Businesses are affected by factors resulting from within the business itself and from the external environment. Understanding the business environment enables the management to adopt strategies that enable the business to survive in an environment that continually changes with time (Bouazza et al., 2015). Ideas that benefit the business must be studied and analyzed so that the harmful elements within the business are identified and mechanisms initiated to solve them .
Business Problem
According to the United States Bureau of labor statistics report of 2020, there was a total of 193000 employees who left their jobs in the automobile sector. The report shows that 65% of the dropouts voluntarily left the sector, 30% were forcibly kicked out of the industry while the cause of the job dropout for the remaining 5% was unknown. The voluntary job terminations were high and attracts huge expenses to the companies. The firms have to recruit more employees to provide services to customers. Recruitment of new employees consumes money and time since the newly employed service men have to be taken through orientation and some kind of training so that they understand the environment of the firm.
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When employees are absorbed and released from the firm frequently, the firm`s turnover increases overtime and the business may incur loses (Belete, 2018). This study therefore focuses on investigating the impact of the length of tenure among employees in a firm and the turnover and their effects on the output gained by small and medium scale firms. It is evident that small scale firms experience voluntary job terminations which make them incur more expenses for absorption of new human resources, some of which have poor job mastery. Recurrent recruitment and termination of jobs makes the internal environment of these small and medium scale industries and firms unfavorable for them to operate. Job mastery in a company is affected by the level of academic qualifications of the employee, duration in the job, employee`s age among other factors. When employees work for the firm for a long period, have high academic achievements, and earn more income relative to their colleagues in similar firms, they tend to be less expensive and therefore incur less expenses to the firm, make the organization earn more revenue and reduce the business turnover (Al Mamun & Hassan, 2017).
Research Questions
The primary question that guided this study was
RQ1
To what extent does a linear combination of employees` Impulse Control and Job Mastery affect the employee turnover intentions in the small and medium scale manufacturing industries in the Northwest Ohio, United States?
Analysis will be performed through linear regression to investigate how good Impulse Control and Job Mastery affect employee turnover intentions in a firm.
Job mastery
Job mastery ensures consistency in the quality of goods and services produced by a particular company. The company may be negatively affected if the employees lack adequate mastery of skills required for performing specific tasks. Analysis of how well employees perform tasks can be achieved by identifying whether individuals know their job description and identifying whether gaps exist between their job descriptions and what they do (Poortvliet & Giebels, 2012).
Data Collection Tools
The study will involve data collection tools focusing on
Eligibility of the subject in terms of the employees` age and their employment status.
The subjects’ demographic factors including the level of education, age, level of income, and the duration of their tenure.
The three item turnover intention questionnaire
The turnover intention of the firms will be assessed using the following responses
If the employee often think of leaving the organization
Intention of looking for a new job in the near future i.e. next month or next year or if there is no such plans among employees.
The choice to work for the same organization.
The response will be measured using statements regarding the turnover intention of the organization. The Likert rating scale will be used to assess the employees` attitude towards the organization i.e. 1 for strong disagreement, 2 for disagreement, 3 for neither agreeing nor disagreeing, 4 for agreement and 5 for strong disagreement with the researcher.
Correlation measures will be used to compare the job mastery, Impulse Control level, the employees’ attitude among several organization in the manufacturing sector. Correlation coefficient close to one suggests variables under investigation are closely related among different companies. Research questions from existing similar studies that have been conducted recently show that validity of the data is assured if the variables have huge correlational coefficient. Internal consistency uses one tool administered once to the subjects where coefficient alpha assesses internal consistency of the variables among the subjects. When using Likert scale to assess characteristics, coefficient alpha is the most appropriate measure of reliability. Most accurate data usually have a coefficient alpha greater than 70.
Data Analysis
The study will compare the effect of the degree of Job Mastery and the degree of impulse control (independent variables) against the level of the companies` turnover. Parametric measures will be the most appropriate techniques that will be used to determine the degree of relationships among companies in the automotive industry. The characteristics of the employees are assumed to be similar, since they are exposed to similar tasks and similar business environment, they tend to behave in the same way. Their distribution is assumed to be nominal. Analysis can be best achieved using parametric tests which generate detailed information in a normally distributed population. Non parametric tests generate less information in a normal distribution, they are more useful for analyzing data generate through ordinal distribution (Garson, 2012). Analysis using multiple linear regression will illustrate the relationships between Job Mastery, Impulse Control and the turnover among different organizations. Analysis of Variance (ANOVA) will be used for comparing characteristics among employees working for different companies.
Sampling and Sample Size
The researcher shall use multistage clustered sampling to obtain sample. First, the researcher shall assign random numbers to the companies in the automotive industry. The desired margin of error is below 5%, which is achieved when 30-50 of the clusters are selected. Normally distribution population, the sample is obtained through non centrality parameter. In clustered sampling, the number of subjects selected should be at least ten times the number of variables in each cluster. The study aims to investigate three variables; impulse control, job mastery and the turnover intentions in an organization. Therefore, in each cluster thirty employees will be randomly selected. At least nine hundred participants will be selected from the thirty clusters.
References
Al Mamun, C. A., & Hasan, M. N. (2017). Factors affecting employee turnover and sound retention strategies in business organization: A conceptual view. Problems and Perspectives in Management , (15, Iss. 1), 63-71.
Belete, A. (2018). Turnover intention influencing factors of employees: An empirical work review. Journal of Entrepreneurship & Organization Management , 7 (253), 2.
Garson, G. D. (2012). Testing statistical assumptions. Asheboro, NC: Statistical Associates Publishing .
Jaramillo, F., Mulki, J. P., & Boles, J. S. (2011). Workplace stressors, job attitude, and job behaviors: is interpersonal conflict the missing link?. Journal of Personal Selling & Sales Management , 31 (3), 339-356.
Poortvliet, P. M., & Giebels, E. (2012). Self-improvement and cooperation: How exchange relationships promote mastery-approach driven individuals' job outcomes. European Journal of Work and Organizational Psychology , 21 (3), 392-425.