Hr project

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Hr project

  1. 1. A Project on Employee Attrition and Retention at Protiviti Master of Business Administration (Human Resource Management)Submitted in partial fulfillment of the requirements for award of Masters of Business administration Tilak Maharashtra University, Pune. Submitted By Razina Bakhshi PRN NO: 07209007836 Ansal Institute of Technology, Gurgaon Guided by Ms. Pooja Sareen Tilak Maharashtra University Gultekdi, Pune – 411037 1
  2. 2. Tilak Maharashtra University, Pune (Deemed Under Section 3 of UGC Act 1956 Vide Notification No. F.9-19/85-U3 dated 24th April 1987 By the Government of India) Vidhyapeeth Bhavan, Gultekdi, Pune-411037 CERTIFICATEThis is to Certify that the project titled__________________________________ is a bonafide workcarried our by Mr./ Ms. ____________________________ astudent of Master of Business Administration Semester 3rd, Specialization____________________PRN.__________________ under TilakMaharashtra University, in the year 2010.Head of the Department Examiner Examiner Internal ExternalDate:Place: University 2
  3. 3. ACKNOWLEDGEMENTS I take this opportunity to express my sincere and heartfelt gratitude towards MsBhawana Pandey, Head HR, Protiviti for giving me the opportunity to complete my training atProtiviti., her contribution has been outstanding, in regards to invaluable advice on all aspects ofthe project. She stood as an embodiment of inspiration during my entire project within thecompany. I am also thankful to her for showing confidence in me and providing this opportunity. I also express my gratitude to Faculty Mentor, Ms. Pooja Sareen, Faculty ofManagement, under whose guidance I completed this project. She imparted her knowledge andguidance to me in the field of Human Resource and her support throughout my projectcompletion. Her guidance and active support has made it possible to complete the assignment.I would also like to express my thanks to Prof. R.K Yadav, Dean,Center of corporate Relation,Ansal Institute of technology for giving me an opportunity to gain practical knowledge aboutcorporate working through this project.Lastly special thanks to my family members for being extremely supportive during my trainingperiod. 3
  4. 4. INDEX1. RATIONALE OF THE STUDY…………………………………52. OBJECTIVE OF THE STUDY………………………………….8 • TITLE OF THE PROJECT • OBJECTIVE OF THE STUDY • SCOPE OF THE STUDY3. COMPANY PROFILE…………………………………………..104. REVIEW OF LITERATURE…………………………………..185. RESEARCH METHODOLOGY……………………………….29 • RESEARCH DESIGN • DATA COLLECTION METHODS • SAMPLING PLAN6. DATA ANALYSIS & INTERPRETATION……………………337. FINDINGS……………………………………………………….608. LIMITATIONS………………………………………………….629. RECOMMENDATIONS ANDSUGGESTION…………………………………………………….64 4
  5. 5. APPENDIX CHAPTER 1 RATionAlE of THE sTudy 5
  6. 6. Attrition is a universal phenomenon and no industry is devoid of it, but the degree fluctuatesfrom industry to industry on the basis of their capacity to manage low attrition rate. Attrition notonly affects the quality of service, but also leads to increased expenditure on training anddevelopment, thereby affecting the overall organizational performance. Several companies aretrying out different ways to manage low attrition rate. Be it an IT sector, or BPO, they are tryingout their ways to manage lower rate of attrition by creating a healthy work environment, work-life balance, corporate brand building and so on.There is a famous Chinese proverb which says that“If you want returns for 1 year, invest in crops.”“If you want returns for 10 years, invest in trees.”“But if you want returns for 100 years, invest in people”Yes, it is the people who hold key to success in today’s highly competitive world. Withincreasing attrition levels, it is necessary to have creative retention strategies.“PEOPLE” is the most important and valuable resource every organization has in the form of itsemployees. Dynamic people can make dynamic organizations. Effective employees cancontribute to the effectiveness of the organization Competent and motivated people can makethings happen and enable an organization to achieve its goals.Organizations like Protiviti have now started realizing that the systematic attention to humanresources is the only way to increase organizational efficiency in terms productivity, quality,profits and better customer orientation.HR can help deliver organizational excellence by focusing on learning, quality, teamwork, andthrough various employee friendly strategies.Call it short-sightedness, but the fact is that the countrys professionals, between 21 and 30, joinconsultancy industry today and quit, in a few weeks to join another. Theres a backlog of projectsin most departments as the employers lose their employee base. But what causes this high rate ofemployee turn-over in consultancies? What are the reasons behind this rapid erosion of loyaltyfactor? Should this be left untouched and unanswered? Can anything be done about it? We aretrying to find out solutions to all the above questions.Staff attrition (or turnover) represents significant costs to most organizations. It is odd, therefore,that many organizations neither measure such costs nor have targets or plans to reduce them. 6
  7. 7. Many organizations appear to accept them as part of the cost of doing business - a sign ofincreasing job mobility and decreasing staff loyalty perhaps, a matter to be regretted but just oneof those things. They add a sum in their budgets for temp staff and recruitment and forgetabout it.However, it seems to be one of the areas in which HR can make a difference - and one that canbe measured in quantifiable, financial terms against targets.An attrition rate in consultant Industry has become legendary. Indeed, the attrition rates in someIndian consultancies now reach 70%. This is an extreme figure but the average attrition rates inIndian consultancies are up around 30-40%.Today with a lot of MNC’s coming in India, the amount of competition has increased to such anextent that organizations have further aggrieved their stress on proper man management. Alongwith being competitive, the MNC’s have brought in a systematic approach to HR with the helpof technology utilization.This project has been accomplished in one of such MNC’s – Protiviti A global consulting andinternal audit firm specializing in risk and advisory services. Protiviti was facing a high rate ofattrition especially as the industry is recovering from downturn. Employees are coming across alot of job opportunities which tempt them to give a second thought to switching over a new job.Hence my study in protiviti gurgaon gave me an opportunity to understand attrition trend andreasons why employees leave an organization even though organizations put a lot of effort toretain them in the organization. Hence this fact motivated me to analyze measures which couldbe taken and are being taken to maintain the loyalty of employees towards organization.Therefore the overall purpose of this research report is to assess the gap between expectationsand experiences, from the employee perspective. 7
  8. 8. CHAPTER 2objECTivE of THE sTudy 8
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  10. 10. Title of the Project Employee Attrition and Retention at Protiviti Objective of the Project • To evaluate the present level of attrition by highlighting the formulae used by organization in calculating attrition rate • Critically analyze the causes and consequences of employee attrition. • To recommend measures so has to enhance the level of retention after analyze. Scope of the StudyTo study tools and technology used by Protiviti to calculate attrition rate and tool and techniquesused by organization for retaining its employees. The purpose of this study is to examine, at thefirm level, variables that have been linked to employee turnover in micro level investigations.Four categories of variables are considered: • firm characteristics, • firm setting, • work force characteristics, and • benefit practices 10
