Professional Documents
Culture Documents
ON
SUBMITTED TO SUBMITTED BY
the course of execution of this study. It would be a mammoth task to place on record my gratitude to
each and every one of them but a whole hearted attempt would be made nevertheless, least I be
branded ungrateful.
I am very thankful Mr. Azharuddin for his valuable guidance and support at all time.
.......................................
CHAPTER I
INTRODUCTION
1.1.1 ATTRITION:
In a human resources context, turnover or labor turnover is the rate at which an employer
gains and losses employees. Simple ways to describe it are "how long employees tend to stay" or "the
rate of traffic through the revolving door." Turnover is measured for individual companies and for
their industry as a whole. If an employer is said to have a high turnover relative to its competitors, it
means that employees of that company have a shorter average tenure than those of other companies
in the same industry. High turnover can be harmful to a company's productivity if skilled workers are
often leaving and the worker population contains a high percentage of novice workers.
This topic proves to be of major concern not only to Big Bazaar but for future group, as a whole. The
attrition rate has been on the rise for the past 5 years in the retail industry and as well in Big Bazaar.
In the year 2007, a study on attrition was conducted in Big Bazaar. This report documented an
average attrition rate of 5% per month. In most cases the employees who left were absconders- who
did not attend the exit interview and follow proper exit policy. Following which the management had
taken action by implementing employee engagement activities. Now, our research would help in
comparing it with the current year’s attrition rate and thereby reduce it by analyzing the reasons
contributing to it. After review of literature and expert’s opinion (store managers of Big Bazaar
Bangalore and their respective HR managers), we have formulated the questionnaire based on these
broad areas.
India retail industry is the largest industry in India, with an employment of around 8% and
contributing to over 10% of the country's GDP. Retail industry in India is expected to rise 25% yearly
being driven by strong income growth, changing patterns.
It is expected that by 2016 modern retail industry in India will be worth US$ 175- 200 billion.
India retail industry is one of the fastest growing industries with revenue expected in 2007 to amount
US$ 320 billion and is increasing at a rate of 5% yearly. A further increase of 7-8% is expected in the
industry of retail in India by growth in consumerism in urban areas, rising incomes, and a steep rise
in rural consumption. It has further been predicted that the retailing industry in India will amount to
US$ 21.5 billion by 2010 from the current size of US$ 7.5 billion.
India retail industry is expanding itself most aggressively; as a result a great demand for real
estate is being created. Indian retailers preferred means of expansion is to expand to other regions and
to increase the number of their outlets in a city. It is expected that by 2010, India may have 600 new
shopping centres. India retail industry is progressing well and for this to continue retailers as well as
the Indian government will have to make a combined effort.
The Indian retail market, which is the fifth largest retail destination globally, has been ranked
as the most attractive emerging market for investment in the retail sector by AT Kearney's eighth
annual Global Retail Development Index (GRDI), in 2009. The share of retail trade in the country's
gross domestic product (GDP) was between 8–10 per cent in 2007. It is currently around 12 per cent,
and is likely to reach 22 per cent by 2010.
A McKinsey report 'The rise of Indian Consumer Market', estimates that the Indian consumer
market is likely to grow four times by 2025. Commercial real estate services company, CB Richard
Ellis' findings state that India's retail market is currently valued at US$ 511 billion. Further, CB
Richard Ellis states that India has moved up to the 39th most preferred retail destination in the world
in 2009, up from 44 last year.
India continues to be among the most attractive countries for global retailers. At US$ 511
billion in 2008, its retail market is larger than ever and drawing both global and local retailers.
Foreign direct investment (FDI) inflows as on July 2009, in single-brand retail trading, stood at
approx. US$ 46.60 million, according to the Department of Industrial Policy and Promotion
(DIPP).The organised retail sector, which currently accounts for around 5 per cent of the Indian retail
market, is all set to witness maximum number of large format malls and branded retail stores in South
India, followed by North, West and the East in the next two years.
Future Group believes in developing strong insights on Indian consumers and building
businesses based on Indian ideas, as espoused in the group’s core value of ‘Indianans.’ The group’s
corporate credo is, ‘Rewrite rules, Retain values.’
Vision:
Future group shall deliver everything, everywhere, every time for every Indian consumer in the most
profitable manner.
Mission:
We share the vision and belief that our customers and stakeholders shall be served only by creating
and executing future scenarios in the consumption space leading to economic development.
We will be trendsetters in evolving delivery formats, creating retail realty, making consumption
affordable for all customer segments for classes and for masses.
