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Data Mining Moves To Human Resources

theodp writes "Just when you thought annual reviews couldn't get worse, BusinessWeek reports that HR departments at companies like Microsoft and IBM are starting to use mathematical analysis to determine the value of each employee. At an undisclosed Internet company, analysis of (non-verbal) communications was used to produce a circle to represent each employee — those determined to generate or pass along valuable info were portrayed as large and dark-colored circles ('thought leaders' and 'networked curators'), while those with small and pale circles were written off as not adding a hell of a lot. 'You have to bring the same rigor you bring to operations and finance to the analysis of people,' explains Microsoft's Rupert Bader. Hey, who could argue with what Quants did for finance?"

17 of 262 comments (clear)

  1. Next up: Collateral Employee Obligations by meist3r · · Score: 5, Insightful
    In which you measure the derived value of employees and sell those as part of your stock portfolio. Then a ratings agency gives you a denominated value for your most productive employees and you re-sell those.

    I believe quantifying employee "importance" by the number of email conversations they had and who read what they wrote is pretty silly. Soon they'll fire all their network admins because they all are represented by small-ish pale circles that usually reside in some dark basement bureau.

    Can business get any more dehumanizing? I don't think so. I at least wouldn't want to work at a company like that. From TFA:

    "You have to bring the same rigor you bring to operations and finance to the analysis of people," says Rupert Bader, director of workforce planning at Microsoft

    Can you say fucking stupid, kids? Humans are not machines (at least not yet), they have bad days and bad weeks and some have bad decades (imagine your child dies). Evaluating them through "rigorous" methodological measures is pure idiocy.

    1. Re:Next up: Collateral Employee Obligations by meist3r · · Score: 5, Insightful
      Oh so Steve Jobs right now is probably the most valuable asset of Apple Inc. right? I mean if he returned in a few months time (which I doubt) they'd go "Ohh Steve ... yeah ... sorry but you know your circle is rather pale and small now, we don't really know how to fit you into our business anymore."? No he would return to a high valued position and take the helm again. This whole system is already irrational trying to fit it into mathematical categories to me just sounds ridiculous.

      How many people have lost jobs because their boss was having a bad day, or a bad week?

      Yeah, but how many have KEPT their job despite having a bad day, or a bad week? Because their boss was an insightful human being that knew he shouldn't judge his employees on basis of statistical performance.

    2. Re:Next up: Collateral Employee Obligations by meist3r · · Score: 5, Insightful

      Amen brother. Coincidentally, aren't these the same companies who never seem to come up with something original?

      Maybe because they always fire the wrong people. That guy that hangs out at the water cooler all day and spends half his work hours developing some strange project of his will probably revolutionize the entire industry one day simply because he had all that creative time going. On top of that even though his skills for his job aren't stellar he keeps the morale up and the others going harder because he's such a nice guy and keeps the overall mood in the office on a positive level. Meanwhile, you're complaining that your worker drones, that do exactly as they are told and don't even have ambition to strive for anything else, aren't the innovators that you want them to be. Weird.

    3. Re:Next up: Collateral Employee Obligations by sjames · · Score: 4, Insightful

      That's a big part of why metrics like TFA talks about will fail. The guy at the water cooler is the guy who meets with an informal representative of each group each day, receives a condensed report of how they're REALLY doing and what they're REALLY working on and then shares the significant parts of that with informal representatives of all of the other groups.

      He has a much clearer "Big Picture" of how the division's doing and where it's going than the bosses boss. He also has a tiny pale circle because he doesn't email every irrelevancy in his head to everyone else just because it's easier to remember all@ rather than a particular person's email address.

      Meanwhile, his KLOC is half that of the others because he spends half his day working over the problem in the back of his mind so that when he sits down and starts coding after lunch he has already whittled the big complex hairball down to a simple and elegant solution.

      Since the metrics say he's deadwood, out he goes. Then management spends the next 6 months wondering why, in spite of their bold and brilliant management, the whole division seems to be getting dumber and slower by the day. Time to cut some more deadwood, they figure.

    4. Re:Next up: Collateral Employee Obligations by sjames · · Score: 4, Insightful

      Divide and conquer. Others in the department know very well who is deadwood and who quietly holds the whole thing together. If their managers are any good, they know it as well. The manager's peers and reports know very well who's a good manager and who's just suit stuffing.

