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1 41 Female 5993 8 Yes 6 Yes 2 49 Male 5130 1 No 10 No 3 37 Male 2090 6 Yes 0 Yes 4

1 41 Female 5993 8 Yes 6 Yes
2 49 Male 5130 1 No 10 No
3 37 Male 2090 6 Yes 0 Yes
4 32 Male 3068 0 No 7 No
5 30 Male 2693 1 No 1 No
6 36 Male 5237 6 No 7 No
7 29 Female 4193 0 Yes 9 No
8 31 Male 2911 1 No 5 No
9 34 Male 2661 0 No 2 No
10 28 Male 2028 5 Yes 4 Yes
11 32 Male 3298 0 Yes 6 No
12 53 Female 15427 2 No 25 No
13 38 Male 3944 5 Yes 3 No
14 36 Male 3407 7 No 5 Yes
15 34 Female 11994 0 No 12 No
16 21 Male 1232 1 No 0 No
17 34 Male 2960 2 No 4 Yes
18 44 Female 10248 3 No 22 No
19 46 Female 18947 3 No 2 No
20 44 Male 6465 2 Yes 4 No
21 30 Male 2206 1 No 10 No
22 39 Male 2086 3 No 1 Yes
23 24 Male 2293 2 Yes 2 Yes
24 43 Female 2645 1 No 5 No
25 50 Male 2683 1 Yes 3 Yes
26 35 Female 2014 1 No 2 No
27 27 Female 2341 1 No 1 No
28 30 Female 4011 1 No 12 No
29 41 Female 19545 1 No 22 Yes
30 37 Male 3022 4 No 1 No
31 35 Male 2269 1 No 1 No
32 48 Male 5381 9 Yes 1 Yes
33 28 Male 3441 1 Yes 2 Yes
34 44 Female 5454 5 Yes 4 No
35 35 Male 9884 2 Yes 4 No
36 33 Female 13458 1 Yes 15 No
37 35 Female 4014 3 Yes 2 No
38 31 Male 5915 3 No 7 No
39 32 Male 6162 1 Yes 9 No
40 38 Female 2406 1 No 10 No
41 50 Female 18740 5 Yes 27 No
42 55 Female 14756 2 Yes 5 No
43 36 Male 6499 1 No 6 No
44 36 Male 3388 0 Yes 1 Yes
45 59 Female 5473 7 No 4 No
46 29 Male 2703 0 No 5 No
47 31 Male 2501 1 No 1 No
48 32 Male 6220 1 No 10 No
49 36 Female 3038 3 No 1 No
50 35 Male 4312 0 No 15 No
51 45 Male 13245 4 Yes 0 No
52 46 Male 5021 8 Yes 4 No
53 30 Male 5126 1 Yes 10 No
54 38 Female 5329 7 Yes 13 No
55 56 Male 7260 4 No 6 No
56 23 Male 2322 3 No 0 No
57 51 Male 2075 3 No 4 No
58 30 Male 4152 1 No 11 No
59 46 Male 9619 1 No 9 Yes
60 40 Male 13503 1 No 22 No
61 51 Male 5441 0 Yes 10 No
62 30 Female 5209 1 Yes 11 No
63 46 Male 10673 2 Yes 10 No
64 32 Male 5010 1 No 11 No
65 54 Female 13549 9 No 4 No
66 24 Female 4999 0 No 3 No
67 58 Male 13872 0 No 37 No
68 44 Male 2042 4 No 3 No
69 32 Male 2956 1 No 1 No
70 20 Female 2926 1 Yes 1 Yes
71 34 Female 4809 1 No 16 No
72 37 Male 5163 5 No 1 No
73 59 Female 18844 9 No 3 No
74 50 Female 18172 3 Yes 8 No
75 25 Male 2889 1 No 2 No
76 51 Female 7484 3 No 13 No
77 24 Male 2774 0 No 5 No
78 34 Female 4505 6 No 1 No
79 34 Female 11631 2 No 11 No
80 36 Female 2835 5 No 1 No
81 30 Male 2613 1 No 10 No
82 33 Male 6146 0 No 7 No
83 56 Female 4963 9 Yes 5 Yes
84 51 Male 19537 7 No 20 No
85 31 Male 6172 4 Yes 7 Yes
86 26 Female 2368 1 No 5 No
87 58 Female 10312 1 No 40 Yes
88 19 Male 1675 1 Yes 0 Yes
89 22 Male 2523 0 No 2 No
90 49 Female 6567 1 No 15 No
91 43 Female 4739 4 No 3 No
92 26 Female 2942 1 No 8 No
93 36 Male 4941 6 No 3 No
94 51 Male 10650 2 No 4 Yes
95 39 Female 5902 4 No 15 No
96 25 Male 8639 2 No 2 No
97 30 Male 6347 0 Yes 11 No
98 32 Female 4200 7 No 5 Yes
99 45 Male 3452 5 No 6 No
100 30 Female 2632 1 No 5 No
101 32 Male 4668 0 No 8 No
102 30 Female 3204 5 No 3 No
103 30 Male 2720 0 No 5 No
104 41 Male 17181 4 No 7 No
105 41 Male 2238 2 No 5 No
106 40 Female 5605 1 No 20 No
107 35 Male 7295 1 No 10 No
108 53 Male 2306 2 Yes 7 No
109 45 Male 2348 8 No 17 No
110 32 Female 8998 1 No 9 No
111 29 Male 4319 1 No 10 No
112 58 Female 3346 4 Yes 1 No
113 40 Male 10855 7 No 12 No
114 34 Female 2231 6 No 4 No
115 22 Male 2323 1 No 2 No
116 27 Male 2024 6 No 2 No
117 28 Male 2713 1 No 5 No