Big Bazaar is Indian personification of retail. It’s like an Indian bazaar or mandi or mela, the
environment created by traders to give shoppers a sense of moment. Its personality is of being an
entity away from fancy or pretty and being authentically "no-frills". Kishore Biyani never hired any
foreign consultant for Big Bazaar which is evident from Indian-specific personality of the brand. The
brand’s personality is self-explanatory by its tag-line only. This statement places Big Bazaar at the
top of customer’s mind. It reflects that entrepreneurship and simplicity are the essence of character of
Big Bazaar. To use predatory pricing is not in the personality of Big Bazaar, they never sell goods
below the price they have purchased it. Big Bazaar, the "Indian Wal-Mart", is the modern Indian
family's favorite store. Big Bazaar symbolizes modern retail, the business which isn’t looked up to in
our country, is now in the eyes of many multi-national biggies. Big Bazaar has shown a robust
growth in recent years. There are six department s in Big Bazaar dealing with the following products
1. Food Bazaar:
As this department is the soul of the store, Big Bazaar has several categories within this department
itself. This department has a surface area of 7500 square feet. This department is further divided into:
Non-food
Staples
Food
Fruits and vegetables
2. General Merchandize:
This department is further divided into Home and Fashions. The Home section has two major
sections Plastics and Crockery(PC) amount to one section and Utensils(U) and New Business
Development(NBD) form the other major part. The New Business Development section have items
that are more affluent in nature and are part of Kishore Biyani’s “India One” customer segment. This
section sells luxury products like watches, sunglasses, auto accessories etcetera. The ‘Fashions’(F)
much smaller in comparison with the others and can be handled by the Team leader. This department
As the people are the heart of the organization, it is of paramount importance that manpower is
adequate at all times. Therefore calculation of manpower required is most important. Manpower
required to man the entire operation of the store is dependant on the square feet of the store available.
Manpower requirement= Total area (square feet)/ Area covered by one employee (square feet)
Food Bazaar
In the case of Food Bazaar, by means of this calculation the HR department has employed 16
personnel to man its floor space. Due to problems with absenteeism, the HR department has foreseen
this and has a policy of maintaining a buffer of 15% .Therefore they ideally should have a manpower
capacity of about 80 to 85% per day. But, they have been able to manage with 70 to 80% attendance.
The employees are allowed to have their days off only during the weekdays.
store on the following criteria such as – on-time arrival, discipline, grooming, customer satisfaction
and the like. They also identify The Best Support team.
Big Bazaar has a Fun Zone team, comprising of four employees- that coordinate events such as
promotional events as well as employee fun events. The time that I had interned (Nov 2 nd to Nov 27th,
2009), there was a 2 day program exclusively for the entertainment of the employees.
Big Bazaar has also empowers their employees into giving their suggestions to improve the company.
They have a tram called Prerna which takes care of the suggestions. This team comprises of two
employees. The problems are put on paper in a suggestion box and are discussed on a Saturday, then
filed and action taken. For eg: A problem with the parking facilities of the employees were taken care
of by this means.
The budget for this endeavour comes under the welfare scheme and comes to an average of Rs.
Power distance:
From my personal experience at Big Bazaar (Coimbatore) I have come to the conclusion that
the employees are treated quite fairly. The sub-ordinates are free to meet their immediate reporting
officers- which show that the employee-boss distance is quite non-existent. This was seen when an
office problem involving three employees from a marketing department - a team member, Team
Leader and the department head, had a mis-understanding they were able to solve it. The problem
was brought to the notice of the HR manager, who then was able to resolve the conflict. The problem
solved after due time when the matter at hand was sorted out and further clarifications on future
dealings with similar concerns were given by the department head and the HR manager.
Big bazaar conducts Mr. and Miss Perfect – a program that identifies the best employees in the local
store on the following criteria such as – on-time arrival, discipline, grooming, customer satisfaction
and the like. They also identify The Best Support team.
Big Bazaar has a Fun Zone team, comprising of four employees- that coordinate events such as
promotional events as well as employee fun events. The time that I had interned (Nov 2 nd to Nov 27th,
2009), there was a 2 day program exclusively for the entertainment of the employees.
Big Bazaar has also empowers their employees into giving their suggestions to improve the company.
They have a tram called Prerna which takes care of the suggestions. This team comprises of two
employees. The problems are put on paper in a suggestion box and are discussed on a Saturday, then
filed and action taken. For eg: A problem with the parking facilities of the employees were taken care
of by this means.
The budget for this endeavour comes under the welfare scheme and comes to an average of Rs.
The below mentioned employee engagement activities have been in existence for the past 1 year or
more. With the exception of the weekly magazine – The Ladder ( which consists of information about
the weekly fun events, those employees who have reached their targets, the “newbies” in Big bazaar,
the birthdates of the employees for the week, success stories) which has been in existence since
January 2010.
In the case of Food Bazaar, by means of this calculation the HR department has employed 16
personnel to man its floor space. Due to problems with absenteeism, the HR department has foreseen
this and has a policy of maintaining a buffer of 15% .Therefore they ideally should have a manpower
capacity of about 80 to 85% per day. But, they have been able to manage with 70 to 80% attendance.
The employees are allowed to have their days off only during the weekdays.
Fig 1.2. Organizational Structure Hierarchy of Operation Department
In all companies that are hierarchical in nature, the decision making flows as per the channel
To find the attrition rate for the current year at BIG BAZAAR, Bangalore.
To attract more number of new employees and find ways to sustain them in the company.
Bazaar, Bangalore. To check the level of satisfaction and communication among Big Bazaar staff and
The research had several limitations in the data collection phase since left employees were taken as
Since the questionnaire involved the collection of responses from the assistant department managers
and leaders on the reasons of their subordinates exit, the reliability of this research was less as it
information might reach their superiors. However on promising their confidentiality of their views
Some of the respondents felt difficult in comprehending the questionnaire especially those related to
ordinal scale, which involved ranking factors as per the importance. Thereby, it had to be reworked
As the figures and data of attrition, given by the company involved staff transfers within the internal
departments, the list had to be re-checked and worked with the store HR.
Since the HR manger of one of the branches had just five months experience, he had difficulty in
collecting the past records viz. as the headcount of various departments in different months.
CHAPTER-3
One of the major problems of the retail industry as well as for this company is the growing attrition.
