the textile industry
TRANSCRIPT
CHAPTER-I
INTRODUCTION
1.1 - INTRODUCTION TO THE TEXTILE INDUSTRY:
Once, textile production was simple enough that the entire process could and take
place in the home. Now, textiles represent a complex network of interrelated industries
that produce fiber, spin yarns, fabricate cloth, and dye, finish, print and manufacture
goods. Cloth production is a two-part process: spinning fiber into yarn and weaving yarn
into cloth.
The textile industry is a group of related industries, which uses a variety of natural
(cotton, wool, etc,) and/or synthetic fibers to produce fabric. It is a significant contributor
to many national economies, encompassing both small and large-scale operations world-
wide. Textile production played a crucial role in the American industrial revolution; the
establishment of organized labor and the technological development of this country
George Cabot founded the first integrated American textile mill in Beverly,
Massachusetts, in 1787. His mill hand-carded fiber, spun yarn, and wove cloth, all under
one roof. The company produced a variety of cotton fabrics until the early 1800s. Samuel
Slater may be considered the father of the American industrial revolution.
The textile industry in India is substantial, and largely diversified. The Indian
textile industry roots thousands of years back. After, the European industry insurrection,
Indian textile sector also witnessed considerable development in industrial aspects.
Textile industry plays an important role in terms of revenue generation in Indian
economy.
Liberalization led to the installation of open-end rotors and setting up of Export
Oriented Units (EOU). Currently India has the second highest spindle age in the world
after China. Aggregate production of cloth during 1996-97 was 34,265 million sq. meters,
1
an increase of 9% over 1995-96. India’s contribution in world production of cotton
textiles was about 12% a decade back, while currently it contributes about 15% of world
cotton textiles.
The textile industry is the single largest foreign exchange earner for India.
Currently it accounts for about 8% of GDP, 20% of the industrial production and over
30% of export earnings of India and it have only 2-3% import intensity. About 38 million
people are gainfully employed with the industry making it the second largest
employment-providing sector after agriculture.
The Textile Industry occupies a pivotal place in the economy of Tamilnadu.
Tamilnadu has played a key role towards achieving the growth of Textile Industry in
India. Spinning, Handloom, Garment and Power loom are the four pillars of the Textile
Sector in the State.
Garments occupy a predominant position in world trade, as it is the fastest
growing sector in the textile industry. In Tamilnadu, the garment sector is located
substantially around Chennai. In the State, the hosiery units are located at Tirupur in
Coimbatore District. There are about 6000 hosiery units in India of which 2900 units are
located in Tirupur providing large scale employment to around 1.50 lakh employees.
Two apparel parks one at Tirupur and other at Irungattukottai on par with
international standards have been set up to boost up exports at the cost of Rs.600 crores.
The Apparel Park at Tirupur, which has commenced production, is expected to provide
employment to 7000 persons and export garments worth Rs.1500 crores. Basic
infrastructures have been created at Irungattukottai, which has, potential to export
Rs.2000 crores worth of garments and provide employment to 10000 persons.
2
SWOT Analysis of the Textile Manufacturing in Tamilnadu:
Strength
There are a large number of spinning mills located in the state that manufacture
cotton yarn to ease the supply position and generate demand for yarn and supply
of fabrics.
There are a large number of power loom owners and looms that are expanding in
size over the recent period.
The state has traditional handloom base which helps in consolidating the power
looms and adoption of traditional varieties.
There exist relatively better infrastructure facilities for transport, electricity etc.
Those are most favorable for running the power loom weaving factories.
There are supportive engineering industries located in Coimbatore and elsewhere.
There is a well-developed ginning industry and cotton cultivation is wide-spread
in the state.
The state has the advantage of possessing adequate disciplined labor supply with
low labor cost.
There are well-established production bases for made-ups export as well as for
domestic market.
The sector enjoys the advantage of catering to short batches for provision for
varied designs.
There are adequate processing facility for yarn dyeing and production of yarn
dyed fabrics.
3
Weakness
The most serious problem of the industry is the lack of adequate processing
facilities; there is over-dependence on hand processors and traditional items.
The majority of the SMEs are tiny and cottage type units without sufficient capital
back-up.
Most of the looms in the state are plain looms with low technology level.
There is always water scarcity and there is an increasing trend in the paucity of
wter required for the textile processing industry.
There is also a disadvantage in the form of increased power traffic, fuel cost etc.
There is always a dichotomy in production pattern and a handful of master
weavers control the entire production of the cluster.
The demand pattern in the state is observed to be mostly seasonal.
The product diversification in the sector is insignificant.
The quality of wider-width fabrics for meeting the export demand is lacking in
many respects, which is acting as a disadvantage to the growth of the industry.
There is inadequate encouragement to manufacture technical textile, which has
greater potential for growth.
Opportunities
As per available information, the market for processed cotton fabric will increase
in the European and other markets and, therefore, the powerloom industry may
benefit and expand substantially. Further the growth in the export segment will be
mainly from cotton made-ups and garments along with processed fabrics.
Grey fabric export is continuing to grow and will show increasing trends.
Value added products will have greater demand and, therefore, processing will
play an important role.
India with traditional designs and craftsmanship can command a greater market
share for niche products in made-ups and garments.
Threats
4
Abolition of quota system will lead to fluctuations in the export demand.
Marketing will be the most problematic area where improvements are called for.
Continuous quality improvement will be the need of the hour for which urgent
measures are called for from all stakeholders.
Increasing competition from other states/centres (like Surat) will be a major
problem where the industries have come up afresh and are well developed and
technologically more advanced.
Traditional items like terry towels are manufactured in EOUs all over the country
with superior quality. This has been eroding the traditional markets for power
loom and handloom products forcing them to go for product diversification.
The turning of every crisis into an opportunity has been the key to the rise of
Coimbatore since the days it was known as Kongu Nadu. From relative obscurity until
less than a century ago, Coimbatore has transformed itself into one of the 10 highly
industrialized cities in the country and now ranks fourth in terms of the potential for
growth. Significantly, Coimbatore’s industrial base has been nurtured by agriculture. The
most striking feature of Coimbatore has been its diversity, enterprise and resilience. In its
rise from strength to strength it converted to advantage even its disadvantage. This strong
will and innovative spirit did not dissipate over the years. In fact, most of the present
industrialists in Coimbatore acknowledge this to be the main reason for their success.
When the ‘thottam’ farmers discovered that the best crop for the largely black soil
region was cotton and started cultivating it, little did they realize that they were sowing
the seeds of industrialization. When the British came, the farmers found a market at their
doorsteps. Cotton began to be sent to England to feed the textile mills there. With the
increasing demand for cotton, the farmers took to cultivating it in a big way, and
prospered. The next major step towards the industrializations of the region was taken in
1888, this time by Britishers. With cotton available in abundance, they set up a textile
unit, the Coimbatore Spinning and Weaving Mill. The enterprising Naidu’s quickly set up
a spinning and weaving mills, the first of which, Kaleeswara Mill, came up in 1907.
5
The transformation of dry land farmer into an industrialist was complete. Soon
textile mills of various sizes mushroomed in the region, giving its econ0my a high level
of market, or commercial, orientation. One significant advantage was location.
Coimbatore straddles the north-south and east-west trade routes, making it the pivot
between the eastern and western coasts.
A watershed of sorts in this development process was the First World War. The
demand for cotton from the mills in Bombay (now Mumbai)increased as they not only
had to meet the military requirements but also make good the shortfall in supplies to the
domestic market due to the drop in inflows from Europe. In 1916, some 30 merchants
from Bombay, desperate for cotton, came to Coimbatore and set up shop at Tirupur.
After 1992, when the Bombay textile industry went into an extended decline,
Coimbatore displayed its resilience by expanding local mills. The enterprising
Coimbatore cotton farmer got drawn into this cycle by selling at the right moment, rarely
leaving the business to merchants. Even in the remotest villages of Kongu Nadu the
cultivators had weekly, if not daily, information about the Bombay market.
The 1920s also witnessed industrial growth. During this period almost all the
industries that had links with the agricultural sector grew. The number of ginneries
increased from five in 1911 to 47 in 1921 and 90 in 1933. a number of cotton pressing
factories were also started, and in 1928 the first hosiery unit came up at Tirupur. Four
spinning mills were put up in this decade, largely because of the increased cotton
production and also because of the handlooms, which offered a ready market for yarn.
If Bangalore can be India’s Silicon Valley, Tirupur can be our “Textile Valley”,
Points out K Palaniraman, a Garment Manufacturer in India’s textiles hot-spot in
TamilNadu.
There is robust logic in Palaniraman argument. Manufacturers like him believe
that just like the technology boom that swept across cities like Bangalore in the last
decade, there will be a textile boom in India in the coming years following the
dismantling of the Multi-Fibre Agreement on international textiles trade.
Palaniraman has seen Tirupur’s growth over the years. In the beginning, in the
1970s, he recalls, he operated from a one-room shed and did the knitting himself.
6
Today, he employs dozens of workers and has imported machinery for the
knitting and dyeing jobs
Palaniraman is all geared up to meet the new challenge: produce the best quality
technical textiles for a global marketplace. Like him, garment exporters in Tirupur are all
resurgent.
INDIAN GARMENT INDUSTRY:
The garments industry in India is one of the best in the world. An extremely well
organized sector, garment manufacturers, exporters, suppliers, stockists and wholesalers
are the gateway to an extremely enterprising clothing and apparel industry in India. There
are numerous garments exporters, garments manufacturers, readymade garments
exporters etc. both in the small scale as well as large scale.
During April-December 1999-2000, textile exports were recorded as US $ 9735.2
million (Rs.440179.4 million), of which readymade garments comprised nearly 40%.
Interestingly, almost ¼ of India's total exports goes to the USA.
Indian readymade garments and textiles are extremely popular the world over. In
fact, exports of readymade garments registered a 6.4% increase in dollar terms and an
11.6% increase in rupee terms during the period April-December 1999-2000, despite a
sluggish growth in income both at home and abroad. Indian Garment export growth
during April-June 1998 for woolen readymade garments was a phenomenal 150%, for
readymade garments made of silk it was 58%, and for other readymade garments it was
39%, in dollar terms.
Today, garments exports from India have made inroads into the international
market for their durability, quality and beauty. One of the reasons for the economical
pricing of India's readymade garments and apparels is the availability of highly skilled,
cheap labor in the country. The superiority of India's Garment Industry has been
7
acknowledged in the National Textile Policy (NTP) of India 2000. Having realized the
tremendous growth potential of this sector there is a proposal in the NTP for taking the
Indian Garment Industry out of the SSI reservation list.
SOME FACTS ON TIRUPUR’S GARMENT INDUSTRY:
Tirupur has the largest and fastest growing urban agglomerations in Tamil Nadu.
Tirupur stands as the life for millions of people in Tamil Nadu. The Garment industry
which is the soul of Tirupur has created millions of jobs for all class of people. There are
nearly about 3000 sewing units, 450 knitting units, hundreds of dyeing units and other
ancillary units which are un-countable.
Tirupur is one of the largest foreign exchange earning towns in India. Last year,
the export turnover from the town was more than Rs. 5000 crore (Rs 50 billion). There
are some 7000 garment units in the town that provides employment opportunity to close
to one million people.
The first spot of any international buyer for Indian garments is Tirupur. Buyers
from 35 countries frequently visit Tirupur. Tirupur can deliver customized samples in
less than 12 hours; half a million pieces in a matter of days.
56% of India’s total knitwear exports comes from Tirupur. The Export Import
policy of 2002-2007 makes laudable tribute to Tirupur for its contribution to the export
efforts and calls it a ‘Town of Export Excellence’.
According to, A.Sakthivel, President, Tirupur Exporters Association, the first
hosiery factory with hand-operated machines was set up in Tirupur in 1935.
“For more than 30 years, garments manufactures in the town were producing
mainly grey and bleached banians (vests),” he says.
8
It was in the late 1960s that the industry slowly diversified into manufacturing
other inner garments, including banians and underwear’s, consumed largely by the
domestic market.
“But Tirupur’s fortunes took a dramatic turn in the late 1970s when we began
exporting our items,” says Sakthivel.
He recalls it all began when some exporters in Mumbai introduced an Italian,
Antony Verona, to Tirupur. “Verona began importing woven garments from Tirupur and
he introduced more Italian businessmen into trade with Tirupur,” he says.
Sakthivel says these days there is no competitor to Tirupur in the garments
industry in India.
But there is a darker side to Tirupur. Amidst the prosperity that has befallen this
textile town, many ills afflict it. These include potholed roads, acute shortage of water,
environmental pollution and virtually non-existent sewage systems.
The discharge of salts in effluent from the dyeing factories in Tirupur has led to
large-scale environmental degradation.
Sakthivel says a water supply project to make good quality water available for
wet processing has already taken shape in public-private partnership. The New Tirupur
Area Development Corporation Ltd is implementing this project. It is not just water
scarcity alone that worries Tirupur’s garment makers.
Some of them say although quota restrictions have been dismantled, domestic
textile players continue to be caught in archaic Indian government regulations.
Consider this: Under the ‘Handloom Reservation Order,’ that the government has
issued, production of 11 items including non-terry towels and variety of bed sheets has
9
been reserved exclusively for the handloom sector. A regular garment maker cannot
produce and sell these items, which they say has huge export potential.
Next the Textile Industry is facing the biggest threat that the employees are
leaving the organization often. To attain the goals organizations have to keep their
employees with them. Keeping this in view the researcher wants to find out the factors
leading to the employee retention so as to remove those factors which contribute to retain
the employees.
PRESENT SCENERIO:
Export of knitwear products from Tirupur has recorded a growth, both in quantity
and value in terms of US Dollars during calendar year 2003 compared to the previous
calendar year. Tirupur exported 370 million pieces worth $ 793 million of knitwear
products during the year 2003 compared to 349 million pieces valued at $ 667 million
shipped during the year2002.
Tirupur's contribution to the total value of readymade garment exports (woven
and knitted) from the country went up during the 2003 compared to 2002. Meanwhile
exports for the 2004 calendar from the knitwear town looks positive.
India has made a name for itself as a garment manufacturing centre of global renown.
