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What People
Analytics Can’t
Capture by
Daniel
Goleman
2 Important Insights
* Many businesses are reaping award
from big data analytics .
* There’s a saying in the sciences, “Statistics
means never having to say you are certain.”
* In any massive data analysis, for instance, there
will be random correlations that look “significant” but
actually are noise, not signal.
* Big data needs a hard outcome metric for
performance, but the most readily available metrics
may not actually be the most important variables in
organizational flourishing.
* An outcome metric like an executive’s earnings
performance, while ignoring his role as a boss and his
impact on the morale, loyalty, focus, and stress levels
of his direct reports, may result in a false indication of
who’s really the best boss.
TIME’s recent cover
story on the latest fad
in human resources,
using big data analytics
and personality test
scores to predict who
is best for a given job –
socalled “XQ.”
• At Google, that bastion of algorithms emerging from giant
data sets, engineers refused to use just such a method to
decide on promotions .
• As Laszlo Bock, head of hiring at Google explained, the
very fact the company knows so much about algorithms lets
it see their limits.
The assumptions built into a test can themselves be biased
against certain traits and so discriminate unfairly.
Managerial
Relevance
*The managers like the demotivating petty tyrant
mentioned earlier can force his people to work hard to
meet quarterly / half- yearly / yearly targets.
*The mangers should learn form Lazlo Bock, the hiring
assistant at google who allows the consultants to see
their limits .

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"What People Analytics Can’t Capture" by Daniel Goleman

  • 3. * Many businesses are reaping award from big data analytics .
  • 4. * There’s a saying in the sciences, “Statistics means never having to say you are certain.”
  • 5. * In any massive data analysis, for instance, there will be random correlations that look “significant” but actually are noise, not signal.
  • 6. * Big data needs a hard outcome metric for performance, but the most readily available metrics may not actually be the most important variables in organizational flourishing.
  • 7. * An outcome metric like an executive’s earnings performance, while ignoring his role as a boss and his impact on the morale, loyalty, focus, and stress levels of his direct reports, may result in a false indication of who’s really the best boss.
  • 8. TIME’s recent cover story on the latest fad in human resources, using big data analytics and personality test scores to predict who is best for a given job – socalled “XQ.”
  • 9. • At Google, that bastion of algorithms emerging from giant data sets, engineers refused to use just such a method to decide on promotions . • As Laszlo Bock, head of hiring at Google explained, the very fact the company knows so much about algorithms lets it see their limits. The assumptions built into a test can themselves be biased against certain traits and so discriminate unfairly.
  • 11. *The managers like the demotivating petty tyrant mentioned earlier can force his people to work hard to meet quarterly / half- yearly / yearly targets. *The mangers should learn form Lazlo Bock, the hiring assistant at google who allows the consultants to see their limits .