This research project has arisen as a consequence of growing concern within the company regarding
manpower retention and turnover. This research was mainly focused on the three major centers of
Bangalore were attrition was of a greater concern with respect to the employee management process.
The topic is not new in the retail area as well as in the other industries today. However, there is a real
need to conduct this research in the organization because attrition among the floor staffs is acute in
the plant. Our research focuses on identifying the various factors contributing to attrition so that
attention can be given them. Since the industry requires the need of staffs viz. salesmen, cashiers,
marketers, maintenance personnel, etc. and since the organization is undergoing expansion, the need
for stabilizing the manpower is quite high and consequently the need for a research in this area is
even higher.
Costs
When accounting for the costs (both real costs, such as time taken to select and recruit a replacement,
and also opportunity costs, such as lost productivity), the cost of employee turnover to for-profit
organizations has been estimated to be up to 150% of the employees' remuneration package. There
are both direct and indirect costs. Direct costs relate to the leaving costs, replacement costs and
transitions costs, and indirect costs relate to the loss of production, reduced performance levels,
Like recruitment, turnover can be classified as 'internal' or 'external'.[3] Internal turnover involves
employees leaving their current positions and taking new positions within the same organization.
Both positive (such as increased morale from the change of task and supervisor) and negative (such
as project/relational disruption, or the Peter Principle) effects of internal turnover exist, and therefore,
it may be equally important to monitor this form of turnover as it is to monitor its external
counterpart. Internal turnover might be moderated and controlled by typical HR mechanisms, such as
Unskilled positions often have high turnover, and employees can generally be replaced without the
organization or business incurring any loss of performance. The ease of replacing these employees
provides little incentive to employers to offer generous employment contracts; conversely, contracts
may strongly favour the employer and lead to increased turnover as employees seek, and eventually
However, high turnover rates of skilled professionals can pose as a risk to the business or
organization, due to the human capital (such as skills, training, and knowledge) lost. Notably, given
the natural specialization of skilled professionals, these employees are likely to be re-employed
within the same industry by a competitor.[citation needed] Therefore, turnover of these individuals
incurs both replacement costs to the organization, as well as resulting in a competitive disadvantage
to the business.
Voluntary vs. involuntary turnover
Practitioners can differentiate between instances of voluntary turnover, initiated at the choice of the
employee, and those involuntary instances where the employee has no choice in their termination
Typically, the characteristics of employees who engage in involuntary turnover are no different from
job stayers. However, voluntary turnover can be predicted (and in turn, controlled) by the construct of
turnover intent.
High turnover often means that employees are unhappy with the work or compensation, but it can
also indicate unsafe or unhealthy conditions, or that too few employees give satisfactory performance
(due to unrealistic expectations or poor candidate screening). The lack of career opportunities and
challenges, dissatisfaction with the job-scope or conflict with the management has been cited as
Low turnover indicates that none of the above is true: employees are satisfied, healthy and safe, and
their performance is satisfactory to the employer. However, the predictors of low turnover may
sometimes differ than those of high turnover. Aside from the fore-mentioned career opportunities,
salary, corporate culture, management's recognition, and a comfortable workplace seem to impact
Abstract: This report stated that the increasing difficulties in retaining skilled, effective workers
amounted to a looming crisis within the industry, and called for the development of effective
workforce retention strategies within the meat processing industry. It says selection should be based
Links: Links refer to the formal or informal connections people have, both on and off the job. The
higher the number of links, the more likely an employee will feel attached to the organization and
community to which they belong, and the less likely it is that they will consider leaving.
Fit: Fit is defined as a person’s perceived compatibility or comfort with an organization and with his
work. The better the fit and the comfort with the community, the higher the likelihood that an
Sacrifice: Sacrifice is defined as the perceived cost of material or psychological benefits that may be
forfeited by leaving one’s job. The more sacrifice has to be made, the more difficult it is for an
2) Allen N.J. & Meyer J.P (1990), ‘The measurement and antecedents of affective, continuance
Abstract: Allen & Meyer investigated the nature of the link between turnover and the three
attachment to, identification with and involvement in the organization; continuance commitment
refers to commitment base on costs that employees associate with leaving the organization; and
normative commitment refers to employees’ feelings of obligation to remain with the organization.
Put simply, employees with strong affective commitment stay with an organization because they
want, those with strong continuance commitment stay because they need to, and those with strong
normative commitment stay because they feel they ought to. Allen and Meyer’s study indicated that
all three components of commitment were a negative indicator of turnover. In general, most research
has found affective commitment to be the most decisive variable linked to turnover.
3) Tang T.L.P., Kim J. W. & Tang D.S.H (2000), ‘Does attitude toward money moderate the
Abstract: The examined the relationship between attitudes towards money, intrinsic job satisfaction
and voluntary turnover. One of the main findings of this study is that voluntary turnover is high
among employees who value money (high money ethic endorsement), regardless of their intrinsic job
satisfaction. However, those who do not value money highly but who have also have low intrinsic job
satisfaction tended to have the lowest actual turnover. Furthermore, employees with high intrinsic job
satisfaction and who put a low value on money also had significantly higher turnover than this
second group. The researchers also found that placing a high value of money predicted actual
turnover but that withdrawal cognitions (i.e. thinking about leaving) did not.