  11. 11. Thus, at Protiviti the issue is to analyze the attrition trend and the measures which can be takenby the organization to deal with the problem. The study was conducted in all the differentdepartments of protiviti randomly selecting 50 employees to get an overview of the reasons ofattrition. CHAPTER 3 PRofilE of THE ComPAny 11
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  13. 13. ProtivitiProtiviti is a global consulting and internal audit firm specializing in risk and advisory services.Protiviti customers are in the areas of finance, operations, technology, litigation, and governance,risk and compliance. Protiviti has offices in 61 major markets, with 33 in the United States and28 in the Americas, Asia-Pacific and Europe. The firm also has risk consulting partnerships withfirms in Abu Dhabi, Caracas, Dubai, Jakarta, Kuwait and Lima.HistoryThe company was established in 2002 when Robert Half International, Inc. agreed to hireapproximately 800 workers formerly with Arthur Andersen LLP, including more than 50individuals who had been Partners at Andersen. These workers had been affiliated with theinternal audit and business risk consulting practices of Andersen, which were operated separatelyfrom Andersen’s attestation and external audit services. These employees formed the base ofProtiviti. As of today protiviti Inc has more than 2900 professionals based in more than 60offices worldwide providing on location services, technologies and skills to clients all over theworld.Protiviti is a wholly owned subsidiary of Protiviti Inc. in India. The Parent company of protivitiInc. is Robert Half International Inc.(RHI)RHI was founded in 1948 and is the world’s first and largest specialized staffing firm. It is also arecognized leader in professional staffing and consulting services. RHI is listed on the New YorkStock Exchange.Protiviti Inc is a company incorporated in USA. As a wholly owned subsidiary of RHI, ProtivitiInc has grown to become the leading international provider of independent internal audit,business and technology risk consulting services. Protiviti Inc help companies worldwideidentify manage and measure operational and technology risks they face within their industriesand throughout their system and processes. The firm also offers a full spectrum of internal auditservices, technologies and skills for business risk management and continual transformation ofinternal audit functions. 13
  14. 14. Protiviti has dedicated itself to combine Protiviti Inc’s project management skills and internalaudit experience with RHI’s proven expertise in specialized staffing with the view to providingclients in Asia with process and technology improvement options never before available in theworld of traditional internal audit services. Protiviti also aims to help clients in Asia Seize newopportunities for growth and profitability through effective risk management.BrandingThe name of the company is a coined term that supposedly communicates the “key brandattributes” - professionalism and proactivity as well as independence and integrity. The uniquespelling with three "is" represents "Independence," which is perhaps the most importantconcept.”ServicesProtiviti services provide “the necessary business process, technology and specialized skills toaddress challenges related to financial and operational risk management; technology riskmanagement and effectiveness; GRC; and litigation, investigations, turnaround andrestructuring.”These solutions include: • Finance & Accounting Excellence • Risk & Compliance • Internal Audit & Financial Controls • Litigation, Restructuring & Investigative Services • Cost & Working Capital Optimization • Information Technology Effectiveness & ControlProtiviti also serves clients in the following industries: • Consumer Products & Retail 14
  15. 15. • Energy & Utilities • Financial Services & Real Estate • Healthcare & Life Sciences • Manufacturing, Distribution & Technology • Hospitality • Communications • Public ServicesAcquisitions: Millstones in the successful growth of Protiviti2005Protiviti acquired the Lender Advisory Services (LAS) practice from “RSM McGladrey” andintegrated it into its Credit Risk practice.2006Protiviti acquired Canada-based Creative Options and Radius, two companies that specialized inthe retail sector with a focus on loss prevention and employee awareness and training programs.Protiviti acquired P.G. Lewis & Associates LLC, a data forensics firm specializing in corporateinvestigations and litigation support.Protiviti announced that it had consolidated its public sector operations into a wholly ownedsubsidiary, Protiviti Government Services, Inc., and that this subsidiary had acquired “EnspierTechnologies, Inc.”, a company providing technology and management consulting servicesprimarily to government organizations.2007Protiviti acquired PENTA Advisory Services, LLC, whose specialties included restructuring andinsolvency services, litigation services, and bankruptcy-related tax and accounting. 15
  16. 16. ClienteleThe firm’s clients include more than 35 percent of all FORTUNE 100 companies, more than 25percent of all FORTUNE 500 companies and more than 20 percent of all FORTUNE 1000companies.Protiviti Offices are located worldwide: • United States • Asia Pacific • EuropeAffiliations and Collaborations 16
  17. 17. A.. .Mission StatementProtiviti’s mission statement is to constantly improve how business manages risk.VisionProtiviti’s vision is to be recognized as the premier global risk consulting and internal auditservice company.Protiviti Core Values • Professionalism: To be highly competent, honest, considerate, organized, polished and polite. • Productivity: 17
  18. 18. Protiviti gets things done and have a bias for action. • Proactivity: They seek new opportunities to add value, make a difference, meet and exceed client needs. • Objectivity: Protiviti consider multiple viewpoints before acting or deciding. • Creativity: Unconstrained but reasoned thinking. • Integrity: Protiviti Believe in doing the right thing even if it may compromise our short term profitability.Recognition:Protiviti Awards (United States)National  Recognized by The Black Collegian as one of the “Top 100 Employers for the Class of 2009” (2009)  Recognized by Business Week for three consecutive years as one of the "Best Places to Launch a Career" (2006-2008)  Recognized by Business Week as a company offering one of the "50 Best Internships" (2007)Regional  Named one of the “25 Best Places to Work” by Baltimore Magazine (2009) 18
  19. 19.  Named a "Best Place to Work in Los Angeles" by the Los Angeles Business Journal (2008) Named one of "Chicagos 101 Best and Brightest Companies to Work For" by the National Association for Business Resources (2008) Named a "Best Place to Work in Houston" by the Houston Business Journal for two consecutive years (2007 & 2008) Named a "Best Place to Work in Tampa Bay" by the Tampa Bay Business Journal for two consecutive years (2007 & 2008) Named a “Best Place to Work in South Florida” by the South Florida Business Journal (2008) Received an "Honorable Mention" in the Phoenix Business Journal’s "Best Places to Work in the Valley" contest (2007) Named a “Best Place to Work in Western Pennsylvania” by the Pittsburgh Business Times (2007) Named a “Best Place to Work in Dallas” by the Dallas Business Journal (2006) Hierarchical Model of Protiviti 19