The textiles and garments industry contributes 16.63% of India’s export earnings; around
45% of this comes from garment exports alone. The garments industry provides
employment to around 3.5 million people across the country. Delhi, Mumbai, Tirupur,
Bangalore and Chennai are the five major garment production hubs, producing
exclusively for the exports market. Karnataka has a sizeable presence in the garments and
textiles sector; many well-known multinational brands have chosen this state to set up
their global sourcing centers.
Indian cotton exports increased by 245%
10
According to the recent returns news, the Indian cotton exports for the month of
October 2009 to January 2010 has increased by 245% compared to that of 809,969 bales
in same same quarter last year. This shows that there is a strong increase in the demand
for cotton in the world market.
Garment is one of the many labour intensive sectors that provide a gateway for
developing countries to the global market. It offers important opportunities to countries
to start industrializing their economies and in course of time diversify away from
Commodity dependence. Forty years ago, the industrialized countries dominated global
exports in this area. Today, developing countries produce half of the world’s textile
exports. Moreover, the economic performance of the apparel and textiles industry in
developing countries has large impacts on employment opportunities, especially for
women, the development of small and medium sized enterprises (SMEs) and spillovers
into the informal sector (UNCTAD, 2005). Textile production is more capital intensive
than apparel production and hence developing countries—although account for a smaller
share in textile output—account for a larger share in the labour‐intensive production of
garments.
11
1.2 - INTRODUCTION TO THE COMPANY
The concern is one of the leading knitted garments manufactures and exporters in
India. The concern has been in this business since 1992 with an impressive growth
records.
The factory is well equipped with state-of-art Hi-Tech imported knitting, embroidery,
cutting and sewing machinery. The organization has a very good set up of factory and
human resources to execute the orders on time with required quality.
STRENGTH:
With a team of 160 well-experienced executives and 900 skilled employees, Esstee is
well equipped to fulfill the needs of our customers’ satisfaction.
The following are the various divisions of the company:
KNITTING DIVISION:
Since the quality of the garment is largely dependent on the quality of the fabric, the
best knitting machines are used to achieve correct fabric for weight and shrinkage.
Various structured fabrics and designs like Ribs, Interlocks, Jerseys, Fleece,
Jacquards, Stripes-Auto/ Feeder/ Vertical (Rappier) are made.
Fabrics like Polar Fleece, Yarn Dyed checks, Fancy and Mesh Jacquards are imported
from regular suppliers located in far Eastern countries.
12
COMPACTING DIVISION:
In order to make sure that the customers get quality fabric and so, great care is
taken to finish the fabric using the latest technology in the compacting divisions.
Fabrics are compacted according to the quality control measures. Shrinkage is well
controlled within permissible limits. Compactors Fab-con and Ferraro that has been used
retain the structure as well as the design while effecting compaction.
WASHING DIVISION:
With the new imported tumble dryer machine all types of washing has been done.
Listed below are some of the washing that has been undertaken:
ACID WASH SPRAY WASH
ENZYME WASH PERFUME WASH
SILICON WASH RUBBER BALL WASH
STONE WASH GLASS WASH ETC.
PRINTING DIVISION
The concern offers excellent creative prints as a major decoration through
CREATIVE DESIGNS. It is equipped from screen making to curing in the concerns
Own Printing section.
EMBROIDERY DIVISION:
Trendy looking garments with placement, appliqué and boring exotic embroidery
is done with the help of the latest computerized embroidery machines. Sequins and Bead
work are also one of the major attractions.
The division also has designing, die cutting and design editing facilities.
13
The organization has extensive arrangements for hand embroidery, sequin work,
beads work etc. The concerns’ value addition includes exquisite hand work to make the
garment look trendy.
SAMPLING AND PATTERN MAKING:
The organization has a separate sample section with advanced equipments
including Gerber CAD system and high Tec pattern scanner to meet the customers’
samples requirement without any compromise.
CUTTING AND SEWING UNIT:
The garmenting division is also well equipped with all the latest machinery to
make contemporary style and to ensure perfect finish of garments which is the outcome
of planned work flow and quality control systems.
Modernized production unit with imported spreading machines and lay cutting
machines, high-tech power sewing machines and finishing machines are readily
available.
QUALITY ASSURANCE DEPARTMENT:
The Quality control department is totally devoted to preserve the customers’
quality needs.
MERCHANDISING DEPARTMENT:
The merchandisers of this department are ever ready to serve the customers.
14
1.3 - OBJECTIVES OF THE STUDY
Primary objective
To identify the practices prevailing in the organization to retain employees.
Secondary objectives
To understand employees opinion on the facilities and measure their satisfaction
To find out the reasons for employee satisfaction.
To analyze the psychological feeling of the employees.
To analyze the effective time management process.
To analyze the organizational culture.
To suggest strategies to retain employees.
15
1.4 - LIMITATIONS OF THE STUDY
The study is limited to the retention activities provided for the employees
and the findings of the research cannot be applied to other fields.
The limitations of statistical tools apply.
The time available for the study is limited.
Not all the employees are surveyed in this study
Reluctance of the employees to answer vital questions even though
confidentiality was provided with is a major drawback.
Primary data are the main source of the study.
16
1.5 - SCOPE OF THE STUDY
The scope of the study is mainly relates to identifying factors to retain employees
in the organization. This study will show to take various measures to retain employees in
the organization and to satisfy the employees. It also helps to find out the satisfaction
level of the employees in the organization. The scope of the study can be identified as
followed.
To the Researcher:
This study helps the researcher to have a practical exposure in the field of human
resource management. It enables the researcher to identify the factors which help in
retention and enables him to suggest various strategies to retain employees in the
organization.
To the Organization :
This study will help the company to understand the present scenario in the
organization. It aims to analyze and understand the factors that need to be incorporated
and improved in order to retain employees’ further investigation.
To the Respondents:
This study will help the respondents to disclose their opinions and views that
would be kept confidential to know more about their organization. This will also help to
create a better work environment so as to retain employees.
17
1.6 - RESEARCH METHODOLOGY
Research is an art of scientific investigation. It can be defined as the manipulation
of things, concepts of symbols for the purpose of generalizing to extend, correct or verify
knowledge, whether that knowledge aids in construction of theory or in the practice of an
art.
Research methodology is a way to systematically solve the research problem. It
has many dimensions and research methods do constitute a part of the research
methodology. It explains the research methods with the logic behind.
Research design:
The function of research design is to provide for the collection of relevant
evidence with minimal expenditure of effort, time and money. The research design is
descriptive in nature. The major purpose of this descriptive research is description of the
state of affairs, as it exists at present. The main characteristic of this method is that the
researcher has no control over the variables; he can only present what has happened or
what is happening. Here the researcher is trying to address the factors which are the
causes of employee retention.
Sample design:
It is definite plan determined before any data are actually collected for obtaining a
sample from a given population. Thus here the sampling design constitutes 200 staff out
of 1000 employees from the ESSTEE exports to find out the factors leading to employee
retention.
18
The techniques used in selecting the items of samples is Non Probabilistic
Sampling. The researcher on the basis of Judgment Sampling selects the respondents
deliberately. 200 respondents are selected as a sample.
Sample size:
It refers to the number of items to be selected from the universe to constitute a
sample. The sample size taken for the study was 200.
Data collection:
Collection of primary data is through questionnaire method. Secondary data were
collected from books, journals and websites about retention rate and from company
records.
Method of analysis:
It refers to the computation of certain measures along with searching for patterns
of relationship that exist among data-groups. Percentage analysis, Average score analysis,
Average Rank analysis, Chi-square analysis, Regression, correlation analysis and
ANOVA analysis are used for analyzing the data. Bar charts and pie charts were used for
the graphical representation of data.
Instrument of data collection:
The scaling used in the questionnaire is the likert scale. The questionnaire
is prepared with five point scale.
19
The questionnaire was administered in the following way:-
Scales scores
Strongly agree 5
Agree 4
Satisfied 3
Disagree 2
Strongly disagree 1
Scaling:
Scaling describes the procedures of assigning numbers to various degrees
of opinion; the respondent is given freedom to express his agreement with a number of
statements relevant to the issue.
20
CHAPTER SCHEME
The study is organized into five chapters:
Chapter 1 deals with Introduction to the Textile Industry, Introduction to the company,
objectives of the study, limitations of the study, scope of the study and research
methodology and chapter scheme.
Chapter 2 provides details about Employee Retention, ways to retain employee,
retaining good employee, Retaining top performer, Effective employee retention
strategies, Employee retention tool and Employee complaints.
Chapter 3 deals with Review of Literature.
Chapter 4 concentrates on Analysis & Interpretation.
Chapter 5 deals with the findings, suggestions and conclusion of the study.
21
CHAPTER-II
2.1 - EMPLOYEE RETENTION
In the olden days, employees were considered emotionally attached & loyal to the
organization. They continued in organization for a long time. Now the industries are
striving to retain its employees in the organization. Organization which are successful in
retaining employees achieve their goals in due time.
Employee retention is the process of retaining employee in the organizations. It
includes policies and practices which are used by companies to prevent valuable
employees from leaving their jobs. How to retain valuable employees is one of the
biggest problems that plague companies in the competitive market place. No too long
ago, companies accepted the “revolving door policy” as part of doing business and were
quick to fill a vacant job with another eager candidate. Now a days, business often find
that they spend considerable time, effort and money to train an employee only to have
them develop into a valuable commodity and leave the company for greener pastures. In
order to create a successful company, employers should consider as many options as
possible when it comes to retaining employees, while at the same time securing their trust
and loyalty so they have less of desire to leave in the future.
Researchers are trying to analyze the reason for high rate of attrition. Attrition
results in a change in the existing balance of organization. Retaining employees require
managerical abilities and new practices with in the organizations.
Motivating and retaining employees require strong leadership skills and effective
management practices. The new liberized cutting edge technology driven environment
has made employee retention mind-boggling. The fast pacing change across the globe has
made the new employee and employer relationship irreversible. However all corporations
22
not only in IT sector but also traditional manufacturing sector are attempting to stem
attrition. Many companies follow various practices to retain employees.
This study intent to analyze the various factors prevailing in the organization to retain
employees. The instrument used for the researcher is a questionnaire.
The following are the factors that affect employee retention and which are discussed
in the questionnaire:
organization culture
Organizational culture is the personality of the organization. Culture
is comprised of the assumptions, values, norms and a tangible sign of
organization, members and their behaviors, it includes:
Encouragement of creativity.
Appropriate infrastructure.
Job involvement.
Influence on decision making.
Excellent work environment.
Managing time effectively:
The two major components of time management are practice and
purpose. The practice component refers to what you do with the minutes
of your day. The purpose component refers to finding and knowing your
purpose in life. When you manage your time, the minutes of your life, and
it falls in alignment with your purpose of your life, you have a fantastic
chain reaction. This alignment can able you to accomplish your tasks more
effectively, to reach your goals more quickly, and not to give you a greater
sense of peace. Various areas under this are:
23
Scheduling of tasks.
Recognized and eliminated non-essential tasks.
Employees are placed in the right job.
Tasks and duties are standardized and systematic.
Employees are empowered within their boundaries.
Job satisfaction:
Job satisfaction describes how content an individual is with his or
her job. It is a relatively recent term since in previous centuries the jobs
available to a particular person were often predetermined by the
occupation of that person’s parent. There are a variety of factors that can
influence a person’s level of job satisfaction, it includes:
Supervision quality
Training and orientation.
Salary is fair and equitable.
Performance appraisal.
Job security.
By using these factors in the questionnaire the researcher could understand
the various measures which help to retain employees in the organization.
24
2.2-WAYS TO RETAIN EMPLOYEES
With the changing times, the world of employment has changed too. Just a
few decades ago, a person would hold just one job their entire lives and that
would be it, but with the changing times, people are looking for change and
progress at every point of their lives.
In such a scenario, it has become important for companies to think about
how to retain employees. Retention of employees is quite important today,
because good employees are getting poached almost every day today.
Motivating and Retaining Employees
Here are the best ways to retain employees:
Provide Feedback
Most employees want feedback – any feedback, positive and even
negative. Employees consider receiving feedback as necessary to their career
growth and their job performance.
To attract and retain talented employees, the company has to train and
prepare its leaders to provide feedback. Unfortunately, this important aspect is
ranked as last priority in terms of managerial competencies.
Challenging experiences
One of the best routes to develop and retain your talent is providing
challenging experiences. The course to follow is to put ambitious people with
potential through a series of challenging, new, unique and different experience,
25
the content of which builds the ‘projected skills’ to lead the company in the
future.
What difference does it makes? It is cheaper and surer to develop most,
but not all, of your talents from within.
The importance of quality of jobs, tasks and quality of organization has
been constant over the history of measuring people motivation. The top
motivators that turn on people to work at their best (+ retaining these employees)
are – job challenges, opportunities to use one’s skills and progress.
Managers to become coaches
Managers, in general, are very poor at coaching and developing their people.
This is one thing that almost everyone agrees upon – helping people with long
term career development is important and that few do it well.
Companies know they have to build and develop the talent pool but for
many reason they’re simply not doing it right.
Relying on your managers to do that job is a losing strategy because they
don’t have much motivation to do it. Best practice is a coordinated process driven
by the HR, top management and involvement of line mangers.
Appraisals
Good employees should progress – that is the basic rule of any good company.
The progress that a good employee endures should not be only restricted to the
monetary aspect, but should also be reflected in the post and the employees
progress within the company. A good employee should be promoted when and if
they show enthusiasm in their work and their enthusiasm is productive to the
company.
26
An appraisal works both ways – it gives a sense of responsibility and
achievement to the person who receives it, as well creating a sense of competition
between the general employee populace.
Therefore, appraisals are not only a very important concept when it comes
to retaining good employees, but it can also be used to ensure that the non
performing employees get a onus to become performers too. Major companies
make periodic appraisals programs/plans to their stuff and it is known as a proven
method for retaining and motivating good employees.
Career advancement – Enhancement of Qualifications
A good employee only becomes better if their qualifications are enhanced.
There are several companies that launch programs in which the best of their
employee force is selected for various courses and programs that enhance their
qualifications and gives them relevant knowledge with which they can grow in the
profession. This acts as a positive aspect for both the employer as well as the
employee.
While the employer gets a return on investment on whatever money has
been spent on the program, the employer also gets a value addition to their
business when the employee implements his know-how into business procedures.
It also acts as a factor that increases the loyalty of the employee towards
the employer.
Material Compensation
Material compensation is arguably one of the ways for retention of
employees.