      The above is hardly perfect, but will be orders of magnitude more accurate than people half a continent away who never have and never will meet any of the employees they're making decisions over using a broken mathematical model that they don't even understand.

  2. Joy by Heather+D · · Score: 4, Funny

    Ah. Yes this would be the 'Brazil' solution.

    "I'm sorry Mr Jones, our database says that you are a statistical outlier and that you should be dead by now."

    *pulls out gun*

    "You must become compliant."

  3. We'll all be gaming this before too long. by tjstork · · Score: 4, Interesting

    I would joke that this could be a good thing, in that, we'll just game the review system to get raises.

    The reality is, though, that the more corporations seek to control and monitor their employees, the more they will crush the entrepreneur in them. Corporations work best when they motivate people and you do that by creating a positive, team culture that gives its participants a sense of mission. Take that away, reduce people to cogs, and you are going to get cogs as a result, and you'll get an inevitable decline. What enterprising person would want to work as an anonymous cog, coming out of college with a degree and history that says they are anything but, when they could make a real difference at a startup.

    Actions like this doom large corporations, and frankly, this sort of thinking was what alienated the big 3 for a lot of people, and now they want to do this to the computer industry?

    Stupid, stupid, stupid.

    --
    This is my sig.
  4. I've always hated HR, QA, etc... by Anonymous Coward · · Score: 4, Insightful

    I love how they say that only a certain percentage of employees can be meeting, exceeding, or failing to meet expectations.

    I have a relative working for a large appliance manufacturer that pulls this crap. Even if every employee did a perfect job (hypothetically speaking), there has to be a least a certain amount of them that are labelled as underperformers.

    "Oh. Well, yes, Jimmy, we agree you did a perfect job but since you didn't wear matching socks on August 14th, we'll have to put you in the underperformers category."

    Let me tell you about why QA exists in the first place. You see...at one point in time in every large company, there was no QA department. Then, a bunch of sales managers, temps, underperforming execs, obsolete trainers, and lazy HR personnel were all about to get canned for their uselessness. Then, they go to the company president and say, "Hey. You know...we really need to do some 'improving' here at XYZ Corporation. My associates and I have come up with a plan to monitor and track employee productivity and customer satisfaction based on this rigid set of next-to-meaningless criteria. There's always room for improvement, you know. And guess what? The best part is that since we have a plan to apply quantitative figures to qualitative matters, you'll be able to screw most people out of raises and bonuses as often as you'd like! All you have to do is let us keep our jobs."

    And, of course, the higer-ups fall for it hook, line, and sinker. Idiots.

  5. Human resources? Bah by GF678 · · Score: 4, Insightful

    How can you form any kind of social bonding in a company when your worth is distilled down to the results of some fucking mathematical formula? I'm not naive to think there's any concept of loyalty or trust in the modern business, but man, things just keep getting worse.

    Forget even referring to us by name anymore, just give us numbers if you're gonna stop treating us as human fucking beings.

    1. Re:Human resources? Bah by Sponge+Bath · · Score: 4, Funny

      ...just give us numbers if you're gonna stop treating us as human fucking beings.

      So posted /. user 1453005.
      Your participation has been credited to your Interaction Value Score./p>

  6. Re:Not necessarily bad thing by Clover_Kicker · · Score: 4, Insightful

    It's as likely to encourage people to cc everyone and their cousin, or other silly tactics to game the metrics.

  7. Counter example by Vornzog · · Score: 4, Insightful

    My wife just took a new position, because her last boss was an idiot. He was a passive aggressive micro-manager, puffed up with his own self-importance, *at least* 15 years out of date technically, and long since regulated to the most irrelevant corner of the company.

    By the metrics discussed here, though, he'd have looked like the hero! *All* had to run though him - customers, suppliers, management, co-workers - if you talked to someone without including him in the conversation, he'd flip. He threatened to fire my wife (and a few more people since) for doing their job without his constant oversight. Unfortunately, while everyone knows about the situation, my wife was the first to report it to HR, so they can only now start to think about taking action against they guy.

    Counting the number of communications makes the people who send one word, no value added emails and attend a lot of meetings they don't need to be at look good.

