Statistical Analysis of Employee Retention

1
Employee Retention
Name:
Institution:

2
1. Probability
p = 0.4 p0 = 0.2 n = 117
Z= p – p0
√ p0 ( 1− p0 )
n
= 0.4 – 0.2
√ 0.2∗0.8
117
= 0.2
0.037 =5.408
P(Z=5.408) = 0
Test and CI for One Proportion
Test of p = 0.4 vs p not = 0.4
Sample X N Sample p 95% CI Z-Value P-Value
1 23 117 0.196581 (0.124570, 0.268592) -4.49 0.000
It is evident that the probability that 40% or more of the employees leaving the
employment is 0. Moreover, 40% does not fall within the 95% CI of the 20% thus it
appear that a 40% exodus would be unusual.
2. Confidence Interval
Test and CI for One Proportion: Left Company
Test of p = 0.5 vs p not = 0.5
Event = Yes
Variable X N Sample p 95% CI Z-Value P-Value
Left Company 52 117 0.444444 (0.354406, 0.534483) -1.20 0.229
As shown, the confidence interval of the proportion of employees that left the
company is 35.44% to 53.44%. Consequently, the 20% does not fall within the
intervals thus the it is wrong to suggest that 20% of the employees had left.
3. Classification: Left Company
Variable Value Count
Left
Company
Yes 52 (Event
)
no 65

3
Total 117
satisfaction_level 0.0006
last_evaluation 1.5331
number_project 0.4236
Tenure at
Company
4.4848
As evident, tenure at the company recorded the highest value thus it may be a
surrogate measure for whether a person left the company or not.
4. Confidence Intervals: Satisfaction Level
Null hypothesis: mean satisfaction rate is equal to 0.8
Alternative hypothesis: Mean satisfaction rate is not equal to 0.8
H0 :μ=0.8
H1 : μ ≠ 0.8
Significance level: 0.05
One-Sample T: satisfaction level
Test of mu = 0.8 vs not = 0.8
Variable N Mean StDev SE Mean 95% CI
satisfaction_lev 117 0.613504 0.253613 0.023447 (0.567065, 0.659943)
Variable T P
satisfaction_lev -7.95 0.000
The mean satisfaction level of the employees is 0.6135 with as confidence interval of
0.567 to 0.660. Moreover, the p-value 0.000 is less than 0.05 thus we reject the null
hypothesis and conclude that the mean satisfaction rate is not equal to 0.8
5. Hypothesis Testing of Number of projects on Satisfaction
Null hypothesis: mean satisfaction rate is equal on either more or less number of
projects