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Objective 3.3Business· 1 min read

Analytical Aptitude

Analytical Aptitude

What you will learn

  • Calculate turnover, absenteeism, cost per hire, and ROI.
  • Choose the median over the mean when outliers exist, and understand standard deviation.
  • Distinguish correlation from causation and reliability from validity.
  • Detect sample bias in surveys.

The exam doesn't expect you to be a statistician, but it expects you to compute the core metrics accurately and not leap from descriptive data to a causal conclusion. Most mistakes here are logical, not arithmetic.

Core formulas

Turnover RateSeparations ÷ average headcount × 100.
Absenteeism RateDays absent ÷ (employees × workdays) × 100.
Cost per Hire(External + internal costs) ÷ number of hires.
ROI(Benefits − cost) ÷ cost × 100.

Worked example: ROI

A training program cost SAR 50,000 and produced measurable benefits of SAR 80,000. ROI = (80,000 − 50,000) ÷ 50,000 × 100 = 60%. The common mistake is dividing benefits by cost directly, giving 160%.

Reliability vs. validity

ReliabilityValidity
The questionDoes the tool give the same result when repeated?Does the tool measure what it's meant to measure?
RelationshipRequired for validity but not sufficientRequires reliability

Correlation isn't causation

If leadership program attendees got higher ratings, high performers may have been nominated in the first place. Proving impact requires a control group or pre/post measurement.

What matters on the exam

  • With an outlier salary, the median represents the typical value better than the mean.
  • Uneven response rates across groups mean sample bias; analyze each group separately.
  • Line charts for trends over time; pie charts for parts of a whole.

Quick check

Answer in your head first, then reveal.

  1. 30 separations, average headcount 200. Turnover rate?Reveal the answer

    15%.

  2. 100 employees, 20 workdays, 60 days absent. Absenteeism rate?Reveal the answer

    3%.

  3. What does a large standard deviation in a department's salaries mean?Reveal the answer

    Salaries are widely spread around the average.

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