Training Managers to Improve Employee Retention

Chern’s talent philosophy involves the retention and development of their employees. In a recent analysis of the turnover data, the executives learned that a disproportionate number of good sales associates had left the organization. These sales associates could have been potentially strong candidates for the department manager and assistant department manager positions. Chern’s uses supervisor recommendations and structured interviews to promote about 75 percent of their sales associates to department managers and assistant department managers. In the exit interviews the sales associates indicated that they were leaving because they didn’t feel there was the potential of reaching the managerial positions they wanted. This indicates that Chern’s efforts to communicate promotional opportunities and succession planning intentions to high-potential sales associates is not sufficient. Chern’s needs to improve their internal promotion practices to ensure high-potential sales associates are developed and retained or the managerial positions.

A trend has developed with regard to this organization’s recruitment and retention efforts that has the potential to develop into a significant challenge both financially and logistically. Since the economic recovery began in our community in 2011 (COS, 2012), the recruitment and retention efforts of our Human Resources Division (HRD) has struggled to keep pace with the attrition rate of retiring employees and the growth rate of city government, in terms of new positions and re-funded positions. In broad terms, this is exceptional news for a community that was decimated by the Great Recession and a

Chern’s talent philosophy is focused on the retention and development of their employees. They are the primary source for their associate department managers and department managers is their sales associate position, with 75 percent of their promotion coming from this source. In a review of the turnover data, the leadership team learned that they are losing a large number of good sales associates. The executives learned that a disproportionate number of good sales associates had left the organization. The exit interview data shows that the sales associates are leaving because they don’t feel there is opportunities available for them to reach managerial positions in the company they are looking for. This indicates that the organization is not doing an effective job communicating promotional opportunities and career development planning to high-potential sales associates. Chern’s needs to improve their communication process for promotional opportunities and ensure that they have a strong succession planning strategy in place to develop high-potential sales associates for open managerial positions.

Unknown too many employers in the restaurant industry was the cost of losing an employee is 1.5 times their salary. (Aamondt, M. 2012). In a recent study by Sigma Assessment Systems, stated the third most common reason for employee turnover is company culture. Company culture can be defined as the reward system, the strength of leadership, the ability of the organizations to elicit a sense of commitment on the part of workers, and its development of a sense of shared goals. (Sigmaassessmentsystems.com 2013)

Although a good economy has some effects on a company’s ability to retain staff there are other factors. Some employees are jumping ship because their needs are not being met. The lack of challenging and stimulating work, fair pay, the tools and resources needed to do their jobs, recognition for work well done and involvement in the decisions that impact their day to day lives at

In the course of their existence all people have experiences and respond to the roots and traditions of their culture, spirituality and the social, political and economic conditions in which they find themselves1. Shift from one organization to another is also a type of response.

Employee Retention: Employees subject to an employer restructuring process may become stressed or distrustful of their employer, its management and their coworkers. Restructuring may cause sudden departures of coworkers and management. Human Resources Management is responsible for convincing remaining employees to stay with the organization. Employee retention efforts may include bonuses, employee training, internal promotion opportunities and improving workplace policies and procedures. Although restructuring resulting from falling profits are unlikely to provide salary increases, such restructuring may provide employees with incentives such as additional time off, flexible work schedules or on-site amenities. Human Resources Management is accountable for researching, recommending and implementing employee retention strategies during restructuring.

To counter turnover and its resulting effects, concerted action is required to retain talented people. Organizations must therefore work on their employee value proposition. An organization's employee value proposition consists of what an organization has to offer that prospective or existing employees would value and which would help to persuade them to join or remain with the business (Armstrong 2009). It will include remuneration - which is important but can be over-emphasized compared with other elements that are non-financial in nature. These non-financial factors may be crucial in attracting and retaining people and include the attractiveness of the organization, the degree to which it acts responsibly, respect - diversity and inclusion, work-life balance and opportunities for personal and professional growth. The aim is to become an employer of choice, a firm people want to work and stay with.

Employee turnover represents a severe problem for companies of all types and sizes, and empirical observations and studies confirm that people will leave one job in search of another if they believe they are not being treated right, including the level of compensation they receive in exchange for their services (Hardy, 2007). Employees who are motivated and

Attracting the right talent and the ability to retain these employees is vital to the success of any company. Failure to attract and retain the right talent created high employee turnover affecting the business financially. The company will have to invest in recruiting, training, and benefits just to name a few. In addition, high employee turnover diminishes employee morale and affects company culture, which in the long run, decreases productivity due to poor workforce performance and thus, profits decreases.

Having the time to recruit and train a good employee, it is in their own interest to retain that employee. This would motivate the person to continue and provide success to the business. Employers often give their focus to only the business needs and not their employees. That outcome is what leads to a dysfunctional turnover. This is a major factor to avoid because it plays an important role of how the business runs.

The work I have submitted is my own effort. I certify that all the material in this Dissertation, which is not my own work, has been identified and acknowledged. No materials are included for which a degree has been previously conferred upon me.

According to Heizer & Render (2011) employee training is vital to the success of a company, this is so true of MICI, because the extensive standard training and cross-training of the MICI employees will translate to increased efficiency, productivity flexibility, decreased wait- time for customers; and as history has depicted, costumers’ satisfaction is integral to the success of a company because customers are the major drivers in the market.

This paper presents a report on resolving the human resource management issue through employee training development program. The multinational organization selected for this report is Google Inc one of the most successful technological giants in the world. The biggest issue which Google Inc. is facing in its human resource management practices is the training, development, and motivation of its employees. This

Motivational training in an organization can be introduced across three stages in company i.e. administration of the environment of industry, the organizational level and the individual level, where training will be focused on the performance of the companies as well as the individuals. Porter (1980) asserts that each level is separate in its own application. He highlights key points and identifies the role of general managers in managing motivational training at each respective level and its correlation.