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Neha Yadav
Lecturer, School of Management Babu Banarasi Das University Lucknow Email id : [email protected]Abstract:
Employee Retention refers to the ability of the organisation to retain its employees and it's a big challenge for organisations. Organisation culture, pay and remuneration, flexibility and job satisfaction highly influence theretention rate for any company.Employees who leave the organization‟s as well as those who leave on their own initiative can cause disruptions in operations, work team dynamics and unit performance.
ToRetain their best employees managers must make sure that their organizations should clearly communicate expectations about rewards, working environment and productivity standards. .This paper elaborates on the retention factors such as training, skill recognition, career development, etc.
it helps inunderstanding the importance of effective communication and employee motivation for the cause of employee retention.Employee turnover, amongst public sector organizations, is becoming a problem which costs a lot of money, efforts and energy. This is a problem which leads to major obstacle for HR professionals in formulation of their HR policies. This study aims to identify the main turnover factors in some public sector regulatory authorities and to suggest some employee retention strategies .which is b,ased on a human resources management system, was stressed
Keywords:Employee, retention, turnover, motivation, intrinsic, extrinsic, job retention, public sector organizations, Human Resources Management.
Introduction
The research was aimed at achieving the following objectives: identify and establish the key intrinsic and extrinsic motivational variables being used by selected public and private sector organisations in retaining their employees;
determine the extent to which the identified intrinsic and extrinsic motivational variables are influencing employees‟ retention and turnover in the selected organisations; and make recommendations to management of the selected organisations on how to effectively retain employees and reduce turnover.reasons for employee turnover in the organisations: hiring practices; managerial style; lack of recognition;
lack of competitive compensation system; toxic workplace environments. Others include lack of interesting work; lack of job security; lack of promotion and inadequate training and development opportunities, amongst others. These are intrinsic and extrinsic motivational factors which can assist managers to influence employee retention in their organisations. The problem, however, is that managers have failed in identifying and properly using these variables as retention strategies thereby resulting in the prevailing high turnover rate in the organisations.
Turnover is not only destructive to organisations, it is also costly. Every time an employee quits, a replacement must be recruited, selected, trained and permitted time on the job to gain experience.
Apart from the costs that are directly associated with recruiting and training a new employee, other indirect costs exist.Employees who leave on the organization‟s request as well as those who leave on their own initiative can cause disruptions in
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operations, work team dynamics and unitperformance. Both types of the turnover create costs for the organization. If an organization has made significant investment in training and developing its employees, that investment is lost when employee leaves (Mello, 2011). In addition to excessive employee turnover can hurt the overall productivity of a firm and is often a symptom of other difficulties. Every organization strives to have high productivity, lesser turnovers and maximum profitability.
Research Methodology Sample size: 100
Research Area: Lucknow
Type of research: Descriptive research
Type of data collection: Primary and secondary information.
Research Objective:
identify and establish the key intrinsic and extrinsic motivational variables used by selected public and private sector
organisations in retaining their employees;
determine the extent to which the identified intrinsic and extrinsic motivational variables are influencing employees‟ retention and turnover in the selected organisations;.
make recommendations to management of the selected organisations on how to effectively retain employees and reduce turnover.
to identify the main turnover factors in some public sector regulatory authorities and to suggest some employee retention strategies .
EMPLOYEE RETENTION AND TURNOVER Employee Retention refers to the ability of the organisation to retain its employees and it's emerging as a bigchallenge to organisations.
Organizational turnover has sometimes been
defined as „„the ratio of the number of organizational members who have left during the period being considered divided by the average number of people in that organization during the period‟‟. four types of employee turnover -under two categories. turnover is either voluntary being initiated by the employee, or involuntary, being initiated by the organization. Involuntary Turnover Involuntary turnover is split into discharge and downsizing types. Discharge Turnover: Discharge turnover is aimed at the individual employee, due to discipline and/or job performance problems.
Downsizing Turnover: It occurs as part of an organizational restructuring or cost-reduction program to improve organizational effectiveness and increase shareholder value. Voluntary Turnover Voluntary turnover, in turn, is broken down into avoidable and unavoidable turnover.
Avoidable turnover: Avoidable turnover is that which potentially could have been prevented by certain organizational actions, such as pay raise or new job assignment. Unavoidable turnover: A turnover that happens in unavoidable circumstances is called as unavoidable turnover
RETENTION FACTORS
Skill Recognition:
Skill recognition of personal job accomplishments is an effective retention strategy foremployees at any age
Learning & Working Climate:
supportive learning and working climate should be established by an organisation. normally it refers to the environment wherein employees both work and learn.