Showing 1 to 13 of 1,098 entries, 7 total columns Introduction Angelica is a research statistician working for a management consulting firm in Salt Lake City. Over the years, the firm has developed a strong reputation in human resource consulting. Recently, a large medical device manufacturer, BioImplants, Inc. (or BI), has approached the company for advice on preventing employee turnover. Angelica, with quite a bit of HR consulting experience, was assigned to the project.

BI is a multinational corporation with over $1 billion in annual sales. While employee attrition is a problem in US businesses generally, it is particularly pronounced in growing and dynamic industries like healthcare. It is expensive for companies to rehire a position, costing by some estimates about 21% of the annual salary of the original position.

Angelica interviewed the Director of HR at BI, Stan Devolta, who indicated that the company has been successful in large part due to the work of the HR department and the company's commitment to its employees. It is widely recognized as a desirable place to work. However, Stan admitted that some departments within the company may be better than others at retaining employees, and that employee satisfaction is not universally high. BI would like some insight into employee turnover, and, specifically, answers to questions such as these:

- Who is leaving? - Are there changes that the company could make to retain employees?

Mr. Devolta emphasized that his ultimate goal is to get recommendations for how BI can improve attrition, along with forecasts of improvement and cost savings after implementing the recommendations. He provided Angelica with a sample of the company's HR data.

There is some time pressure. The CEO of BI wants a specific plan for employee retention within a month. Mr. Devolta has therefore stipulated a tight schedule for the analytics project: two weeks. He wants to have time to evaluate the results, revise the analytics if necessary, and fine tune the messaging.

The analytics problem for this project is supervised classification, with a target representing observed employee attrition. The company appears to have sufficient historical data to address the business problem (it has invested heavily in its data infrastructure in the last several years). However, there is missing data. Thus, one of the assumptions for the project is that the existing data contains sufficient information to model the outcome. Another assumption, of course, is that the basic conditions leading to attrition don't change in the near futurethat historical data will be representative of future data.

Based on the conversation with Mr. Devolta, Angelica suspects that the amount of overtime could be related to turnover (as suggested by the HR literature). But she makes no assumptions and wants the data to inform her of the underlying relationships.

```{r} library(tidyverse) library(caret) bi <- read_csv("bioimplants_clean.csv") bi <- bi %>% mutate(gender = as.factor(gender), over_time = as.factor(over_time), attrition = as.factor(attrition))

bi$X1 <- NULL ```

## Questions

## Q1 the average employee attrition rate at BI ```{r} attrition_rate <- mean(bi$attrition == "Yes") attrition_rate table(data$attrition) %>% prop.table() ```

## Q2 Linear probability model.

### Part a

linear probability model for attrition at the company. ```{r}

lm_model <- lm(ifelse(bi$attrition == "Yes", 1, 0) ~ ., data = bi) summary(lm_model) ```

##the effect of `num_companies_worked` on an employee's probability of leaving the company? >

### Part c. Are higher-tenured employees more likely to leave the company?

### Part d. The company is considering assigning overtime to one of its employees (employee details below). How likely will this employee leave the company with and without overtime? (With help of `coef(lm_model)%>% round(5)` command below for the values of the estimates rounded to 5th decimal.) - age: 34 years - gender: Male - monthly_income: $4,000 - num_companies_worked: 2 - years_at_company: 2 ```{r} coef(lm_model)%>% round(5)

```

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