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Behavioral & Retention Analytics using SQL (NextGen Corp)

Summary

This project analyzes behavioral patterns, retention, and compensation patterns using SQL to uncover key drivers of turnover and performance.

Key Outcomes:

  • Identified high-turnover departments (Marketing: 93%, Engineering: 67%)
  • Detected weak alignment between salary and performance
  • Highlighted early attrition risk (20% leave within 1 year)
  • Delivered actionable recommendations to improve retention and compensation fairness

Project Overview

This project analyzes HR data from NextGen Corp., a technology company experiencing concerns around employee turnover, inconsistent performance, and salary disparities across departments. The analysis was designed to answer business-critical questions using SQL and present findings in a stakeholder-friendly format.

Business Objectives

The project focused on three key goals:

  1. Employee Retention Analysis

    • Identify turnover trends across departments
    • Understand root causes of employee exits
    • Detect employees at risk of leaving based on performance patterns
  2. Performance Analysis

    • Evaluate employee performance across departments
    • Identify high- and low-performing groups
    • Highlight areas requiring management intervention
  3. Compensation Analysis

    • Examine salary distribution by department and job title
    • Assess whether compensation aligns with performance
    • Recommend fairer salary benchmarks and policy improvements

Tools Used

  • SQL – data querying and analysis
  • PowerPoint – presentation of business insights and recommendations
  • Database file – source data storage

Key Business Questions Answered

  • Who are the top 5 longest-serving employees?
  • What is the turnover rate by department?
  • Which employees may be at risk of leaving based on performance?
  • What are the main reasons employees leave the company?
  • How many employees have left the company overall and by department?
  • Which departments have the highest share of top and low performers?
  • What is the average performance score by department?
  • What is the company’s total salary expense?
  • What is the average salary by job title?
  • How many employees earn above 80,000 by department and job title?
  • How does salary relate to performance across departments?

Product Analytics Interpretation

Although this dataset is based on employee data, the same analytical approach applies to user behavior in digital products.

  • Employee retention → User retention
  • Turnover → Churn
  • Departments → User segments or cohorts
  • Performance → Engagement or activity levels

This demonstrates how SQL can be used to analyze behavior, identify at-risk groups, and support data-driven product decisions.

Analytical Approach

  • Data exploration and validation using SQL
  • Aggregation and grouping to identify behavioral patterns
  • Segmentation of users based on performance and retention
  • Comparative analysis across departments (cohorts)
  • Translation of query outputs into business insights and recommendations

Key Insights

Preview

Retention & Churn Analysis

Turnover

User Performance Segmentation

Performance

Salary Analysis

Salary

1. Employee Retention

  • About 20% of employees stayed one year or less, showing significant early turnover.
  • Marketing and Engineering had the highest turnover rates at 93% and 67% respectively.
  • The top reasons employees left were Personal Reasons and Found Another Job, suggesting deeper dissatisfaction drivers behind exits.

2. Performance

  • 28 employees had left the company, with Engineering and Marketing recording the highest exits.
  • Only 9 employees achieved the highest performance score of 5.0, while 45 employees had performance scores below 3.5.
  • Marketing had both the highest number of top performers and the highest number of low performers, suggesting inconsistent team performance.

3. Compensation

  • Total salary expense was 4,850,000.
  • Salary distribution varied significantly by job title and department.
  • The analysis found weak alignment between salary and performance, especially in Engineering and Marketing.
  • Employees with strong performance did not consistently receive higher compensation, indicating possible fairness issues.

Recommendations

  • Introduce a fair performance-to-pay structure across departments.
  • Use automated performance tracking to reduce bias in salary adjustments.
  • Review compensation parity across equivalent roles in different departments.
  • Focus retention and performance improvement efforts on Engineering and Marketing.

Repository Structure

nextgen-employee-success-analytics/
│
├── README.md
├── sql/
│   └── queries.sql
├── outputs/
│   ├── outputs.pdf
│   └── sql_analysis-output
├── presentation/
│   ├── nextgen_hr_analytics_presentation.pptx
│   └── presentation.pdf
└── images/
    ├── performance_distribution.png
    ├── salary_analysis.png
    ├── salary.png
    ├── turnover_analysis.png
    └── turover_rate.png

Outcome

This project demonstrates the ability to:

  • analyze behavioral data using SQL
  • identify retention risks and segment users
  • translate data into actionable business insights
  • communicate findings clearly to stakeholders

Author

Hamzat Afe Isede Data Analyst / Data Scientist

About

SQL-based HR analytics project analyzing employee retention, performance, and compensation patterns to support data-driven business decisions.

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