate Software ranked #8 on Fortune magazine's 2019 list of the 100 Best Companies to Work For, and it has been on that list since 2012.
  • Additionally, Ultimate Software is #1 on Fortune's 2018 Best Workplace for Millennials list and #1 on Best Workplaces in Technology list.
  • UltiPro is intended for businesses that have 100 or more employees. The software can serve a variety of HR functions, including "recruiting, onboarding, payroll, benefits administration, time and attendance, learning management, and performance management."
  • The part of the software which features predictive analytics is called the Workforce Intelligence tool. Workforce Intelligence allows users to gather all of UltiPro's data in one place for easy viewing and he software then visualizes employee retention predictions.
  • Besides being able to predict employee retention, UltiPro can also predict which employees will become the company's top performers in the future.

PAYCOR

  • Paycor's Paycor Perform HCM solution includes predictive analytics that can be used to forecast future turnover/attrition figures.
  • Paycor was founded in 1990 to provide HR and payroll technology for its customers.
  • The company has been growing for 29 years, and today it has more than 30,000 customers. Inc. magazine named Paycor as one of America's fastest growing private companies.
  • Paycor markets the intuitiveness and ease of use of Paycor Perform as one of its defining characteristics.
  • Paycor Perform has features that cover the processes of recruiting, onboarding, payroll, benefits administration, time and attendance and learning management.
  • Workforce Insights is the predictive analytics application of Paycor Perform.
  • Workforce Insights allows data to be broken down by business unit or location. Additionally, the data can be visualized in a number of different ways, such as pie charts, heat maps and standard bar charts.

CERIDIAN

  • Ceridian is a global software company creating HCM solutions. Ceridian serves clients of all sizes, from small businesses to large enterprises.
  • The company has two main products, Dayforce and Powerpay.
  • Dayforce is a cloud HCM platform. The fact that the platform is cloud-based means that data can be accessed from anywhere in the world where there is an Internet connection.
  • However, that is not the only unique feature of Dayforce. It also has a solution called Quick View, which lets users type in the data they are looking for, and the software will populate a dashboard with the requested data.
  • The software has a multitude of filters and view options that enable users to customize the data to see exactly the information they need. Dayforce also allows for one-click data exporting to a PowerPoint presentation.
  • Even though it is not closely related to attrition prediction, Ceridian heavily promotes the TeamRelate feature of Dayforce. This tool helps team members understand each other better and it helps to build stronger relationships within a team.
  • The predictive analytics application of Dayforce is called Dayforce Predictive Analytics.
  • Dayforce Predictive Analytics uses machine learning algorithms to identify employees that are at risk of leaving a company.
  • This predictive analytics solution matches employee flight risk with employee performance. This allows HR managers to focus on employees that are high performers with high flight risk.
  • Ceridian explains that they are the only player in the market that uses a single database with just one rule engine for the entire HCM solution. This means that customers are able to utilize data distributed across the platform for each and every analysis.
Part
02
of three
Part
02

Employee Attrition/Retention Prediction (Part 2)

OrcaEyes, PredictiveHR and TrenData are three companies that offer HR employee attrition/retention prediction products. All three companies have predictive workforce analytics as a key part of their product. OrcaEyes promotes its exceptional predictive accuracy, PredictiveHR emphasizes its data gathering and consolidation capabilities, while TrenData focuses on the inclusion of forces external to a business in predicting the rate and cost of employee attrition.

