6 Sep 2022

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The Issue of Employee Retention in the AD Company

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Academic level: College

Paper type: Term Paper

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Pages: 13

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A business must place its employees and their satisfaction at the top of their list of priorities. Organizations must plan and work towards having a motivated workforce because it is more productive and creative. According to Standard-Examiner (2015), only the motivated employees put hard work and tie into seeking better ways of delivery quality work. In fact, study shows that companies with high turnovers in their stocks attribute such successes to their highly motivated employees ( Sandhya, 2012) . However, motivation is not the only key thing with regards to employees that the firm ought to consider giving much attention. Retention of workers and especially the most important ones is very imperative ( King, 2014) . How many times have businesses collapsed due to a reduced workforce usually sudden, and have failed to come back strong? Well, the answer is some occasions and it is quite disappointing that such occurrences still take place in firms in the world. 

Employee retention entails encouraging employees to remain with an organization for a maximum period or at least until the completion of an undertaken project. It is imperative to acknowledge that a talented employee does not lack opportunities and as such, a company must do well to maintain them ( Standard-Examiner, 2015) . Working persons seek job satisfaction, and it remains an essential element in the retention of employees. Good employers know how to attract employees and retain them thus enabling the growth of the business. The motivation of employees is the task, and of the management hence, the managers require a suitable plan to partake the same considering the immense nature of the job. Organizational culture is confirmed to have the same kind of motivational effect that compensation has according to research conducted by the TriNet firm. 

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The AD Company deals in electronics and is based in the United States, Los Angeles. The business began well shipping electronics and associated compartments from China into America. The company has expanded distribution to Dubai and some parts of Africa and as such has increased workload. However, the company experiences one pertinent problem that is the loss of employees. Last year alone saw the company lose 36% of its staff majority being the subordinate personnel ( Richardson, 2014) . It is challenging to the company to run if it keeps losing employees unceremoniously and without prior warning or indication. The company spends on hiring and replacing employees having to train some before they can fully absorb them in the business. It has proven costly because some employees that been absorbed without fully maturing for their roles because of the workload the company bears. AD needs to have a plan set up that will see to it that the attrition of their employees reduces to points very harmless to the company . Moreover, the company needs a plan that will enable it to motivate staff hence avoid such events. The research was done in the firm to identify the probable causes of the high levels of employee attrition and low morale of the same. High levels of an employee quitting their jobs deprive the company the chance to fulfill its commitments to partners and dealers hence inhibiting its opportunity to grow. In fact, the company stands to lose all credibility if it continues to experience the same problems with its employees and overall staff members. 

Organizational Issues that Influence Retention 

As earlier mentioned, the company culture or rather an organizational culture plays a significant role in influencing the retention of employees. Some elements play a part in having employees stay at a firm or company rather and include job satisfaction, good employers , and business goodwill. Such affect the retention of employees at the enterprise . Job satisfaction is sought out by working persons because it makes the employees feel psychologically and physically comfortable ( King, 2014) . Inflationary trends in the market economy cause the job market very competitive and hence get tough for the companies to retain their employees. More and more talent is being fished and tapped-out. 

As previously stated, a good employer must know how to attract and retain their employees ( King, 2014 ). It is imperative to appreciate the many possible strategies for keeping the employees comfortable in their present job but understands that motivation strategies strengthen the morale of employees on a daily basis. Contrary to the prevailing belief, monetary compensation is hardly the highest bid of motivation for the employee. According to the Harvard Business Review, nine out of ten managers believe that people either stay or go because of money. However, according to King (2014 ), employees are more interested in meaningful and challenging work, good bosses and numerous opportunities for both learning and development. 