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  21. 21. CHAPTER 4REviEw ofliTERATuRE 21
  22. 22. This chapter reviews literature relevant to the research objectives. It specifies the abstracts ofresearch conducted by eminent researchers with regards to the same topic.Cotton & Tuttle(1986),in their book “Employee Turnover –A meta analysis and review”presented a review on turnover at the individual- or job-level analysis, examining the cognitiveprocesses that precede a jobholders decision to leave a firm at the firm level, has been typicallyexamined the dysfunctional consequences of turnover, particularly its costs for employers. ButDalton, Krackhardt, & Porter (1981) in their book “Research in Organization behavior” haveargued that some employee attrition is functional (e.g.,; Dalton & Todor, 1979, 1982). Theyreason that employees who quit because of a recognized lack of fit between their abilities and jobdemands save managers and firms from further investment in efforts to provide training.Moreover, more costly senior employees can be replaced with less expensive, albeit often lessexperienced, junior employees.Dalton, Krackhardt, & Porter further states that regardless of the reason, turnover clearly isconsequential for organizations. It has been suggested that some solutions to problematicturnover may be linked to the manipulation of organizationally controlled variables. Further,turnover can be conceptualized as a behavior that is embedded in the context of a firm and itsenvironment, indicating that an understanding of context is critical to an understanding of thebehavior. Thus an argument can be made for the importance of examining turnover as a firm-level variable. There are, however, few published studies that take such a perspective. This voidhas been previously identified by Baron and Bielby (1980), in their paper presentation “Structureand opportunity” presented at Academy of management annual meeting at Stanford Universitywho argue that firm-level research provides the necessary bridge between investigationsconducted at an economic or industrial sector unit of analysis and research at the job orindividual level. Recently, Cappelli and Sherer (1991) in a research conducted on “ A firm levelanalysis of attrition” made a similar argument, suggesting that there has been little success in thepast decade at building bridges between macro- and micro levels of analysis.Employees today are different. They are not the ones who don’t have good opportunities in hand.As soon as they feel dissatisfied with the current employer or the job, they switch over to thenext job. It is the responsibility of the employer to retain their best employees. 22
  23. 23. “Any attrition in any form is bad for an organization. It means that a wrong choice was made atthe beginning" says NR Ganti Chairman and MD, SQL Star International.Studies from the Gallup organization (2009) show that employees who have an above-averageattitude toward their work will generate 38 percent higher customer satisfaction scores, 22percent higher productivity, and 27 percent higher profits for their companies.High attrition implies that certain necessary skills are vulnerable or are not present due toemployees being lost" says Vikram Bhardwaj, Managing Director, RedileonA survey from NAUKRI says, Employees do not leave an organization without any significantreason. There are certain circumstances that lead to their leaving the organization. The mostcommon reasons can be:  Job is not what the employee expected to be  Job and person mismatch  No growth opportunities  Lack of appreciation  Lack of trust and support in coworkers, seniors and management  Stress from overwork and work life imbalance  Compensation  New job offerAccording to a survey conducted by Greg Weiss, who is an HR consultant and principal ofHuman Management, in extensive interviews with HR directors at 30 companies found that mostcompanies have little real understanding of why employees leave. The statistics of his survey areas given below to understanding the importance of various reasons for exit.Reason for exit % of respondents Employee 08.03%Supervisor or line manager 38.15% 23
  24. 24. Compensation & Job Profile 53.82%Present Scenario of Attrition trendThe recovery of the economy after the recent global recession has not only put the Indianconsultancy industry on the path of fast growth, but also led to a high rate of attrition. Asemployees discontent with their pay pack are seeking greener pastures, most consulting firms areforced to launch a fresh recruitment drive to fill in the vacancies as well as enhance theirworkforce in the face of increased demands for their services globally.ABC Consultants CEO, Shiv Agarwal said that the trend was first noticed when the economybegan to recover from the worst ever global recession that plagued the world for two years, asprofessionals were seeking big leaps in their career. Employees are changing jobs because theyfeel that they have not been treated well by their companies during the recent economic slump.Consultants and HR directors alike agree that attrition rates in the consulting industry are likelyto worsen in 2010-2011, according to the latest in-depth industry survey from TopConsultant.comTop-Consultant.com director Tony Restell commented: "These staff loss figures explain whyrecruitment has become the number one issue for consulting firms. Most major brands arewinning work at fee rates that are far less profitable than during the last consulting boom. Thishas meant theyve been unable to reward staff across the board with major pay rises and sizeablebonuses. The knock-on effect of this is that many consultants are now seeing a move to acompetitor as the most likely way to enhance their earnings in the coming year. Most are notleaving the industry altogether – simply moving from one consulting employer to another. Butthe implication for consulting firms is that they need to hire 15%-20% of their existingheadcount over the next year, just to stand still." 24
  25. 25. Consultancy Industry is the backbone of the corporate world and provides a host of services,from auditing to business and tax advisory.With Indian economy growing fast, business is flourishing for professional services firms likeKPMG, PricewaterhouseCoopers (PwC), Ernst & Young and Deloitte, leading to scramble andin turn poaching for experienced professionals, with huge bonuses and lucrative promotions.Conceptual Understanding:WHAT IS ATTRITION?Attrition has been a major concern for most of the companies in the current competitive scenario.The word Attrition means, a reduction in the number of employees through resignation orseparation at the employees will. Retirement, VRS and employee leaving due to end of contractare not considered as attrition. Attrition rate is the rate of shrinkage in size or number. It is the mathematical representation ofthe attrition in a particular organization or an institution.Attrition leads to dual loss to an organization: • Firstly, company loses on a talent and thus costs incurred on them are a waste. • Secondly it employees a new employee and thus needs to incur costs on them.Cost Incurred due to attritionThus the following costs: A. Recruitment cost B. Training and development cost C. Administration costTypes of Attrition • Market Driven 25