Abstract: Chang examined the relationship between career commitment, organizational commitment
and turnover intention among Korean researchers and found that the role of career commitment was
stronger in predicting turnover intentions. When individuals are committed to the organisation they
are less willing to leave the company. This was found to be stronger for those highly committed to
their careers. The author also found that employees with low career and organisational commitment
had the highest turnover intentions because they did not care either about the company or their
current careers.
Individuals with high career commitment and low organisational commitment also tend to leave
because they do not believe that the organisation can satisfy their career needs or goals. This is
consistent with previous research that high career committers consider leaving the company if
development opportunities are not provided by the organisation. However, this group is not apt to
leave and is likely to contribute to the company if their organisational commitment is increased.
Chang found that individuals become affectively committed to the organisation when they perceive
that the organisation is pursuing internal promotion opportunities, providing proper training and that
5) Morrell K.M., Loan-Clarke J. & Wilkinson J (2004), ‘Organizational change and employee
turnover’
Abstract: Lee & Mitchell’s ‘unfolding model’ of employee turnover represented a significant
departure from the previous labour market- and psychological-oriented turnover literature. This
model is based on the premise that people leave organisations in very different ways and it outlines
four decision pathways describing different kinds of decisions to quit. A notable feature of the
unfolding model is its emphasis on an event or ‘shock’ (positive or negative) that prompts some
decisions to quit.
Morrell et al tested the unfolding model by studying the voluntary turnover of nurses in the UK.
Their findings indicated that shocks play a role in many cases where people decide to leave.
Furthermore, they found that shocks not only prompted initial thoughts about quitting but also
typically had a substantial influence over the final leaving decision. They also noted that decisions to
quit prompted by a shock are typically more avoidable. The authors suggest that their research
illustrates the importance for managers of understanding avoidability i.e. the extent to which turnover
Abstract: Martin (2003) looked at the effect of unions on labour turnover and found clear evidence
that unionism is associated with lower turnover. He suggested that lower turnover is a result of the
ability of unions to secure better working conditions thus increasing the attractiveness for workers of
staying in their current job. According to Martin, the relationship between lower turnover and
unionisation has been well established by researchers using both industry-level and individual data.
7) Kirshenbaum A. & Weisberg J. (2002), ‘Employee’s turnover intentions and job destination
choices’
Abstract: This study of 477 employees in 15 firms examined employees’ job destination choices as
part of the turnover process. One of their main findings was that co-workers’ intentions have a major
significant impact on all destination options - the more positive the perception of their co-workers
desire to leave, the more employees themselves wanted to leave. The researchers suggest that a
feeling about co-workers’ intentions to change jobs or workplace acts as a form of social pressure or
retention difficulties are caused by internal or external factors. While the role of labour market
conditions in causing turnover may preclude the use of targeted human resource strategies, this
information may be useful in analysing to what extent turnover is due to outside factors. However,
although tight labour markets affect an employer’s ability to attract and retain staff, looking outwards
at the local labour market cannot be a substitute for understanding what is going on within the
organization.
9) Chartered Institute of Personnel and Development (2004), Fact sheet on employee turnover
and retention.
Abstract: Where new employees leave after a short period in the job, poor recruitment and selection
decisions both on the part of the employer and employee are usually the cause, along with poorly
designed or non-existent induction programs (CIPD, 2004). If expectations are raised too high during
the recruitment process this can result in people accepting jobs for which they may be unsuited.
Organizations often do this to ensure that they fill their vacancies with sufficient numbers of well-
qualified people as quickly as possible. However, this can be counterproductive over the longer-term,
as it can lead to costly avoidable turnover and to the development of a poor reputation in local labour
markets. The CIPD (2004) suggests that employers give employees a realistic job preview at the
recruitment stage and take care not to raise expectations. It may also be useful to invite applicants to
10) Miles M. Finney & Janet E. Kohlhase (2008), The effect of urbanization on labor turnover.
Abstract: The paper empirically examines labor market matching as a source of urban agglomeration
economies. We work from the hypothesis that job turnover leads to tighter labor matches and
estimate the relationship between urbanization and the job mobility of young men. Using a panel
from the National Longitudinal Survey of Youth, we find evidence that young men change jobs more
frequently in their early career if they live in larger or in more educated urban areas. The sensitivity
of the results to whether the young men were “movers” or “stayers” suggests the possible
endogeneity of location.
11) Tae Heon Lee et al(2008), Understanding Voluntary Turnover: Path-Specific Job
explored a paradigmatic shift in turnover research. Using a large national sample, we found we could
more successfully model voluntary turnover by recognizing that job (dis)satisfaction and ease of
movement importance depend on the group of leavers being studied. For example, ongoing job
satisfaction had smaller effects for turnover driven by certain shocks (unsolicited job offers and
family-related reasons), which accounted for 40 percent of all quits. Moreover, the prevalence of
unsolicited job offers may necessitate rethinking the role of ease of movement in turnover decisions.
12) B. Ramaseshan (1998), Retail employee turnover: Effects of realistic job information and
interviewer affect.