Job Flexibility:
"flexibility" empowers people to facilitate a health flexibility such as scheduling variations that better accommodateindividual workloads, responsibilities, work times, and locations
Cost Effectiveness:
organizations providing cost effective job flexibility options benefit from satisfying the needs
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of employees, not dependent on age, which allowsfor the reallocation ofexpenses related to hiring, work space changes, sick time, absenteeism.
Training:
jobtraining is a essential factor for personal (behavioural) and professional (technical) development Availability of all employees having access to training and development facilitatinggrowth of an organizational, particularly with technological improvements and performance
Importance of Training & Development
1. Optimum Utilization of Human Resources 2. Development of Human Resources 3. Development of skills of employees 4. Productivity
5. Team spirit 6. Quality
7. Health and Safety 8. Morale
9. Reputation and goodwill 10. Profitability
11. E-learning: Online training is defined as computer based training, online learning, eLearning, distance learning, self-paced learning, asynchronous training, and the list goes on. E-learning enables learner to learn anywhere, any time and just in time.
In the new paradigm of training and performance solutions, e-learning has given more importance than traditional training methods, as the new set of KSA and competencies are developed through e-learning.
Benefits of Using an Online Training System Cost effective: E-learning helps in reducing the cost regarding the travel, venue hire and catering costs that are associated with classroom-based
training sessions, while subsequently increasing employee productivity.
Improved performance: A 12-year meta-analysis of research by the U.S. Department of Education published in June 2009, found that higher education students in online learning generally performed better than those in face-to-face courses.
Convenience and flexibility to learners: E- learning is quite convenience and flexible to learners as the courses are available to learners for completion at a time that‟s convenient for them, 24/7.
Increased access: E-learning opens up opportunities for employees as well as students who may not previously have been able to access these resources and instructors due to geographical, physical, political or economic constraints.
Literature Review:
(M.S. Pallavi P. Kulkarni et.al) In this competitive world, training plays an important role in the competent and challenging format of business. Training is the nerve that suffices the need of fluent and smooth functioning of work which helps in enhancing the quality of work life of employees and organizational development too. Development is a process that leads to qualitative as well as quantitative advancements in the organization, especially at the managerial level, it is less considers with physical skills and is more concern with knowledge, values, attitudes and behavior in addition to specific skills. Hence, development can be said as a continuous process whereas training has specific areas and objectives. So, every organization needs study the role, importance and advantage of training and its positive impact on development for the growth of the organization.
(Vivek Sharma and Jeet Dogra et.al) 2012 the present age is driven by digital technology and whole globe come under the influence of internet and World Wide Web. The internet
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equipped both the education seeker as well aseducation provider and laid them together under the virtual classroom is already popularized across the globe. Therefore in the modern ea, the role of online technology in providing the education is vital and with its flexible nature the online educational technology has gained popularity. The online education is now more accessible to the lessprivileged groups in comparison to the centralized classroom education system.
Several management degrees and diplomas programs are offered online and even the response rate is also encouraging for the providers of them online degrees (1Henry Ongori, 2Jennifer Chishamiso Nzonzo et.al) 2011 Training and development of employees is critical in organizations in this era of competition due to the fact that Organizations need to survive, grow and develop.
Consequentially, training and development has become an issue of Strategic importance.
Although many scholars have conducted research on training and development practices in organizations in both developing and developed economies, it is worth mentioning that most of the research has concentrated on the benefits of training in general.
Approaches to Training and Development Traditional approach: Most of the organizations were holding the traditional view that managers are born and not made. There were also some views that training is a very costly affair and time consuming process. Organizations used to believe that it is an expense not an investment.
Modern approach:In the modern approach, organizations have realized the importance of corporate training and learning but according to the cut throat competition,e-learning has given more importance than Training because new set of knowledge, skills and abilities and competencies are developed through e- learning. It enables learner to learn anywhere, anytime and just in time. It is now considered
as most important tool for retaining employees in the organization. The training system in Indian Industry has been changed to create a smarter workforce and achieve the best results.
Training Delivery Methods
Training can be delivering through different methods of training. It depends upon the type of methods of training which are as follows:
A. On-the-job training Methods:
Under these methods new or inexperienced employees learn through observing peers or managers performing the job and trying to imitate their behavior. These methods do not cost much and are less disruptive as employees are always on the job, training is given on the same machines and experience would be on already approved standards, and above all the trainee is learning while earning. Some of the commonly used methods are:
1. Coaching:
2. Mentoring:
3. Job Rotation:
4. Job Instructional Technique (JIT):
5. Apprenticeship:
6. Understudy:
B. Off-the-job Training Methods:
Off-the-job training methods: are conducted in separate from the job environment, study material is supplied, there is full concentration on learning rather than performing, and there is freedom of expression. Important methods include:
1. Lectures and Conferences:
2. Vestibule Training:
3. Simulation Exercises:
(a) Management Games:
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(b) Case Study:(c) Role Playing:
(d) In-basket training:
4. Sensitivity Training:
5. Transactional Analysis:
TRAINING NEEDS ASSESSMENT (TNA) “Training need assessment is a series of activities conducted to identify problems or other issues in the workplace and to determine whether training is an appropriate response.”