  26. 26. Based on the demand for a particular skill. The typical initial reaction by employers to market driven attrition is to increase wages, offer better benefits, escape the market by relocation or site migration or relax hiring standards. • Workload or Stress Driven On the actual capacity to perform the work required. This is when there are not enough of the people. • Process Driven Variables associated with job design and/or the organization. In some industries and organizations there is a belief that attrition has always been there and always will be there. Addressing this scenario produces the most lasting results.ATTRITION AT PROTIVITI: Protiviti is an internal audit and risk consulting firm and thus attrition is a major concern. Asvery well known, salary has always been a major issue in almost all the sectors. But apart fromthe salary issues there are many reasons why people resign. Some of these are1. Performance goals are unclear. In a fast growing team or business the focus is on getting the thing done today, but rarely are performance goals thought through and employees told as to which resources to approach for help.2. Development is always tomorrows job. Culturally Indians are focused on learning. If learning adds value only to the job and not to the overall career goals of the individual then the organizations seems too transactional for the employee3. The personal touch is missing. How comfortable are managers building personal bonds with their subordinates? A lot of managers shy away fearing a bond will make delivering hard messages difficult. I would argue that its the other way round! Knowing employees on personal level makes a manager know their strengths and weaknesses. Work allocation and employee development become easier.4. Reward systems are not transparent. Most employees who get salary increases because they have a rare skill at a particular point of time think they got their raise for excellent performance. Can you share details about how they have been compensated? 26
  27. 27. 5. Perceived equity of reward systems is low. Like it or not, employees discuss salary details and if there is any perceived lack of equity then you have an issue !6. Goal setting process is not scientific. Most organizations impose a normal curve fitment, but do not train managers to set realistic goals or goals that tie up with organizational or functional goals.In order to understand the reasons for attrition at Protiviti a classification of the data is done andrepresented in the form of various tables and charts.The following data shows the attrition trend at Protiviti Attrition Analysis (Level Wise)Number of Leavers in 2010 by PositionJob Title No of people Total no of people Attrition % level left wiseSenior Consultant 4 20 3.1%Consultant In charge 11 28 8.5%Consultant 5 28 3.8%Support 2 16 1.5%RTS 4 15 3.1%Grand Total 26 107Analysis:42.30% of all leavers are at consultant In charge level. They however have the second longestaverage of length of service. This indicates that there is a thrust for speedy growth in terms oflevel of designation from consultant in charge to senior.X axis represents no of employees who left organizationY axis represents designation of employees who left organization 27
  28. 28. 12 10 8 6 4 2 0 senior consultant consultant incharge consultant supprt RTSAttrition Analysis – (Tenure wise)No of leavers in 2010 by tenure 28
  29. 29. Range(mths) No of ppl left Average experience 0-6 8 2.227 6-12 8 0.82 12-18 6 0.61 18-24 5 1.4 24-30 1 0 Total 28Analysis:Highest no of people left between the work tenure of 1year.Since they were at the initial level of their career and had an average experience of 1.52 years.This may indicate that employees were motivated to take other job offers which they would have 29
  30. 30. felt may provide them with better growth and compensation.Attrition Analysis – (Location wise) No of leavers in 2010 by LocationLocation No of people Left Attrition%Gurgaon 18 13.9%Mumbai 11 8.5%Bangalore 1 .77%AnalysisGurgaon showed the highest attrition rate of 13.9% while Bangalore showed the lowest with0.77%. This factor may indicate that employees were dissatisfied with the working condition or 30
  31. 31. the compensation packages because none of them were relocated while all of them gaveresignations.X axis represents No of employeesY axis represents locationMonthly Attrition RateLeavers in 2010(Month wise)Month No of employees Attrition%January 2 1.5%February 5 3.87%March 9 6.9%April 11 8.52%May 2 1.55%Total 29Analysis 31
  32. 32. Protiviti experienced a gradual increase in attrition rate with 1.5% in the month of January tillApril with 8.52%.But later in the month of may it again experienced a decrease in attrition ratewith 1.55% 12 10 8 6 4 2 0 Jan Feb March Apl MayCalculation of attrition Rate of Protiviti for 2010Formula used by the organizationNo of resignations / (Employee strength at the start of period +new joiners-resignations)No of resignations=31No of present employees=129 32
  33. 33. HenceAttrition Rate = 31/129*100 =24.03% CHAPTER 5 33
  34. 34. REsEARCHmETHodology 34
  35. 35. Research Process Review of Literature Research Concepts and TheoriesDefine Formulate Design ResearchResearch (Including Review previous HypothesisProblem sample design) research findings FF Analyze data (Test Interpret hypothesis if Collect Data and report any) • FF: Feedback 35
  36. 36. Research Methodology:It is a way to systematically solve the research problem. It may be understood as a science ofstudying how research is carried on. It is we study the various steps that are generally adoptedby a researcher in studying his research problem along with the logic behind it. Hence I usedQualitative and Quantitative approach. where qualitative approach gave me freedom to analyzethe attrition data of the company quantitatively while Qualitative approach helped in assessmentof attitude, opinion and behavior of employees.Research DesignThis study is an exploratory research, which is an attempt to provide insights into attrition trendsand practices followed at protiviti, Gurgaon. The study is basically an analysis of the employeeattrition and measures adopted to retain them in the organization. In this study representatives ofemployees working in different departments have been selected randomly.Data Collection Methods:The study relies on both primary and secondary data i.e. data collected afresh is referred to asthe primary data and secondary data thereby meaning reviewing literature and data alreadyavailable on the subject.PRIMARY DATA:The source of data collection was a questionnaire (for the primary data). The data was collectedby using structured questionnaires as well as interviewing the representatives from theemployees.Primary data was collected from the consultants, Consultant Incharge & support ie HR, Financeand administration department with a help of a survey was conducted among 50 employees usinghypothetical statements.SECONDARY DATA: 36
  37. 37. The secondary data was collected from the organizations manuals, journals, books andbrochures. For the theoretical overview various books on Employee Attrition & Retention wereconsulted. Internet has played a major role in finding facts related to the study of the project.Data Analysis:The response gathered by interacting with each respondent through questionnaires was thentabulated in the form of raw data chart i.e. through Bar Graphs and then the data was analyzed onthe basis of which the interpretations were made.After analyzing the interpretations the relevant findings and recommendations were arrived at.Sampling Plan:This project is based on random sampling. In this project the respondents as well as theDepartments from where the samples were to be selected were chosen in such a manner so as toensure that collection of the data could be as effective and efficient as possible. For the same Idecided to pick representatives from all Departments to cover as many people for the researchensuring that the results therefore achieved would be appropriate and accurate. • Sampling Unit: Employees of Protiviti. • Sample Size : 50. • Sample Method: Random Sampling. • Sample Place : Protiviti, Gurgaon. • Target Group: All non managerial staff ie consultants who can project the accurate picture of consultancy industryThe scope of the project extends to all the employees at Protiviti Gurgaon. 37
