Affecting factors of Employee Turnover on Consumer durable organization

Causes and Influencing Factors 

Individual employee discontent in the workplace causes turnover. However, dissatisfaction with one's job is not the only reason for leaving a company (Al Mamun, C.A. and Hasan, M.N., 2017). For example, in a consumer durable organization that employs only one area from a manager who has extensive knowledge of sales and arrears, and the job dissatisfaction that results from that manager. When he gets a very attractive position in sales and arrears from another competing company, he focuses on it and decides to leave or stay with the company. The primary key elements that are significant to consumer durable organization will be discussed in follow

Management Factors - Instability in an organization's management leads to high employee turnover. Employees are more likely to stay and work if the company is stable and has a pleasant working environment (Bergmann and Scarpello,. 2001).

Working environment - Workers will not be able to overcome the difficulties for a long time if the working environment is poor due to a lack of basic facilities such as sufficient lighting, working in a space with some natural light, ventilation, air conditioning, drinking water, and refreshment (Singh, 2008).

Pay - In an organization, pay is anything offered in exchange for services rendered. (Al Mamun, C.A. and Hasan, M.N., 2017). It has been essential in retaining and rewarding high-performing employees. To be more specific, a reduced income is one of the major causes of employee turnover (Dobbs, 2001).

Career promotion – The reason behind this is that lack of promotion and ordinary work responsibilities considerably can lead to the intention of turnover (Thompson et al.,2006).

 

Sound strategies to minimize employee turnover 

Strategies on how to minimize employee turnover, confronted with problems of employee turnover, management has several policies options (Ongori, H., 2007). Managers must set up training and learning programs on how to focus on important employee satisfaction and dissatisfies in order to create a well-balanced work design and control system that will keep people in their organizations (Al Mamun, C.A. and Hasan, M.N., 2017). The main strategies those are significant to consumer durable organization

 

Recruiting suitable employees – Staffing is intended to provide a pool of latent human resources from which a corporate organization can select the most suitable people based on job requirements. As a result, if businesses aim to keep staff turnover to a minimum, they will succeed. ( Öster, H., and Jonze, J., 2013).

Retaining valuable employees - outlines how an organization's obligation is to retain potential employees because they will most likely help the company attain its goal (Al Mamun, C.A. and Hasan, M.N., 2017).

Training and development - Management should initiate to create an environment, Employees have the opportunities to be well-informed and insightful for further career development, as well as various forms of the training programs, which will rationally be foremost to an organization. Therefore, this will result in retaining the employees and have a positive impact on organizational productivity (Singh, 2008).

 

Job satisfaction - The two key job-related motivator variables that lead to an improvement in employee job satisfaction are job content and autonomy. Employees may become motivated and want to do their best for the company once they know they are allowed to participate in decision-making (Shahzad et al. 2008 ).

As an example of how the company I work for as a Consumer Durable organization uses the above strategies, the company pays close attention to recruiting and training the right people for the job. Furthermore, various recruitment methods are used to retain all the employees so recruited for a long period of time. For example, all employees who are recruited receive the maximum employee benefits (employee insurance, funeral services, sports facilities, welfare) Further, appropriate action is taken for relevant training and personal development from the lowest employee to the highest position. The company also offers a variety of scholarships to all employees within the company to perform relevant work as well as any extracurricular activities required for his or her future career. Employee turnover is very low due to the company using various tactics to retain employees through such actions.



List of Reference


Al Mamun, C.A. and Hasan, M.N., 2017. Factors affecting employee turnover and sound retention strategies in business organization: A conceptual view. Problems and Perspectives in Management, (15, Iss. 1), pp.63-71.

Bergmann, T.J., & Scarpello, V.G. (2001).Compensation decision making. 4th ed. Harcourt, Fort Worth, TX.

Dobbs, K. (2001). Knowing how to keep your best and your brightest. Workforce, 21 (4), pp. 57-60.

Martin, R. and Martin, A.C. (2003). Employment Relations in Central and Eastern Europe in 2002: Towards EU Accession, Industrial Relations Journal,

Ongori, H., 2007. A review of the literature on employee turnover

Öster, H. and Jonze, J., 2013. Employer branding in human resource management: The importance of recruiting and retaining employees.