The material compensation can be provided in various ways – either as an
increment in the salary, a bonus or a payment given as recognition for the hard
work on a particular assignment. Remember that though pay is within the list of
27
motivators for retaining employees, it is usually near the bottom, along with
benefits. Overpaying managers or high potential employees can be performed as a
long-term strategy.
The employer should make it clear that where much is given, much is
expected. The employer should also make it clear that the monetary compensation
is not only a value of the work that the employee has done for the company, but is
also a token of appreciation that the employer feels towards the employee.
Also, the material compensation should not be offered in such a way that the
employee feels that ‘s/he work only for money’.
If you are looking for ways to retain good employees, you may consider
applying the monetary compensation method tactfully and as part of your other
efforts.
Work Environment.
While all the above are “direct” ways for retaining employees, the
employer can even look into the work environment that they provide to the
employee.
Working in a comfortable work environment has an invariable and invaluable
positive effect on the efficiency of the employee. Actually speaking, an
employee spends more time in the work atmosphere than he or she spends at
home, and it is only practical that he or she has the best environment to work in.
The quality of organization, in terms of: work environment and culture is
defiantly a motivator for employees to stay in their current job.
These are just some of the aspects through which the employer can retain
good employees.
28
You may realize that the energy, focus and determination that result from
developing raw talent and retaining you best employees can change the
company’s culture, therefore why not try at least some of these tips. It would be
wise to consult/coordinate the human resources in order to plan the company
strategy for motivating and retaining these high potential employees.
RETAINING GOOD EMPLOYEES
Good employees are hard to come by these days. You have to go through
all the trouble of browsing through hundreds of resumes, conducting extensive
employment background screening, and interviewing various people.
But you also have to know that retaining the good employees you have
found for your company can sometimes even be more difficult. This is why, once
you find that perfect employee, you must do everything to ensure that you will be
able to keep him or her in your company.
But then you wonder, "What can I possibly do to retain good employees?"
Fortunately, these proven techniques will make employees want to stay in your
company.
Good Workers Compensation
Money is an effective motivator to any employee. Great employees have
exceptional talents, knowledge and skills, and they surely know their worth. If
you do not give them a generous paycheck, it would not take long before they
pack their things and look for a company who will pay them better. Of course,
you do not need to pay an extremely overpriced salary that will leave you broke
but just a little over the normal wage would be much appreciated.
Employee Benefits
29
Do not forget that your company should provide the employees all
government mandated benefits as well as those optional ones that would make
your employee feel that his stay in company is worth it.
Recognition and Incentives
It is extremely important that you are able to recognize good performance
from your employees. This is not only to motivate and inspire them to work
harder but this is also a good way of making them happy with their work.
Harmonious Working Relationship
Being a boss does not mean you can be bossy and mean. Being a good
employer is one of the important factors that make an employee stay in a
particular company. So if you want to retain your employees be sure that you treat
them well. Treat them how you would want to be treated and that is with respect
and dignity.
Clear Scope of Job
If you hired a communication officer for your company, he should only be
doing things that were clearly delineated in his job description. If you make him
do other things like make you coffee or run personal errands, he would probably 1
not be too happy about that.
Career Advancement
If you have been working so hard for many years for a certain company
and then one day, you realize that you still occupy the same position you did 11
years ago, would not that upset you? You should always make your employees
feel that they are going somewhere, especially those with exceptional talents and
skills aim to make it to the top. You should be the instrument that will help them
achieve that. Make sure you give promotion as often as you could and as needed.
30
It is never easy being an employer with all the responsibilities and duties
you have to oversee but the right kind of employees will surely make your life
easier, so keep them happy and loyal to your company.
RETAINING TOP PERFORMER
Keeping your employees - especially your top performers is critical for
your business success. Smart companies develop Employee Retention Plan to
improve their current Employee Retention Rate and develop high performance
organizations. Companies can improve in many ways but it is critical for the
companies to understand that having an Employee Retention Plan in place is an
important project. Whether you manage a small business or global corporation the
same rules apply. Those companies who have the most talented and experienced
workforce will deliver above average business results - it is that simple. How do
you develop your Employee Retention Plan? First of all you need to identify the
most important drivers for Morale, Loyalty and Satisfaction. Employee Retention
Rate depends on many factors such as overall company environment, company
policies, company culture, work environment, employee development, etc.
Creating High Retention Workforce is the number one priority of a successful
Retention Plan.
Understand what motivates your people and create work environment
which will motivate top performers. Improve morale through effective rewards
and recognition system and develop relevant rewards for your workforce.
Stressful workplace is a high risk for morale and satisfaction. Financial rewards
are only one part of your Retention Plan but keep in mind that financial reward is
not enough to improve your Employee Retention Rate - even high paying people
are not happy if they work in stressful work environment. Surveys or Employee
Satisfaction Surveys are very good tools for helping you understand your
employees and what drives your Retention. Employee Surveys are used for
31
measuring employee satisfaction and identify important issues for your
employees. For example, Employee Surveys can identify that developing career
path for your employees is one of the most important motivators for your
employee retention.
Achievements and recognitions are also important for employee
satisfaction because everyone likes to see the results of their work and see in what
ways they contribute to your organization. Rewards and recognition systems are
also important for your Retention Plan. Understanding your employees' concerns,
skills, goals and interests must be considered. In-house and on the job training is
generally a good motivator because training helps your employees improve their
skills and create better business results. Employee Retention Plan should be
customized to your business and employees - what works for one company can be
a waste of time for another so it is critical for you to develop a good
understanding for your employees needs. Use employee surveys to understand
what really works for employees.
32
2.3 - EFFECTIVE EMPLOYEE RETENTION STRATEGIES
Intelligent employers always realize the importance of retaining the best
talent. Retaining talent has never been so important in the Indian scenario;
however, things have changed in recent years. In prominent Indian metros at least,
there is no dearth of opportunities for the best in the business, or even for the
second or the third best. Retention of key employees and treating attrition troubles
has never been so important to companies.
In an intensely competitive environment, where HR managers are
poaching from each other, organizations can either hold on to their employees
tight or lose them to competition. For gone are the days, when employees would
stick to an employer for years for want of a better choice. Now, opportunities
abound.
It is a fact that, retention of key employees is critical to the long-term
health and success of any organization. The performance of employees is often
linked directly to quality work, customer satisfaction, and increased product sales
and even to the image of a company. Whereas the same is often indirectly linked
to, satisfied colleagues and reporting staff, effective succession planning and
deeply embedded organizational knowledge and learning.
Employee retention matters, as, organizational issues such as training time
and investment, costly candidate search etc., are involved. Hence, failing to retain
a key employee is a costly proposition for any organization. Various estimates
suggest that losing a middle manager in most organizations, translates to a loss of
33
up to five times his salary. This might be worse for BPO companies where fresh
talent is intensively trained and inducted and then further groomed to the
successive stages. In this scenario, the loss of a middle manager can often prove
dear
Why people leave in an industry like BPO, the work can often be
monotonous and opportunities for career growth minimal. So when opportunities
beckon, the high rate of attrition is not surprising. However, there are some
common reasons that especially cause people to leave. Surveys have listed night
shifts, money, inability to handle various types of stress, monotonous work;
company policies, lack of career growth, problems with those in senior positions
etc., as some of the most common reasons listed by BPO employees, as reasons
for quitting jobs.
FINDING THE CAUSE
Have a survey among employees to find the reasons for attrition. If possible, have
exit interviews to know the reasons for resignations. If a key employee resigns, it
should be taken up on a priority basis and the senior management should meet the
employee to discuss his reasons for leaving and evaluate whether his issues bear
merit and whether they can be resolved. Steps can be taken to avoid similar
reasons from occurring in the case of others, in similar positions.
34
2.4 - EMPLOYEE COMPLAINTS
Knowing what makes employees unhappy is half the battle when you
think about employee work satisfaction, morale, positive motivation, and
retention. Listen to employees and provide opportunities for them to communicate
with company managers. If employees feel safe, they will tell you what’s on their
minds. Your work culture must foster trust for successful two-way
communication.
HR Solutions, Inc., a Chicago-based management consulting firm
specializing in employee engagement surveys, analyzed recurring themes in
employee surveys and compiled the following top ten lists. These are the items
employees consistently complain about on surveys and in interviews. How many
are true in your workplace?
Higher salaries: pay is the number one area in which employees seek change.
You can foster a work environment in which employees feel comfortable asking
for a raise.
Internal pay equity: employees are concerned particularly with pay
compression, the differential in pay between new and longer term employees. In
organizations, with the average annual pay increase for employees around 4%,
employees perceive that newcomers are better paid – and, often, they are.
Benefits programs, particularly health and dental insurance, retirement, and
Paid Time Off / vacation days: specifically, many employees feel that their
health insurance costs too much, especially prescription drug programs, when
employers pass part of their rising costs to employees.
Over-management: Employees often defined by interviewees as: “Too many
chiefs, not enough Indians.” Workplaces that foster employee empowerment,
35
employee enablement, and broader spans of control by managers, will see fewer
complaints. A popular word, micromanaging, expresses this sentiment, too.
Pay increase guidelines for merit: Employees believe the compensation system
should place greater emphasis on merit and contribution. Employees find pay
systems in which all employees receive the same pay increase annually,
demoralizing. Such pay systems hit the motivation and commitment of your best
employees hardest as they may begin asking what’s in this for me?
As you adopt a merit pay system, one component is education so that employees
know what behaviors and contributions merit additional compensation.
Employees who did not must be informed by their manager about how their
performance needs to change to merit a larger pay increase.
Human Resources department response to employees: The Human Resource
department needs to be more responsive to employee questions and concerns. In
many companies, the HR department is perceived as the policy making, policing
arm of management. In fact, in forward thinking HR departments, responsiveness
to employee needs is one of the cornerstones.
Favoritism: Employees want the perception that each employee is treated
equivalently with other employees. If there are policies, behavioral guidelines,
methods for requesting time off, valued assignments, opportunities for
development, frequent communication, and just about any other work related
decisions you can think of, employees want fair treatment.
Communication and availability: Let’s face it. Employees want face-to-face
communication time with both their supervisors and executive management. This
communication helps them feel recognized and important. And, yes, your time is
full because you have a job, too. But, a manager’s main job is to support the
success of all his or her reporting employees. That’s how the manager magnifies
their own success.
Workloads are too heavy: Departments are understaffed and employees feel as
if their workloads are too heavy and their time is spread too thinly. I see this
complaint becoming worse as layoffs; the economy; your ability to find educated,
36
skilled, experienced staff; and your business demands grow. To combat this, each
company should help employees participate in continuous improvement activities.
Facility cleanliness: Employees want a clean, organized work environment in
which they have the necessary equipment to perform well.
2.5 – EMPLOYEE RETENTION TOOL
Here are some interesting Retention Tools which I came across-
Offer fair and competitive salaries. Fair compensation alone does not
guarantee employee loyalty, but offering below-market wages makes it much
more likely that employees will look for work elsewhere. In fact, research
shows that if incomes lag behind comparable jobs at a company across town
by more than 10 percent, workers are likely to bolt. To retain workers,
conduct regular reviews of the salaries you offer for all job titles — entry-
level, experienced staff and supervisory-level. Compare your department's
salaries with statistically reliable averages. If there are significant
discrepancies, you probably should consider making adjustments to ensure
that you are in line with the marketplace.
Remember that benefits are important too. Although benefits are not a key
reason why employees stick with a company, the benefits you offer can't be
markedly worse than those offered by your competitors
Train your front-line supervisors, managers and administrators. It can't
be said often enough: People stay or leave because of their bosses, not their
companies. A good employee/manager relationship is critical to employee
satisfaction and retention. Make sure your managers aren't driving
technologists away. Give them the training they need to develop good
supervisory and people-management skills.
37
Clearly define roles and responsibilities. Develop a formal job description
for each title or position in your department. Make sure your employees know
what is expected of them every day, what types of decisions they are allowed
to make on their own, and to whom they are supposed to report.
Provide adequate advancement opportunities. To foster employee loyalty,
implement a career ladder and make sure employees know what they must do
to earn a promotion. Conduct regular performance reviews to identify
employees' strengths and weaknesses, and help them improve in areas that
will lead to job advancement. A clear professional development plan gives
employees an incentive to stick around.
Offer retention bonuses instead of sign-on bonuses. Worker longevity
typically is rewarded with an annual raise and additional vacation time after
three, five or 10 years. But why not offer other seniority-based rewards such
as a paid membership in the employee's professional association after one
year, a paid membership to a local gym after two years, and full
reimbursement for the cost of the employee's uniforms after three years?
Retention packages also could be designed to raise the salaries of
technologists who become credentialed in additional specialty areas, obtain
additional education or take on more responsibility. Sign-on bonuses
encourage technologists to skip from job to job, while retention packages offer
incentives for staying.
Make someone accountable for retention. Measure your turnover rate and
hold someone (maybe you!) responsible for reducing it. In too many
workplaces, no one is held accountable when employees leave, so nothing is
done to encourage retention.
Conduct employee satisfaction surveys. You won't know what's wrong ... or
what's right … unless you ask. To check the pulse of your workplace, conduct
38
anonymous employee satisfaction surveys on a regular basis. One idea: Ask
employees what they want more of and what they want less of.
Foster an environment of teamwork. It takes effort to build an effective
team, but the result is greater productivity, better use of resources, improved
customer service and increased morale. Here are a few ideas to foster a team
environment in your department:
Make sure everyone understands the department's purpose, mission or
goal.
Encourage discussion, participation and the sharing of ideas.
Rotate leadership responsibilities depending on your employees'
abilities and the needs of the team.
Involve employees in decisions; ask them to help make decisions
through consensus and collaboration.
Encourage team members to show appreciation to their colleagues for
superior performance or achievement.
Reduce the paperwork burden. If your technologists spend nearly as much
time filling out paperwork, it's time for a change. Paperwork pressures can
add to the stress and burnout that employees feel. Eliminate unnecessary
paperwork; convert more paperwork to an electronic format; and hire non-tech
administrative staff to take over as much of the paperwork burden as is
allowed under legal or regulatory restrictions.
Make room for fun. Celebrate successes and recognize when milestones are
reached. Potluck lunches, birthday parties, employee picnics and creative
contests will help remind people why your company is a great place to work.
