Employee Retention Models and Factors Affecting …

1 Employee Retention Models and Factors Affecting Employees Retention in IT Companies R a mi n d e r K a u r Ph . D S c h o la r ( M a n a g e me n t ) ( 2 0 1 4 -2017) K a li n g a U n i v e r si t y , R a i p u r, C . G . E n r o l l m e n t N o . 1 5 0 2 1 1 2 8 ( K U 0 0 2 M M X I V 0 2 0 1 0 6 8 0 ) Abstract E mp lo ye e Re t e nt io n is a p r o c e s s in w h ic h t he e mp lo ye e s a r e e nc o u r a g e d t o r e ma in w it h t h e o r g a n iz a t io n fo r t he ma x i mu m p e r io d o f t ime o r u nt il t he c o mp le t io n o f t he p r o je c t . Re t e nt io n S t r a t e g ie s he lp s o r g a n iz a t io n s p r o v id e e f fe c t ive e mp lo ye e c o mmu n ic a t io n t o imp r o v e c o m m it me nt a n d e n ha n c e w o r k fo r c e su p p o r t fo r k e y c o r p o ra t e in it ia t iv e s.

2 T he se p o lic ie s, w he n o r g a n iz e d a nd d is s e mi n a t e d in a n e a s i l y u s e d fo r m, c a n s e r ve t o p r e e mp t ma n y m is u nd e r st a nd i n g s b e t w e e n e mp lo ye e s a n d e mp lo ye r s a bo u t t he ir r ig ht s a nd o b l ig a t io ns in t he bu s in e ss p la c e . I t is t e mp t ing , a s a ne w s ma l l bu s in e s s o w ne r , t o fo c u s o n t he c o nc e r ns o f t h e bu s in e s s a t h a nd , a n d p u t o ff t he t a s k o f w r it in g u p a h u ma n r e so u r c e p o lic y. T h is st u d y w i l l a t t e mp t t o st u d y t he va r io u s is su e s r e la t e d t o e mp lo ye e r e t e nt io n in I T c o mp a n i e s o p e r a t ing in I nd ia . International Journal of Business Administration and Management.

3 ISSN 2278-3660 Volume 7, Number 1 (2017), Research India Publications 1611. I ntr od ucti on S u lt a na N a z ia & Bu s hr a Be g u m ( 2 0 1 3 )1 h a d g iv e n in t h e ir p a p e r t h a t E mp lo ye e r e t e nt io n is a n e f fo r t b y a b u s in e s s t o ma int a in a w o r k in g e n v ir o n me nt w h ic h su p p o r t s c u r r e nt st a ff in r e ma in in g w it h t he c o mp a n y. Ma n y e mp lo ye e r e t e nt io n p o lic ie s a r e a i me d a t a d d r e s s in g t h e va r io u s n e e d s o f e mp lo ye e s t o e n ha n c e t he ir j o b sa t is fa c t io n a n d r e d u c e t h e su b st a nt ia l c o st s in vo lv e d in h ir in g a nd t r a in in g ne w st a ff. I t is a p r o c e s s in w h ic h t he e mp lo ye e s a r e e nc o u r a g e d t o r e ma in w it h t h e o r g a n iz a t io n fo r t he ma x i mu m p e r io d o f t ime o r u nt il t he c o mp le t io n o f t he p r o je c t.

4 Re t e nt io n S t r a t e g ie s h e lp s o r g a n iz a t io ns p r o v id e e ffe c t iv e e mp lo ye e c o m mu n ic a t io n t o imp r o v e c o m m it me nt a n d e n h a n c e w o r k fo r c e su p p o r t fo r k e y c o r p o r at e in it ia t iv es. A c c o r d ing t o G e t Le s Mc K e o n, e mp lo ye e r e t e nt io n is d e f in e d a s " A s yst e ma t ic e ffo r t b y e mp lo ye r s t o c r e a t e a nd fo st e r a n e n v ir o n me nt t ha t e nc o u r a g e s c u r r e nt e mp lo ye e s t o r e ma in e mp lo ye d b y h a v in g p o lic ie s a nd p r a c t ic e s in p la c e t h a t a d d r e ss t he ir d iv e r se n e e d s. T he c o st s a s so c ia t e d w it h t u r no ve r ma y in c lu d e lo st c u st o me r s , bu s in e s s a nd d a ma g e d mo r a le.

5 I n a d d it io n, t he r e a r e t he h a r d c o st s o f t ime sp e nt in s c r e e n in g , ve r i f y in g c r e d e nt ia ls, r e fe r e nc e s, int e r v ie w in g , h ir in g a nd t r a in in g t h e ne w e mp lo ye e ju st to get back to where you started. A lso o f c o nc e r n a r e t he c o st s o f e mp l o ye e t u r no ve r ( in c lu d in g h ir i n g c o st s& p r o d u c t iv it y lo s s) . Re p la c e me nt c o st s u su a l l y a r e 2 . 5 t ime s t h e sa la r y o f t h e in d iv id u a l. T he r e fo r e , e m p lo ye e r e t e nt io n is e ffo r t b y a bu s in e s s t o ma int a in a w o r k in g e n v ir o n m e nt w h ic h s u p p o r t s c u r r e nt st a f f in r e ma in in g w it h t he c o mp a n y. 1S u lt a na N a z ia & Bu s hr a B e g u m ( 2 0 1 3 ) , Employee Retention PRACTICES IN INDIAN CORPORATE A study OF SELECT MNCs , International Journal of Engineering and Management Sciences, Vol 4 N0 3, pp.

