Workday Peakon's True Benchmark service utilizes Mixed Linear Models (LMMs) to analyze employee engagement data.

It explains that traditional methods like simple averages are insufficient due to the hierarchical nature of organizations and confounding demographic factors that influence survey responses.

LMMs overcome these challenges by incorporating fixed effects to account for systematic demographic impacts (e.g., tenure, age) and random effects to manage variability arising from nested groups like teams and companies.

This sophisticated statistical approach allows Workday Peakon to generate fair, personalized benchmarks, enabling organizations to identify the true impact of leadership and culture on employee engagement and ultimately make more data-driven strategic decisions.