Performance, engagement, retention and HR analytics

Performance management

• Set clear goals (OKRs or SMART goals) aligned with team objectives.
• Continuous feedback and regular one-on-ones, not just an annual review.
• Fair reviews based on evidence; calibration across managers to keep ratings consistent.
• Development plans; performance improvement plans (PIPs) that are genuinely supportive, documented and fair.

Engagement and retention

People stay when they have a good manager, growth, fair pay, recognition, meaningful work, flexibility and a respectful culture. HR levers:

• Engagement surveys (and acting on the results visibly).
• Stay interviews (asking current employees what keeps them and what might make them leave).
• Recognition programmes; career frameworks and internal mobility.
• Compensation benchmarking and fair pay reviews.
• Well-being and flexibility policies.
• Exit interviews to learn why people leave.

Employee relations

Handle grievances promptly, confidentially and fairly: listen to all sides, investigate with evidence, follow policy, document everything, and communicate outcomes. Consistency builds trust.

HR analytics

• Attrition rate = employees who left in the period ÷ average headcount × 100. Track voluntary vs involuntary and regretted attrition, and early attrition (within 90 days).
• Retention rate, absenteeism, training hours per employee, engagement scores, internal promotion rate, diversity metrics, revenue per employee.
• Example: 12 people left during the year; average headcount was 150. Attrition = 8%.

Use data to tell stories: "Attrition in the sales team is 35% versus 12% company-wide, concentrated within 6 months of joining; exit interviews cite unclear targets. Recommendation: revise onboarding and the first-quarter target ramp."

Check yourself

• Calculate attrition: 18 exits, opening headcount 200, closing headcount 220.
• Name four drivers of retention.
• How would you handle a complaint from an employee about their manager?