Write a mission statement for your department. Everyone wants to feel
that they are working toward a meaningful, worthwhile goal. Work with your
39
staff to develop a departmental mission statement, and then publicly post it for
everyone to see. Make sure employees understand how their contribution is
important.
Provide a variety of assignments. Identify your employees' talents and then
encourage them to stretch their abilities into new areas. Do you have a great
"teacher" on staff? Encourage him/ her to lead an in-service or present a poster
session on an interesting case. Have someone who likes planning and
coordinating events? Ask him to organize a departmental open house. Know a
good critical-thinker? Ask him/ her to work with a vendor to customize
applications training on a new piece of equipment. A variety of challenging
assignments helps keep the workplace stimulating.
Communicate openly. Employees are more loyal to a company when they
believe managers keep them informed about key issues. Is a corporate merger
in the works? Is a major expansion on the horizon? Your employees would
rather hear it from you than from the evening newscast. It is nearly impossible
for a manager to "over-communicate."
Encourage learning. Create opportunities for your technologists to grow and
learn. Reimburse them for CE courses, seminars and professional meetings;
discuss recent journal articles with them; ask them to research a new
scheduling method for the department. Encourage every employee to learn at
least one new thing every week, and you'll create a work force that is excited,
motivated and committed.
Be flexible. Today's employees have many commitments outside their job,
often including responsibility for children, aging parents, chronic health
conditions and other issues. They will be loyal to workplaces that make their
lives more convenient by offering on-site childcare centers, on-site hair
styling and dry cleaning, flexible work hours, part-time positions, job-sharing
or similar practices. For example, employees of school-age children might
40
appreciate the option to work nine months a year and have the summers off to
be with their children.
Develop an effective orientation program. Implement a formal orientation
program that's at least three weeks long and includes a thorough overview of
every area of your department and an introduction to other departments.
Assign a senior staff member to act as a mentor to the new employee
throughout the orientation period. Develop a checklist of topics that need to be
covered and check in with the new employee at the end of the orientation
period to ensure that all topics were adequately addressed.
Give people the best equipment and supplies possible. No one wants to
work with equipment that's old or constantly breaking down. Ensure that your
equipment is properly maintained, and regularly upgrade machinery,
computers and software. In addition, provide employees with the highest
quality supplies you can afford. Cheap, leaky pens may seem like a small
thing, but they can add to employees' overall stress level.
Show your employees that you value them. Recognize outstanding
achievements promptly and publicly, but also take time to comment on the
many small contributions your staff makes every day to the organization's
mission. Don't forget — these are the people who make you look good!
41
CHAPTER – III
Review of Literature
A literature review is an account of what has been published on a topic by
accredited scholars and researchers. It is part of the introduction to an essay,
research report, or thesis. As a piece of writing, the literature review must be
defined by a guiding concept (e.g., research objective, the problem or issue you
are discussing or your argumentative thesis). It is not just a descriptive list of the
material available, or a set of summaries. Once the problem is formulated a brief
summary of it should be written down. For this purpose the abstracting and
indexing journals and published or unpublished bibliographies are the first place
to go.
Besides enlarging knowledge about the topic, writing a literature review
lets you gain and demonstrate skills in two areas:
This review of literature explains
The concept of employee retention.
Studies relating to employee retention.
Employees are the assets of an organization. It is very
necessary to retain the talented employees as they play a very important role in the
organization. The researcher could find out the various studies conducted in
different organizations on employee retention.
Employee Retention:
42
Employee retention refers to policies and practices companies use to
prevent valuable employees from leaving their jobs. How to retain valuable
employees is one of the biggest problems that plague companies in the
competitive marketplace. Not too long ago, companies accepted the "revolving
door policy" as part of doing business and were quick to fill a vacant job with
another eager candidate. Nowadays, businesses often find that they spend
considerable time, effort, and money to train an employee only to have them
develop into a valuable commodity and leave the company for greener pastures.
In order to create a successful company, employers should consider as many
options as possible when it comes to retaining employees, while at the same time
securing their trust and loyalty so they have less of a desire to leave in the future. 1
Key employee retention is critical to the long term health and
success of your business. Managers readily agree that retaining your best
employees ensures customer satisfaction, product sales, satisfied coworkers and
reporting staff, effective succession planning and deeply imbedded organizational
knowledge and learning. If managers can cite these facts so well, why do they
behave in ways that so frequently encourage great employees to quit their jobs?
Employee retention matters. Organizational issues such as training time
and investment; lost knowledge; mourning, insecure coworkers and a costly
candidate search aside, failing to retain a key employee is costly. Various
estimates suggest that losing a middle manager costs an organization up to 100
percent of his salary. The loss of a senior executive is even more costly.
If a manager fails at employee retention, the chances are good that the
manager has been unable or unwilling to develop their ability to manage and
value people across the board. Managers who exhibit a pattern in which their key
employees leave your organization cannot retain their management role.
Effective Managers Create Employee Retention:
43
Managers who retain staff start by communicating clear
expectations to the employee. They share their picture of what constitutes success
for the employee in both the expected deliverables from and the performance of
their job. These managers provide frequent feedback and make the employee feel
valued. When an employee completes an exchange with a manager who retains
staff, he or she feels empowered, enabled, and confident in their ability to get the
job done. 2
Almost every manager can increase her ability to retain employees by
developing her management skills. Teaching a manager about how to value
people can be more challenging. Particularly if the manager doesn't already value
people and their contributions in her mind and heart, it will be a leap for her to
change her values.
These ideas will help organization develop managers who believe in and act in
ways that support employee retention.
Specific Ideas for Employee Recognition:
Remember that employee recognition is situational. Each individual has a
preference for what he finds rewarding and how that recognition is most effective
for him. One person may enjoy public recognition at a staff meeting; another
prefers a private note in her personnel file. The best way to determine what an
employee finds rewarding is to ask.
Use the myriad opportunities for employee recognition that are available to
you. In organizations, people place too much emphasis on money as the only
form of employee recognition. While salary, bonuses, and benefits are critical
within your employee recognition and reward system - after all, most of us do
work for money - think more broadly about your opportunities to provide
employee recognition. I have categorized the various forms of employee
recognition you can use to thank employees for their contribution. 3
44
Studies relating to Employee Retention:
3.1 - EMPLOYEE RETENTION:
The New York state department of civil service on the study of talent
management reveals that employee retention in state department and its
companies until a few years ago, most companies were boasting of their talented
staff and increased productivity. However, today, the scenario has changed. The
reality of inability of companies to retain employees is sinking in gradually.
Hence, it is important for organizations to devise an effective Employee Retention
Program (ERP). Experts define an ERP as a systematic effort to create and foster
an environment that encourages employees to remain employed by having
policies and practices in place. The process also calls for fulfilling the diverse
needs of employees. Thus the ERP helps to retain employees in the organization. 4
Mark Murphy and Andrea Burgio-Murphy (2004) reviewed some of
the most entrenched and misguided beliefs about employee retention. The authors
show how to avoid the Deadly Sins of Employee Retention and teach five cutting-
edge strategies for keeping best people. Individual leaders and entire
organizations can transform their retention efforts immediately.5
James Harris group on the study of corporate culture and motivation reveals
That it is the manager who finds and retains such apparently great employee.
Either by luck or design, the manager bridged with this employee the missing link
in today's staffing and retention challenge. The missing link is aligning your
staffing and retention function to core culture. 6
45
Career systems international on the study of talent management find out
that most companies complain about low manpower, Researches indicate that
companies are responsible for their own fate. Employee retention is one of the
biggest problems faced by companies today. Experts suggest that if an employee
does not like the work environment, he/she will not like to go back to the same
organization again and again. Hence, companies must focus on making the
organization employee friendly by giving them more benefits and incentives.
Organizations must value the efforts of employees, honor their work, and make
them realize that they matter a lot to the company. Organizations must treat their
employees as assets. 7
Roland T. Rust, Greg L. Stewart, Heather Miller, Debbie Pie lack
(2001) in their views said that employee turnover is highest among employees
who are not satisfied with their jobs. Organizations need to focus on increasing
employee satisfaction because qualified employees are becoming scarcer and they
are difficult to retain. They suggest that one useful approach for increasing
employee satisfaction is to view workers as customers. Based on the notion of
employee as customer, they illustrated how a customer satisfaction measurement
approach can be applied to the measurement of employee attitudes. They also
demonstrated how this approach yields actionable results that managers can
implement to increase employee satisfaction and thereby retention .A useful
approach for increasing employee satisfaction is to view employee as customer.8
Louisiana Sacwis (2003) had developed a staff retention plan. The
initiatives presented in the Staffing Retention Plan demonstrate the commitment
that AMS (American Management System) and project management have made
toward recruiting, developing, rewarding, and retaining the right team for this
project. Staff retention plan in project management can enhance on time and high
quality delivery of the business solution and technical solutions.9
46
According to international justice on the study of employee retention
and employment lawsuits by intention justice reveals that organizations that
create a sense of organizational justice will reap the human capital rewards in
improved motivation, retention and fewer employment lawsuits. 10
According to HR Hub.com on the study of human capital reveals that
employee retention emphasizes that an employee’s relationship with their
supervisor or manager and work-life balance as the most important determinants
for staying with an organization. The study on human capital reports the top five
factors affecting an employee’s decisions to stay or leave they are:
1. Quality of relationship with supervisor or manager.
2. Ability to balance work and home life.
3. Amount of meaningful work - the feeling of making a difference.
4. Level of cooperation with coworkers.
5. Level of trust in the workplace
Employee relationship with the supervisor plays an important role
for employees to stay back in the organization.11
Thomson Gale (2000) conducted a study on “Employee Retention” .The
primary objective of the study was to explore the reasons behind hourly employee
turnover and to explore variables that would assist in predicting employee
retention in the lodging industry. Data was collected from 230 hourly employees
in 10 small and medium-size hotels located in the Southeastern United States
(US). The results empirically confirmed that hourly employees' retention was
predicted by self-fulfillment and working conditions rather than monetary
rewards. often working condition is seen more important than monetary rewads.12
According to the Towers Perrin study there are four attributes that affect the
ability to retain and engage employees across Europe as a whole. These are:
providing employees with appropriate decision-making authority to do their jobs
providing a good overall work environment
47
having a senior management team that visibly demonstrates its dedication to
company values .13
According to Saipan Tribune the study on employee retention reveals
that there is a direct link between training and employee retention. Employees
involved in ongoing training feel that their employer is interested in them doing
a better job, and the employer cares enough about them to make an investment
in their development. Training can also be the means for positive change in any
organization; however, training is not enough to create lasting change without a
vital link that will help your employees transfer what they learned into real-life
application. That vital link is a strong coaching program.14
Watson Wyatt's (2006) Strategic Rewards study show that none of the
employers surveyed believe that healthcare coverage is a key reason why top-
performing employees leave. Twenty-two percent of top-performing employees
surveyed in the same study, however, cited healthcare benefits as one of the top
three reasons they would leave an employer. Welfare is very important
employees to be retain in the organization.15
John E. Sheridan(Dec.,1992)on the study on Organizational Culture
and Employee Retention reveals that the retention rates of 904 college
graduates hired in six public accounting firms over a six-year period.
Organizational culture values varied significantly among the firms. The variation
in cultural values had a significant effect on the rates at which the newly hired
employees voluntarily terminated employment. The relationship between the
employees' job performance and their retention also varied significantly with
organizational culture values. 16
Daniel G.Spencer on the study of employee voice and employee
retention reveals that the relationship between the extent to which employees
have opportunities to voice dissatisfaction and voluntarily turnover in 111 short
term,generalcare hospitals. Results show that, whether or not a union is present,
high numbers of mechanisms for employee voice are associated with high
48
retention rates.17
3.2 - WHY EMPLOYEES' QUIT:
An employee's expectations are less on financial fronts, but more towards
how he's treated and how he is valued. Much of this depends directly on the
immediate supervisor. If organization is losing good people, then their immediate
supervisor are to be analyzed. More than any other significant reasons, they are
the reason people stay and thrive in an organization. "People leave managers not
companies".18
The first time, an employee may not quit because the associate shows a
degree of tolerance, but a thought of quitting the organization has been planted by
the associate. The second time, the thought gets more strengthened and the
associate starts evaluating his/her market value. And by The third time, he starts
looking for other job opportunities as he/she is very firm on quitting the current
organization.
Analysis reveals that the employees leave because they have been pulled
away by "more pay" or "better opportunity." Yet, more than 80 percent of
employees leave because of the "push" factors related to poor management
practices or toxic cultures that drove them out.
Collins C.J. (2007) The New York state department of civil service on the
study of talent management reveals that employee retention in state department
and its companies until a few years ago, most companies were boasting of their
talented staff and increased productivity. However, today, the scenario has
changed. The reality of inability of companies to retain employees is sinking in
gradually. Hence, it is important for organizations to devise an effective employee
retention program (ERP).Experts define an ERP as a systematic effort to create
and foster an environment that encourages employees to remain employed by
having policies and practices in place. The process also calls for fulfilling the
49
diverse needs of employees. Thus the ERP helps to retain employees in the
organization.
The study concluded that effective employee retention is a systematic
effort by employers to create and foster an environment that encourages current
employees to remain employed by having policies and practices in place that
address their diverse needs.19
Mark Parrott (2000) believes that, there is a straight line between
employee satisfaction and customer satisfaction. He believes that today’s
employees pose a complete new set of challenges, especially when businesses are
forced to confront one of the tightest labor markets in decades. Therefore, it is
getting more difficult to retain employees, as the pool of talent is becoming more
and more tapped-out. The study concluded that employee retention through job
satisfaction supports this contention.20
Eskildesen & Hammer (2000) reviewed that employers have a need to
keep employees from leaving and going to work for other companies. This is true
because of the great costs associated with hiring and retraining new employees.
The best way to retain employees is by providing them with job satisfaction and
opportunities for advancement in their careers. The saying, good help is hard to
find, is even truer these days than ever before because the job market is becoming
increasingly tight.
The study concluded that job satisfaction and opportunities are the best
way to retain the employees in the organization.21
Branham(2005)reflects the more recent effort by organizations to attract
and retain talented employees by becoming an “employer of choice”, which often
involves communicating and emphasizing the positive features of working for a
particular organization to current and potential employees. The study concluded
that the organization should retain the talented employee and become “employers
of choice”.22
50
3.3 - HOW TO RETAIN EMPLOYEES?
