RETENTION OF HUMAN CAPITAL: A MAJOR CHALLENGE TO ORGANIZATIONS

Presented by, Duraikathirvelan.J

EMPLOYEE RETENTION
Employee retention is a process in which the employees are encouraged to remain with the organization for a maximum period of time or until the completion to the project .

Effects of Retention: 1.The cost of turnover 2. Loss of company knowledge 3. Interrupting Customer Service 4. Turn over leads to more turn over

5. Goodwill of the company

6. Regaining Efficiency

WHY PEOPLE LEAVE ?

1. Job is not what an employee expected it to be 2. Job person mismatch 3. No growth opportunities

4. Lack of appreciation
5. Lack of trust in co-workers, seniors and management

6. Stress, overwork and work life imbalance

7. Compensation

health Related Reasons Perceptions of discriminatory Treatment Childcare Issues Relationship with Co-workers Job Security Fears Retirement Returning to School Relocating Partner Poor Management Benefit Pakages Career Opportunities Elsewhere
0% 10% 20% 30% 40% 50% 60% 70% 80% 90%

Most common reasons employees voluntarily leave [source: Robert L. Mathis and John H. Jackson, 2004].

STATEGIES INVOLVED

1. Undifferentiated Collars : Fair treatment at all levels

Cognizant Technology Solutions Skip level meetings Marriot International 2. Rewards and Recognition: Ask each employee what will be more rewarding to them MAD tree concept : RMSI 3. Growth:

a. Personal Growths and dreams

b. Training and Development

Allsec Technologies Solutions ,Chennai

4. Performance and compensation: Birla Sun life Insurance (BSI)- incentive packages
5. Treating ordinary thing extraordinarily-Going the extra mile:

Cadbury India - Smile Power day

At Texas Instruments -encourages rehiring S.T Microelectronics - Thank you for bearing with us

Elli Lillys - diamond pendant

BEST PRACTICES

1. Transparent Work Culture

2. Supporting employees 3. Feedback 4. Responsibility with more Flexibility Adobe 5. Stress busters Concept of serious fun Google -football game, ping pong table, bicycles, large rubber exercise balls etc. Cognizant Technologies Solutions -Friday fun events

Companies that are good to work in stick to these basics

Hiring through referrals. Happy employees will only refer those who fit the company needs.
Being a centre for learning. Providing extensive training including using internal specialists. Offering cross-functional growth opportunities. Growth is no longer in a department silo. Always completing the feedback workplaces correct the wrongs. loop. Great

Not leaving flanks open to talent outage. They Make concrete succession plans. Building empowerment into systems. No amount of training can ensure this. Ensuring fun. Impromptu parties, family outings, etc. for staffers create profitable companies.

The seven commandments [source: Pallavi Roy,2007)

CONCLUSION
Human Capital Is Our Greatest Asset- practice what you preach Market membership as much as one markets products and sources perhaps more. Employee retention would require lot of efforts, energy, resources but the results are worth it.

THANK YOU