Abstract
In contrast to the majority of studies relating to employee turnover reported in the marketing
literature in general and retailing in particular, which have essentially been from the point of view of
the organization selecting a person for a retail position, this study is an attempt to understand retail
employee turnover from the perspective of an individual applicant selecting an organization. The
study is aimed at providing insights into the effects that realistic job information and interviewer
credibility may have on the retail firm's capacity to retain its employees. The important conclusion
suggested by this study is that accurate, relevant and detailed job information play a significant role
in reducing retail employees' decision to leave the job. The findings of the study also suggest that
general interviewer affect by itself does not contribute to reducing retail employees' decision to quit
the job. Implications for retail management would seem to be that greater attention must be given to
providing realistic information concerning the retail job to potential recruits, rather than attempting to
gloss over the less attractive attributes of the employment. If this is done, good recruits might be less
likely to leave, and those who should not have been attracted to the position in the first place, will be
RESEARCH METHODOLOGY
The research design used in this project is the descriptive research design.
The data collected is divided into two namely primary data and secondary data. The method and
PRIMARY DATA:
The primary data collection is the gathering of responses from the staffs which was done by
SECONDARY DATA:
The secondary data is the information collected from the company’s official web sites, books and HR
Questionnaire:
The Questionnaire is prepared in an organized and thorough manner and reframed accordingly after
considering all the required aspects of the attrition analysis, using last year’s data. The scale ranges
The factors which were taken into consideration for the attrition analysis survey are as follows;
Employee morale
Career growth
Work Environment
Communication
Company Policies
Training
Communication
Overall satisfaction of the company
4. 3.1 Population:
Population taken for the study is the Assistant Department Managers (ADM)s and team leaders of
Big Bazaar.
Since the company required responses from all the ADMs and team leaders, the sample size for
After data collection, statistical tools are used for analyzing the data and results are obtained. From
the obtained results, findings and suggestions can be done. The statistical tools used in this project for
analysis are:
CHAPTER-5
The preliminary analysis comprises of analysis of attrition from secondary data which was obtained
from the SAP database, which was then classified based on three factors:
1. Last 3 months attrition analysis(Dec’09 to Feb’10)- an indicator of infant attrition, a predictor of
improper implementation of recruitment practises and maybe external factors such as improvement
Attrition formula:
4.2present+newly joined))/100
ATTRITION RATE ANALYSIS
Inference:
From the above calculation we have determined that the current monthly attrition rate is 4. 32%, this
Chart 5.1.2: Monthly Attrition analysis at Big Bazaar at the Jayanagar unit
Inference:
From the above calculation we have determined that the current monthly attrition rate is 8.02%, this
amount to approximately 96% annually. This is very high for the retail sector and thus the study is
Inference:
Th attrition rate for Putenhalli unit is 5.48% . From the trend we can see that attrition is on a decline.
But this is inconclusive as more data from ensuing months are required.Since this store was
The in-depth analysis of attrition was done by means of questionnaire and interview.The factors
Conceptual Framework:
The sample population of Big Bazaar were given the questionnaire; they were then required to fill it
after due consideration from their sub-ordinates and according to their experience in the matter
not the nature of external environment, or organizational technology, or organizational structure, are
Thus the questionnaire was framed to include such parameters such as employee morale, career
growth, work environment, communication, company policies, training and compensation. The above
mentioned factors were framed in the 5 point interval scale. According to literature review “People
leave the organization because of their superiors/supervisors and not the organization”, therefore we
have included in our study the managerial aspects that influence a person from leaving the
organization.
Employee satisfaction:
Test Value = 3
95% Confidence
Interval of the
Difference
Sig. (2- Mean
t df tailed) Difference Lower Upper
Employee satisfaction in Big - 49 .212 -.14000 -.3624 .0824
Bazaar – Banashankari 1.26
5
Employee satisfaction in Big - 16 .000 -1.05882 -1.3445 -.7731
Bazaar- Jayanagar 7.85
6
Table 5.2.1: One-Sample Test
Inference:
From the above data, it is inferred that the significant value of Banashankari branch is lesser than
0.05, so null hypothesis is substantiated. Thus, this factor could be of major concern and could impact
Inference:
From the graph we see that 44% of the respondents in Banashankari have a neutral response to
Valid
Frequency Percent Percent Cumulative Percent
Valid strongly 12 24 24 24
agree
agree 31 62 62 86
neutral 6 12 12 98
disagree 1 2 2 100
Total 50 100 100
INFERENCE:
From the total respondents 62% of respondents agreed that there sub-ordinates are a valued
part of the office, 24% strongly agree to this, 12% are neutral and don’t have an idea and the remaining
2% disagree that there sub-ordinates are a valued part of the office.
5.3.2:Do you feel that your sub-ordinates are respected and fairly
treated in the organization
Valid
Frequency Percent Percent Cumulative Percent
Vali strongly 10 20 20 20
d agree
Agree 30 60 60 80
Neutral 9 18 18 98
Disagree 1 2 2 100
Total 50 100 100
INFERENCE:
From the total respondents 60% respondents agree that there sub-ordinates are respected and fairly
treated in the organization 20% strongly agree to this 18% are neutral and don’t have an idea and
the remaining 2% are disagree that there sub- ordinates are respected and fairly treated in the
organization.
5.3.3Morale in the office is high
Valid
Frequency Percent Percent Cumulative Percent
Va strongly 4 8 8 8
lid agree
Agree 19 38 38 46
Neutral 26 52 52 98
Disagree 1 2 2 100
Total 50 100 100
INFERENCE:
From the total respondents 52% of the respondents are neutral that they are not having any idea
about morale, and 38% are agree that Morale in the office is high and 8% are strongly agree for
that and 2% are disagree for that.
5.3.4: Do they have career goals and future prospects?