The basic step of employee retention is “employee satisfaction”,
as they are no longer employees, but are Internal Customers to the organization. A
strong association exists between employee retention and the quality of service
delivered by the Organizations. If an employee feels sidelined or not getting due
respect/returns, discord is unavoidable. From the study the researcher is able to
understand various practices prevailing in the organization to retain the
employees. Companies should adopt all possible methods to retain talented
employees.
Sources
1. Employee Retention http://www.answers.com/topic/employee-retention
2. Effective managers can create employee retention: humanresources.about.com/od/retention/a/manager_role.htm
3. Specific Ideas for Employee Recognition: humanresources.about.com/od/rewardrecognition/a/recognition_ten_2.htm
Studies on employee retention :
4. New York state department of civil service on the study of talent management.
http://www.cs.state.ny.us/successionplanning/workgroups/Retention/resources
5. Mark Murphy and Andrea Burgio-Murphy (2004) review http://www.expertclick.com/NewsReleaseWire/default.cfm
6. James Harris group on the study of corporate culture and motivation http://jom.sagepub.com/cgi/content/abstract/26/3/405
7. Career systems international on the study of talent management
http://www.hermangroup.com/retentionconnection/view_articles_retention.php
51
8. Roland. Rust, Heather Miller, Debbie Pie lack on employee turnover.
http://www.emeraldinsight.com/Insight/viewContentItem.do?contentType=Article
9. Louisiana Sacwis (2003) had developed a staff retention plan
http://www.dss.state.la.us/Documents/IT/LAKIDS
10 International justices on the study of employee retention
www.uea.ac.uk/edu/intbro
11. HR Hub.com on the study of human capital
http://jobfunctions.bnet.com/search.aspx?kw=employee+retention
12. Thomson Gale (2000) conducted a study on “Employee Retention
http://www.questia.com/googleScholar.qst?docId=5001841392
13. Towers Perrin study
http://www.towersperrin.com/tp/getwebcachedoc=HRS/USA/2006/200603
14. Saipan Tribune on the study of employee retention
http://www.saipantribune.com/newsstory.aspx?cat=3&newsID=62172
15. Watson Wyatt's (2006) Strategic Rewards
http://www.watsonwyatt.com/research/featured/hci.asp
16. Employee Voice and Employee Retention
Daniel G. Spencer, The Academy of Management Journal, Vol. 29, No. 3 (Sep., 1986), pp. 488-502 doi: 10.2307/256220
17. Organizational Culture and Employee Retention
John E. Sheridan, The Academy of Management Journal, Vol. 35, No. 5 dec., 1992), pp.10361056oi: 10.2307/256539
18. Why employees quit:
52
http://ezinearticles.com/?Why-Employees-Quit&id=479758- Gaurav Doshi.
19. Collins, C.J. (2007):
The interactive effects of employee retention program and foster an environment for
the employees. Journal of applied psychology, 92,180-190.
20. Mark Parrott (2000):
Talent retention. Research in personnel and human resource Management, 13,245-
293.
21. Eskildesen& Hammer (2000):
Hourly employee retention factors in the quick service Textile industry.
International review of industrial and organizational psychology, 13, 49-81.
22. Branham (2005):
Planning to become an employer of choice. Journal of organizational Excellence,
24, 57-68.
53
CHAPTER – IVCHAPTER – IV
4.14.1 - ANALYSIS AND INTERPRETATION:- ANALYSIS AND INTERPRETATION:
Analysis is the means of computation of certain indices or measures along with
searching for the patterns of relationship that exist among the data group. Analysis,
particularly in case of survey or experimental data, involves estimating the value of
unknown parameters of the population and testing of hypothesis for drawing inferences.
Interpretation refers to the task of drawing inference from the collected facts after
an analytical study. It is essential for the simple reason that the usefulness and utility of
research finds lie in proper interpretation.
The following factors are considered:
Demographic factors
Retention factors
PHASE1:
Demographic factors:-
This phase deals with the personal profile of the respondents in the
organization. Gender, Age, Educational qualification, salary and Experience are dealt
with in the study.
PHASE 2:
Retention factors:-
This phase deals with the respondent’s responses relating to the various
retention parameters. The factors contributing to retention is also analyzed in this project.
These are the various factors:-
1. Opportunity in Decision-Making.
2. Leave facility.
3. Organization culture.
4. Promotional facilities.
54
5. Safety measures.
4.1 PERCENTAGE ANALYSIS
4.1.1 TABLE SHOWING THE GENDER OF THE RESPONDENTS
Source: primary data
INTERPRETATION:
The above table shows the Gender of the employees. It revealed that 63% of the
respondents are female and 37% of the respondents are male.
Majority of the respondents are female.
55
Gender Frequency Percent
Male 74 37.00
Female 126 63.00
Total 200 100.00
4.1.1 CHART SHOWING THE GENDER OF THE RESPONDENTS
56
4.1.2 TABLE SHOWING THE AGE OF THE RESPONDENTS
Age Frequency Percent
20 - 30 years 32 16.00
30 - 40 years 61 30.50
40 - 50 years 66 33.00
Above 50 years 41 20.50
Total 200 100.00
Source: primary data
INTERPRETATION:
The above table shows the Age of the respondents. It revealed that 33 % of the total
employees come in the age group 40 – 50yrs, 30.50% of the total employees come in the
age group 30 – 40yrs, 20.50% of the total employees come in the age group above 50
years and 16% the total employees come in the age group 20 – 30yrs.
Majority of the respondents are 40 – 50 yrs age group.
57
4.1.2 CHART SHOWING THE AGE OF THE RESPONDENT
58
4.1.3 TABLE SHOWING THE DESIGNATION OF THE
RESPONDENTS
Designation Frequency Percent
Labour 125 62.50
Supervisor 27 13.50
Clerical 19 9.50
Administrative 9 4.50
Others 20 10.00
Total 200 100.00
Source: primary data
INTERPRETATION:
The above table shows the employees designation. It revealed that 62.5% respondents
come under the Designation of labour, 13.50% respondents are come under the
designation of supervisor, 10% of respondents are come under the designation of others,
9.50% of respondents are come under the age group of clerical and 4.50% of the
respondents are come under the designation of administrative.
Most of the respondents belongs to labor category.
59
4.1.3 CHART SHOWING THE DESIGNATION OF THE
RESPONDENTS
60
4.1.4 TABLE SHOWING THE EDUCATION QUALIFICATION OF
THE RESPONDENTS
Source : Primary Data.
INTERPRETATION:
The above table shows the employees Education qualification. It revealed that 36% of
employees belongs to the SSLC/ITI category, 24% of employees belongs to the
HSC/Diploma category, 20% of employees belongs to the graduate category, 14% of
employees belongs to the uneducated category, 6% 0f employees belongs to the Post
Graduate category.
Majority of the respondent belongs to SSLC/ITI.
61
Education Qualification Frequency Percent
SSLC/ITI 72 36.00
HSC/Diploma 48 24.00
Graduate 40 20.00
Post Graduate 12 6.00
Uneducated 28 14.00
Total 200 100.00
4.1.4 SHOWING THE EDUCATION QUALIFICATION OF THE
RESPONDENTS
62
4.1.5 TABLE SHOWING THE WORK EXPERIENCE OF THE
RESPONDENTS
Source: primary data
INTERPRETATION:
The above table shows the employees Work Experience. It revealed that 28.50% of
employees has 6-8 years of experience, 24% of employees has 2-4 years of experience,
21.50% of employees has 4-6 years of experience, 15% of employees has 0-2 years of
experience, 11% of employees has above 8 years of experience.
Majority of the respondent has 6-8 years of experience.
63
Work Experience Frequency Percent
0 - 2 years 30 15.00
2 - 4 years 48 24.00
4 - 6 years 43 21.50
6 - 8 years 57 28.50
Above 8 years 22 11.00
Total 200 100.00
4.1.5 CHART SHOWING THE WORK EXPERIENCE OF THE
RESPONDENTS
64
4.1.6 TABLE SHOWING THE MONTHLY INCOME OF THE
RESPONDENTS
Source: Primary data INTERPRETATION:
The above table shows the monthly income of the respondents. It revealed that
36.5% of the respondents are getting the monthly income of Rs.4001- Rs.6000, 25% of
the respondents are getting the monthly income of Rs.6001- Rs.8000, 16% of the
respondents are getting the monthly income of Rs.8001- Rs.10000, 13% of the
respondents are getting the monthly income of Rs.2000- Rs.4000, 9.5% of the
respondents are getting the monthly income of above Rs. 10000.
Majority of the respondents are getting monthly salary of Rs.40001- Rs.6000.
65
Monthly Income Frequency Percent
Rs.2000 - Rs.4000 26 13.00
Rs.4001 - Rs.6000 73 36.50
Rs.6001 - Rs.8000 50 25.00
Rs.8001 - Rs.10000 32 16.00
Above Rs.10000 19 9.50
Total 200 100.00
4.1.6 CHART SHOWING THE MONTHLY INCOME OF THE
RESPONDENTS
66
4.1.7 TABLE SHOWING THE TYPE OF EMPLOYMENT
Type of Employment Frequency Percent
Permanent 50 25.00
Contract 103 51.50
Temporary 47 23.50
Total 200 100.00
Source: Primary data
INTERPRETATION:
The above table shows the type of employment. It revealed that 51.5% of the respondents
are belongs to contract category, 25% of the respondents are belongs to permanent
category and 23.5% of the respondents are belongs to temporary category.
Majority of the respondents are belongs to contract category.
67
4.1.7 CHART SHOWING THE TYPE OF EMPLOYMENT
68
4.1.8 TABLE SHOWING THE RESPONDENTS JOB SECURED
Feel Job Secured Frequency Percent
Strongly Agree 18 9.00
Agree 54 27.00
Neutral 44 22.00
Disagree 57 28.50
Strongly Disagree 27 13.50
Total 200 100.00
Source: primary data
INTERPRETATION:
The above table shows the respondents job secured. It revealed that 28.5% of the
respondents are disagree, 27% of the respondents are agree with their opinion, 22% of the
respondents are neutral, 13.5% of the respondents are strongly disagree and 9% of the
respondents are strongly agree with their opinion.
Majority of the respondents are disagree with their opinion.
69
4.1.8 CHART SHOWING THE RESPONDENTS JOB SECURED
70
4.1.9 TABLE SHOWING THE AVAILED OF ANY LOAN
Availed any loan Frequency Percent
Yes 23 11.50
No 177 88.50
Total 200 100.00
Source: primary data
INTERPRETATION:
The above table shows the availability of any loan in the organization. 88.5% of the
respondents revealed that there is no availed of any loan and 11.5% of the respondents
revealed that there is availed of any loan.
Most of the respondents revealed no availed of any loan.
71
4.1.9 CHART SHOWING THE AVAILED OF ANY LOAN
72
4.1.1O TABLE SHOWING THE TYPE OF LOAN AVAILED
Type of loan availed Frequency Percent
Personal 12 52.17
Vehicle Loan 11 47.83
Total 23 100.00
Source: primary data.
INTERPRETATION:
The above table shows the type of loan availed. It revealed that 52.17% of personal loan
are availed and 47.83% of vehicle loan are availed.
Most of the respondents response was availed of personal loan.
73
4.1.10 CHART SHOWING THE TYPE OF LOAN AVAILED
74
4.1.11 TABLE SHOWING THE EMPLOYEE WELFARE
SATISFACTION
Employee welfare satisfaction Frequency Percent
Highly Satisfied 30 15.00
Satisfied 99 49.50
Neutral 46 23.00
Dissatisfied 17 8.50
Highly Dissatisfied 8 4.00
Total 200 100.00
Source: primary data
INTERPRETATION:
The above table shows the employee welfare satisfaction. It revealed that
49.5% of the respondents are satisfied with their welfare satisfaction, 23% of the
respondents are neutral, 15% of the respondents are highly satisfied with their welfare
satisfaction, 8.5% of the respondents are dissatisfied with their welfare satisfaction and
4% of the respondents are highly dissatisfied with their welfare satisfaction.
Majority of the respondents are highly satisfied with their welfare satisfaction.
75
4.1.11 CHART SHOWING THE EMPLOYEE WELFARE
SATISFACTION
76
4.1.12 TABLE SHOWING THE FEEL ABOUT PRESENT JOB
RESPONSIBILITY
Feel about present job
responsibility Frequency Percent
Well suitable for me 38 19.00
I can able to manage 93 46.50
Need assistance 57 28.50
Can't able to manage 12 6.00
Total 200 100.00
Source: primary data
INTERPRETATION:
The above table shows the respondents feel about present job responsibility. It revealed
that 46.5% of the respondents can able to manage the present job responsibility, 28.5%
of the respondents need assistance to manage the present job responsibility, 19% of the
respondents revealed that the job is well suitable for them and 6% of the respondents
revealed that they cant able to manage the present job responsibility.
Majority of the respondents can able to manage the present job responsibility.
77
4.1.12 CHART SHOWING THE FEEL ABOUT JOB
RESPONSIBILITY
78
4.1.13 TABLE SHOWING THE NO CONFLICT AND CONFUSION
No conflict and confusion Frequency Percent
Strongly Agree 31 15.50
Agree 67 33.50
Neutral 56 28.00
Disagree 36 18.00
Strongly Disagree 10 5.00
Total 200 100.00
Source: primary data
INTERPRETATION:
The above table shows the no conflict and confusion between the employees. It revealed
that 33.5% of the respondents are agree that there is no conflict and confusion between
the employees due to their misunderstandings, 28% of the respondents revealed the
neutral, 18% of the respondents are disagree, 15.55 of the respondents are strongly agree
that there is no conflict and confusion between the employees and 5% of the respondents
are strongly disagree that there is no conflict and confusion between the employees.
Majority of the respondents revealed that there is no conflict and confusion between the
employees.
79
4.1.13 CHART SHOWING THE NO CONFLICT AND CONFUSION
80
4.1.14 TABLE SHOWING THE VERBAL AND NON-VERBAL
COMMUNICATION
Verbal and non-verbal
communication Frequency Percent
Strongly Agree 28 14.00
Agree 65 32.50
Neutral 71 35.50
Disagree 24 12.00
Strongly Disagree 12 6.00
Total 200 100.00
Source: primary data
INTERPRETATION:
The above table shows the verbal and non-verbal communication of the employees. It
revealed that 35.5% of the respondents are neutral, 32.5% of the respondents are agree
that there is a verbal and non-verbal communication between the employees, 14% of the
respondents are strongly agree, 12% of the respondents are disagree that there is a verbal
and non-verbal communication between the employees and 6% of the respondents are
strongly disagree that there is a verbal and non-verbal communication between the
employees.