ORCAEYES

  • OrcaEyes is the company behind the SonarVision workforce analytics and reporting software.
  • OrcaEyes is a software-as-a-service (SaaS) company founded in 2007. It has less than 50 employees.
  • The company's SonarVision Predictive Analytics product provides employee attrition/retention prediction analytics.
  • The company generally targets HR professionals and business leaders in large organizations. However, it also caters to small businesses through its SonarVision On Demand reports.
  • Predictive analytics seem to be a large part of OrcaEyes' offering. The company offers predictive workforce analytics as a standalone solution, and it even enables small businesses to upload their HR data and to receive reports packed with future predictions.
  • OrcaEyes claims that SonarVision's predictive capabilities are best-in-class. It says that the accuracy of its predictions is unmatched in the industry.
  • Citing a client case study, OrcaEyes claims that its product achieves record-breaking accuracy. During the span of three years, Arizona Power used SonarVision to predict attrition loss with more than 93% accuracy, and 3-year employee loss from retirement with 96% accuracy.
  • OrcaEyes says that competitor workforce analytics systems typically achieve only 80% to 85% accuracy.

PREDICTIVEHR

  • PredictiveHR is a technology startup founded in 2016. It currently has about 10 employees.
  • PredictiveHR is an SaaS platform that uses artificial intelligence (AI) to predict workforce and talent trends.
  • Among other things, PredictiveHR helps businesses forecast employee attrition and turnover. It also helps to predict the probable financial impact of employee turnover.
  • PredictiveHR, as its name implies, is completely focused on providing predictive workforce analytics solutions to businesses of all sizes.
  • PHR Integrity is the AI engine that predicts possible future scenarios by connecting people analytics to business outcomes.
  • PHR Executive Lens is an analytics dashboard that displays and visualizes data provided by PHR Integrity. It is the client-facing portion of the PHR product family.
  • The unique differentiating feature of PredictiveHR is that the platform's machine learning capabilities normalize and connect disparate, unstructured employee data stored across numerous systems into one platform.
  • By combining data from different systems, PredicitveHR enables customers to receive predictive insights without having to completely implement a human capital management software solution.

TRENDATA

  • TrenData is a technology startup company that offers a cloud-based platform for employee retention predictive analytics.
  • The company was founded in 2017, and it has less than 50 employees.
  • TrenData is solely focused on providing predictive workforce analytics that specifically help businesses to analyze and forecast employee retention.
  • TrenData partnered with ENGAGE Talent to create the "first-ever" attrition analytics and prediction platform.
  • The platform has the best “time to predictive value” of any talent intelligence AI engine available on the market, according to a joint press release.
  • The partnership enables TrenData to include external factors in the attrition analysis.
  • This new platform can analyze market forces, competitive pressure and industry trends, in addition to internal data of a business.
  • The companies claim it is the only solution in the market that allows customers to utilize external big data sources and internal systems to get a comprehensive picture of all factors that affect employee attrition.
Part
03
of three
Part
03

Employee Attrition/Retention Prediction (Part 3)

Oracle HCM Cloud, SAP SuccessFactors and Workday are some leading human capital management solutions that also have employee attrition/retention prediction features. Oracle's solution allows for easy integration between different business functions, and it is also a very complex solution that has a large enterprise user-base. SAP SuccessFactors is heavily focused on international organizations, and it enables the inclusion of country-specific factors in the HR analysis, as well as enabling users to run their own statistical analysis of the data collected by the system. Workday HCM presents analytics insights as "stories" written by artificial intelligence in natural, everyday language.