Valid
Frequency Percent Percent Cumulative Percent
Va strongly 8 16 16 16
lid agree
Agree 26 52 52 68
neutral 8 16 16 84
disagree 8 16 16 100
Total 50 100 100
INFERENCE:
From the total respondents 52% are agree that they have career goals and future prospects
and 16% are strongly agree for that and 16% are neutral and 16% are disagree for that.
5.3.5: DO they know how their job fits into larger picture of the
organization?
Valid
Frequency Percent Percent Cumulative Percent
Va strongly 4 8 8 8
lid agree
Agree 27 54 54 62
Neutral 15 30 30 92
disagree 4 8 8 100
Total 50 100 100
INFERENCE:
From the total respondents 54% of the respondents are agree that they know how their job
fits into larger picture of the organization and 30% are neutral and 8% are strongly for that and 8%
are disagree for that.
5.3.6: Do they have a clear understanding of how their job
performance is measured?
Valid
Frequency Percent Percent Cumulative Percent
Va strongly 4 8 8 8
lid agree
agree 28 56 56 64
neutral 13 26 26 90
disagree 5 10 10 100
Total 50 100 100
INFERENCE:
From the total respondents 56% of respondents are agree that they have a clear
understanding of how their job performance is measured 26% are neutral and 10% are disagree for
that and 8% are strongly agree for that.
Valid
Frequency Percent Percent Cumulative Percent
Va strongly 5 10 10 10
lid agree
agree 27 54 54 64
neutral 16 32 32 96
disagree 1 2 2 98
strongly 1 2 2 100
disagree
Total 50 100 100
INFERENCE:
From the total respondents 54% of respondents are agree that they know how exactly of what
is being expected out of them and 32% are neutral and 10% are strongly for that and 2% are
disagree and 2% are disagree.
5.3.8: The organization accommodates their personal needs.
Valid
Frequency Percent Percent Cumulative Percent
Valid strongly 7 14 14 14
agree
agree 16 32 32 46
neutral 15 30 30 76
disagree 8 16 16 92
strongly 4 8 8 100
disagree
Total 50 100 100
INFERENCE
From the total respondents 32% of respondents are agree that The organization
accommodates their personal needs and 30% are neutral and 16% are disagree for that and 14%
are strongly agree for that and 8% are strongly disagree for that.
5.3.9:The work environment in the store is friendly
Valid
Frequency Percent Percent Cumulative Percent
Va strongly 14 28 28 28
lid agree
Agree 27 54 54 82
Neutral 7 14 14 96
Disagree 2 4 4 100
Total 50 100 100
INFERENCE
From the total respondents 54% of the respondents are agree that The work environment in
the store is friendly and 28% are strongly agree and 14% are neutral for that and 4% are disagree for
that
5.3.10Do they have a positive relationship with their supervisor
Valid
Frequency Percent Percent Cumulative Percent
Valid strongly 15 30 30 30
agree
Agree 26 52 52 82
Neutral 8 16 16 98
disagree 1 2 2 100
Total 50 100 100
INFERENCE
From the total respondents 52% of the respondents are agree that they have a positive
relationship with their supervisor and 30% are strongly agree for that and 16% are neutral and 2%
are disagree for that
INFERENCE:
From the total respondents 68% of the respondents are agree that There is a
spirit of co-operation among staffs and 16% are strongly agree and 14% are neutral
and 2% are disagree for that.
5.3.12:The workload and work targets are reasonable
Valid Cumulative
Frequency Percent Percent Percent
Valid strongly 4 8 8 8
agree
agree 21 42 42 50
neutral 13 26 26 76
disagree 8 16 16 92
strongly 4 8 8 100
disagree
Total 50 100 100
INFERENCE:
From the total respondents 42% of the respondents are agree that The workload and work
targets are reasonable and 26% are neutral and 16% are disagree for that and 8% are strongly
agree for that and 8% are strongly disagree for that.
5.3.13:The workload is distributed fairly
Valid Cumulative
Frequency Percent Percent Percent
Valid strongly 5 10 10 10
agree
Agree 31 62 62 72
Neutral 10 20 20 92
Disagree 4 8 8 100
Total 50 100 100
INFERENCE:
From the total respondents 62% of the respondents are agree that The workload is distributed
fairly and 20% are neutral and 10% are strongly agree for that and 8% are disagree for that.
5.3.14:The sub-ordinates feel that the work timings are flexible
Valid
Perc Cumulative
Frequency Percent ent Percent
Valid strongly 5 10 10 10
agre
e
agree 11 22 22 32
neutral 11 22 22 54
disagree 18 36 36 90
strongly 5 10 10 100
disag
ree
Total 50 100 100
INFERENCE:
From the total respondents 36% of respondents are disagreed that there sub-ordinates feel that the
work timings are flexible and 22% are agree for that and 22% are neutral and 10% are strongly agree
for that and 10% are strongly disagree for that.
Valid Cumulative
Frequency Percent Percent Percent
Valid yes 20 40 40 40
no 20 40 40 80
can't 10 20 20 100
say
Total 50 100 100
INFERENCE:
From the total respondents 40% of the respondents are say YES that the attrition is influenced by
their difficulty in adapting to the organization and remaining 40% said no for that and 20% of
respondents are can’t say anything.
Valid
Frequency Percent Percent Cumulative Percent
Valid strongly 15 30 30 30
agree
agree 28 56 56 86
neutral 7 14 14 100
Total 50 100 100
INFERENCE:
From the total respondents 56% of the respondents’ agree that Communication amongst the
staff and the floor manager in this store is effective and 30% are strongly for that and 14% are neutral.