The company will further play an immense role in influencing employee retention. Maintenance of goodwill in business is only possible with low rates of attrition. Maintenance of high levels of employee retention stands to motivate talented employees to join the firm because the enterprise has created a secure environment. The resignation of an employee does well to show the problem of regaining efficiency ( Richardson, 2014) . It remains that serious amounts of time go to hiring and training a new employee who eventually leads to the loss of money that most of the time goes unnoticed ( King, 2014) . It is well to appreciate that recruiting new employees does not assure the same efficiency from new hires as training imparts to old employees goes to waste according to the needs of the employers. 

Organizational issues that impact motivation 

Research shows that only 30% of the global employees feel they are inspired and engaged in their line of work and careers with 48% detesting their jobs ( Daft, 2014 ). On the other hand, 18% of the global employees are directly disengaged hence do not work efficiently or rather hate their jobs ( Sandhya, 2012) . The same statistics show that 87% of the highly motivated employees cannot leave their jobs as compared to their less motivated counterparts ( Daft, 2014) . Less than 40% of the workforce in the world is not aware of the goals, tactics, and strategies of their firms. Organizations that have engaged employees accomplish not less than double the annual income of their counterparts businesses that have employees with less engaged employees. Research explains that many employees feel demotivated in companies because of some reasons. 

Lack of recognition or the feeling of value 

The failure of businesses to recognize employees or give them credit for a job well done or for putting a lot of effort into a project demotivates employees ( King, 2014) . The failure for a company to do such leads to employees losing interest and begin to work on normal grounds without thinking innovatively, working extra hours or have the sense of obligation when performing their tasks ( Daft, 2014) . Employees feel those above because the employer does not appear to care or recognize their dedication and effort. 

Unrealistic demands and loads of work 

Some ambitious bosses place heavy and unrealistic loads of work on the shoulders of employees because they wish to get a lot of work done fast. It is not a bad thing to hold the staff to high standards. However, it becomes bad and detrimental when managers exceed the normal lines by make too many demands or overburden their workers ( King, 2014) . Such employers invite low levels of morale when they ask employees to partake impossible tasks and insisting that the employee's complete works over the weekend when they fail to be sensitive to time ( Sandhya, 2012) . Apart from low morale, it develops low levels of productivity in the company. 

Micromanagement 

Micromanagement is a style of management that entails the manager closely supervising and watching the work of subordinates or employees. Indeed, it may not be meant to be harmful or distressful to the employees, but it proves very irritating to individual employees and bothersome to them ( Daft, 2014) . The main reason for it to be so an irritant is that it makes individual employees feel that the management does not trust their judgment and demotivates them completely. Employees that are disengaged courtesy of the micromanagement style leave the company in search of freedom. However, those that choose to stay only do so with little intent to work efficiently ( King, 2014) . 

Job insecurity 

A survey conducted by the Human Resources Services Inc. suggests that job insecurity is a paramount factor when it comes to the motivation of employees. In other words, uncertainty in the place of work stands to wreak havoc and create significant problems when it comes to the retention of employees ( King, 2014) . An employee will just put in the necessary effort to maintain their salary if they are working in an unstable or expendable position or company. Such an employee spends the rest of his or her energy updating their resumes, gossiping and looking for better opportunities regarding jobs in other businesses . 

Lack of progress 

The majority of employees are motivated and feel happy when they continue to experience learning potential in the company they work in and for ( Daft, 2014) . Such learning encourages them because it assures that they will increase in expertise and brilliance in their skills. However, the enthusiasm of employees reduces when they feel less inspired and stagnant. Moreover, the passing on to an idea by an employee to a bureaucratic red tape makes them lose fervor and the drive to perform at the place of work. 

Unpleasant co-workers 

Gallup conducted research that mentioned unfriendly co-workers as a problem at the place of work. Close friendships at the place of work increase at least 50% of employee satisfaction at their workplaces with an increased engagement and productivity that is seven times the ordinary situation ( King, 2014) . Therefore, it is difficult for one to progress and work efficiently if they have rude and uncooperative co-workers or even worse, conflicting co-workers. Employees feel demotivated to work hard even if there is the chance for growth and better opportunities at the place of work because of the existence of backstabbers and persons that cannot be trusted ( Richardson, 2014) . The worker expects that there will be misery and stress when they get rewards for working hard at the place of work. 

