Impact of Employer Branding on Employee Retention in IT Service Industry With

Emphasis on Delhi NCR and Bengaluru Organizations

SYNOPSIS

Submitted to CHRIST (Deemed to be University) in partial fulfillment Of the

requirements  for the award of the degree of 
Bachelor of Business Administration (Honors) 

By 
Suhani Jain
Registration Number 2023275 

Under the guidance of  

Dr. Neetha Mary 
School of Business and Management 

SCHOOL OF BUSINESS AND MANAGEMENT

CHRIST (DEEMED TO BE UNIVERSITY)
BGR CAMPUS
BANNERGHATTA ROAD,
HULIMAVU 
BENGALURU - 560076  

2022 - 2023
 Table of Contents

Introduction (Background).........................................................................................................3

Research Problem.......................................................................................................................3

Problem Statement.....................................................................................................................4

Research Objectives...................................................................................................................4

Research Questions....................................................................................................................4

Literature Review.......................................................................................................................4

Research Gap.........................................................................................................................8

Research Methodology...............................................................................................................8

Research Area........................................................................................................................8

Scope of the Research............................................................................................................8

Research Technique (Primary or Secondary)........................................................................8

Target Respondents................................................................................................................8

Sampling Technique...............................................................................................................9

Sample Size/Time Frame/ No. of Firms................................................................................9

Analytical Tools for each Objectives.....................................................................................9

Variables................................................................................................................................9

Hypothesis..............................................................................................................................9
Introduction (Background)
The preferences among employees are varied due to the changes in the 21st century’s
working environment. It is thus important to determine the factors that employees seek in an
organization and their intention behaviour to quit from their job in order to improve the issues
of high attrition that happens in an organization.

Employer Branding is an approach to recruitment and retention that involves internally and
externally promoting a clear view of what makes a company different and desirable as a
company. It has been proposed as an effective organizational strategy to differentiate from
competitors and gain a competitive advantage in the labour market. As such, employer
branding is seen as the primary approach to responding to employee hiring and retention
challenges.

Organizations are finding employee retention as a big challenge. Attrition is faced by almost
every industry. And with information technology attrition is observed to be the maximum.
The talented and experienced employees leave the organization not only because of the
remuneration or pay, but there are different reasons which force the skilled employees to
leave the organization.

This research aims to determine the relationship between Employer Branding and Employee
retention among employees in IT industry with special emphasis on regions of Delhi NCR
and Bengaluru

Research Problem
Having the best and the most talented employees is not only important but it is equally
important to be able to retain them for long term benefits to both the organisation and its
people. Employees are asset of an organization. For managers, to have a happy enthusiastic
workforce will help them in achieving individual and organizations performance. Retaining
talented employees is highly important for the long-term growth as well as success of the
business, but the retention of employees has become the major problem facing today’s
organizations. Therefore, it is important to retain the talented employees because of the
required output they give to the organization. Most certainly one organization cannot retain
all the best employees but retaining employees will definitely reduce loss. Therefore, every
organization must treat their employees as ends because they add value to the organization.
Retention strategies should be commenced when recruiting the employees. Organizations are
failed to start their retention strategies while they are recruiting the employees. It is also
believed that the costs to the employer as a result of management’s inability to retain its
employees include separation benefits to the employee, lost productivity, recruitment costs,
training costs, and diminished services as new employees get up to speed. Although, the
human resource literature points to possible reasons for high retention a smaller number of
studies attempt to identify the relationship between employer branding and retention.
Understanding the relationships between employer branding and retention within the
population of employees of IT sector in Delhi NCR and Bengaluru will help in formalizing
policies and procedures that embed employees to organizations and communities. I hope that
the results of this study will be useful in addressing retention and generalizing the results
among employees of similar industries in aforementioned cities.

Problem Statement
How does employer branding affect the employee retention in IT Service Industry?

Research Objectives
1. To study relation between employer branding and employee retention
2. To study impact of employer branding on employee retention in IT service industry in
Delhi NCR and Bengaluru
3. To study if there is significant difference between gender on employer branding
4. To study if there is significant difference between gender on employee retention

Research Questions
1. If there is any relationship between employer branding and employee retention?
2. What is the strength of association of employer branding and employee retention in IT
service Industry?

Literature Review
To develop a thorough understanding of the conceptual constructs and empirical research for
the present study, an extensive review of the literature was undertaken. This has not only
helped in identification of the gaps in the existing body of knowledge but has also enabled to
establish a relationship of the present study with what already exists.

Ekhsan, Muhammad and Aeni, Nur (2020)

Title: Employer Branding and Employee Retention: The Role of Mediating Employee
Engagement

Objective: To find relationship between employee branding and employee retention,

employee branding and employee engagement and employee engagement and employee
retention

Findings: The results in this study indicate that there is no influence between employee
branding on employee retention, there is an influence between employee branding on
employee engagement, there is an influence between employee engagement on employee
retention and the influence of employer branding on employee retention which is mediated by
employee engagement in Indonesian business sector.

Backhaus, Kristen and Tikoo, Surinder (2004)

Topic: Conceptualizing and researching employer branding

Objective: To study relationship between employer branding and organizational career

management

Findings: The value of the employer branding concept for management scholars parallels the
value it has for managers. The research highlighted that employer branding concept can be
especially valuable in the search for an organizing framework for strategic human resource
management

Cable, D.M and Turban, D.B (2001)

Topic: Establishing the dimensions, sources and value of job seekers’ employer knowledge
during recruitment

Objective: To study marketing concepts that apply to recruitment process and analyse how
job seeker’s knowledge regarding employer affects their acceptance of the job

Findings: The results did not indicate that the influence of information sources and topics
that fit together was lessened when the information was negative. The results suggest that job
seekers interpret positive and negative information differently and that negative information,
when present, has an important influence on job seekers’ organizational attraction which in
turn affects the acceptance of the job.