6 361-368. International Journal of Business Administration and Management. ISSN 2278-3660 Volume 7, Number 1 (2017), Research India Publications 1622. Ob ject ives a nd Res e arc h M et hod ol ogy O b j e c t i v e s o f S t u d y i. E xa m in e t he s c e na r io o f E mp lo ye e s Re t e nt io n in I nd ia n I T c o mp a n ie s. i i. I d e nt if y t h e ma jo r mo d e ls o f E mp lo ye es Retention . i i i. T o fin d o u t t he ma jo r fa c t o r s a ffe c t ing t h e E mp lo ye e s r e t e nt io n in I T c o mp a n ie s. R e s e a rc h M e t h o d o lo g y Re s e a r c h me t ho d s c a n be c la s s i f ie d in d i f fe r e nt w a ys, t he mo st c o mmo n d ist inc t io n is be t w e e n t he q u a nt it a t iv e a nd t he q u a l it a t ive a p p r o a c hes ( M ye r s, 2 0 0 72).

7 Q u a nt it a t iv e a p p r o a c he s w e r e o r ig in a l l y u s e d w h i le st u d yin g na t u r a l sc ie n c e s l ik e : la bo r a t o ry e xp e r i me nt s, s u r ve y me t ho d s a nd nu me r ic a l me t ho d s. A q u a l it a t iv e st u d y is u se d w he n t he r e se a r c h e r w a nt s t o g e t a d e e p e r u nd e r st a nd i n g o n a s p e c i f ic t o p ic o r s it u a t io n. M ye r s ( 2 0 0 7 )3 st a t e d t ha t t he q u a l it a t ive a p p r o a c h w a s d e v e lo p e d in so c ia l sc ie n c e s in o r d e r t o su p p o rt t he r e s e a r c h e r in st u d ie s in c lu d in g c u lt u r a l a nd so c ia l p h e no me n a . S o u r c e s in c lu d e d in t h e q u a l it a t iv e a p p r o a c h a r e int e r v ie w s, questionnaires, observations, documents and the researcher s i mp r e s s io n a nd r e a c t io n s.

8 T h e c ho se n a p p r o a c h is q u a l it a t iv e . Q u a li t a t i v e re se a r c h t yp ic a l l y t a k e s t he fo r m o f in - d e p t h i nt e r v ie w s w it h a s ma l l nu m b e r o f r e sp o n d e nt s. T he se int e r v ie w s ma y b e d o n e o n e in d i v id u a l a t a t ime , o r in g r o u p s. I nd i v id u a l int e r v ie w s ha ve t h e a d va nt a g e s o f p r o v id in g v e r y r ic h in fo r m a t io n a n d a vo id in g t he i n f lu e nc e o f o t he r s o n t he o p in io n o f a n y o n e in d i v id u a l. I nd i v id u a l int e r v ie w s a r e v e r y e x p e n s iv e a n d t i me c o n su m in g , ho w e ve r , a nd a s a r e su lt , it is no t 2 Myers, M.

9 D. (2007), Qualitative Research in Information Systems , MIS Quarterly, vol. 21 No. 2, 3 Ibid International Journal of Business Administration and Management. ISSN 2278-3660 Volume 7, Number 1 (2017), Research India Publications 163l ik e l y t h a t a n y o n e r e se a r c h p r o g r a m w il l int e r v ie w la r g e n u mb e r o f in d i v id u a ls . 3 . M odels of Em pl oyees Re te nt i on T he r e a r e t hr e e i mp o r t a nt mo d e ls o n e mp l o ye e r e t e nt io n, o ne o f t h e m is a ) Z in g e r Mo d e l a nd t he o t he r is 2) ERC s Retention model . 3) Integrated S yst e m fo r R e t a in i n g E mp lo ye e s. A br ie f e x p la n a t io n o f t he se mo d e ls i s fo l lo w s: Zi n g e r M o d e l: E mp lo ye e r e t e nt io n is t h e a r t a nd sc ie n c e o f e ng a g in g p e o p le i n a u t h e nt ic a nd r e c o g n iz e d c o nn e c t io ns t o st r a t e g y, r o le s, per fo r ma nc e , o r g a n iz a t io n, c o mmu n i t y, r e la t io ns h ip , c u st o me r s, d e ve lo p me nt , e n e r g y, a nd w e l l - be i n g a s c o mp a n ie s le v e r a g e , su st a in , a n d t r a ns fo r m t he ir w o r k c o n ne c t io ns int o r e s u lt s.

10 F ig u r e 1 : G in g e r Mo d e l S o u r c e : S u lt a n a N a z ia & Bu s hr a B e g u m ( 2 0 1 3 )4 4S u lt a na N a z ia & Bu s hr a B e g u m ( 2 0 1 3 ) , Employee Retention PRACTICES IN INDIAN CORPORATE A study OF SELECT MNCs , International Journal of Engineering and Management Sciences, Vol 4 N0 3, pp. 361-368. International Journal of Business Administration and Management. ISSN 2278-3660 Volume 7, Number 1 (2017), Research India Publications 164A c c o r d ing t o t he Z i n g e r Mo d e l, e mp lo y e e r e t e nt io n is d ir e c t e d t o w a r d s a c h ie v i n g r e su lt s o f t he o r g a n iz a t io n t ha t t he d e p a r t me nt , t e a m, o r in d i v id u a l w a nt s t o a c h ie v e.