Boredom 

Times have changed and the type of employees today is far from the old ones. Modern times suggest that employees want to have jobs that give them satisfaction and allow them to apply their personal interests in their duties ( Kluwer, 2012) . Three out of four employees in America would take a pay cut during a very competitive market and chaotic state of the economy provided their job allow them to incorporate their personal interests. Research conducted by LinkedIn further confirms the above because people across various areas and occupations yearn for fulfillment ( King, 2014) . Therefore, people want a job that is lively and joyful because a boring job only tires one and makes them just wish the day ended so that they go home. It is imperative that managers find out ways of reducing these levels of monotony at the place of work for the employees. 

Overcoming Attrition 

Exit Interviews 

Employers that experience high rates of attrition at the places of work need to understand why people are leaving them. Exit interviews do well to give insight and useful information pertaining the matter and hence the internal problems and perceptions of employees of the organization. Such interviews further give the employers information about the issues of the workplace and abilities of managers to lead. Exit interviews are conducted before the employee leaves although sometimes it may be done so after the employee has departed ( King, 2014) . Exit interviews assume the form of questionnaires and one on one interviews. It is difficult to get accurate information because it is usually difficult for people to disclose their reasons for leaving. In light of this, the person conducting the interview need not be a manager that was responsible for the individual leaving but rather an external agent. Such discussions will mark the first step of AD Company to discovering why it is employees are leaving them. 

Improving Job Satisfaction 

Well, it has become very evident that low job satisfaction leads to reduced morale among employees. The company will thus do well to find out ways of improving job satisfaction, and the best way is to discuss with the employees pertaining the matter. The company can reduce the work overload ( King, 2014) ; ensure fair practices by the human resource department and a flexible scheduling and options of telecommunications. 

Improve managerial relations with employees 

Managers must stop being dictatorial and close-by in the supervision of work. Managers must find a professional way of interacting with employees in an interactive manner but one that maintains the respect between employee and manager ( Iqbal, 2012) . An involving management makes the employees feel connected and relevant and hence makes them stay, as they are hardly certain they will get the same treatment elsewhere. 

Competition 

Employers must keep their eyes and ears open in the market to ensure they are aware of what transpires in the market. Employees leave firms for other lucrative and better opportunities in other places. Therefore, companies must show will retain their most suitable and reliable workers ( Kluwer, 2012) . It can only prevent them from being snatched away by competition if it is aware of what the competition is offering and counter the offer with a better deal. 

Proper replacement system 

Sometimes it is inevitable to stop employees leaving the place of work like in cases of some persons retiring, sick or death. Some employees may just want to explore other places and have a change of environment, and such a decision is prompted not by organizational issues but rather a personal decision of a person. Companies need thus have proper preparatory systems in place to help them replace employees. Therefore, AD can begin an internship program for new trainees ( Kluwer, 2012) . Every year, new trainees will be taken into the business and trained on various sectors of the business as per their qualifications. The selection of trainees needs is based on the areas where the company sees the great potential of losing people like in areas where a vast majority are soon going to retire. The trainees will enable the company to have a constant employee flow and ensure that it never lacks replacement in case other leave. It further saves the cost of hiring and training in haste to meet commitments made in the business endeavors . 

Overcoming Low Motivation 

Recognizing employees 

The company must acknowledge efforts of employees and reward those that perform very well at the place of work. A company does not necessarily need to compensate employees with money to motivate them but could use various methods of encouraging the workers. For instance, the company could send a congratulatory note to employees or announce them in meetings to ensure they employees know they work is being noticed ( Iqbal, 2012) . 