Bussin, M and Mouton, H (2019)

Topic: Effectiveness of employer branding on staff retention and compensation expectations

Objective: The study investigates the effects of employee branding on staff retention and
compensation expectations in South Africa

Findings: The analysis indicated that increased perceptions of employer branding relate to
staff with greater reports of retention and lower levels of compensation expectations.
Interestingly, demographic factors were not significant in the analysis, although trends were
found in potential age differences and total years at an employer.

Gholipour, A and Khoshnevis, M (2017)

Topic: Exploring the relationship between employer brand and employees’ retention

Objective: the purpose of this article was to explore the relationship between employer brand
and employees’ retention in Iran

Findings: According to the findings, there is a positive and significant relationship between
employer brand and its dimensions including compensation, brand and reputation, authority,
work environment, corporate social responsibility and employees’ retention.

Figurska, I and Matuska, E (2013)

Topic: Employer Branding as a Human Resources Management Strategy

Objective: The main objective of the article was to present issues associated with employer
branding in context of strategic human resource management

Findings: The conclusion is highlighted by linking theoretical consideration and research

results addressed to employer branding as a recommended strategy for the modern human
resource management.

Suikkanen, E (2010)

Topic: How does employer branding increase employee retention?

Objective: The aim of this study was to determine how Employer Branding influences
Employee Retention. A further aim was to study the concepts of employer branding, branding
activites and retention and how they are linked to one another.

Findings: The conclusion of the study was that branding efforts used in personnel
management increase employee retention. Additionally employer branding can be considered
to be a staff retention method influencing the entire employment experience, promoting the
concept of good place to work decreasing voluntary turnover.

Nappa, A (2013)

Topic: Creating a Strong Service Brand Through Talent: The Relationship Between
Corporate, Internal and Employer Branding

Objective: The purpose of this thesis was to look at the relationship between employer
branding, internal branding and corporate branding in the Nordic financial services, as well as
the importance of core values in this process.

Findings: The data suggests that core values have gained a much greater importance during
the past decades, and people are finding out more about the symbolic meanings of a company
than before. The data also proposes that companies should work on establishing a consensus
of the core values, and reinforce them through branch managers, training and other meetings.
Surprisingly, unlike some research considers, the data suggests that multiculturalism and
international atmosphere do not cause problems for core value behavior and internal
branding, but rather can work as a unique selling point for the employer brand.

Jenitta, J.N (2020)

Topic: The Impact Of Employer Branding On Retaining High Potential Employees In The
Banking And Finance Industry In Trincomalee District

Objective: The purpose of this research was to identify the relationship between employer
branding and employee retention among the banking staffs in Trincomalee district

Findings: Correlation analysis revealed that there is a significant positive correlation

between employer branding and employee retention. Further the study also revealed that
there is a significant positive relationship between each dimensions of employer branding
such as economic value, development value, social value, diversity value and reputation
value and employee retention. Regression analysis suggested that there is a significant
positive effect of employer branding and employee retention as hypothesized.

These results have implications for bank administration to design suitable branding
campaigns among employees to decrease employees’ intention to leave
Research Gap

Research Methodology
This quantitative descriptive study is to be followed by an inductive research approach and a
survey-based research strategy. The methodology chosen for this research is quantitative. The
survey is to be collected through the required quantitative information and the data were
collected through a structured questionnaire.

A literature review was conducted to identify employer branding and employee retention
variable. The questionnaire was developed based on variable identification.

The analytical tools proposed to be used are:

- Correlation
- Regression Analysis
- ANOVA
- T Test

Research Area
The research area is to evaluate human resource practices implemented by employers that
enhance their branding and affect the employee retention in long run

Scope of the Research

This research would help to establish relationship between employer branding and employee
retention which would help employers around IT sector to identify how to strategize their
brand building which could affect various factors that lead to employee staying in the
organization for a longer period of time.

Research Technique (Primary or Secondary)

The research is conducted using primary data using survey questionnaire sent out to target
respondents

Target Respondents
Employees working in IT service industry in metropolitan cities like Delhi NCR and
Bengaluru
Sampling Technique
The sampling technique used will be non-probability sampling i.e. individuals are selected
based on non-random criteria, and not every individual has a chance of being included and
only employees working in IT sector in particular cities are to be selected as respondents.

Under this the research is going to follow convenience sampling method

Sample Size/Time Frame/ No. of Firms

The planned sample size is from 120 employees from IT sector from aforementioned cities.
The questionnaire would be circulated for approximately 2 months to get maximum
respondents and broad ideas into the picture.

Analytical Tools for each Objectives

1. To study relation between employer branding and employee retention - Correlation
2. To study impact of employer branding on employee retention in IT service industry in
Delhi NCR and Bengaluru – Regression Analysis
3. To study if there is significant difference between gender on employer branding – T
Test (Male/Female) or ANOVA
4. To study if there is significant difference between gender on employee retention - T
Test (Male/Female) or ANOVA

Variables
Independent Variable – Employer Branding

Dependent Variable – Employee Retention

Hypothesis
H0 – Employer branding does not affect employee retention in IT service

H1 - Employer branding affects affect employee retention in IT service