  38. 38. CHAPTER 6 dATA AnAlysis AndinTERPRETATion s 38
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  40. 40. Statement 1Employees give maximum importance to compensation package in their jobH0: There is no significant difference in respondent’s opinion regarding compensationpackages. 40
  41. 41. Respondents opinion and Expected opinion regarding significance of compensation inemployees job Column 1 2 3 TotalRow 1 Respondents 0 0 1 1 opinion Expected Opinion .2 .3 .4 1.0 2 Respondents 0 0 2 2 opinion Expected Opinion .4 .7 .9 2.0 3 Respondents 3 7 5 15 opinion Expected Opinion 3.3 5.1 6.6 15.0 4 Respondents 8 6 9 23 opinion Expected Opinion 5.1 7.8 10.1 23.0 5 Respondents 0 4 5 9 opinion Expected Opinion 2.0 3.1 4.0 9.0Total 11 17 22 50 11.0 17.0 22.0 50.0 Degree of Value Freedom Asymp. Sig. (2-sided)Pearson Chi-Square 9.739a 8 .284 41
  42. 42. Respondents opinion and Expected opinion regarding significance of compensation inemployees job Column 1 2 3 TotalRow 1 Respondents 0 0 1 1 opinion Expected Opinion .2 .3 .4 1.0 2 Respondents 0 0 2 2 opinion Expected Opinion .4 .7 .9 2.0 3 Respondents 3 7 5 15 opinion Expected Opinion 3.3 5.1 6.6 15.0 4 Respondents 8 6 9 23 opinion Expected Opinion 5.1 7.8 10.1 23.0 5 Respondents 0 4 5 9 opinion Expected Opinion 2.0 3.1 4.0 9.0Total 11 17 22 50 11.0 17.0 22.0 50.0 Degree of Value Freedom Asymp. Sig. (2-sided)Pearson Chi-Square 9.739a 8 .284 42
  43. 43. Respondents opinion and Expected opinion regarding significance of compensation inemployees job Column 1 2 3 TotalRow 1 Respondents 0 0 1 1 opinion Expected Opinion .2 .3 .4 1.0 2 Respondents 0 0 2 2 opinion Expected Opinion .4 .7 .9 2.0 3 Respondents 3 7 5 15 opinion Expected Opinion 3.3 5.1 6.6 15.0 4 Respondents 8 6 9 23 opinion Expected Opinion 5.1 7.8 10.1 23.0 5 Respondents 0 4 5 9 opinion Expected Opinion 2.0 3.1 4.0 9.0Total 11 17 22 50 11.0 17.0 22.0 50.0 Degree of Value Freedom Asymp. Sig. (2-sided)Pearson Chi-Square 9.739a 8 .284 43
  44. 44. INTERPRETATIONThe Calculated chi square value is 9.739Significance value is 0.284Significance Level is 0.05Above analysis depicts that significance value calculated through SPSS is higher thansignificance level thus hypothesis is accepted.This depicts that there wasn’t a significance difference in the opinion of the respondentsregarding compensation packages.Statement 2Too much travelling and eager to pursue higher education may be a significant reason forhigher rate of attritionH0: There are no significant differences in the opinion of the employees that too muchtravelling and pursuing of higher education is a reason for higher rate of attrition. 44
  45. 45. Respondents opinion and expected opinion regarding too much travelling and higher education areason for attrition Column 1 2 3 TotalRow 1 Respondents opinion 0 0 1 1 Expected Opinion .4 .4 .3 1.0 2 Respondents opinion 0 1 3 4 Expected Opinion 1.4 1.4 1.1 4.0 3 Respondents opinion 9 6 7 22 Expected Opinion 7.9 7.9 6.2 22.0 4 Respondents opinion 5 8 3 16 Expected Opinion 5.8 5.8 4.5 16.0 5 Respondents opinion 4 3 0 7 Expected Opinion 2.5 2.5 2.0 7.0Total 18 18 14 50 18.0 18.0 14.0 50.0 45
  46. 46. Chi-Square Tests Value df Asymp. Sig. (2-sided)Pearson Chi-Square 12.410a 8 .134N of Valid Cases 50a. 10 cells (66.7%) have expected count less than 5. The minimum expected count is .28.INTERPRETATION:The Calculated chi square value is 12.410Significance value is 0.134Significance Level is 0.05Above analysis depicts that significance value obtained through SPSS is higher than significancelevel thus hypothesis is accepted.This depicts that there wasn’t a significance difference in the opinion of the respondentsregarding too much travelling and higher education is a cause of higher attrition. 46
  47. 47. Statement 3Lack of appreciation/ recognition may trigger an employee’s decision to leave.H0: There is not a significant difference in the opinion of the employees that lack ofrecognition may trigger an employee’s decision to leave.Respondents opinion and expected opinion that lack of recognition may trigger an employee’sdecision to leave Column 1 2 3 TotalRow 2 Respondents 0 1 4 5 opinion Expected Opinion 2.3 1.2 1.4 5.0 3 Respondents 2 5 6 13 opinion Expected Opinion 6.1 3.2 3.7 13.0 4 Respondents 13 3 3 19 opinion Expected Opinion 8.9 4.7 5.4 19.0 5 Respondents 8 3 1 12 opinion Expected Opinion 5.6 2.9 3.4 12.0Total Respondents 23 12 14 49 opinion Expected Opinion 23.0 12.0 14.0 49.0 47
  48. 48. Chi-Square Tests Value Df Asymp. Sig. (2-sided)Pearson Chi-Square 18.475a 6 .005N of Valid Cases 50a. 8 cells (66.7%) have expected count less than 5. The minimum expected count is 1.22.INTERPRETATION:The Calculated chi square value is 18.475Significance value is 0.005Significance Level is 0.05Above analysis depicts that significance value obtained through SPSS is less than significancelevel thus hypothesis is rejected.This depicts that there was a significance difference in the opinion of the respondents regardingtoo much travelling and higher education is a cause of higher attrition.Statement 4Quality of supervision received by employees in the organization was “Good” 48
  49. 49. H0: There was not a significant difference in the opinion of the respondents regarding thestatement quality of supervision offered by organization.Respondent’s opinion and expected opinion regarding quality of supervision received byemployees in organizationRow 1 Respondents 0 0 1 1 opinion Expected Opinion .1 .4 .5 1.0 2 Respondents 0 1 2 3 opinion Expected Opinion .4 1.2 1.5 3.0 3 Respondents 2 5 12 19 opinion Expected Opinion 2.2 7.5 9.3 19.0 4 Respondents 4 12 2 18 opinion Expected Opinion 2.1 7.1 8.8 18.0 5 Respondents 0 2 8 10 opinion Expected Opinion 1.2 3.9 4.9 10.0Total Respondents 6 20 25 51 opinion Expected Opinion 6.0 20.0 25.0 51.0 49
  50. 50. Chi-Square Tests Value Df Asymp. Sig. (2-sided)Pearson Chi-Square 17.701a 8 .024N of Valid Cases 51a. 11 cells (73.3%) have expected count less than 5. The minimum expected count is .12.INTERPRETATION:The Calculated chi square value is 17.701Significance value is 0.024Significance Level is 0.05Above analysis depicts that significant value obtained through SPSS is less than significant levelthus hypothesis is rejected.This depicts that there was a significant difference in the opinion of the respondents regardingquality of supervision provided by organization some where satisfied while others were not. 50
  51. 51. Statement 5Better superior subordinate relationship can reduce attritionH0: There is no significant difference in opinion of the respondents regarding bettersuperior subordinate relationship can reduce attrition 51
  52. 52. Respondents response and Expected response superior-subordinate relationship a cause forattrition Column 1 2 3 TotalRow 1 Respondents 0 0 1 1 opinion Expected Opinion .1 .2 .7 1.0 2 Respondents 1 1 5 7 opinion Expected Opinion .8 1.4 4.8 7.0 3 Respondents 2 4 8 14 opinion Expected Opinion 1.7 2.8 9.5 14.0 4 Respondents 2 2 12 16 opinion Expected Opinion 1.9 3.2 10.9 16.0 5 Respondents 1 3 8 12 opinion Expected Opinion 1.4 2.4 8.2 12.0Total 6 10 34 50 6.0 10.0 34.0 50.0 52