Valid
Frequency Percent Percent Cumulative Percent
Valid strongly 7 14 14 14
agree
agree 18 36 36 50
neutral 19 38 38 88
disagree 6 12 12 100
Total 50 100 100
INFERENCE:
From the total respondents 38% of respondents are neutral they can’t say anything about The
policies in the company are clearly articulated to the staffs and 36% are agree for that and 14% are
strongly agree for that and 12% disagree for that
Valid
Frequency Percent Percent Cumulative Percent
Va strongly 5 10 10 10
lid agree
agree 24 48 48 58
neutral 17 34 34 92
disagree 3 6 6 98
strongly 1 2 2 100
disagree
Total 50 100 100
INFERENCE:
From the total respondents 48% of the respondents are agree that the office has
policies supportive to the staff and 34% are neutral and 10% are strongly agree for that 6%
are disagree for that 2% are strongly disagree for that.
Valid
Frequency Percent Percent Cumulative Percent
Va strongly 10 20 20 20
lid agree
agree 22 44 44 64
neutral 15 30 30 94
disagree 2 4 4 98
strongly 1 2 2 100
disagree
Total 50 100 100
INFERENCE:
From the total respondents 44% of the respondents are agree that there sub-ordinates received
a thorough orientation about their job and office when they joined and 30% are neutral on that and 20%
are strongly agree for that and 4% are disagree for that and 2% are strongly disagree for that.
Valid
Frequency Percent Percent Cumulative Percent
Valid strongly 12 24.0 24.0 24.0
agree
Agree 22 44.0 44.0 68.0
neutral 13 26.0 26.0 94.0
disagree 2 4.0 4.0 98.0
From the total respondents 44% of the respondents are agree that the training programs were
effective in improving their productivity and 26% are neutral on that and 24% are strongly agree for
that 4% are disagree for that and 2% are strongly disagree for that.
Valid
Frequency Percent Percent Cumulative Percent
Va strongly 2 4 4 4
lid agree
agree 13 26 26 30
neutral 15 30 30 60
disagree 14 28 28 88
strongly 6 12 12 100
disagree
Total 50 100 100
INFERENCE:
From the total respondents 30% of the respondents are neutral on the compensation paid to
me is fair when compared to the companies in the same industry and 28% of are disagree for that and
26% are agree for that and 12% are strongly disagree that and 4% are strongly disagree for that.
Valid
Frequency Percent Percent Cumulative Percent
Va strongly 1 2 2 2
lid agree
agree 16 32 32 34
neutral 22 44 44 78
disagree 11 22 22 100
Total 50 100 100
INFERENCE:
From the total respondents 44% of the respondents are neutral in general, they are satisfied
with the organization and 33% are agree for that and 22% are disagree for that and 2% are strongly
agree for that.
By means of Friedman’s test we have determined the top 5 reasons for attrition and the following are
the results of this test. The top reason cited for attrition has been selected as the independent variable
From the Freidman’s ranking method, the top 5 reasons for employees leaving the company, as
1. Less salary
5. Leave
It is also critically important to recognize that, when employees indicate the intention to leave, they
generally do - this means that attrition can be predicted through survey measurement, which gives
employers an important "window of opportunity" to foresee and address talent loss within specific
FINDINGS:
Banashankari branch:
The attrition rate was high in the Banashankari branch in the month of January. It was at this month
when a new HR executive was appointed. And his adaptation to the Retail HR practices might have
taken time for which the next few months have witnessed higher percentage of employees exiting the
company continuously.
The attrition rate for the year is 4.32%. In general, the staffs selected for job roles viz. salespersons,
graduation or lesser, their job nature is very common and they may keep switching their job roles
when they need as per their need for change to a different job role. So, they have a lot of options and
opportunities to choose within and outside the industry. So, it was found that in this store staffs had
work experience of a completely different job role in the past and therefore they do not mind shifting
The attrition rate was high in Jayanagar branch in the month of June and it is also seen that the rate is
intermittently higher in the next few months. The reason may be due to the additional burden of
controlling and maintaining two branches of Big Bazaar by a single HR executive(other unit being
that of Puttenahalli).
The attrition rate for the year is 8.02%, and is relatively higher than the other two branches. This rate
is a huge figure when it comes to the retail industry. One of the major reasons for this high rate in this
branch, as gathered by an interview with the store manager suggests that this store is located in the
heart of Bangalore, and therefore wider opportunities are available within this area with better
compensation. Therefore staffs quit their jobs from the store and move towards neighboring malls
Puttenahalli branch
The attrition rate was high in the month of November, which is higher than any of the other following
months. The reason as collected from the interview with the store manager suggests that few staffs
The attrition rate for the year is 5.48%. One major reason for employees leaving, with regards to
Puttenahalli store is its location. This store is located few miles away from the main city and is
currently emerging as a developing city, where high class customers reside. This location becomes a
major concern for travel especially when returning after their work hours (store closes at 10 p.m)
The qualitative analysis was also conducted in our project so as to complement the
research and get deeper and thorough insights over additional unknown factors which may not have
been addressed in the questionnaire or those which may not have been answered in the questionnaire
due to fear that existed amongst the floor staffs who perceived questionnaires to be an opinion form
from the HR department. But the interview with group of team members, store managers and team
leaders scrutinized few reasons specific to the store which would thereby help the HR executives to
sort them out in the near future. Since most of the factors seemed to be common, all of them have
been clustered and presented below;
1. Indisciplinary attitudes of some of the staffs had to be dealt with severely which directly impacted the
and timings
3. Most of the employees are not goal oriented
4. With respect to training, focus has to be given over the product knowledge especially for the food
bazaar staffs.
