People Management and Development at Work - Research Paper Example

Critical Discussion Paper Employee turnover can be considered as an important aspect in the field of HRM. This assignment has discussed the challenges that are faced by the modern day organizational managers in both high and low employee turnover rate. The mentioned issues and challenges will help the upcoming and emerging managers to develop effective business operation strategies in near future. Most importantly, it is highly important for the leaders and managers to focus on employee motivation and job satisfaction aspect in order to maintain effective employee retention aspects. Table of Contents Abstract 2 Purpose 4 Methodology 5 Data Collection and Data Analysis 5 Evaluation of theories, models and Literature quoted 6 Effects of high employee turnover 6 Effects of low employee turnover 8 Effective staff retention strategies 9 Reflection of Assignment (Google) 10 References 12 Purpose Effective human resource management practices can be considered as an important aspect of organizational growth that needs to be considered by the organizational leaders while developing any strategy. Employee or staff turnover can be considered as an important human resource management aspect that needs to be considered by the management of the organization throughout the year. Staff or employee turnover can be defined as the company’s work force’s percentage that willingly gives up during one year. Generally, the organizational leaders try to maintain a low employee turnover rate in order to maintain consistency and stability in the organizational workforce and retain its skilled and effective employees. Several organizations used to develop different strategies in order to maintain low employee turnover rate. However, it is true that an organization face huge challenge due to high employee turnover rate. It is also true that an organization may face several challenges due to low employee turnover rate. Therefore, it is highly important for the organizational leaders and management to gain knowledge about both the aspects as it will help the management of the organizations to develop more effective workforce development strategies. The major purpose of this assignment is to analyze the challenges of both high and low employee turnover rate for the human resource management of the organization. This analysis will highlight several contemporary examples so that the emerging leaders and managers can consider these aspects while developing business operation strategies. This study will all assess the research evidences to determine most effective and significant staff or employee retention strategy. Methodology Research methodology can be considered as one of the important aspects of a research work that helps a researcher to gain effective research outcome. Research methodology can be divided into two different parts, such as qualitative research methodology and quantitative research methodology. Qualitative research methodology generally focuses on the inner feelings, motivation, thoughts, attitudes and behaviour of people. On the other hand, quantitative research methodology generally focuses on the analysis and evaluation of quantitative and numerical data. It is true that, both the methodologies have specific importance for the researchers and it is important for the researchers to adopt a specific research methodological approach based on the nature of the research. It is a research work of exploratory nature, where feelings, thoughts and views of people are most important to gain positive research outcome. Qualitative research methodology can be applied in a research work based on its exploratory nature. Looking into this aspect, it can be stated that adoption and qualitative research methodology will be effective for the researcher. In addition to this, qualitative research methodology helps a researcher to gain positive research outcome within limited time period. Data Collection and Data Analysis Data Collection and data analysis can be considered as important aspect of a research work that helps a researcher to gain positive research outcome based on the effectiveness of data. Data collection process can be divided into two parts, such as primary data collection process and secondary data collection process. Primary data collection process can be considered as the sourcing and collection of live data through field work, interviews and surveys. On the other hand, secondary data collection process can be considered as the sourcing and collection of data from particular data bank. It is true that both the data collection processes are important for the researchers. But, the selection of a particular data collection process always depends upon the time frame and necessity of the research work. Primary data collection process can be determined as both time consuming and costly data collection process. On the other hand, secondary data collection process can be considered as both time and cost effective data collection process, in which researchers can gain large number of data within limited time period. Looking into this aspect, it can be stated that adoption and implementation of secondary data collection process will be effective for the researcher to gain positive research outcome within given time period. It has been discussed earlier that a researcher can get huge amount of data and information through the secondary data sources. Academic text books and journals are the major sources of secondary data. These sources are also used here to gain positive research outcome. Evaluation of theories, models and Literature quoted It is true that global business market is becoming highly competitive. Therefore, it is important for the organizational managers or leaders to retain its effective and skilled employees in order to enhance effective business performance. Effects of high employee turnover It has been mentioned earlier that several organizational leaders or managers are trying to reduce the rate of employee turnover as it has several negative impact on the business performance of the organization. High employee turnover rate is both cost and time consuming. First of all, the management of the organization has to find for new effective and skilled workforce. It is both time and cost consuming. It is known to all that the recruitment and selection process is highly cost consuming as recruitment and selection process includes several activities, such as job advertisements, interviewing and talent pooling. These processes take quite a long time to get completed. Apart from all these things, the new employees need special training and development programme in order to become skilled and competent. In addition to this, high employee turnover rate can create several critical internal organizational challenges that may affect the collaborative workplace performance of an organization (Beardwell and Claydon, 2007, p.29). High turnover rate may create a negative perception in the minds of the existing employees. It may hamper the workplace performance of employees as well as organizations. High employee turnover rate can also affect the organizational culture. Most importantly, it reduces self-confidence and motivation of the skilled and effective employees. Employee turnover generally happens through some common aspects, such as external employee poaching by other organizations, employee termination by employers and job quitting by employees. All of these aspects create a negative impact on the self-confidence and motivation level of the existing employees (Currie, 2006, p.19). In addition to this, high employee turnover rate always ensures low job satisfaction of other employees. High employee turnover also can hamper the stakeholder engagement aspect. Too much employee termination and turnover rate can give negative signal