  53. 53. Respondents response and Expected response superior-subordinate relationship a cause forattrition Column 1 2 3 TotalRow 1 Respondents 0 0 1 1 opinion Expected Opinion .1 .2 .7 1.0 2 Respondents 1 1 5 7 opinion Expected Opinion .8 1.4 4.8 7.0 3 Respondents 2 4 8 14 opinion Expected Opinion 1.7 2.8 9.5 14.0 4 Respondents 2 2 12 16 opinion Expected Opinion 1.9 3.2 10.9 16.0 5 Respondents 1 3 8 12 opinion Expected Opinion 1.4 2.4 8.2 12.0Total 6 10 34 50 6.0 10.0 34.0 50.0 53
  54. 54. Respondents response and Expected response superior-subordinate relationship a cause forattrition Column 1 2 3 TotalRow 1 Respondents 0 0 1 1 opinion Expected Opinion .1 .2 .7 1.0 2 Respondents 1 1 5 7 opinion Expected Opinion .8 1.4 4.8 7.0 3 Respondents 2 4 8 14 opinion Expected Opinion 1.7 2.8 9.5 14.0 4 Respondents 2 2 12 16 opinion Expected Opinion 1.9 3.2 10.9 16.0 5 Respondents 1 3 8 12 opinion Expected Opinion 1.4 2.4 8.2 12.0Total 6 10 34 50 6.0 10.0 34.0 50.0 54
  55. 55. Chi-Square Tests Value Df Asymp. Sig. (2-sided)Pearson Chi-Square 2.302a 8 .970N of Valid Cases 50a. 12 cells (80.0%) have expected count less than 5. The minimum expected count is .12.INTERPRETATION:The Calculated chi square value is 2.302Significance value is 0.0970Significance Level is 0.05Above analysis depicts that significant value obtained through SPSS is greater than significantlevel thus hypothesis is accepted.This depicts that there wasn’t a significant difference in the opinion of the respondents regardingthe thought that better superior-subordinate relationship can reduce attrition. 55
  56. 56. Statement 6Companies “merit review process” was not satisfactoryH0: There is no significant difference in the opinion of the respondents about the meritreview process of the organization 56
  57. 57. Respondents response and Expected response regarding merit review process of the organization Column 1 2 3 Totalrow 1 Respondents 0 0 1 1 opinion Expected Opinion .1 .2 .7 1.0 2 Respondents 2 2 2 6 opinion Expected Opinion .8 1.2 4.0 6.0 3 Respondents 2 5 10 17 opinion Expected Opinion 2.3 3.3 11.3 17.0 4 Respondents 2 2 15 19 opinion Expected Opinion 2.6 3.7 12.7 19.0 5 Respondents 1 1 6 8 opinion Expected Opinion 1.1 1.6 5.3 8.0Total Respondents 7 10 34 51 opinion Expected Opinion 7.0 10.0 34.0 51.0 57
  58. 58. Respondents response and Expected response regarding merit review process of the organization Column 1 2 3 Totalrow 1 Respondents 0 0 1 1 opinion Expected Opinion .1 .2 .7 1.0 2 Respondents 2 2 2 6 opinion Expected Opinion .8 1.2 4.0 6.0 3 Respondents 2 5 10 17 opinion Expected Opinion 2.3 3.3 11.3 17.0 4 Respondents 2 2 15 19 opinion Expected Opinion 2.6 3.7 12.7 19.0 5 Respondents 1 1 6 8 opinion Expected Opinion 1.1 1.6 5.3 8.0Total Respondents 7 10 34 51 opinion Expected Opinion 7.0 10.0 34.0 51.0 58
  59. 59. Chi-Square Tests Value Df Asymp. Sig. (2-sided)Pearson Chi-Square 6.464a 8 .595N of Valid Cases 51INTERPRETATION:The Calculated chi square value is 6.464Significance value is 0.595Significance Level is 0.05Above analysis depicts that significant value obtained through SPSS is greater than significantlevel thus hypothesis is accepted.This depicts that there wasn’t a significant difference in the opinion of the respondents regardingthe merit review process of the organization as the employees feel that they are not provided withtheir performance picture clearly.Statement 7 59
  60. 60. Employees are very much satisfied with the incentives, pay and fringe benefits offered byorganization.H0: There is no significant difference in the opinion of the respondents regardingsatisfaction of the incentives offered by organization.Respondents opinion and Expected opinion regarding Incentives offered byorganization Column 1 2 3 Totalrow 1 Respondents 0 0 1 1 opinion Expected Opinion .1 .2 .7 1.0 2 Respondents 1 0 3 4 opinion Expected Opinion .4 .7 2.9 4.0 3 Respondents 3 5 9 17 opinion Expected Opinion 1.7 3.1 12.2 17.0 4 Respondent 1 3 15 19 Expected 1.9 3.4 13.7 19.0 5 Respondent 0 1 8 9 Expected .9 1.6 6.5 9.0Total 5 9 36 50 5.0 9.0 36.0 50.0 60
  61. 61. Chi-Square Tests Value df Asymp. Sig. (2-sided)Pearson Chi-Square 7.195a 8 .516N of Valid Cases 50a. 12 cells (80.0%) have expected count less than 5. The minimum expected count is .10.INTERPRETATION:The Calculated chi square value is 7.195Significance value is 0.516Significance Level is 0.05Above analysis depicts that significant value obtained through SPSS is greater than significantlevel thus hypothesis is accepted.This depicts that there wasn’t a significant difference in the opinion of the respondents regardingthe incentives offered by organization to the employees. This is an indicator for the organizationthat stress upon the employee engagement plans rather than just focusing on incentives and otherbenefits.Statement 8 61
  62. 62. Lack of company’s ability to discover and utilize employee’s talent and potentialcontributed in high rate of attrition.H0: There is no significant difference in the opinion of the respondents regardingcompany’s ability to discover employee’s talent contribute in high rate of attrition Respondents opinion and Expected opinion on companies talent analyzing ability Column 1 2 3 Totalrow 1 Respondents 0 0 1 1 opinion Expected Opinion .1 .2 .7 1.0 2 Respondents 0 1 7 8 opinion Expected Opinion .8 1.6 5.6 8.0 3 Respondents 2 5 7 14 opinion Expected Opinion 1.4 2.8 9.8 14.0 4 Respondents 2 3 10 15 opinion Expected Opinion 1.5 3.0 10.5 15.0 5 Respondents 1 1 10 12 opinion Expected Opinion 1.2 2.4 8.4 12.0Total 5 10 35 50 5.0 10.0 35.0 50.0 62
  63. 63. Chi-Square Tests Value df Asymp. Sig. (2-sided)Pearson Chi-Square 5.935a 8 .655N of Valid Cases 50a. 11 cells (73.3%) have expected count less than 5. The minimum expected count is .10.INTERPRETATION:The Calculated chi square value is 5.935Significance value is 0.655Significance Level is 0.05Above analysis depicts that significant value obtained through SPSS is greater than significantlevel thus hypothesis is accepted.This depicts that there wasn’t a significant difference in the opinion of the respondents and mostof the employees believe that company was not able to utilize their talent to the fullestStatement 9Forming grievance handling committees can help in reducing attrition rate 63
  64. 64. H1: There is no significant difference in the opinion of the employees that forming agrievance handling committee can reduce attrition Respondent opinion and Expected opinion regarding grievance handling committee Column 1 2 3 TotalRow 1 Respondents opinion 0 1 1 2 Expected opinion .2 .4 1.4 2.0 2 Respondents opinion 0 1 2 3 Expected opinion .3 .6 2.1 3.0 3 Respondents opinion 2 4 12 18 Expected opinion 1.8 3.6 12.6 18.0 4 Respondents opinion 2 2 14 18 Expected opinion 1.8 3.6 12.6 18.0 5 Respondents opinion 1 2 6 9 Expected opinion .9 1.8 6.3 9.0Total Respondents opinion 5 10 35 50 Expected opinion 5.0 10.0 35.0 50.0 64
  65. 65. Chi-Square Tests Value df Asymp. Sig. (2-sided)Pearson Chi-Square 2.817a 8 .945N of Valid Cases 50a. 12 cells (80.0%) have expected count less than 5. The minimum expected count is .20.INTERPRETATION:The Calculated chi square value is 2.817Significance value is 0.945Significance Level is 0.05Above analysis depicts that significant value obtained through SPSS is greater than significantlevel thus hypothesis is accepted. 65
  66. 66. This depicts that there wasn’t a significant difference in the opinion of the respondents and mostof the employees were of the opinion that organization must initiate a grievance handlingcommittee.Statement 10Job rotation, employee engagement and monthly get together can be an effective tool inreducing attrition level.H0: There is no significant difference in the respondent’s opinion that job rotation,employee engagement and monthly get together can be an effective tool in reducingattrition level 66
