seminar ret

8/8/2019 Seminar Ret

http://slidepdf.com/reader/full/seminar-ret 1/27

EMPLOYEE RETENTION

Employee retention is a process in which

the employees are encouraged to remainwith the organization for the maximumperiod of time or until the completion of theproject. Employee retention is beneficial for

the organization as well as the employee.



Retention involves

Compensation

Growth

Support

Relationship

Environment



COMPENSATION

Compensation constitutes thelargest part of the employee retention process. Theemployees always have high expectations

regarding their compensation packages.Compensation packages vary from industry toindustry. So an attractive compensation packageplays a critical role in retaining the employees.



SALARY & MONTHLY WAGES

Basic wage

House rent allowance

Dearness allowance

City compensatory allowanceBonus

Economic benefits

Long-term incentivesHealth insurance

Miscellaneous compensation



Growth and Career

Growth and development are the integral part of

every individual¶s career. If an employee can not foresee his path of career

development in his current organization, there are chances that he¶ll leave theorganization as soon as he gets an opportunity. The important factors in

employee growth that an employee looks for himself are:



a) Work profile

b) Personal growth and dreams

c) Training and development

Training and development

Communications skills

Technical skills

In-house processes and procedures improvement relatedskills

C or customer satisfaction related skills

Special project related skills

Need for such trainings can be recognized from individualperformance reviews, individual meetings, employeesatisfaction surveys and by being in constant touch withthe employees.



Support Support

Employers canalso support their employees by creating an environmentof trust and inculcating the organizational values intoemployees. Thus employers can support their employeesin a number of ways as follows

· By providing feedback

· By giving recognition and rewards · By counselling them

· By providing emotional support



Relationship

A supportive work culture helps grow

employee professionally and boosts

employee satisfaction. To enhance good

professional relationships at work, the

management should keep the following

points in mind.



Respect for the individual

Relationship with the immediate manager

Relationship with colleagues

Recruit whole heartedly

Promote an employee based culture

Individual development

Induce loyalty



Organization Environment

It is not about managing retention. It is about managing people. If an

organization manages people well, employee retention will take care of itself.

Organizations should focus on managing the work environment to make better use of the available human assets.

People want to work for an organization which provides



Appreciation for the work done

Ample opportunities to grow

A friendly and cooperative environment

A feeling that the organization is secondhome to the employee



Organization environment includes

Culture

Values

Company reputation

Quality of people in the organization

Employee development and career growth

Risk taking

Leading technologies

Trust



Types of environment the employee

needs in an organization Learning environment

Support environment- Organization can provide support in the form of work-life balance. Work life balance includes:

y Flexible hours

y Telecommuting

y Dependent care

yAlternate work schedules

y Vacations

y Wellness



IMPORTANCE OF RETENTION

Is it just to reduce the turnover costs?

The process of employee retention will

benefit an organization in the following

ways:



The Cost of Turnover: The cost of employee turnover addshundreds of thousands of money to a company's expenses. While itis difficult to fully calculate the cost of turnover (including hiring

costs, training costs and productivity loss), industry experts oftenquote 25% of the average employee salary as a conservativeestimate.

Loss of Company Knowledge: When an employee leaves, hetakes with him valuable knowledge about the company, customers,current projects and past history (sometimes to competitors). Oftenmuch time and money has been spent on the employee inexpectation of a future return. When the employee leaves, theinvestment is not realized.

Interruption of Customer Service: Customers and clients dobusiness with a company in part because of the people.Relationships are developed that encourage continued sponsorshipof the business. When an employee leaves, the relationships that

employee built for the company are severed, which could lead topotential customer loss.



Turnover leads to more turnovers: When an employee

terminates, the effect is felt throughout the organization.Co-workers are often required to pick up the slack. Theunspoken negativity often intensifies for the remainingstaff.

Goodwill of the company: The goodwill of a company ismaintained when the attrition rates are low. Higher retention rates motivate potential employees to join theorganization.

Regaining efficiency: If an employee resigns, then good

amount of time is lost in hiring a new employee and thentraining him/her and this goes to the loss of the companydirectly which many a times goes unnoticed. And evenafter this you cannot assure us of the same efficiencyfrom the new employee



What makes employees leave

Employees do not leave an organization without any significant reason.There are certain circumstances that lead to their leaving theorganization. The most common reasons can be

Job is not what the employee expected to be

Job and person mismatch

No growth opportunities

Lack of appreciation

Lack of trust and support in co-workers, seniors and management

Stress from overwork and work life imbalance

Compensation

New job offer



Employee Retention Strategies

The basic practices which should be kept in mind in the employee retention strategies are

1. Hire the right people in the first place.

2. Empower the employees: Give the employees the authority to get things done.

3. Make employees realize that they are the most valuable asset of the organization.

4. Have faith in them, trust them and respect them.

5. Provide them information and knowledge.

6. Keep providing them feedback on their performance.

7. Recognize and appreciate their achievements.

8. Keep their morale high.

9. Create an environment where the employees want to work and have fun.



Employee Retention Strategies

The basic practices which should be kept in mind in the

employee retention strategies are:

1. Hire the right people in the first place.

2. Empower the employees: Give the employees the

authority to get things done.

3. Make employees realize that they are the most

valuable asset of the organization.

4. Have faith in them, trust them and respect them.

5. Provide them information and knowledge.

6. Keep providing them feedback on their

performance.

7. Recognize and appreciate their achievements.

8. Keep their morale high.

9. Create an environment where the employees want

to work and have fun.

These practices can be categorized in 3 levels: Low,

medium and high level.

<L

ow> <Medium> <High>



Retention Myths

Employees leave an organization for more pay

Incentives can increase productivity

Employees run away fromresponsibilities

Loyalty is a thing of the past

Taking measures to increase employeesatisfaction will be expensive for theorganizations



( Early responsibilities in career

( Flexible and transparent organizational

culture

( Global opportunities through a variety of

exposure and diverse experiences

( Performance Recognition



( Strong values of trust, caring fairness, andrespect within the organization

( Freedom to operate at work( Early responsibility in career

( Training and learning opportunities

( Visible, transparent and accessible leaders

( Competitive rewards

( Innovative HR programs and practices



( Performance-driven Rewards

( Its belief in ³Growing our own timber´

( Comprehensive development and learningprograms

( Flat organization, where performance couldlead to very quick progression

( Challenging work context

( Competitive rewards

( Exhaustive induction and orientationprogram



( Company brand

( Open , transparent, and caringorganization

( Management according to the managingwith respect to guiding principles

(

Training ad development programs( Structured career planning process

( Global career opportunities



( Company¶s brand as an employer

(

Early opportunities for growth( High degree of autonomy

( Value compatibility

(

Innovative people program



( The group brand equity

( Strong corporate governance andcitizenship

( Commitment to learning anddevelopment

( Best in people practices

( Challenging assignments

( Opportunity to work with fortune 500clients



Thank You

seminar ret

Documents