81
Majority of the respondents revealed the neutral.
4.1.14 CHART SHOWING THE VERBAL AND NON-VERBAL
COMMUNICATION
82
4.1.15 TABLE SHOWING THE GRIEVANCE HANDLING
Grievance handling Frequency Percent
Strongly Agree 21 10.50
Agree 64 32.00
Neutral 56 28.00
Disagree 43 21.50
Strongly Disagree 16 8.00
Total 200 100.00
Source: primary data
INTERPRETATION:
The above table shows the grievance handling of the machinery. It revealed that 32% of
the respondents are agree that there is a grievance handling of the machinery, 28% of the
respondents are neutral, 21.5% of the respondents are disagree that there is a grievance
handling of the machinery, 10.5% of the respondents are strongly agree that there is a
grievance handling of the machinery and 8% of the respondents are strongly disagree that
there is a grievance handling of the machinery.
Majority of the respondents are satisfied with the grievance handling of the machinery.
83
4.1.15 CHART SHOWING THE GRIEVANCE HANDLING
84
4.1.16 TABLE SHOWING THE EFFECTIVE FEEDBACK TO
EMPLOYEE
Effective feedback to employee Frequency Percent
Strongly Agree 9 4.50
Agree 51 25.50
Neutral 111 55.50
Disagree 16 8.00
Strongly Disagree 13 6.50
Total 200 100.00
Source: primary data
INTERPRETATION:
The above table shows the respondents effective feedback. 55.5% of the
respondents showed neutral, 25.5% of the respondents are agree with their opinion, 8.5%
of the respondents are disagree with their opinion, 6.5% of the respondents are strongly
disagree with their opinion and 4.5% of the respondents are strongly agree with their
opinion.
Majority of the respondents revealed neutral opinion.
85
4.1.16 CHART SHOWING THE EFFECTIVE FEEDBACK TO
EMPLOYEE
86
4.1.17 TABLE SHOWING THE OPEN TO CONSTRUCTIVE
CRITICISM
Open to constructive criticism Frequency Percent
Strongly Agree 9 4.50
Agree 13 6.50
Neutral 71 35.50
Disagree 84 42.00
Strongly Disagree 23 11.50
Total 200 100.00
Source: primary data
INTERPRETATION:
The above table shows the respondents open to constructive criticism. It revealed that
42% of the respondents are disagree, 35.5% of the respondents are neutral with their
opinion, 11.5% of the respondents are strongly disagree with their opinion and 4.5% of
the respondents are strongly agree with their opinion.
Majority of the respondents revealed neutral opinion.
87
4.1.17 CHART SHOWING THE OPEN TO CONSTRUCTIVE
CRITICISM
88
4.1.18 TABLE SHOWING THE EFFECTIVE CO-OPERATION
AMONG EMPLOYEE
Effective cooperation among
employee Frequency Percent
Strongly Agree 8 4.00
Agree 30 15.00
Neutral 53 26.50
Disagree 84 42.00
Strongly Disagree 25 12.50
Total 200 100.00
Source: primary data
INTERPRETATION:
The above table shows the effective cooperation among employee. It revealed that 42%
of the respondents are disagree, 26.5% of the respondents revealed neutral opinion, 15%
of the respondents are agree with their opinion and 4% of the respondents are strongly
agree with their opinion.
Most of the respondents are dissatisfied with the effective cooperation among employees.
89
4.1.18 CHART SHOWING THE EFFECTIVE CO-OPERATION
AMONG EMPLOYEE
90
4.1.19 TABLE SHOWING THE PREFERENCE OF THE
ORGANIZATION
Preference of the organization Rank1 Rank2 Rank3 Rank4 Rank5
Good Compensation 68 108 8 8 8
Flexible Management 120 60 4 4 12
Adequate Facilities 4 16 79 61 40
Employee Welfare 0 12 56 70 62
Job Stress 8 4 53 57 78
Source: primary data
INTERPRETATION:
The above table shows the preference of the organization. It shows that most of the
employees are agree that they are getting good compensation from the organization. Most
of the employees are highly satisfied with the flexible management. Employees are
highly dissatisfied with adequate facilities provided by the organization. Most of the
employees are disagree with the welfare given by the company and also they disagree
with the job stress.
Most of the employees are agree that they are getting good compensation from the
organization
91
4.1.19 CHART SHOWING THE PREFERENCE OF THE
ORGANIZATION
92
4.1.20 TABLE SHOWING THE WORKING ENVIRONMENT
A. WORKING ENVIRONMENT SA A N DA SDA
1. Working environment is pleasant in the department 11 48 95 45 1
2. Satisfied with the infrastructure provided by the
company 11 40 11 46 4
3. Interpersonal relationship between the colleagues is
satisfactory 9 45 9 43 4
4. Interpersonal relationship between the superiors is
satisfactory 15 56 15 52 2
5. Cleanliness of the work environment is satisfactory 13 51 13 46 1
6. Adequate rest room facility 16 47 16 40 7
7. Safety warning & procedures maintained by
company is satisfactory 19 47 19 38 1
Source : Primary data
93
INTERPRETATION:
The above table shows the working environment of the organization. It revealed that the
employees are agree with that they are having the pleasant working environment, they are
disagree with the infrastructure was provided by the organization. Interpersonal
relationship between the colleagues is satisfactory. Interpersonal relationship between the
supervisor is also satisfied by the employees. Respondents are dissatisfied with the
cleanliness of the working environment. Employees are agree with that they are having
the adequate rest room facility. They also agree with that they are having the safety
warning and procedures maintained by the organization.
The organization working environment factors need to be improved to get the best result.
94
4.1.20 CHART SHOWING THE WORKING ENVIRONMENT
95
4.1.21 TABLE SHOWING THE PERSONNEL DEVELOPMENT
B. PERSONNEL DEVELOPMENT SA A N DA SDA
1. Working experience provided by the company
improves my ability 15 46 15 52 2
2. My experience in particular field has been utilized by
the company 11 42 101 43 3
3. Company recognizes individual interest &
potentialities 13 41 101 43 2
4. Promotion process adopted by the company is
satisfactory 14 56 90 39 1
5. Training provided by company is more effective 17 39 93 48 3
6. The company provides opportunity for my career
development 12 44 94 49 1
7. Satisfied with the recruitment process 10 41 107 41 1
Source: primary data
96
INTERPRETATION:
The above table shows the personal development of the organization. It revealed that
most of the employees are disagree with the company improves their ability. Most of the
employees gave neutral opinion of their experience in particular field has been utilized by
the company. Most of the employees accept that the company recognizes the individual
interest and potentialities. Employees gave neutral opinion of promotion process adopted
by the company is satisfactory and training provided by the company is more effective.
Employees accepted that the company provides opportunity for their career development.
Respondents gave neutral opinion for the recruitment process.
As a whole the employees are happy with the personal development of the organization.
97
4.1.21 CHART SHOWING THE PERSONNEL DEVELOPMENT
98
4.1.22 TABLE SHOWING THE ORGANIZATIONAL CULTURE
C. ORGANIZATIONAL CULTURE SA A N DA SDA
1. Implying equal opportunities & rights for all human
beings 17 49 88 45 1
2. Handling grievance process is satisfactory 23 46 95 36 0
3. Social security measures provided by the company is
satisfactory 13 51 82 54 0
4. Sufficient attention given to cultural diversity 9 41 98 50 2
5. Dynamics of ethnic and religious conflict handling is
satisfactory 11 46 97 46 0
6. Promoting harmonious interaction &solidarity at all
levels of society 18 48 89 43 2
7. Welfare facilities given by the company is satisfactory 12 41 101 45 1
Source: primary data
INTERPRETATION:
Most of the employees are neither satisfied nor dissatisfied with organization culture.
Most of the employees gave neutral opinion about implying equal opportunities and
rights for all human beings. Most of the employee gave a neutral opinion about the
handling grievances. Most of the employees gave neutral opinion for social security
measures provided by the company, sufficient attention given to cultural society, and
dynamics of ethnic and religious conflict handling. Promoting harmonious interaction
and solidarity at all levels of society was also at neutral level. Welfare facilities given by
the company is also at neutral level.
99
The organizational culture factor should be improved for getting the good result.
4.1.22 CHART SHOWING THE ORGANIZATIONAL CULTURE
100
4.1.23 TABLE SHOWING THE JOB SATISFACTION
D. JOB SATISFACTION SA A N DA SDA
1. Compensation provided by the company is satisfactory 15 45 95 43 2
2. Satisfied with working hours 16 43 93 47 1
3. Satisfied with stress level in job 13 56 91 38 2
4. Transportation facilities provided by the company is
satisfactory 21 36 91 52 0
5. Satisfied with the leave facilities provided by the
company 21 42 87 49 1
6. Canteen facilities in the company is satisfactory 14 47 99 39 1
7. Loan facilities provided by the company is satisfactory 11 61 87 41 0
Source: primary data
INTERPRETATION:
The employees of the organization are satisfied with their job. The employees gave
neutral opinion about the compensation provided by the company. They gave neutral
opinion to all the facts under job satisfaction like working hours, stress level in job,
transportation facilities provided by the company, leave facilities provided by the
101
company, canteen facilities provided by the company and the loan facilities provided by
the company.
The management should take more steps to provide job satisfaction to its employees.
4.1.23 CHART SHOWING THE JOB SATISFACTION
102
4.2 CHI-SQUARE ANALYSIS
Hypothesis: The personal factor of the respondents has no significant influence on
comfort regarding present job responsibility
TABLE 4.2.1 SHOWING THE CHI-SQUARE ANALYSIS FOR
PERSONAL FACTORS VS PRESENT JOB RESPONSIBILITY
Personal Factors 2 Value Df P - Value S / NS
Gender 2.656 3 0.448 NS
Age 7.484 9 0.587 NS
Designation 7.617 12 0.814 NS
Education 8.225 12 0.767 NS
Experience 9.839 12 0.630 NS
Monthly Income 8.326 12 0.759 NS
Type of Employment 5.757 6 0.451 NS
Significant P value 0.05. S – Significant, NS – Not Significant
103
INTERPRETATION:
It is observed from the above table that chi-square analysis is performed between
personal factors of the respondents and shopping frequency. It is found from the
analysis that gender has chi-square value of 2.656, age has chi-square value of
7.484, Designation has chi-square value of 7.617 , Education has chi-square value
of 8.225 , Experience has chi-square value of has chi-square value 9.839 ,Monthly
Income has chi-square value of 8.326 and Type of Employment has chi-square
value of 5.757. The chi-square analysis is tested at 5% level of siginficance. All
the p-values are greater than the level of signifiance, the hypothesis is accepted.
It is concluded that the personal factors have no significant influence on comfort
regarding present job responsibility.
104
Hypothesis: The personal factor of the respondents has no significant influence on
effective feedback to employees.
TABLE 4.2.2 SHOWING THE CHI-SQUARE ANALYSIS FOR
PERSONAL FACTORS VS FEEDBACK TO EMPLOYEES
Personal Factors 2 Value Df P - Value S / NS
Gender 7.572 4 0.109 NS
Age 15.069 12 0.238 NS
Designation 16.717 16 0.404 NS
Education 9.836 16 0.875 NS
Experience 9.988 16 0.867 NS
Monthly Income 16.280 16 0.434 NS
Type of Employment 8.504 8 0.386 NS
Significant P value 0.05. S – Significant, NS – Not Significant
INTERPRETATION:
It is observed from the above table that chi-square analysis is performed between
personal factors of the respondents and effective feedback to employees. It is
found from the analysis that gender has chi-square value of 7.572, age has chi-
square value of 15.069, Designation has chi-square value of 16.717, Education has
chi-square value of 9.836, Experience has chi-square value of has chi-square value
105
9.988 ,Monthly Income has chi-square value of 16.280 and Type of Employment
has chi-square value of 8.504. The chi-square analysis is tested at 5% level of
siginficance. All the p-values are greater than the level of signifiance, the
hypothesis is accepted.
It is concluded that the personal factors have no significant influence on effective
feedback to employees.
106
Hypothesis: The personal factor of the respondents has no significant influence on
cooperation among employee in the organization.
TABLE 4.2.3 SHOWING THE CHI-SQUARE ANALYSIS FOR
PERSONAL FACTORS VS COOPERATION AMONG EMPLOYEES
Personal Factors 2 Value Df P – Value S / NS
Gender 1.830 4 0.767 NS
Age 3.753 12 0.987 NS
Designation 12.667 16 0.697 NS
Education 9.347 16 0.898 NS
Experience 12.024 16 0.742 NS
Monthly Income 17.129 16 0.377 NS
Type of Employment 7.764 8 0.457 NS
Significant P value 0.05. S – Significant, NS – Not Significant
INTERPRETATION:
It is observed from the above table that chi-square analysis is performed between
personal factors of the respondents and cooperation among employee in the
organization. It is found from the analysis that gender has chi-square value of
1.830, age has chi-square value of 3.753, Designation has chi-square value of
12.667, Education has chi-square value of 9.347, Experience has chi-square value
107
of has chi-square value 12.024,Monthly Income has chi-square value of 17.129
and Type of Employment has chi-square value of 7.764. The chi-square analysis is
tested at 5% level of siginficance. All the p-values are greater than the level of
signifiance, the hypothesis is accepted.
It is concluded that the personal factors have no significant influence on
cooperation among employee in the organization.
108
4.3 CORRELATION ANALYSYIS
The following table shows the correlation analysis is performed between
comfort regarding present job responsibility, effective feedback to employees and
cooperation among employee in the organization.
