Strategies to Retain Human Resources

STRATEGIES TO RETAIN HUMAN RESOURCES				employee retention.
INTRODUCTION				So the big question for both
The Indian economy has been				individuals and organizations-is: how do you keep up
going through a massive transition and transformation				spirits, continue to work-effectively, and maintain health
process. Restructuring and the process of mergers				and sanity in a crazy-making situation? The team of
and acquisitions that had taken a toll of the				welfare workers described chooses to laugh. They
employment are now giving way to expansion of				could also choose despair, cynicism, bitterness, or
employment. Finally companies are increasing their				negativity, but instead team members choose laughter.
advertising budgets and there is a steady growth in				As one worker states, "We could either cry, or we
employment. The appointment columns are now				could laugh/ but you can only cry for so long. We'd
getting thick and the Internet sites are wooing people				had enough of crying, and it was time to do something
to put in their resumes to try their luck for new				else."
careers. While this is indeed a welcome development				WHY LAUGHTER?
for the HR professionals, moving to different locations				We all know that it makes us feel
to interview prospective candidates, it has also brought				good, but in today's bottom-line oriented workplace, the
in its sweep the problem of employee turnovers.				term "feel good" is too nebulous to have much impact
In all industries, the problem of				on how people go about structuring their job
employee turnover has always been an issue.				interactions and professional relationships. And most
Human capital is one of the most				organizations are not going to promote humor as part
critical components of strategic success for many				of their culture because some "touchy freely" wellness
companies.				devotee thinks that having the boss come to work
EMPLOYEE TURNOVER				dressed as a chicken will create a happy afterglow.
Employee turnover has been				So any discussion of the benefits
defined as, “the rate of change in the working staff				of laughter needs to be more tangible and focused on
of a concern during a definite period” in other word				addressing-positive morale, a major factor contributing
sit signifies the shifting of the workforce into and out of				to the retention of valued employees. Remember
an organization.				though, humor is a coping mechanism to aid in
Employee turnover is the cause				employee retention, not a cure-all for other systemic
and effect of instability of employment, apart from				problems affecting organizations.
being a measure of the morale and efficiency or				JOB STICKINESS
otherwise of workers.				In today’s healthy job market–where job
CAUSES OF EMPLOYEE TURNOVER				seekers in even non-technology areas can find
Employee turnover is the				positions fairly quickly – employers must do
outcome of resignations and dismissals. Resignations				something to make their companies “sticky” if
may be due to such causes as dissatisfaction with				they want to avoid costly turnover.
working conditions, insufficient wages, bad health,				PAY IS IMPORTANT
sickens, old age, and family circumstances and so on.				What contributes to stickiness?
Dismissals on the other hand, may occur due to				Obviously, pay is important. Employees may love their
participation in strike or union activities, misconduct,				jobs and their company, but if their incomes lag
insubordinate and inefficiency. But dismay is a lesser				comparable jobs by more than 5 to 10 percent, it’s
cause of employee turnover.				goodbye stickiness and goodbye job. Similarly, benefits
MEASURES TO CONTROL EMPLOYEE				have to be at market levels. They need not be great
TURNOVER				– although thoughtful benefits are a way smart
A high rate of turnover is bad				companies retain worker – but they can’t be
both for the workers and the industry. Hence efforts				markedly worse than benefits available at most other
should be made to reduce it or to retain the present				comparable jobs.
workforce. Employee retention plays a key role to				A SENSE OF PURPOSE
prevent employee turnover.				The person doing the job also
TOP TEN WAYS TO RETAIN AN EXCELLENT				should know to whom he or she is responsible. The
EMPLOYEE				manager, supervisor or boss should be empowered to
Employee retention is one of the				say, "yes, do this" or "no, don't do that.
primary measures of health of the organization. Exit				CORE VALUES THAT ARE UNDERSTOOD AND
interviews with departing employees provide valuable				REWARDED
information, which can be used to retain remaining				Every organization has its own
staff. Heed their results. The more significant source of				values. They may be wacky or unwritten. But unless
data about the health of the organization is existing				everyone knows what these values are and believes
interviews.				they are followed with consistency, satisfaction drops.