    Also, it completely misses your crack team - the 3-4 people who you can hand a problem to, and know that they'll have it solved by next Tuesday, no questions asked. When those people shut their office door, you leave them alone, because you know they are working miracles, and you'll only get int their way.

    Web analogy - Google and page rank. Rule number one is that you never trust the page to tell you how important it really is. Pages with all the right keywords and a bunch of links are one of two things - the best of the best about a topic, or an SEO linkfarm. So you take those things into account, but you do so with a *huge* grain of salt. To augment it, you go looking for other supporting metrics - what do other people think?

    The HR department has just automated a human approach to the problem - they took one piece of evidence that the human brain can wrap its head around, and made the computer count that. You want to do informatics and data mining right, you need to learn what the computer is good at, and start looking for deeper patterns that are hidden by masses of data too large for the human mind to encompass.

    --

    -V-

    Who can decide a priori? Nobody.
    -Sartre

    1. Re:Counter example by Daniel+Dvorkin · · Score: 4, Insightful

      I strongly suspect that this system is designed to identify people like your wife's ex-boss as valuable employees, while denigrating people like your wife, who (I assume) does real, useful work. The middle-management drones want to justify their existence to the upper-management drones, and software that assigns a number to "networking" and "synergies" and "six-sigma leveraging of core stakeholder values" is exactly the right tool for this. The upper-management drones are inclined to believe this sort of thing already, of course, and the sorts of reports the software generates add to their self-satisfaction.

      --
      The correlation between ignorance of statistics and using "correlation is not causation" as an argument is close to 1.
  8. The whole premise is bullshit. by tomhudson · · Score: 4, Insightful

    Number crunching, a staple for decades in the quantifiable domains of engineering and finance, has spread in recent years into marketing and sales.

    Engineering only works because you still have people vetting the numbers. However, even there, there are problems that you just need a human opinion, because the engineers can't figure it out. One example - engineers called in to calculate how much you can cut a pile of earth back without shoring it up. None of them got within 50% of the actual number derived by subsequent tests. The solution is simple - call someone in whose work is excavating, and they'll give you a more accurate answer just by eyeballing.

    Bottom line: If your boss doesn't know how much your're contributing to the company, then your boss is deadwood and should be fired. No need for statistical analysis to replace common sense (which is what created the toxic CDOs and SIVs, etc)... but the deadwood boss will like this, because now it's not their job to know what you do any more - they can point to a chart.

    Short any company using this method.

  9. Re:Not necessarily bad thing by MrNaz · · Score: 5, Funny

    From: bob@company.com
    To: all-user-list@company.com
    Subject: Good luck

    Close your eyes and imagine a well. Then imagine yourself tossing a coin into the well. Now forward this message to at least 5 of your friends within the company and HR will reward you with elevated quanta metrics and a payrise.

    --
    I hate printers.
  10. Makes me think of Frederick Taylor by krou · · Score: 4, Insightful

    When I read things like this, I'm always reminded of Frederick Taylor. If you've never heard of him, he's probably the guy you should thank for such quackery.

    In the past the man has been first; in the future the system must be first.

    This idea of mathematically determining the value of each employee fits very well with his ideas. Face it: in the modern corporate world, humans are part of a system that is, overall, far more important than the individual. It is increasingly a scientifically-managed system, so it should come as no surprise that such dehumanising practices should take place. Business does not want humans; it wants workers.

    It is quite a logical outcome of our increasing reliance on scientific principles to explain and analyse our world. I find it ironic that many /. members would hate this approach of analysing workers, yet its roots lie in our reliance on science to breakdown, label, categorise, and figure out how we and our world works. In the same way psychology, neuroscience, and other mind-related fields were bastardised to figure out how to manipulate the human mind to makes us consume, the computer sciences will be used in a similar fashion to make us behave a certain way: if you don't want to get fired, you need to make sure what you do conforms to their model.

    Sadly, figuring out the "optimal" and "perfect" workers will, like my .sig says, make us realise just what it was that made us human, instead of just robots.

    --
    'If Christ had tweeted the sermon on the mount, it might have lasted until nightfall.' - John Perry Barlow
  11. Re:Useful to convince under performers by dougwhitehead · · Score: 4, Insightful

    So basically, you are saying you want a club to beat people with. That way you can choose who gets the beating.

    Most of the discussion here is about determining whether the metric is actually valuable.