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HR / People Analytics · how-to

Diversity Index → EBIT impact — in DAX (Power BI)

A composite-index-regression analysis. Every step below is the same analysis rendered for DAX (Power BI) — grounded in the source, honest where DAX (Power BI) can't do a step cleanly.

Same analysis, your tool

SCORE-INDEX

convert raw headcount breakdowns into one trackable diversity metric

EthnicityDiversityIndex = DIVIDE([sum_of_items], n)   -- mean of the ethnic diversity items

SCORE-INDEX · mechanical

same index treatment for the gender dimension

GenderDiversityIndex = DIVIDE([sum_of_items], n)   -- mean of the gender diversity items

REGRESS

estimate how diversity indices move earnings before interest and taxes

DAX (Power BI) can’t do this cleanly

REGRESS has no clean dax form —

VALIDITY · mechanical

confirm the diversity-EBIT relationship is reliable

-- criterion validity = Pearson measure of [measure] vs [criterion] (see CORRELATE)

PREDICT

quantify the business value of increasing diversity

Score = [b0] + [b1]*[x1] + [b2]*[x2]   -- apply the fitted coefficients (calc column)

Honest note: DAX (Power BI) can’t do 1 of these steps cleanly — the switcher shows which tools can.

Grounded in

Predictive HR Analytics with Excel, Sec 18.1-18.2 Convert Diversity into Index + regress on EBIT

Doing HR / People Analytics work?

The full HR / People Analytics guide covers this and the whole workflow around it — reconciled from the field’s best books.

Want to run it, not read it?

Run this analysis live on your data, in DAX (Power BI) or any tool — powered by the Stepcode engine.