The following are the steps in TNA process:
Step1- Identity problem needs
Step2- Determine design of needs analysis Step3- Collect data
Step4- Analyze data Step5- Provide feedback Step6- Develop action plan
Design of training program for employees:
After finding the training needs of employees, there is a need of designing an effective training program for employees in order to improve their knowledge, skills, abilities, attitudes and performance to get the maximum rate of return through customer satisfaction.
1.Identify goals: The first step involves setting the objectives. In an industry, employees should be aware of their KRA‟s (key responsibilities areas).
2.Acquire training resources: After setting the objectives the next step is to acquire training resources keeping in view what kind of training is.
This might include computer software, an online course, book etc.
3. Create a schedule: There should be the creation of a proper training schedule depending on the length, few days and several weeks are required to complete.
4.Find a trainer: There is a need of recruiting a qualified, knowledgeable, skilled and experienced trainer who provide guidance to employees and help in running the training program smoothly.
5.Communicate effectively: It is important to hold a meeting before starting the training program where trainer can provide a brief explanation on what the program will entail and what employees can expect.
6. Encourage feedback: After completing training program, it is necessary to meet with employees to obtain feedback. This is the time when employees can discuss the strengths and weaknesses of the program, what they learned, and their overall experience.
Evaluation of Training Program:
There are three reasons for evaluating training programs. The most common reason is that evaluation can tell us how to improve future programs. The second reason is to determine whether a program should be continued or dropped. The third reason is to justify the existence of the training department (Corporate University) and its budget.
Techniques of training and development evaluation:
Interviews: Interviews are conducted before, during and after training program to get information from trainer and trainees about training program.
Questionnaires: These are prepared to evaluate at several level. It can qualitative or quantitative and involves self-assessment or measure4ment of objectives.
Time series analysis: In this, a series of measurement are taken before, during and after training is completed. These measurements are then plotted on graph to check whether changes have occurred or remain as a result of the training effort.
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Cost benefit analysis: It involves answer toquestions regarding cost-benefit analysis in organization.
Written Test: Two types of tests are administered pre test before training and post test after training and the results are compared whether the changes have occurred or remain as a result of the training effort.
ANALYSIS AND FINDINGS 1. What do you understand by training?
a) Learning b) Enhancement c) Sharing information d) All of the above
INFERENCE In this, we found that 10% are saying that training is a learning, 5% saying enhancement, 15% saying sharing information and 70% are saying all of the above.
2. Have you been trained to do the task?
a) Yes b) No
INFERENCE In this we found that 92% of the employees said that they have been trained to do
the task and 8% of the employees said that they have not been trained to do the task.
3. Training is must for enhancing productivity and performance.
a) Completely agree b) Partially agree c) Disagree d) Unsure
INFERENCE In this we found that 80% of the employees said that training is must so completely agree, 10% of the employees are partially agree, 5% are disagree and 5% are unsure.
4. from the following training methods, under which training method you have trained?
a) On the job b) Off the job c) Both
d) None of the above
INFERENCE In this we found that 55% of the employees said that on the job, 20% off the A
10% B 5%
C 15%
D 70%
1st Qtr 92%
2nd Qtr
8%0% 0%
1st Qtr 80%
2nd Qtr 10%
3rd Qtr 5%
4th Qtr 5%
20% 55%
15%
10%
1st Qtr 2nd Qtr 3rd Qtr 4th Qtr
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job,15% said both and 10% said that none of theabove.
5 Are you satisfied with the effectiveness of training program?
a) Excellent b) Very good c) Average d) Poor
INFERENCEIn this we found that 60% of the employees said excellent, 25% of the employees said very good, 10% of the employees said average and 5% of the employees said poor.
6. Do you think that the feedback can evaluate the effectiveness of training program?
a) Yes b) No
INFERENCE In this we found that 94% of the employees said yes and 6% of the employee said no.
7. Does training helps to improve employee- employer relationships?
a) Yes
b) No
INFERENCE In this we found that 75% of the employees said yes and 25% of the employees said no.
