Chapter 4

Segmenting for Perspective

IN THIS CHAPTER

Bullet Obtaining insight through segmentation

Bullet Following the segmentation process

Bullet Transforming HR data into segments

Segmentation is a fundamental and essential part of people analytics — or any analytics, for that matter. Segments are crucial when it comes to helping you understand and derive insight from your data.

A segment is a grouping of people who share common characteristics. A segment of people can be thought of as one whole unit or as a portion of another unit. For example, the people who work together in an industry form a segment of the total job market. The people who work together in a company form a segment of an industry, and the people in that particular company can be grouped into many much smaller segments.

Some simple examples of segments within a company are division, business unit, location, and job function (such as sales or engineering). People can also be segmented by characteristics that have nothing to do with the company and everything to do with the person — gender, ethnicity, socio-economic status, age, work experience, educational achievement and personality type, for example. People can be described by ...

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