TABLE 4.3.1 SHOWING THE CORRELATION ANALYSIS FOR
RETENTION FACTORS
Q21-Working Environment, Q22-Personnel Development, Q23-Organizational Culture, Q24-Job Satisfaction
INTERPRETATION:
It is inferred from the above table that correlation analysis is performed between
personal factors of the respondents and organization preference among the factors
comfort regarding present job responsibility, effective feedback to employees and
cooperation among employee in the organization. It is found that working
109
Correlations
1 -.060 -.170* .150 *
.396 .016 .034
200 200 200 200
-.060 1 .021 -.194**
.396 .766 .006
200 200 200 200
-.170* .021 1 -.089
.016 .766 .208
200 200 200 200
.150* -.194** -.089 1
.034 .006 .208
200 200 200 200
Pearson Correlation
Sig. (2-tailed)
N
Pearson Correlation
Sig. (2-tailed)
N
Pearson Correlation
Sig. (2-tailed)
N
Pearson Correlation
Sig. (2-tailed)
N
Q21
Q22
Q23
Q24
Q21 Q22 Q23 Q24
Correlation is significant at the 0.05 level (2-tailed).*.
Correlation is significant at the 0.01 level (2-tailed).**.
environment has positive significant relationship with job satisfaction and negative
significant relationship with organizational culture. It is also found that personnel
development has negative significant relationship with job satisfaction.
It is concluded that among the retention factors considered for this study working
environment has found significant relationship with job satisfaction.
110
4.4 REGRESSION ANALSYSIS
TABLE 4.4.1 SHOWING THE REGRESSION ANALYSIS BETWEEN
RETENTION DIMENSIONS
Retention Dimensions R R Square
Contribution
%
Working Environment 0.553 0.305 30.529
Personnel Development 0.687 0.472 16.679
Organization Culture 0.840 0.705 23.274
Job Satisfaction 1.000 1.000 29.518
INTERPRETATION:
It is observed from the table that regression analysis is performed personal factors
of the respondents and organization preference to assess the significant
contribution of dimensional factor among overall management factors. It is evident
from results that 30.529% of retention dimension observed from working
environment, 16.679 % of retention dimension observed from personnel
development, 23.274 % of retention dimension observed from organization culture
and 29.518% of retention dimension observed from job satisfaction.
It is concluded that working environment has contributed high retention
(30.529%) ratio than other factors considered for the study.
111
4.5 AVERAGE RANK ANALYSIS
TABLE 4.5.1 SHOWING THE AVERAGE RANK ANALYSIS FOR
ORGANIZATION PREFERENCE
Preference of the organization
Avg.
Rank
Good Compensation 1.900
Flexible Management 1.640
Adequate Facilities 3.585
Employee Welfare 3.910
Job Stress 3.965
INTERPRETATION:
It is inferred from the table that weighted average rank analysis is
performed between personal factors of the respondents and organization
preference. According to the result the preference orders are respectively, flexible
management, good compensation, adequate facilities, emplyee welfare and job
stress.
Hence, it is concluded that flexible management is the most preferable
criteria for this organization.
112
4.6 AVERAGE SCORE ANALYSIS
TABLE 4.6.1 SHOWING THE AVERAGE SCORE ANALYSIS FOR
WORKING ENVIRONMENT
A. WORKING ENVIRONMENT
Avg.
Score
1. Working environment is pleasant in the department 3.115
2. Satisfied with the infrastructure provided by the company 1.720
3. Interpersonal relationship between the colleagues is
satisfactory
1.710
4. Interpersonal relationship between the superiors is
satisfactory
2.250
5. Cleanliness of the work environment is satisfactory 2.005
6. Adequate rest room facility 2.015
7. Safety warning & procedures maintained by company is
satisfactory
2.085
113
INTERPRETATION:
It is clear from the above table that the average-score analysis is calculated on
working environment. The average score of Working environment is pleasant in
the department is 3.115, Satisfied with the infrastructure provided by the company
is 1.720, Interpersonal relationship between the colleagues is satisfactory is 1.710,
Interpersonal relationship between the superiors is satisfactory 2.250. Cleanliness
of the work environment is satisfactory is 2.005, Adequate rest room facility is
2.015 and Safety warning & procedures maintained by company is satisfactory is
2.085.
It is concluded from the above table that working environment disagreed by the
respondents
114
TABLE 4.6.2 SHOWING THE AVERAGE SCORE ANALYSIS FOR
PERSONNEL DEVELOPMENT
B. PERSONNEL DEVELOPMENT
Avg.
Score
1. Working experience provided by the company improves
my ability
2.050
2. My experience in particular field has been utilized by the
company
3.075
3. Company recognizes individual interest & potentialities 3.100
4. Promotion process adopted by the company is satisfactory 3.215
5. Training provided by company is more effective 3.095
6. The company provides opportunity for my career
development
3.085
7. Satisfied with the recruitment process 3.090
115
INTERPRETATION:
It is clear from the above table that the average-score analysis is calculated on
personnel development. The average score of Working experience provided by the
company improves my ability is 2.050, My experience in particular field has been
utilized by the company is 3.075, Company recognizes individual interest &
potentialities is 3.100. Promotion process adopted by the company is satisfactory
3.215, Training provided by company is more effective is 3.095, the company
provides opportunity for my career development is 3.085 and Satisfied with the
recruitment process is 3.090.
It is concluded from the above table that majority of the respondents are neutrally
agreed factors considered in the personnel development.
116
TABLE 4.6.3 SHOWING THE AVERAGE SCORE ANALYSIS FOR
ORGANIZATION CULTURE
C. ORGANIZATIONAL CULTURE
Avg.
Score
1. Implying equal opportunities & rights for all human beings 3.180
2. Handling grievance process is satisfactory 3.280
3. Social security measures provided by the company is
satisfactory
3.115
4. Sufficient attention given to cultural diversity 3.025
5. Dynamics of ethnic and religious conflict handling is
satisfactory
3.110
6. Promoting harmonious interaction &solidarity at all levels
of society
3.185
7. Welfare facilities given by the company is satisfactory 3.090
117
INTERPRETATION:
It is clear from the above table that the average-score analysis is calculated on
organization culture. The average score of Implying equal opportunities & rights
for all human beings is 2.050, Handling grievance process is satisfactory is 3.075 ,
Social security measures provided by the company is satisfactory is 3.100.
Sufficient attention given to cultural diversity is 3.215, Dynamics of ethnic and
religious conflict handling is satisfactory is 3.095, Promoting harmonious
interaction &solidarity at all levels of society is 3.085 and Welfare facilities given
by the company is satisfactory is 3.090.
It is concluded from the above table that majority of the respondents are neutrally
agreed with organization culture factors.
118
TABLE 4.6.4 SHOWING THE AVERAGE SCORE ANALYSIS FOR
JOB SATISFACTION
D. JOB SATISFACTION
Avg.
Score
1. Compensation provided by the company is satisfactory 3.140
2. Satisfied with working hours 3.130
3. Satisfied with stress level in job 3.200
4. Transportation facilities provided by the company is
satisfactory
3.130
5. Satisfied with the leave facilities provided by the company 3.165
6. Canteen facilities in the company is satisfactory 3.170
7. Loan facilities provided by the company is satisfactory 3.210
119
INTERPRETATION:
It is clear from the above table that the average-score analysis is calculated on
organization culture. The average score of Compensation provided by the
company is satisfactory is 3.140, Satisfied with working hours is 3.130, Satisfied
with stress level in job is 3.200, Transportation facilities provided by the company
is satisfactory is 3.130, Satisfied with the leave facilities provided by the company
is 3.165, Canteen facilities in the company is satisfactory is 3.170 and Loan
facilities provided by the company is satisfactory is 3.210.
It is concluded from the above table that majority of the respondents are neutrally
satisfied with the factors considered for job satisfaction.
120
4.7 ANOVA ANALYSIS
TABLE 4.7.1 SHOWS THE ANALYSIS OF VARIANCE BETWEEN
AGE GROUP OF THE RESPONDENTS AND OVERALL
RESPONSES ON RETENTION FACTORS
Descriptives Avg. Agree
N MeanStd.
DeviationStd.
Error
95% Confidence Interval for Mean
Minimum MaximumLower Bound
Upper Bound
20 - 30 yrs
32 2.8884 .15810 .02795 2.8314 2.9454 2.61 3.29
30 - 40 yrs
61 2.8390 .14235 .01823 2.8025 2.8755 2.50 3.14
40 - 50 yrs
66 2.8923 .16076 .01979 2.8528 2.9318 2.57 3.36
Above 50 yrs
41 2.8467 .14044 .02193 2.8024 2.8910 2.64 3.14
Total 200 2.8661 .15172 .01073 2.8449 2.8872 2.50 3.36
ANOVA Avg. Agree
Sum of Squares df Mean Square F Sig.
Between Groups .122 3 .041 1.781 .152
Within Groups 4.459 196 .023
Total 4.581 199
121
MEANS PLOTS
INTERPRETATION:
The table shows the analysis of variance between age group of the respondents and
overall responses on retention factors. The ANOVA result confirms that there is
no significant difference of opinion found among the respondents. It is understood
from the chart that 20-30 years age group and 40 – 50 years age group of the
respondents are found high retention. Higher the mean value represent high
retention and lower the mean value refers low retention.
It is concluded that 20-30 years age group and 40 – 50 years age group of the
respondents are found high retention.
122
TABLE 4.7.2 SHOWS THE ANALYSIS OF VARIANCE BETWEEN
DESIGNATION OF THE RESPONDENTS AND OVERALL
RESPONSES ON RETENTION FACTORS
Descriptives Avg. Agree
N MeanStd.
DeviationStd.
Error
95% Confidence Interval for Mean
Minimum MaximumLower Bound
Upper Bound
Labour 125 2.8746 .14653 .01311 2.8486 2.9005 2.50 3.36
Supervisor 27 2.8770 .14968 .02881 2.8178 2.9362 2.64 3.29
Clerical 19 2.8289 .17193 .03944 2.7461 2.9118 2.61 3.14
Administrative 9 2.8214 .15047 .05016 2.7058 2.9371 2.57 3.07
Others 20 2.8536 .17222 .03851 2.7730 2.9342 2.61 3.29
Total 200 2.8661 .15172 .01073 2.8449 2.8872 2.50 3.36
ANOVA Avg. Agree
Sum of Squares df Mean Square F Sig.
Between Groups .059 4 .015 .641 .634
Within Groups 4.522 195 .023
Total 4.581 199
123
MEANS PLOTS
INTERPRETATION:
The table shows the analysis of variance between designation of the respondents
and overall responses on retention factors. The ANOVA result confirms that there
is no significant difference of opinion found among the respondents. It is
understood from the chart that except the clerical and administrative staff all other
staffs/employees are found high retention.
It is concluded that labor, supervisor and others designated employees are found
high retention.
124
TABLE 4.7.3 SHOWS THE ANALYSIS OF VARIANCE BETWEEN
EDUCATIONAL QUALIFICATION OF THE RESPONDENTS AND
OVERALL RESPONSES ON RETENTION FACTORS
Descriptives Avg. Agree
N MeanStd.
DeviationStd.
Error
95% Confidence Interval for Mean
Minimum MaximumLower Bound
Upper Bound
SSLC/ITI 72 2.8522 .15851 .01868 2.8149 2.8894 2.50 3.36
HSC/Diploma 48 2.8668 .16502 .02382 2.8189 2.9147 2.61 3.29
Graduate 40 2.8812 .13200 .02087 2.8390 2.9235 2.64 3.21
Post Graduate 12 2.9226 .16104 .04649 2.8203 3.0249 2.61 3.11
Uneducated 28 2.8546 .13431 .02538 2.8025 2.9067 2.61 3.14
Total 200 2.8661 .15172 .01073 2.8449 2.8872 2.50 3.36
ANOVA Avg. Agree
Sum of Squares df Mean Square F Sig.
Between Groups .065 4 .016 .704 .590
Within Groups 4.516 195 .023
Total 4.581 199
125
MEANS PLOTS
INTERPRETATION:
The table shows the analysis of variance between educational qualification of the
respondents and overall responses on retention factors. The ANOVA result
confirms that there is no significant difference of opinion found among the
respondents. It is understood from the chart that post graduate staffs/employees are
found high retention.
It is concluded that post graduate staffs/employees are found high retention.
126
TABLE 4.7.4 SHOWS THE ANALYSIS OF VARIANCE BETWEEN
EXPERIENCE OF THE RESPONDENTS AND OVERALL
RESPONSES ON RETENTION FACTORS
Descriptives Avg. Agree
N MeanStd.
DeviationStd.
Error
95% Confidence Interval for Mean
Minimum MaximumLower Bound
Upper Bound
0 - 2 yrs 30 2.8774 .12780 .02333 2.8297 2.9251 2.64 3.11
2 - 4 yrs 48 2.8899 .14149 .02042 2.8488 2.9310 2.64 3.21
4 - 6 yrs 43 2.8455 .17526 .02673 2.7916 2.8995 2.50 3.36
6 - 8 yrs 57 2.8434 .15695 .02079 2.8017 2.8850 2.57 3.29
Above 8yrs
22 2.8977 .13735 .02928 2.8368 2.9586 2.64 3.14
Total 200 2.8661 .15172 .01073 2.8449 2.8872 2.50 3.36
ANOVA Avg. Agree
Sum of Squares Df Mean Square F Sig.
Between Groups .101 4 .025 1.095 .360
Within Groups 4.480 195 .023
Total 4.581 199
127
MEANS PLOTS
INTERPRETATION:
The table shows the analysis of variance between experience of the respondents
and overall responses on retention factors. The ANOVA result confirms that there
is no significant difference of opinion found among the respondents. It is
understood from the chart that except 4-6years and 6-8 years experience staffs all
other staffs/employees are found high retention.
It is concluded that above 8 years staffs/employees are found high retention than
other type of employees.
128
TABLE 4.7.5 SHOWS THE ANALYSIS OF VARIANCE BETWEEN
MONTHLY INCOME OF THE RESPONDENTS AND OVERALL
RESPONSES ON RETENTION FACTORS
Descriptives
Avg. Agree
N MeanStd.
DeviationStd.
Error
95% Confidence Interval for Mean
Minimum MaximumLower Bound
Upper Bound
Rs.2000 - Rs.4000
26 2.8338 .15015 .02945 2.7731 2.8944 2.50 3.14
Rs.4001 - Rs.6000
73 2.8894 .15637 .01830 2.8529 2.9259 2.57 3.36
Rs.6001 - Rs.8000
50 2.8464 .13542 .01915 2.8079 2.8849 2.61 3.21
Rs.8001 - Rs.10000
32 2.8337 .14840 .02623 2.7802 2.8872 2.61 3.11
Above Rs.10000
19 2.9267 .16430 .03769 2.8475 3.0059 2.61 3.29
Total 200 2.8661 .15172 .01073 2.8449 2.8872 2.50 3.36
ANOVA Avg. Agree
Sum of Squares df Mean Square F Sig.