  67. 67. Respondents opinion and Expected opinion about effective tools in reducing attritionlevel Column 1 2 3 Totalrow 1 Respondents opinion 0 0 1 1 Expected opinion .1 .2 .7 1.0 2 Respondents opinion 1 2 5 8 Expected opinion .8 1.6 5.6 8.0 3 Respondents opinion 2 3 12 17 Expected opinion 1.7 3.4 11.9 17.0 4 Respondents opinion 2 4 9 15 Expected opinion 1.5 3.0 10.5 15.0 5 Respondents opinion 0 1 8 9 Expected opinion .9 1.8 6.3 9.0Total Respondents opinion 5 10 35 50 Expected opinion 5.0 10.0 35.0 50.0 67
  68. 68. Chi-Square Tests Value df Asymp. Sig. (2-sided)Pearson Chi-Square 3.172a 8 .923N of Valid Cases 50a. 11 cells (73.3%) have expected count less than 5. The minimum expected count is .10.INTERPRETATION:The Calculated chi square value is 3.172Significance value is 0.923Significance Level is 0.05Above analysis depicts that significant value obtained through SPSS is greater than significantlevel thus hypothesis is accepted.This depicts that most of the employee think if organization introduces activities such as jobrotation, employee engagement etc attrition level can be decreased. 68
  69. 69. PEARSON’s RANK CORELATIONCOEFFICIENTFactors Researcher’s Respondent’s D (D)^2 Rank RankCompensation Packages 1 2 -1 1Lack of challenges 3 8 -5 25Specific grievance 4 6 -2 4Organization Culture 5 3 2 4Job Security 6 1 5 25Perusing higher education 7 4 3 9Transfer to non desirable 8 9 -1 1placeLack of Training 9 5 4 16 85R1 = researcher’s RankR2 = Respondent’s RankD = difference between R1 and R2N = Number of factorsTest Calculations:P= 1-6ΣD2/(n3 -n)P=1-(660/720)P=0.0834Result:There is a positive correlation between the ranks given by respondents and researchers. 69
  70. 70. Major Causes of Attrition FACTORS LEADING TO ATTRITIONINDIVIDUAL ORGANIZATIONAL BETTER PAY ROLE RELATED OTHERS PACKAGE EXTENSIVE LEADERSHIP PARENTS / TRAVELLING STYLE OF BOSS SPOUSE MOBILITY JOB STRESS CULTURAL HIGHER MISMATCH EDUCATION MONOTONOUS NO GROWTH/ JOB STAGNATION NO ROLE CLARITY PAY PACKAGE ROLE DIFFERENT THAN DEFINED NO LEANING 70
  71. 71. Measures Adopted by Protiviti to reduce attrition• Protiviti gives opportunity to employees to pursue higher education while working: Employees who have worked with protiviti for minimum 3 years are offered an executive MBA program at S.P jain institute of management so that they can grow academically while gaining work experience.• Fun at work: “All work and no play make Jack a dull boy”. Employees spend almost 8-9 hours of the day at their work place. It is very important that the employees are given opportunities to have fun at work. Hence HR at protiviti organizes occasional parties such as diwali party, New Year parties, team parties and onsite picnics once a year.• Periodic rewards or gifts for work done: Protiviti provides periodic appraisals to employees who are consistent good performers in terms of monetary benefits. This helps employees to realize that their efforts are being appreciated and recognized.• Protiviti provides an extensive and comprehensive training program to employees : Protiviti provides a comprehensive training to employees at level in hierarchical level which help them to understand their job better and help them to get equipped with new technology. 71
  72. 72. • Open Communication: A culture of open communication enforces loyalty among employees. Open communication tends to keep employees informed on key issues. Most importantly, they need to know that their opinions matter and that management is 100% interested in their input.Diagnosing Attrition at protiviti:Protiviti consulting pvt ltd is a firm with small setup in India. Hence it has been relying solely onthe tool of Exit Interviews in order to diagnose the problem of attrition. But as the organization isgrowing and is being affected with the problem of attrition like the other firms in the industry asthe industry is experiencing an upturn in growth after a period of recession. it needs to developdifferent techniques to analyze the reasons of attrition.Protiviti uses this tool to diagnose attrition:Exit InterviewsExit interviews are used by the majority of companies. They tend to be conducted just before anemployee leaves, though some firms wait until after the departure. Exit interviews will normallyto be done in the form of a questionnaire, though one to one interviews are also used. Recentyears have seen the appearance of internet based exit interview questionnaires. Unfortunately,research shows exit interviews to be unreliable, as departing employees opt to give sociallyacceptable reasons rather than genuine ones. It is rarely in the employees best interests to giveany negative reason for leaving at this stage. The need for references is often paramount, and notworth putting at risk, by giving the real reasons. In addition, departing employees may beunwilling to devote much time to completing detailed questionnaires, resulting in incompleteanswers. The end result will often be a large number of departures apparently due to an offerthey simply could not refuse, or in the wider context, career advancement. Thus organizationaldata from typical exit interviews fails to surface the ‘real’ causes of an organizations attritionproblems. When organizations unknowingly misdiagnose the situation and fail to surface themost critical factors that contribute to attrition, their solutions to correct the problem fall short of 72
  73. 73. the mark. The result is a bad diagnosis leading to improper prescriptions. Designing a better exitinterview involves:1. Ensure confidentiality2. Anonymous if possible3. Provide a small incentive4. Focus on improving conditions for colleagues.Attrition diagnosing Techniques which can be used byprotiviti to reduce attrition 1. QuestionnairesThey are commonly used as part of the information gathering process. They are a reasonable wayof obtaining relevant information, though response rates are often disappointing. Questionnairesneed to be designed carefully to be effective. They should be easy to use, anonymous and fairlybrief. Questions can be open or closed, multiple choice answers, ranking of items or checklistformat.Steps for conducting questionnaire survey:1. Determine the information needed2. Choose the type of questions3. Create the precise questions4. Check readability5. Design for analysis6. Test7. Adjust if necessary8. Prepare data summary9. Distribute 2. Focus GroupsIt is a good way to acquire qualitative information, rather the quantitative data that a surveyproduces. Focus groups are inexpensive when compared to say interviews and take less time to 73
  74. 74. prepare. A focus group provides an opportunity for a small number of people to discuss issuesrelating to employee turnover and retention. An added benefit of focus groups is that they can beused to generate new ideas, discussing possible solutions as well as diagnosing causes. For largercompanies you will need to conduct a series of focus groups in order to get a reasonable sample. 3. Nominal Group TechniqueOne particular type of focus group process is the nominal group technique. This is especiallyuseful in determining the key drivers of employee turnover. Procedure for conducting NGT is asfollows:1. Each member of the group is asked to write down reasons why colleagues have left2. The facilitator goes round the group asking each person in turn for their first reason .3. The facilitator uses a flip chart to document the reasons .4. They then repeat for each persons second reason and so on.5. These lists are then clearly displayed for everyone to see. 6. Group members are then asked to choose the most important reasons after carefulconsideration of all those listed7. They rank these in order of importance Scores calculated by awarding a set number of pointsfor no1, no2 etc, then totally the number of points for each reason 4. Attitude SurveysThe use of surveys to measure employee engagement or commitment is gaining in popularity.The research suggests commitment is a reasonable predictor of turnover if considered across alarge enough group. Unfortunately surveys are not always reliable and response rates aresometimes disappointing. One difficulty with attitude surveys is knowing which areas to focusupon. It is usually sensible to conduct some form of qualitative information gatheringbeforehand, in order to get an idea of which issues you should be asking about. Surveys tend toask the importance of each issue, in addition to rating how the company is performing on thatissue. 74