Encouraging contributions 

A company can do well to encourage the employees to contribute ideas and input in various areas. Such a move gives employees the feeling and sense of importance. It is also well to appreciate that when individuals are given a challenge and responsibility with the full trust of the management, it makes them feel important ( Iqbal, 2012) . As such, they never wish to disappoint and thus rise to the occasion and perform well. 

Seek a buy-in 

The company must proceed to involve the staff in determining and having a say on the big picture as well as ways to achieving the set goals. Employees are the closest people to work and thus are in a position to see things very clearly. A company will do well to harness direction of an individual in the pursuit of common objectives instead of forcing the people to do the same ( Kluwer, 2012) . Such amendments will make sure that the company can have a whole organization that makes workers feel involved hence unwilling to join other firms. 

Help in fulfilling career goals 

The employees want to have more responsibilities and even join a different department and get possible options to bring back to the company. The company must give employees numerous opportunities to build their skills and increase expertise and have a chance to move forward and gain necessary connections to improve their careers ( Kluwer, 2012) . Such an allowance and opportunity that is found in a company encourage loyalty and motivation among the people working at the firm because people feel they have a chance to growth. 

Maintenance of job satisfaction 

The primary thing that the company must do to generate sustained profits and gain loyalty ensures that employees are well motivated and satisfied with their jobs ( Kluwer, 2012) . The company must make sure that the employees love their job and have a passion for it by giving them relevant time to work on tasks. 

Influence of beliefs, attitudes, and perceptions on the Plan 

The Maslow’s basic need model insists that employees need actualization, esteem, love and belonging, safety and physiological needs in that order. Various perceptions and notions among the employees influence the plan gravely. The feeling of belonging because of the existing company culture may lead to a resistance of a new course of action and in particular by the managers. Usually, managers do not want to be told what to do. According to Daft (2014), an adamant nature and unwillingness of individuals to change the way things operate causes a problem for any new implementations. An existing system or culture in an organization will always have its fans ( Richardson, 2014) . The fact that the management of AD company has been able to go on for a long time with the system and has not sought to change their style of the directorate but rather ask for help from the employees means that they are comfortable with the system. The perception that the new system that insists on various fundamental changes may reduce them to lower levels or disregard their roles as managers may cause a negative attitude that will inhibit the plan ( Kluwer, 2012) . 

Impact of personalities, neuroscience, gender, diversity, corporate culture and generational impact on the plan 

The above sum up to the internal working condition of an organization and as such will be looked at collectively. According to Daft (2014), a pleasant working environment is suitable for the increase in productivity of employees work output. Some people will understand that the company faces a serious problem and hence will logically appreciate the need for change. In an enterprise culture, there exist different views on a matter, but the management need takes the best course of action . The various personalities at the place of work may cause a disagreement in the implementation of the plan as some would feel it is way beyond necessary. Others will want to impose it because of their strong beliefs that it would be helpful. In such events, it would be best to reach out to an external agent to conduct a poll in the firm on persons that favor the plan over those that do not. Moreover, the firm will have to employ various approaches to ensure that every person is at least comfortable with the plan ( Kluwer, 2012) . A corporate culture as earlier stated determines the likelihood of individuals to accept change. However, considering that employees do not favor the current way of things, it is possible that they are willing to have a new manner of doing business ( Iqbal, 2012) . The employees make a significant claim on the plan and hence their quest for it will make it successful. The generational impact stands to be receptive to change. In the preamble of the analysis, it was noted that the old employee is hardly close to the new employee regarding want and taste ( Kluwer, 2012) . The new employee wishes to have a comfortable environment to work in and values that more than any form of monetary reward ( Daft, 2014) . Therefore, the generational impact stands to positively influence the plan because it represents a change that people dearly want in their places of work. Moreover, it offers the platform for management style to change and fit the description of the typical employee. 