to the shareholders and stakeholders of an organization. It is true that the shareholders and stakeholders play an important role in the decision making and strategy development process. Most importantly, an organization cannot develop various strategic options without the involvement of any stakeholder (Marchington and Wilkinson, 2008, p.38). Inadequate stakeholder and shareholder approach and interest can affect the organizational as well as business performance of an organization. It can ultimately affect the brand image of an organization. Example of Tesco Plc. can be considered in this case. Tesco Plc. can be considered as one of the leading retail chains around the globe. The organization is known for its offering of high quality products at low price level. The management of the organization generally focuses on the effective customer centric approaches and strategy development process. In doing so, the organizational management used to put huge pressure on its employees (Muller-Camen, Croucher and Leigh, 2008, p.9). Over time, long working hours, inadequate performance appraisal, poor employee value, high workplace stress and too much centralization has affected the workplace culture of the organization. Effective and skilled employees generally try to get better employment opportunities against their effort and hard-work. The employee turnover rate of Tesco is too high comparing to other organizations within the global retail industry. The management of Tesco Plc. fails to retain their skilled and effective employees due to lack of motivation and employee job satisfaction aspect. Therefore, several legal agencies used to create different challenges for Tesco Plc. in its business operation process due to inadequate moral and ethical practices. Effects of low employee turnover It is true that, several organizational leaders or managers may think that low employee turnover rate is actually good for organizations. But, there are some hidden challenges that may be considered as internal challenges that can hamper the business performance of the organization in near future. It is true that global business environment is becoming highly competitive. Each and every organization within global business environment is trying to strengthen its workforce in order to gain effective business growth rate. Therefore, several organizations go for employee poaching as recruitment and selection of effective employees from other organization to build a strong workforce (Price, 2011, p.89). Low employee turnover rate also can be a major consequence of the limited interest of other organizations in the employees of that particular organization. It means that employees are not competent and skilled. This may create a serious impact on the business performance of an organization as low skilled and competent employees may cause the inadequate business performance of an organization. Effective staff retention strategies It is highly important for the management of each and every organization to retain its skilled and effective employee in order to maintain competitive position global business environment. There are several strategies that may be considered by the management of the organizations in order to retain employees. First of all, it is highly important for the organizational leaders and management to focus on the employee motivation aspect (Mullins, 2010, p.71). Employee motivation can be enhanced through some important aspects, such as standard compensation, reward distribution, effective performance appraisal and significant social recognition. The management of the organization should try to give appropriate salary or wage to the employees according to their efforts and performance level. In addition to this, the management of the organization should also consider rewards distribution aspect in order to influence the employees for better workplace performance (Robinson, 2006, p.82). This reward distribution aspect will help the organizations to influence several underperform employees to improve their workplace performance level. Effective performance appraisal for employees is another important motivational tool that can help the employees to improve their organizational workplace performances. Need for self-esteem and self-actualization of employees should also be fulfilled by the organizations. The management of the organization should try to give appropriate social value and social recognition to the performing employees based on their performance level. Effective communication approach between the top level management and employees are also required to retain effective and skilled employees. Effective organizational communication approach will help the organizational leaders to understand the needs and expectation of the employees. This aspect will help the management and the organizational leaders to adopt and implement effective leadership style in organization (Torrington, Hall, Taylor and Atkinson, 2009, p.98). It can help the employees to increase their skill and self-confidence level. These aspects will help the organizational management and leaders to increase the job satisfaction level of the employees. Last but not the least; the management of the organizational leaders and management should try to introduce decentralization and bottom-up communication approach in the decision making and strategy development process to maintain effective relationship between top level management and employees of the organization (Millmore, Lewis, Saunders, Thornhill and Morrow, 2007, p.101). Reflection of Assignment (Google) Google Plc. can be considered as one of the leading multinational organizations. The organization has introduced several diversified and differentiates products and services. The organization used to follow flatter human resource management process, in which the employees are given huge priority. But, Google has ranked fourth organization in terms of the high employee turnover rate. This aspect has increased the recruitment and selection activities of the organization. It is true that the management of Google effectively supports and motivates the employees of different culture to work freely. But, high employee turnover rate is increasing the business operation cost and time of Google. In addition to this, each and every time, the organizational leaders had to give extra efforts to train the fresher. It is increasing overall business operation cost. In addition to this, separated HRM functions, increase in employee poaching activities, introduction of strict legal employment policies and change in demographic nature within the organization has increased the employee turnover rate of Google. The organization needs to focus on these aspects in order to overcome recent internal HRM conflicts. References Beardwell, J. And Claydon, T., 2007. Human Resource Management: A contemporary approach. 5th Ed. Harlow: Pearson Education Ltd. Currie, D., 2006. Introduction to Human Resource Management; A Guide to Personnel Practice. London: CIPD. Marchington, M. and Wilkinson, A., 2008. Human Resource Management at Work – People Management and Development, 4th Edition, London: CIPD. Millmore, M., Lewis, P., Saunders, M. Thornhill, A and Morrow, T., 2007..Strategic Human Resource Management: Contemporary Issues. Harlow: Pearson Education Ltd. Muller-Camen, M., Croucher, R. and Leigh, S., 2008..Human Resource Management – A case study approach. London; CIPD. Mullins, L. J., 2010. Management and Organisational Behaviour. Harlow: Pearson Education Ltd. Price, A., 2011. Human Resource Management. United Kingdom; South-WesternCengage Learning. Robinson, I., 2006. Human Resource Management in Organisations. London: CIPD. Torrington, D., Hall, L., Taylor, S. and Atkinson, C., 2009. Fundamentals of Human Resource Management; Managing People at Work. Harlow: Pearson Education Ltd. Read More