  75. 75. CHAPTER 7findings 75
  76. 76. Findings• Employees give a lot of importance to compensation package in their job.• Extensive travelling which forms 70% of the consultant’s job appears to be a significant reason for high rate of attrition in consultancy industry.• Lack of appreciation /recognition may trigger an employee’s decision to leave an organization.• Employees doesn’t seem to be satisfied with the quality of supervision received by them• .By improving superior-subordinate relationship can help reduce attrition.• Organization paying less attention in providing sufficient feedback to employees about their performance between merit reviews could be a factor increasing employee’s dissatisfaction.• Sometimes organizations inability to discover and utilize employee’s potential contributes in high rate of attrition.• Employees believe that by forming grievance handing committees with whom they can share and discusses their grievances can help in reducing attrition rate.• Prospects of career progression in organization forms an integral part of retention tactics.• The factors that currently attract and retain people are opportunities to learn and grow.• Increasing the compensation packages and fringe benefits periodically can effectively tackle attrition. 76
  77. 77. • Providing employees with an opportunity for higher education is one of the important factors with regards to reducing attrition.• There exists a positive correlation between the ranks given by researcher and the respondents i.e., both sides agree to ranking of factors that can help in bringing a check on attrition levels. CHAPTER 8 limiTATion 77
  78. 78. 78
  79. 79. Limitations of the Study • Collecting information from people during working hour was really difficult. • Employees may have not given the correct answers for some questions due to hesitation. • Some questions were left blank in the questionnaire. So it created obstacles during analysis. • The organizations are very reluctant to give us the internal data of their employees. So exact information could not be made out from them.1. 79
  80. 80. CHAPTER 9RECommEndATio ns & suggEsTions 80
  81. 81. Recommendations & SuggestionsFew suggestions that would help in reducing attrition: 1. An employee would work tirelessly for the company if he is being made aware that he is an important part of the team. 2. Constant constructive feedback would help employees to analyze their weak points 3. Award them with recognition if an employee has done something valuable. Don’t wait for too long. 4. Be in touch with your employees and help them when in need. 5. Organization must help employees acquire new skills so that organization goals could be matched up with individual goals by providing required training. 6. An organization should be aware of the needs of the employees before it can launch its retention plans for them. 7. HR must take certain measures to reduce employee stress level by organizing seminars on stress reduction, yoga, one day camps, picnics etc. 8. Employee retention tools such as job rotation, employee engagement must be introduced in the organization in order to equip employees with the trait of multitasking. 9. Hr must design an attractive compensation package according to the job discripsion of the employees. 10. If you are to conduct an exit interview, it is far better to get a neutral third party to conduct them. This might help to improve the reliability of exit interviews. 81
  82. 82. BIBLIOGRAPHYBooks Referred: • Phillips Jack,(2003) “A strategic accountability approach” Elsevier Science & Technology, • Ahlrichs Nancy(2000)”Competing for Talent” Davies-Black Publishing • Managing Employee Retention - Phillips & Connell • Peter W Horn(1995)”Employee turnover” South-Western College Publishing • Kothari, C.R.(2004), “Research Methodology”, New Age International Publishers, New Delhi, Second Revised Edition, pp.15-16. • Rao , V.S.P.(2009), “Organizational Behaviour”, Excel Books, New Delhi, First Edition, pp.465-482Sites Referred:www.citehr.comwww.managementparadise.com 82
  83. 83. http://timesascent.in/index.aspx?page=article&sectid=64&contentid=20081015200811131346302515b929eddhttp://www.recrion.co.uk/solutions/attrition/the-actual-cost-of-employee-attrition-rates/http://eric.ed.gov/ERICWebPortal/search/detailmini.jsp?_nfpb=true&_&ERICExtSearch_SearchValue_0=ED051449&ERICExtSearch_SearchType_0=no&accno=ED051449 Appendix QUESTIONNAIRE1. Employees give maximum importance to compensation package in their job Strongly agree Somewhat Agree Neutral Somewhat Disagree Strongly Disagree Don’t know2. Too much travelling and eager to pursue higher education may be a significant reason forhigher rate of attrition 83
  84. 84. Strongly agree Somewhat Agree Neutral Somewhat Disagree Strongly Disagree Don’t know3. Lack of appreciation/ recognition may trigger an employee’s decision to leave. Strongly agree Somewhat Agree Neutral Somewhat Disagree Strongly Disagree Don’t know4. Quality of supervision received by employees in the organization was “Good” Strongly agree Somewhat Agree Neutral Somewhat Disagree Strongly Disagree Don’t know5. Better superior subordinate relationship can reduce attrition Strongly agree Somewhat Agree 84
  85. 85. Neutral Somewhat Disagree Strongly Disagree Don’t know6. Companies “merit review process” was not satisfactory Strongly agree Somewhat Agree Neutral Somewhat Disagree Strongly Disagree Don’t know7. Employees are very much satisfied with the incentives, pay and fringe benefits offered byorganization. Strongly agree Somewhat Agree Neutral Somewhat Disagree Strongly Disagree Don’t know8. Lack of company’s ability to discover and utilize employee’s talent and potential contributedin high rate of attrition. Strongly agree 85
  86. 86. Somewhat Agree Neutral Somewhat Disagree Strongly Disagree Don’t know9. Forming grievance handling committees can help in reducing attrition rate Strongly agree Somewhat Agree Neutral Somewhat Disagree Strongly Disagree Don’t know10. Job rotation, employee engagement and monthly get together can be an effective tool inreducing attrition level. Strongly agree Somewhat Agree Neutral Somewhat Disagree Strongly Disagree Don’t know11. What do you think, the reasons for an employee leaving the organization? (Rate the following from the top most priority and the least 86
  87. 87. CompensationRecognition for work doneLack of challengeSpecific grievanceMentoring RelationshipsToo much travelOrganization CultureDissatisfaction with type of workJob SecurityPERSONAL INFORMATION: i. NAME: ii. AGE: iii. SEX: iv. DESIGNATION:Thank you for giving your valuable time for us which we really appreciate. 87

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