RETENTION…MANAGEMENT... CHALLENGES IN IT SECTOR….
In the current scenario, major challenge for an organization is to create new strategies to retain its valuable, experienced and talented employees. The management can control employees quitting within no time, but can’t put a complete full stop to it. India became a hub for IT services from the last decade, where knowledge oriented population getting increased. On the other side opportunities for fine talent with experience is also rising. Employees have more options within & outside the country. They expect good working Environment, challenging projects, perks and a decent package, & support for their higher studies from the employer. Because of this it’s becoming a nightmare for the employers to retain the experienced / talent employees. This study focus on, Analyzing the attrition rate, it’s effect on the IT sector, Role of the HR manager, Challenges, how they are managing to retain the talented employees, a few suggestions to create new strategy to retain a talented employee.
Key words: Attrition, retention strategies & challenges, suggestion to face challenges
Research says that most of the employees leave an organization out of frustration and constant friction with their superiors or other team members, not able to adjust with company culture. In some cases low salary, Stress, lack of growth prospects and motivation compel an employee to look for a change. The management must try its level best to retain those employees who are really important for the company and are known to be effective contributors. It is the responsibility of the HR managers & the management to ensure that the employees are satisfied with their roles and responsibilities and the offering them a new challenge and learning every day.
Refers to the ability of an organization to retain its employees. Employee retention can be represented by a simple statistic (for example, a retention rate of 80% usually indicates that an organisation kept 80% of its employees in a given period). However, many consider employee retention as relating to the efforts by which employers attempt to retain employees in their workforce Employee retention is one of the primary measure of the organization..
Definition of Retention Management
The workforce planning for Wisconsin State Government (2005) defines retention management as “a systematic effort by employers to create and foster an environment that encourages current employees to remain at the same employer having policies and practices in place that address their diverse needs”.
This is not an exhaustive list, one can add or delete any of the below mentioned strategies. Secondly, the need of the hour is to have "right basics". Every individual is different, his needs are different, and his emotions, his problems are different. So, dear HR-Professionals…sit down and concentrate on your basics. I have classified retention strategies into two parts: Main and Ancillary.
Main retention strategies
•Communications - Getting Your People to Care
•Set Clear Expectations
•Reduce entitlements and link as many rewards as possible to performance •Increase the longevity of your reward
Ancillary Retention Strategies
•The quality of the supervision of an employee
•The ability of the employee to speak his or her mind freely within the organization is another key factor in employee retention. •Talent and skill utilization
•The perception of fairness and equitable treatment is important in employee retention.
The procedure of Retention Management
i.Identification of the target and actual needs of the staff ii.Analysis of the fluctuation risk of the staff
...business rises and falls on communication. When ethical communication is lacking, moral, corporate image and motivation will lack as well. Each of these elements affects the spirit of the employees, which in turn will reflect to the customer and result in a decrease in revenue.
• Northern Virginia Ethical Society: Ten Basics of Ethical Communication
• Wisconson Business Alumni: Why Good Communication Is Good Business
• Ethical Communication
Four Types of Business Communication
By Kat Consador, eHow Contributor
Four Types of Business Communication
Various forms of communication exist in the workplace; however, be aware that some are more effective than others. In Gareth R. Jones and Jennifer M. George's book, Contemporary Management, information richness is "the amount of information that a communication medium can carry and the extent to which the medium enables the sender and receiver to reach a common understanding."
The four levels of information richness in business communication are as follows: face-to-face communication, spoken communication electronically transmitted (telephone or voicemail), personally addressed written communication (personal messages), and impersonal written communication (impersonal messages).
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1. Face-To-Face Communication
o Apply face-to-face communication if you want to get the most out of an employee-to-employee interaction. It reveals more information than any other...
...Challenges of Employee Recruitment and Retention of Healthcare
HCA 459: Senior Project
Instructor: Vicki Sowle
Submitted: September 27, 2010
Sixty-nine percent of health care organizations report having moderate to substantial difficulty retaining employees with critical skills, compared with 43% of organizations across all industries, according to a reports by Watson Wyatt Worldwide and the American Society for Healthcare Human Resources Administration reports. Jamie Hale of Watson Wyatt said the high-stress condition in hospitals explains why some workers want to leave. Chronic shortages of nurses and physical therapists needed at hospitals and clinics heighten employee retention problems. Health care workers almost always have job opportunities abroad. For example, a pharmacist could work at a retailer instead of a hospital and a nurse could work for a health insurer. In addition, the report -- which is based on survey responses from 110 health organizations -- finds that 42% of health care organizations offer comprehensive reward strategies, such as retirement plans and vacations, compared with 70% of other industries (Hale, 2010). This paper will be used to better understand the challenges involved in recruiting and retaining qualified employees to replace the large number of employees who recently retired or are reaching retirement age in the coming years. The healthcare industry and...
...(products, services and infrastructure) isn’t it amazing to learn that talented people are the ONLY lasting competitive advantage?
McKinsey’s study, which has appeared in the McKinsey Quarterly (1998), focused on 77 large U.S. companies in various industries. The team’s focus was on the human resources department within each company and what their talent-building philosophies, practices, and challenges were. The team also surveyed nearly 400 corporate offices and 6,000 executives from the top ranks of these companies. In addition, the group conducted case studies of 20 companies that were perceived to have considerable talent. The study concluded that companies are about to be engaged in a war for senior executive talent that will remain a defining characteristic of their competitive landscape for decades to come. The report’s even more troubling conclusion was that “most companies are ill-prepared, and even the best are vulnerable.”