Communication of Plan 

The company management feels that the company has a problem with retaining and maintaining its employees and as such request for suitable answers in that area as well as suggestions on how to go forward. Therefore, the management will be advised of the reasons as to why the employees are leaving the company. Such reasons will form the necessitating grounds change and what type of change to be applied. It would be best to have a meeting with the management first and elaborate the issues concerning the retention and motivation of their employees. Once they have understood the problem, a conservative outlook of the possible suggestions will be issued . The suggestions shall have been arrived at after careful analysis and study of similar cases and with a proper understanding of various strategies and models of employee motivation and retention. Lastly, the plan will be elaborated to the employees in a meeting. Memos will be sent to every employee telling them of the meeting, and it is well that every employee attends the same. Employees will be told of the concern and the willingness of the company to make fundamental changes. The employees will be told of the key issues and confirm whether they correspond with what they feel to be the problem and later the plan will be explained unto them. 

Suggestions on implementing change 

It is usually tough to make rapid changes in a firm especially because of people having gotten used to the current system. Therefore, the plan must be implemented in phases as people continue to adapt to it and familiarize with the same. First, the supervisors will be held accountable and hence the entire task of developing a new frontier in the firm will depend on them. The company will thus have to develop supervisors through training programs to ensure that they manage to build trust with the employees ( Richardson, 2014) . 

Secondly, there will be a narrowing of the front door hence the main reforms will take place. Such will include a change in management style and even firing managers that seem opposed to the new system. It will be a clearing move to eliminate obstacles to the plan. A script will be done for the first ninety days to see the progress of the plan and how it performs. After the ninety-day script is completed , there will be the process of challenging policies. The process will challenge some policies made by the new plan depending on how things sit with the firm ( Kluwer, 2012) . Some policies will be removed because they bring no significant change to the company and others questioned based on suitability of the firm and overall plan. 

An evaluation of the plan is suitable and as such, a calculation of the employee attrition after the ninety-day trial will be conducted ( Kluwer, 2012) . The calculation will seek to determine whether the plan has made significant progress in retaining workers at the AD company. An external agent will be reached to conduct an analysis on the employees and determine their levels of satisfaction and motivation at the place of work. The study will extend to the managers and seek to find out whether they are comfortable with the new system. 

Amendments will be made in critical areas after the analysis of performance is completed and the plan will continue in the firm depending on the recorded performance. However, there will be room for changes in the future if the need arises. 

Conclusion 

A business must place its employees and their satisfaction at the top of their list of priorities. Organizations must plan and work towards having a motivated workforce because it is more productive and creative. It is imperative to acknowledge that a talented employee does not lack opportunities and as such, a company must do well to maintain them. Working persons seek job satisfaction, and it remains an essential element in the retention of employees. There are various ways of motivating and retaining employees in a company, and a company must find out the reasons why their workers are leaving before employing any one of these strategies. 

References 

Standard-Examiner . (2015). 10 strategies to retain and motivate employees Retrieved 2 January 2017, from http://www.standard.net/Success-Strategies/2014/09/24/10-strategies-to-help-retain-and-motivate-employees 

Daft, R. L. (2014). The leadership experience . Cengage Learning. 

Iqbal, N. Analysing Causes of Attrition Rate and Giving the Solution through Maslow’s Hierarchy of Need in BPO Industry. 

King, J. (2014). Employee Attrition and Retention . Retrieved 2 January 2017, from http://shodhganga.inflibnet.ac.in/bitstream/10603/15957/10/10_chapter%202.pdf 

Kluwer, W. (2012). Identifying and Addressing Employee Turnover Issues | BizFilings Toolkit . Bizfilings.com . Retrieved 2 January 2017, from http://www.bizfilings.com/toolkit/sbg/office-hr/managing-the-workplace/employee-turnover-issues-tactics.aspx 

Richardson, F. W. (2014). Enhancing Strategies to Improve Workplace Performance. 

Sandhya, K., & Kumar, D. P. (2011). Employee retention by motivation. Indian Journal of Science and technology , 4 (12), 1778-1782. 

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