8. Does training helps to increase the motivational level of employees?
a) Yes b) No
INFERENCEIn this we found that 88% of the employees said yes and 12% of the employees said no.
9. What kind of training methods does the organization provide to train the employees?
a) On the job b) Off the job c) Audio Visual d) Lectures e) All of the above 1st Qtr
60%
2nd Qtr 25%
3rd Qtr 10%
4th Qtr 5%
1st Qtr 94%
2nd Qtr 6%
3rd Qtr 0%
4th Qtr 0%
1st Qtr 75%
2nd Qtr 25%
3rd Qtr 0%
4th Qtr 0%
1st Qtr 88%
2nd Qtr 12%
3rd Qtr 0%
4th Qtr 0%
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INFERENCE In this we found that 35% of theemployees said on the Job, 20% of the employees said off the job, 15% of the employees said audio visual, 5% of the employees said lectures and 25%
of the employees said all of the above 10. Are there rewards for good performance?
a) Yes b) No
INFERENCE In this we found that 60% of the employees said yes and 40% of the employees said no.
Major Findings
10% are saying that training is learning, 5% saying enhancement, 15% saying sharing information and 70% are saying all of the above.
92% of the employees said that they have been trained to do the task and 8% of the employees said that they have not been trained to do the task.
80% of the employees said that training is must so completely agree, 10% of the
employees are partially agree, 5% are disagree and 5% are unsure.
55% of the employees said that on the job, 20% off the job, 15% said both and 10%
said that none of the above.
60% of the employees said excellent, 25%
of the employees said very good, 10% of the employees said average and 5% of the employees said poor.
94% of the employees said yes and 6% of the employee said no.
75% of the employees said yes and 25% of the employees said no.
that 88% of the employees said yes and 12% of the employees said no.
35% of the employees said on the Job, 20% of the employees said off the job, 15% of the employees said audio visual, 5% of the employees said lectures and 25% of the employees said all of the above
60% of the employees said yes and 40% of the employees said no.
Conclusion
Training and development programs have a positive effect in improving the knowledge, skills and abilities of employees. It helps in increasing productivity and profitability of the organization.
According to analysis and interpretation I would like to conclude that employees should be aware of the concept of training and development. Proper training program should be designed and intelligent, knowledgeable and skilled trainer should be hired for providing quality training to the employees. In every organization various training methods like on the job, off the job, audio visual, lectures etc. should be provided because each and every training methods has its own effects in improving the KSAs of the employees and which ultimately enhance the profitability and productivity of the organization.Not only this ithelps in building healthy and cordial relations between employee-employer. Along with this, feedback should be properly evaluated to see the effectiveness of the training and development program. If the employee is being trained properly 1st Qtr
35%
2nd Qtr 20%
3rd Qtr 15%
4th Qtr 5%
5th Qtr 25%
1st Qtr 60%
2nd Qtr 40%
3rd Qtr 0%
4th Qtr 0%
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then their motivational level would increase andthey would work with full potential.Organization should provide employees opportunity to practice the learning what they have learned during training program. And the last but not the least is to motivate the employees by providing them reward for good performance and required tools and equipments to perform their job easily. As the competition is increasing, companies have realized the importance of training and development programs for employee‟s performance and organization.As the level of competition is increasing, the techniques of providing training are also changing. Modern technique is concerned with e-learning which is a computer based information tool. At last I would like to conclude that quality training and development programs improve the KSAs and competencies of employees which in turn increases the overall organizational performance and increasing the productivity and profitability of the organization.
Recommendations
Employees should be aware of the concept of training and development.
Different training methods should be provided to the employees according to the requirement of the job.
Employees should be motivated by providing them proper training and development programs.
Proper feedback should be taken from the employees to evaluate the effectiveness of the training programs to see whether the employees are satisfied or not.
There should be reward for the good performance.
Reference
[1] Aswathappa K- human resource and personnel
Management (Tata Mcgraw Hill, 5th edition) [2] Rao VSP- human resource management Tex and cases (excel books, 2nd edition) [3] Bernardi-human resource management (Tata Mcgraw Hill, 4th edition)
[4] www.osha.gov
[5] www.optimumsourcing.com [6] www.mindtools.com [7] www.blackboard.com [8] www.efrontlearning.net [9] www.talent.com
[10] www.hrwale.com/2012/07/07/training- development
[11] Benefits of training and development for individuals and teams, organizations and society. By Herman Aguinis and Kurt Kraiger [12] Global Journal of management and business research (impact of training and development on organizational performance) by Raja Abdul Ghafoor Khan, Furqan Ahmed Khan, Dr.Muhammad Aslam Khan