This new age economy, with its attendant paradigm shifts in relation to the human capital, in terms of its acquisition, utilisation, development and retention, has placed a heavy demand on today’s HR professionals. Today HR is expected to identify potential talent and also comprehend, conceptualise and implement relevant strategies to contribute effectively to achieve organisational objectives. Hence a serious concern of every HR manager in order to survive this ‘War for Talent’, is to fight against a limited...
...What is Employee Retention ?
Employee retention refers to the various policies and practices which let the employees stick to an organization for a longer period of time. Every organization invests time and money to groom a new joinee, make him a corporate ready material and bring him at par with the existing employees. The organization is completely at loss when the employees leave their job once they are fully trained. Employee retention takes into account the various measures taken so that an individual stays in an organization for the maximum period of time.
Importance of Retention
Manage Employee Turnover
Employers implement retention strategies to manage employee turnover and attract quality employees into the organization. Retention programs focus on the relationship between management and their workers. Competitive pay, benefits, employee recognition and employee assistance programs are all apart of a company's attempt to maintain employee satisfaction. Human resources specialists utilize feedback they receive from exit interviews and focus groups to improve employee relations and reduce turnover.
A company can significantly benefit from employee retention programs because of a direct effect on an employer’s bottom line. High turnover can be very expensive. According to the Society for Human Resources Management,...
Turnover and Its Causes
True / False Questions
1. There are several positive, functional outcomes of employee turnover.
2. Avoidable turnover is that which could have been prevented by actions like a pay raise or a new job assignment.
3. An employee's perceived desirability of movement can depend on reasons that have little or nothing to do with the job.
4. An employee's overall intention to quit depends on the desirability of leaving, ease of leaving, and alternatives available to the employee.
5. Employees who have a high intention to quit necessarily end up quitting their jobs.
6. Desirability of movement is a weak predictor of voluntary employee turnover.
7. Availability of promotions or transfers may lessen or eliminate any intentions to quit, even though the employee is very dissatisfied with the current job.
8. Discharge turnover is primarily due to extremely poor person/organization matches.
9. Downsizing turnover is a reflection of a staffing level mismatch in which the organization actually is, or is projected to be, overstaffed.
10. Of the three types of employee turnover, discharges are the most prevalent.
Multiple Choice Questions
11. The types of employee turnover include...
GRADUATE PROJECT –BMGT695
RETENTIONMANAGEMENT AND EMPLOYEES TURNOVER IN THE BANKING SECTOR
Submitted to the Lebanese International University
The School of Business
In Fulfillment of the
Requirements for the Degree of
Master in Business Administration
Nathalie Ishak Ishak
Supervised by Khalil Ghazzaoui Ph.D.
TABLE OF CONTENTS
PART I: THE THEORETICAL FRAMEWORK 1
CHAPTER 1: INTRODUCING THE GRADUATE PROJECT 1
1. INTRODUCTION 1
2. OVERVIEW OF THE SECTOR/DOMAIN/ORGANIZATIONS 1
CHAPTER 2: LITERATURE REVIEW
1. MAIN TOPIC 1
2. SUBTOPIC 1 1
3. SUBTOPIC 2 1
PART II: THE PRACTICAL FRAMEWORK 1
CHAPTER 3: RESEARCH METHODOLOGY 1
1. DATA COLLECTION METHOD 1
2. STUDY LIMITATIONS 1
CHAPTER 4: FINDINGS AND RESULTS 1
1. DATA ANALYSIS METHOD 1
2. FACT FINDING RESULTS 1
PART III: GRADUATE PROJECT CONCLUSIONS AND RECOMMENDATIONS 1
CHAPTER 5: CONCLUSIONS & RECOMMENDATIONS 1
1. CONCLUSIONS 1
2. RECOMMENDATIONS 1
LIST OF TABLES
LIST OF FIGURES
THE THEORETICAL FRAMEWORKCHAPTER 1: INTRODUCING THE GRADUATE PROJECT
During the past decade, employee turnover has become a very serious problem for organizations. Managing...
...FOUR SQUARE (42) VALUES OF CUSTOMER RETENTION IN EMERGING MARKET SCENARIO: A NEW PARADIGM
Mr.Ch.Trinadha Rao, Asst. Professor
Miracle School of Management,
Miracle Educational Society Group of Institutions
(Approved by AICTE, New Delhi & Affiliated to JNT University, Kakinada) Kongavani Palem, Bhogapuram, Vizianagaram (Dist)-535216, Andhra Pradesh, India Tel: 08922- 248600 (0), Mob: 9949731213, Email: [email protected]
Mr.B.Bala Murali, Asst. Professor
Miracle School of Management,
Miracle Educational Society Group of Institutions
(Approved by AICTE, New Delhi & Affiliated to JNT University, Kakinada) Kongavani Palem, Bhogapuram, Vizianagaram (Dist)-535216, Andhra Pradesh, India Tel: 08922- 248600 (0), Mob: 8099198129, Email: [email protected]
Managing a business and its employees is and art and a skill. In today's business environment, companies make millions one quarter and file for bankruptcy the next. The business climate is volatile at best. The challenges for a business and its managers are many indeed. Any business and the managers in that business today will have to deal with, technology, diversity and multicultural employees and customers, globalization, the economy, ethics of the organizations employees and clients, obtaining good leaders and managers, then finally training them and knowledge management. This paper will look at those challenges that a business must face on a day-to-day basis.
Technology innovations are changing the way companies are being managed and run. From giant companies like Wal-Mart to small businesses, all are affected by technology (Dessler, 2001). For example a company that sell clocks and plastic products has changed dramatically from the 1970's. In the 1980's they would have purchased a fax machine and got a 800 number. In the 1990's pressured by large customers, added electronic data interchange. Now half of the companies orders arrive via modem going straight into the company's computers. Errors in data entry and ordering have disappeared and costs have dropped (Dessler, 2001). A manger of customer service is doing a...