ORACLE HCM CLOUD

  • Oracle Corporation is a leading provider of business software, with $40 billion in annual revenue and 430,000 customers in 175 countries. Its solutions help businesses to adapt to emerging technologies and employ new business models.
  • The Oracle HCM Cloud is a comprehensive human capital management (HCM) solution.
  • Besides being cloud-based, the HCM Cloud relies on the software-as-a-service (SaaS) business model.
  • According to Forrester Research, the HCM Cloud " has sophisticated capabilities in global HR records, organization management, employee benefits, compensation, time off, career advancement and talent review, and talent acquisition, as well as very good mobile, collaboration, and analytics capabilities."
  • The HCM Cloud is an all-inclusive enterprise HR solution that is perfectly suited for large businesses. Oracle has more than 1,600 large companies as customers. However, it might not be the best solution for mid-sized businesses because the complexity of the system means that it will have a longer time-to-value period.
  • Oracle created a brochure detailing the predictive analytics capabilities of its HCM Cloud solution. The solution enables users to create different scenarios and get answers to unscripted questions.
  • The predictive analytics portion of the HCM Cloud solution is called Oracle Human Resource Optimization Cloud. It allows managers to forecast future team performance and to be alerted of any potential flight risks.
  • It enables users to calculate the future cost of turnover, to see the link between compensation and retention, and ultimately to increase retention of top performers.
  • Oracle claims that, unlike other analytics solutions, Oracle Human Resources Analytics Cloud combines data and insights from "across multiple HCM processes (such as recruiting, learning, and performance)", and even across other cloud applications, including financial and third-party applications.
  • However, as noted previously, some startups like Predictive HR can also synthesize disparate data. Therefore, the Oracle HCM Cloud solution is best suited for companies that use other Oracle business intelligence products.

SAP SUCCESSFACTORS

  • SAP is the enterprise software company with over 98,000 employees and 24.75 billion in annual revenue. They claim that "77% of the world’s transaction revenue touches an SAP system."
  • SAP acquired SuccessFactors in 2012.
  • The SAP SuccessFactors solution has more than 1,700 large, international companies as customers, and more than 6,000 customers overall.
  • The solution is really valuable to multinational companies because it supports 41 country localizations.
  • Forester Research says that SAP SuccessFactors is a great overall solution, but that users might want to look into more specialized solutions to satisfy the specific and unique needs of their business.
  • SAP SuccessFactors Workforce Analytics is part of the system that provides predictive analytics capabilities.
  • SAP SuccessFactors Workforce Analytics enables customers to predict future retention and termination rates, which helps them to predict possible future HR risks to the growth of a company.
  • SAP claims that its solution has the "most comprehensive library of predefined, time-trended, talent metrics and benchmarks."
  • Apart from the predictive engine that can analyze data, SAP customers can also perform their own statistical analysis of the data collected by the system.
  • Another big benefit of SuccessFactors is that it easily integrates with other SAP solutions, like its enterprise resource planning (ERP) system, which is currently the most widely used ERP system.

WORKDAY

  • Workday is a large enterprise software company headquartered in Pleasanton, California. The company was founded in 2005, and it currently has 12,376 employees on LinkedIn.
  • Workday operates on an SaaS business model and it provides solutions for human resources, payroll and financial management functions of an enterprise. By offering cloud-based solutions, Workday serves its customers at a fraction of the cost of deploying and maintaining on-premise systems.
  • Workday's Human Capital Management suite is one of the leaders in the industry, according to Forrester.
  • Workday primarily caters to large, multinational enterprises, however, some mid-sized businesses can benefit from the service as well. Companies with complex HR departments benefit from Workday's HCM the most, and large enterprises tend to have more complex processes in place.
  • Workday HCM allows users to visualize different future headcount and turnover trends, such as voluntary, new-hire, and high-performer turnover.
  • Its predictive retention analysis can analyze each sector independently to determine employee-level risk factors.
  • One unique feature of the solution is that it not only uses artificial intelligence (AI) for data analysis, but it also employs AI to create dynamic, prioritized "stories" based on the data. The company claims that the "stories" are clearly written in everyday language.
  • Workday's Retention Risk Analysis application analyzes the potential impact of losing high performers, while Retention Recommendations suggests the best career move for employees identified as high retention risks. The recommendations are based on how long previous at-risk employees stayed in subsequent roles.
  • By acquiring Stories.bi in July 2018, Workday was able to implement one of the most interesting and unique features of its People Analytics product.
  • This augmented analytics product is special because it automates most of the decision-making involved in making retention decisions. The solution not only analyzes data and forecasts future trends, but it presents insights as sentences written in natural language instead of numbers and graphs.
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