Between Groups .190 4 .047 2.104 .082
Within Groups 4.391 195 .023
Total 4.581 199
129
MEANS PLOTS
INTERPRETATION:
The table shows the analysis of variance between monthly income of the
respondents and overall responses on retention factors. The ANOVA result
confirms that there is no significant difference of opinion found among the
respondents. It is understood from the chart that Rs.4001-Rs.6000 and above
Rs.10000 staffs/employees are found high retention.
It is concluded that Rs.4001-Rs.6000 and above Rs.10000 staffs/employees are
found high retention.
130
TABLE 4.7.6 SHOWS THE ANALYSIS OF VARIANCE BETWEEN
TYPE OF EMPLOYMENT OF THE RESPONDENTS AND
OVERALL RESPONSES ON RETENTION FACTORS.
Descriptives Avg. Agree
N MeanStd.
DeviationStd.
Error
95% Confidence Interval for Mean
Minimum MaximumLower Bound
Upper Bound
Permanent 50 2.8729 .14965 .02116 2.8303 2.9154 2.61 3.21
Contract 103 2.8762 .14707 .01449 2.8475 2.9050 2.61 3.36
Temporary 47 2.8366 .16311 .02379 2.7887 2.8845 2.50 3.29
Total 200 2.8661 .15172 .01073 2.8449 2.8872 2.50 3.36
ANOVA Avg. Agree
Sum of Squares df Mean Square F Sig.
Between Groups .054 2 .027 1.167 .313
Within Groups 4.527 197 .023
Total 4.581 199
131
MEANS PLOTS
INTERPRETATION:
The table shows the analysis of variance between type of employment of the
respondents and overall responses on retention factors. The ANOVA result
confirms that there is no significant difference of opinion found among the
respondents. It is understood from the chart that permanent and contract
staffs/employees are found high retention.
It is concluded that permanent and contract staffs/employees are found high
retention.
132
TABLE 4.7.7 SHOWS THE ANALYSIS OF VARIANCE BETWEEN TYPE
OF GENDER OF THE RESPONDENTS AND OVERALL RESPONSES ON
RETENTION FACTORS
Descriptives Avg. Agree
N MeanStd.
DeviationStd.
Error
95% Confidence Interval for Mean
Minimum MaximumLower Bound
Upper Bound
Male 74 2.8678 .15080 .01753 2.8328 2.9027 2.61 3.36
Female 126 2.8651 .15286 .01362 2.8381 2.8920 2.50 3.29
Total 200 2.8661 .15172 .01073 2.8449 2.8872 2.50 3.36
ANOVA Avg. Agree
Sum of Squares df Mean Square F Sig.
Between Groups .000 1 .000 .014 .904
Within Groups 4.581 198 .023
Total 4.581 199
133
MEANS PLOTS
INTERPRETATION:
The table shows the analysis of variance between type of gender of the
respondents and overall responses on retention factors. The ANOVA result
confirms that there is no significant difference of opinion found among the
respondents. It is understood from the chart that male staffs/employees are found
high retention.
It is concluded that male staffs/employees are found high retention.
134
CHAPTER – V
5.1 - FINDINGS
Findings are the result of the data analyzed for the purpose of study “Employee
Retention Technique” at Esstee exports, Tirupur.
Majority of the respondents are female.
Majority of the respondents are 40 – 50 yrs age group.
Most of the respondents belong to labor category.
Most of the respondent belongs to SSLC/ITI.
Majority of the respondent has 6-8 years of experience.
Majority of the respondents are getting monthly salary of Rs.40001- Rs.6000.
Majority of the respondents are belongs to contract category.
Majority of the respondents are disagree with job secured.
Most of the respondents revealed no availed of any loan.
Most of the respondents response was availed of personal loan.
Majority of the respondents are highly satisfied with their welfare satisfaction.
Majority of the respondents can able to manage the present job responsibility.
Majority of the respondents revealed that there is no conflict and confusion
between the employees.
Majority of the respondents gave neutral opinion about the verbal and non-verbal
communication between the employees.
Majority of the respondents are satisfied with the grievance handling of the
machinery.
135
Majority of the respondents are neutral with the effective feedback to employee.
Majority of the respondents gave neutral opinion about open to constructive
criticism.
Most of the respondents are dissatisfied with the effective cooperation among
employees.
Most of the employees are agree that they are getting good compensation from the
organization
The organization working environment factors need to be improved to get the best
result.
As a whole the employees are happy with the personal development of the
organization.
The organizational culture factor should be improved for getting the good result.
The management should take more steps to provide job satisfaction to its
employees.
The personal factors have no significant influence on comfort regarding present
job responsibility.
The personal factors have no significant influence on effective feedback to
employees.
The personal factors have no significant influence on cooperation among
employee in the organization.
Among the retention factors considered for this study working environment has
found significant relationship with job satisfaction.
136
The working environment has contributed high retention (30.529%) ratio than
other factors considered for the study.
Flexible management is the most preferable criteria for this organization.
The working environment are disagreed by the respondents
Majority of the respondents are neutrally agreed factors considered in the
personnel development.
Majority of the respondents are neutrally agreed with organization culture factors.
Majority of the respondents are neutrally satisfied with the factors considered for
job satisfaction.
It found that 20-30 years age group and 40 – 50 years age group of the
respondents are found high retention.
It found that labor, supervisor and others designated employees are found high
retention.
Post graduate staffs/employees are found high retention.
It found that above 8 years staffs/employees has high retention than other type of
employees.
It found that Rs.4001-Rs.6000 and above Rs.10000 staffs/employees are found
high retention.
It found that permanent and contract staffs/employees have high retention.
It found that male staffs/employees have high retention.
137
5.2 - SUGGESTIONS
After analyzing the various factors relating to retain employees in the
organization, it is observed there is still scope for improvement. Keeping this view
in mind the following suggestions are made so that all the employees of the
organization feel satisfied without exception.
JOB SATISFACTION
Comfort in work place.
The management can explain to the staff members the various
measures taken by them to keep them comfortable in their job.
Resources provided.
The company must make all employees aware of the adequate
support that they provide to exercise their opinion without fear or favor and that
the company has got necessary resources and talents to meet with the
requirements of all the employees.
Efficiency of the employees
It is suggested to provide more financial and non financial
incentives to enhance the efficiency of employees
Balance work and life.
Enable employees to balance work and life. Allow flexible starting times,
core business hours and flexible ending times.
138
ORGANIZATIONAL CULTURE
Work culture.
The management has to take steps to create awareness among the
cross section of employees who have remained neutral and disagreed about the
work culture prevailing in the organization and the scope for improvement of their
status.
Communication.
Communication system should be made effective among the employees.
MOTIVATION
Staff welfare.
The company must explain the various welfare measures introduced
by them for the benefits of the employees and introduce new welfare schemes like
group insurance, concession for travel etc to make them feel at home.
Services.
Services like recreational facilities help the employees to unwind and kill stress.
Idea.
The suggestions from employees to improve productivity, change work
culture are welcomed. It is made mandatory that each suggestion if not
implemented must at least be acknowledged.
139
Decision making.
Involve employees in decision that affect their jobs and the overall
direction of the company whenever possible.
Celebrate success.
Recognize and celebrate success. Mark their passage as important goals
are achieved.
Job stress.
Job rotation can be introduced to reduce the monotony of employees working in
the same department.
Performance appraisal .
The performance appraisal system and procedure needs to be explained
to the staff members and suggestions may be taken from them for further
improvement.
Adoption of new technologies.
Looking into future, company should adopt new technologies from the
reliable sources to retain talented employees.
140
5.3 – CONCLUSION
The project titled “EMPLOYEE RETENTION TECHNIQUE” refers to
policies and practices use to prevent valuable employees from leaving their jobs.
The project was done at ESSTEE Exports to learn the extent to which employees
are satisfied with the practice prevailing in the organization to retain the
employees.
In these changing time both the employee and employer are under
tremendous pressure to perform. This new liberalized cutting edge technology
driven environment has made employee retention mind- boggling. The fast pacing
change across the globe has made the new employee and employer relation
irreversible.
This project emphasis the need to understand employee’s opinion on the facilities
and to find out the reason of employee satisfaction. After analyzing the
organizational factors in Esstee exports we have come to the conclusion that
employees by and large have expressed their satisfaction as per the various
parameters set out by in the questionnaire.
The organization has to take care of the few employees who have
expressed their dissatisfaction, counsel them in the right direction.
The study suggests the strategies that are required to retain talented
employees in the organization.
141
BIBLIOGRAPHY
BOOKS
C.R. Kothari’s, Research Methodology – Methods and Techniques, K.K. Gupta
for New Age International Private Limited, New Delhi, 2000, p. 3.
Roger E Herman, Keeping Good People, LAN Bevan publishers, London 2000,
pp.23-44.
Nancy.s.ahlrichs, Competing For Talents, Routledge Publishers, London, 2004,
pp 3-16.
V.P.S.Rao,”Human Resource Management”, Volume 2, 2006.
S.P.Gupta,”Statistical Methods” Sultan Chand and sons publishers, 26th Edition.
LINKS
EMPLOYEE MOTIVATION AND RETENTION
Employee_Motivation_Recognition_Rewards_Retention.htm
EMPLOYEE TURNOVER AND RETENTION
http://employeeretention.com/
EMPLOYEE RETENTION STRATEGIES
www.employeeretentionstrategies.com/ - 11k -
HOW TO RETAIN EMPLOYEES
www.humanresources.about.com/od/retention/a/more_retention.htm - 29k
ABOUT TEXTILE INDUSTRY
142
http://en.wikipedia.org/wiki/Textile_industry
WEBSITES
www.yahoo.com
www.google.com
www.tirupur exporter’s association.com
A STUDY ON EMPLOYEE RETENTION TECHNIQUE AT ESSTEE EXPORTS,
TIRUPUR
QUESTIONNAIRE
143
1. Name _______________________________________
2. Gender
Male Female
3. Age
20 – 30 years 30 – 40 years 40 – 50 years
Above 50 years
4. Designation
Labour Supervisor Clerical
Administrative Others
5. Educational Qualification
SSLC/ITI HSC/Diploma Graduate
Post Graduate Uneducated
6. Work Experience
0 – 2 years 2 – 4 years 4 – 6 years
6 – 8 years Above 8 years
7. Monthly Income
Rs.2000 – Rs.4000 Rs.4001 – Rs.6000 Rs.6001 – Rs.8000
Rs.8001 – Rs.10000 Above Rs.10000
8. Type of Employment
144
Permanent Employee Contract Employee Temporary Employee
9. Do you feel the present job is secured with the organization?
Strongly Agree Agree May not know
Disagree Strongly Disagree
10. Have you availed any loan from your organization?
Yes No
11. If yes, please mention the type of loan you availed
Personal Loan Vehicle Loan
12. Are you satisfied with employee welfare measures followed by the organization?
Highly Satisfied Satisfied Neutral
Dissatisfied Highly Dissatisfied
13. How do you feel about present job responsibility?
Well suitable for me I can able to manage Need assistance
Can’t able to manage
14. There is no conflict and confusion caused by misunderstandings
Strongly Agree Agree Neutral
Disagree Strongly Disagree
15. Verbal and non-verbal communication is effectively used in organization
Strongly Agree Agree Neutral
Disagree Strongly Disagree
145
16. There is an effective grievances handling mechanism
Strongly Agree Agree Neutral
Disagree Strongly Disagree
17. Management gives effective feedback to employees
Strongly Agree Agree Neutral
Disagree Strongly Disagree
18. Employees are open to constructive criticism
Strongly Agree Agree Neutral
Disagree Strongly Disagree
19. Effective cooperation among employee in the organization
Strongly Agree Agree Neutral
Disagree Strongly Disagree
20. Please rank your preference of the organization
ORGANIZATION PREFERENCE RANK
Good Compensation
Flexible Management
Adequate Facilities
Employee Welfare
Job Stress
146
21. Specify your level of agreeability towards work environment.
SA – Strongly Agree, A – Agree, N – Neutral, D – Disagree, SDA – Strongly Disagree
A. WORKING ENVIRONMENT SA A N D SD
1. Working environment is pleasant in the department
2. Satisfied with the infrastructure provided by the company
3. Interpersonal relationship between the colleagues is satisfactory
4. Interpersonal relationship between the superiors is satisfactory
5. Cleanliness of the work environment is satisfactory
6. Adequate rest room facility
7. Safety warning & procedures maintained by company is
satisfactory
22. Specify your level of agreeability towards personnel development.
SA – Strongly Agree, A – Agree, N – Neutral, D – Disagree, SDA – Strongly Disagree
B. PERSONNEL DEVELOPMENT SA A N D SD
1. Working experience provided by the company improves my
ability
2. My experience in particular field has been utilized by the
company
3. Company recognizes individual interest & potentialities
4. Promotion process adopted by the company is satisfactory
5. Training provided by company is more effective
147
6. The company provides opportunity for my career development
7. Satisfied with the recruitment process
23. Specify your level of agreeability towards organizational culture.
SA – Strongly Agree, A – Agree, N – Neutral, D – Disagree, SDA – Strongly Disagree
C. ORGANIZATIONAL CULTURE SA A N D SD
1. Implying equal opportunities & rights for all human beings
2. Handling grievance process is satisfactory
3. Social security measures provided by the company is
satisfactory
4. Sufficient attention given to cultural diversity
5. Dynamics of ethnic and religious conflict handling is
satisfactory
6. Promoting harmonious interaction &solidarity at all levels of
society
7. Welfare facilities given by the company is satisfactory
24. Specify your level of agreeability towards work environment.
SA – Strongly Agree, A – Agree, N – Neutral, D – Disagree, SDA – Strongly Disagree
D. JOB SATISFACTION SA A N D SD
1. Compensation provided by the company is satisfactory
2. Satisfied with working hours
3. Satisfied with stress level in job
4. Transportation facilities provided by the company is satisfactory
5. Satisfied with the leave facilities provided by the company
148
6. Canteen facilities in the company is satisfactory
7. Loan facilities provided by the company is satisfactory
25. Your suggestions
________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
Thanks for your co-operation.
149
150