Saunders, M., Lewis, P., & Thornhill, A. (2007). Research Methods for Business Students. Harlow: FT Prentice Hall

Shahzad, K., Bashir, S. & Ramay, M.I. (2008). Impact of HR practices on the perceived performance of University

teachers in Pakistan. International Business Review,

Thompson, A.A., Strickland, A.J. & Gamble, J.E. (2006). Crafting and Executing Strategy.The Quest for Competitive Advantage Concepts and Cases. Boston: McGraw-Hill Irwin.

 

Comments

  1. Thushari SenevirathneAugust 29, 2021 at 8:22 AM

    Agreed with the arguments. According to Watty-Benjamin & Udechukwu, 2014, the increases or decreases of employee turnover is based on recruitment process, career development process, compensation, and performance management process and also employee relation practices. With the good industry leaders, employee voluntary reduces their turnover with motivating and team performing (Burnett, 2018). Also, training and development makes Moral changes of employee for the job satisfaction hence, less turnover and job security due to well-trained Onyango & Wanyoike (2014).

    ReplyDelete
    Replies
    1. K G B SampathSeptember 1, 2021 at 12:04 PM

      Yes Thushari, The terms "development" and "training" are interchangeable. It can be identified from the others, though. Training is for specific employment requirements, but development involves much more. More than than behaviors that promote job satisfaction are included in development (Nda, M.M. and Fard, R.Y., 2013). Furthermore, Job Satisfaction and Employee Well-Being, according to Kotze, all influence the decision to stay or quit (Kotze et al., 2005).

      Delete
  2. Nuwan Randika WijesingheSeptember 1, 2021 at 12:11 PM

    Employee turnover is delineated to a situation in which employees depart the organization for several reasons, and thus, negatively affect the organization in terms of overall expenditure and the abilities to distribute the minimum required services (Yankeelovet, 2008).

    ReplyDelete
    Replies
    1. K G B SampathSeptember 1, 2021 at 1:25 PM

      Yes Nuwan, in view of Thirupathy, A. and Dhayalan, C (2016 ), there are several reasons related to employee turnover: extrinsic and intrinsic motivational factors. Extrinsic factors involve company policy and administration, supervision, interpersonal relationships, working conditions, compensation, status, and security, as well as intrinsic factors like achievement, recognition for achievement, the work itself, responsibility, growth, and advancement (Gupta-Sunderji, M., 2004).

      Delete
  3. K G B SampathSeptember 1, 2021 at 1:08 PM

    Yes Nimna. In fact, when employees leave a company, it is referred to as voluntary turnover (Noe et al., 2006). Job happiness, position stress, as well as acquiring a better job at another company, a quarrel with a management, or a personal concern such as remaining at home and providing enough time to a family member can all effect voluntary turnover (Manu and Shay, 2004). Voluntary turnover is governed by two major elements, according to Parker, A, and Gerbasi (2016).

    • Attractiveness of a present employment
    • Availability of alternatives

    ReplyDelete
  4. Hemachandra KrishnachandraahSeptember 8, 2021 at 6:17 AM

    Agreed, Based on the Maslow Hierarchy of Needs Theory, employees needs should be met especially safety needs and esteem need (recognition, acceptance and reward) in the work place. If its failure, it will lead them to leave from the organization to search satisfaction (Handelman, 2009).

    ReplyDelete
    Replies
    1. K G B SampathSeptember 9, 2021 at 9:33 AM

      Yes. Furthermore, People are more likely to have a driving purpose in life when their basic needs are addressed, according to Maslow (Robbins et al 2014). Employee requirements and the variables that give them with a tolerable level of satisfaction are the focus of content theories of job satisfaction, which are based on Maslow's hierarchy of wants (Saif et al., 2012).

      Delete
  5. Udaya PereraSeptember 9, 2021 at 3:13 AM

    Introducing an employee retention protocol will assist the organizations to perform better utilizing the employee capital to good effect while controlling the turnover of skilled labour and compitent professionals (Silva, Carvalho and Dias, 2019)

    ReplyDelete
    Replies
    1. K G B SampathSeptember 9, 2021 at 9:40 AM

      Yes. In truth, any organization's long-term health and profitability are dependent on the retention of essential individuals. Customer happiness, organizational performance in terms of increasing sales, happy coworkers and reporting personnel, and successful succession planning are all important factors. (B.L. Das and M. Baruah, 2013).

      Delete

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