Bauer, Human Resource Management
SAGE Publishing, 2020
Answers to In-Text Questions
Chapter 2: Strategic HRM, Data-Driven Decision Making, and HR
Analytics
Strategic HRM in Context: The Case of Strategy and HR Analytics at Chevron
Case Discussion Questions:
1. How has Chevron used HR analytics to inform and support organizational strategy?
Chevron uses HR analytics to predict what will happen in the future. The case uses the
2. Chevron’s HR analytics team used statistical models to predict employee turnover with a
high degree of accuracy. Based on your own knowledge and experiences, what are some key
drivers (i.e., predictors) of employee turnover? Why?
Turnover is a major cost for organizations, and can run between 50% and 200% of the first-
3. What are some different ways in which an organization might leverage HR analytics to
attract, motivate, and retain talented people?
Bauer, Human Resource Management
SAGE Publishing, 2020
HR analytics offers a rigorous approach to attracting, motivating, and retaining talented
4. Chevron has established an HR-specific analytics team. From the perspective of
organizational effectiveness, what are some potential advantages of having data analytics
integrated directly into the HR function as opposed to a company-wide analytics team that
supports HR and other functional areas? Why?
Some potential advantages of having an HR-specific analytic team might be found in staffing
and training talented employees to move in to other areas of the organization. It could also
Spotlight on Ethics: Mission, Vision, and Values at The Body Shop
Case Discussion Question:
1. How might The Body Shop’s ethical values influence its HRM policies?
Bauer, Human Resource Management
SAGE Publishing, 2020
The Body Shop must look both internally and externally to bring their mission and
2. If you were a manager for a competitor of The Body Shop, how would you seek data
about the implications of corporate social responsibility for the company’s success?
Surveys can be used to determine the levels of commitment to ethical values employees
experience in the workplace. A competitor can use social media tools to determine why
Mini-Case Analysis Exercise: Organizational Culture and the Success of HR
1. For which organization culture type do you think HR analytics will best integrate?
That is, is there any ideal culture type to support HR analytics? Why?
Bauer, Human Resource Management
SAGE Publishing, 2020
A sustainable HR analytics function requires a number of important
considerations. HR analytics should be integrated and embedded into HR and
organizational strategies, and this requires taking a systems perspective of the
2. Which organization culture type will be least likely to accept HR analytics as a
viable part of the organization’s strategy? Why?
Many executives make major decisions based on their gut instincts, or intuition.
HR Decision Analysis Exercise: The Case of Gravity Payments
Was Dan Price’s HRM decision legal, ethical, and fair?
Responses will vary by student. While Dan Price had worthy and ethical goals, the
implementation of the process did not appear to be fair and reasonable to many including senior
Bauer, Human Resource Management
SAGE Publishing, 2020
Was it evidence based/evidence informed?
The decision does not appear to be evidence based or evidence informed. Price did not consider
the skill sets, seniority, or prevailing wages within the industry. His decision was based solely on
Did it foster healthy employee-employer relationships?
This policy clearly did not foster healthy employee–employer relationships. This is evidenced by
Bauer, Human Resource Management
SAGE Publishing, 2020
Was it time- and cost-effective?
While students will have a variety of opinions on this, they need to consider the very high cost of
turnover, especially of the key, long-term employees who left the company. In terms of timing,
Did it take a systematic stakeholder perspective?
This decision did not consider all potential perspectives of the stakeholders, including highly
skilled and long-term employees, or suppliers and customers of the company. This decision did
Considering your analysis above, overall, do you think this was an effective decision? Why or
why not?
Students will have a variety of opinions on this, but it in the short term, this appears to be a poor
Bauer, Human Resource Management
SAGE Publishing, 2020
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What, if anything, do you think should be done differently or considered to help make this
decision more effective?
To make this decision more effective, Price should have worked with HR to form a task force or collect
HR Decision-Making Exercise: Building Your HR Analytics Team
1. Form your group.
2. As a group, create a series of jobs for which you will ultimately recruit and select
new employees. A given job may cover more than one area of expertise, and
3. For each job created in Step 2, identify the competencies and educational or
professional experiences that are necessary for success on the job.
Students should develop a list of knowledge, skills, and abilities for each job they
have identified. Are the competencies identified a “wish list” or are they really
the competiencies needed to perform the job? This could be an important area of
4. Develop a brief recruitment and selection strategy for each job. In other words,
where will you recruit individuals for these positions? Why? How and why will
you select and hire individuals for these positions?
The recruitment strategies will often be those familiar to students, such as campus