5. Overload of offers confuse the team functioning
6. Employees feel that the training programs have to be more consistent. Computer training pertaining
to retail sector may be provided. Communication trainings and various programs have to be
introduced
7. Manpower handling ‘print and production’ not enough as other inter departmental activities like sales
8. Performance appraisal should be done fairly and carried out once in three month.
9. The superiors listen others words about their subordinates progress, rather monitoring their
performance.
10. Very importantly, there is red tapism and bias. Favoritism influences the promotion policies of staffs.
11. Staffs from the food bazaar-staples feel heavy work .The department requires homilies (separate
12. With regards to Compensation, employees feel newly employed staffs are paid more than the existing
on
13. Timings and lack of sufficient time is not available for their personal lives.
14. Core values of the company such as “respect and humility” are not followed properly.
17. Some members want more number of part time employees to be employed.
6) RECOMMENDATIONS:
Retention strategy:
Post-recruitment:
After recruitment it is necessary that the new joinee feels calm and comfortable with his new role.
The initial stages of the employee in the job are a tougher phase and they must be treated properly
and in a friendly manner to avoid their exit. As per the analysis, a significant portion of respondents
have responded that the attrition is also caused due to the difficulty in adapting to the organizations
after joining.
20%
40%
40%
Before they even have their first day on the job HR manager may send them a welcome basket or a
card signed by the entire team they will be working with. This will go a long way in making them
look forward to meeting everyone. It may also have one of the team members give them a call to
Mentoring is one low cost means of transferring skills, knowledge, culture and vision.In this
to every new joinees joining the company. This would help the employees to get easily adapted to the
organization and learning the job role quickly and practically. This would also enhance their career
Advertise
Post a picture of the new employee in the lunchroom or common area with some fun facts about their
likes, hobbies, and family. This can act as a great discussion starter. “You like the movie Ishtar? I
Make sure everyone on the team knows the day that your new hire arrives. Give specific instructions
This will help still the insecurity of “I wonder how I’m doing?” that most new employees feel. A
performance review after one month will also let you find out how they are adjusting and expose any
They say you only have one chance to make a first impression. Take the extra time to make your new
Other strategies:
Training programmes:
is interested in them doing a better job and cares enough about them to
training and employee retention. The training programs in all the three stores have received positive
responses with respect to its effectiveness in improving productivity. But the company may develop
cross-functional training programs which could break the silos in the work environment. Nothing will
de-motivate an employee more than doing the same thing every single day. Apart from these, the
store managers suggest that employees have to be trained and updated on product
knowledge(specially for food bazaar and electronics department staffs). This also is a HUGE
Turn-over.
Good monetary package:
Compensation is the top ranked reason for employees leaving the job. Loss of human capital, lower
productivity and dismal performance levels are the negative consequences of high turnover. An
increase in compensation package according to impact on profit, experience and in relation with other
formats of Future Retail India limited could be done so that we can attract and retain employees.
Work-life
The analysis states that “long working hours” and “denial of leave” has a greater impact on attrition,
as the work-life is not balanced. The organization may arrange for shifts and split the workers into
general shift and second shift. As the store has a practice of recruiting part time staffs, they may be
allowed to work during the last 3-4 hours of the day and on week-ends.
Autonomy: Giving employees responsible tasks, while giving them the freedom to work in their own
style and motivates them to stay on. As per a planned schedule, a team member may act as the leader
From our detailed analysis, the attrition rate was determined to be (4.3%, 8%, 5.48%) respectively.
From our analysis we have determined the current average attrition rate to be 5.5% per month. The
major reasons responsible for attrition were – less salary (when compared with the market standards),
better opportunity elsewhere in the market place, long working hours, work pressure in various
departments and stringent leave policies. Some of the primary data collected through interviews with
the store managers of individual units revealed information such as termination due to integrity
BOOKS:
Uma Sekaran, Research methods for business, (4th edition; New Delhi; Wiley publications)
R.Nandagopal et.al., Research methods in business, ( 1st edition; New Delhi; excel books)
Charles R. Greer, Strategic Human Resource Management, ( 2 nd edition; New Delhi; Pearson
education)
V S P Rao, Human Resource Management, (2nd edition; New Delhi; Excel books)
ARTICLES:
Aylin and Webber, Turnover, retention, and the employment relationship of the future. Team
Jonathan winterton, a conceptual model of labour turnover and retention, human resource
Miles M. Finney and Janet E. Kohlhase, The effect of urbanization on labour turnover, Journal Of
Muhammad sani umar, Non-Work Factors and Labour Turnover among Female Employees in Kebbi
State Civil Service, Bangladesh e-Journal of Sociology. Volume 4, Number 2. July 2007.
Smith et al, Labour turnover and management retention strategies, International journal of Human
Tove Helland Hammer And Ariel Avgar, The Impact of Unions on Job Satisfaction, Organizational
Commitment, and Turnover, Journal of labour research, vol. 26, No. 2, pp. 241-261.
WEBSITES:
www.futurebytes.com
www.search.ebscohost.com
www.citehr.com