1. A satisfied employee knows clearly what is				Suppose our flexible workaholic company suddenly
expected from him every day at work. Changing				penalized an employee for leaving early one day. That
expectations keep people or edge and create				action would dissolve the stickiness that had been
unhealthy stress. They rob the employee of internal				established over time among everyone.
security and make the employee feel unsuccessful. Its				CIVIL BEHAVIOR
not advocated unchanging jobs just the need for a				But some workplaces are
specific framework within which people clearly know				populated by those we may politely label "difficult." If
what is expected from them.				they're not screaming or slamming doors or berating
2. The quality of the supervision an employee receives				colleagues or subordinates, they're ignoring them,
is critical to employee retention. People leave				belittling them or regaling them with stories of their own
managers and supervisors more often than they leave				brilliance. These clunkers may be hard to spot when
companies or jobs. It is not enough that the supervisor				you're being considered for a job, but they can make
is well liked or a nice person, starting with clear				any position and company decidedly unstuck. If
expectations of the employee, the supervisor has a				prospective bosses or colleagues are described as
critical role to play in retention. Anything the supervisor				"very demanding" or "brilliant, but temperamental,"
does to make an employee feel unvalued will				watch out.
contribute to turnover. Frequent employee complaints				TOP 10 WAYS TO MOTIVATE TODAY’S
center on these areas.				EMPLOYEES
· lack of clarity about expectations,				1. Pay employees fairly and well, and then get them to
· lack of clarity about earning potential,				forget about money.
· lack of feedback about performance,				2. Treat each and every employee with respect.
· failure to hold scheduled meetings, and				Show them that you are about them as persons, jot
· Failure to provide a framework within				just as workers.
which the employee perceives he can succeed.				3. Praise accomplishments and attempts:
1. The ability of the employee to speak his or her mind				· Both large and small
freely within the organization is another key factor in				· Verbally and in writing
employee retention. Does your organization solicit ideas				· At least 4 times more than you criticize
and provide an environment in which people are				· Promptly (as soon as observed)
comfortable providing feedback? If so, employees				· Publicly ... and in private
offer ideas, feel free to criticize and commit to				· Sincerely
continuous improvement. If not, they bite their tongues				1. Clearly communicate goals, responsibilities and
or find themselves constantly "in trouble" - until they				expectations. NEVER criticize in public-redirect in
leave.				private.
2. Talent and skill utilization is another environmental				2. Recognize performance appropriately and
factor for key employees seek in the workplace. A				consistently:
motivated employee wants to contribute to work				· Reward outstanding performance (e.g.,
areas outside of his specific job description. How many				with promotions and opportunities)
people could contribute far more than they currently				· Do not tolerate sustained poor
do? You just need to know their skills, talent and				performance-coach & train or remove!
experience, and take the time to tap into it. As an				1. Involve employees in plans and decisions, especially
example, in a small company, a manager pursued a				those that affect them. Solicit their ideas and opinions.
new marketing plan and logo with the help of external				Encourage initiative.
consultants. An internal sales rep, with seven years of				2. Create opportunities for employees to learn & grow.
ad agency and logo development experience,				Link the goals of the organization with the goals of
repeatedly offered to help. His offer was ignored and				each individual in it.
he cited this as one reason why he quit his job. In fact,				3. Actively listen to employees concerns-both works
the recognition that the company didn't want to take				related and personal.
advantage of his knowledge and capabilities helped				4. Share information promptly, openly and clearly. Tell
precipitate his job search.				the truth ... with compassion.
3. The perception of fairness and equitable treatment				5. Celebrate successes and milestones reached —
is important in employee retention. In one company, a				organizational and personal. Create an organizational
new sales rep was given the most potentially				culture that is open, trusting and fun.
successful, commission-producing accounts. Current				A SURVEY
staff viewed these decisions as taking food off their				Survey results include responses
tables. You can bet a number of them are looking for				from 451 HR professionals and 300 managerial or
their next opportunity.				executive employees.
4. The easiest to solve, and the ones most affecting				Employees cited the following
employee retention, are tools, time and training. The				three top reasons they would begin searching for a
employee must have the tools, time and training				new job:
necessary to do their job well - or they will move to an				- 53 percent seek better compensation and benefits.
employer who provides them.				- 35 percent cited dissatisfaction with potential career
5. Without the opportunity to try new opportunities, sit				development.
on challenging committees, attend seminars and read				- 32 percent said they were ready for a new
and discuss books, they feel they will stagnate. A				experience.
career-oriented, valued employee must experience				HR professionals were asked
growth opportunities within the organization.				which programs or policies they use currently to help
6. Take time to meet with new employees to learn				retain employees. The following three are the most
about their talents, abilities and skills. Meet with each				common programs employers are using to retain
employee periodically. You'll have more useful				employees:
information and keep fingers on the pulse of				- 62 percent provide tuition reimbursement.
organization. It's a critical tool to help employees feel				- 60 percent offer competitive vacation and holiday
welcomed, acknowledged and loyal.				benefits.
7. No matter the circumstances are, never and ever				- 59 percent offer competitive salaries.
threaten an employee's job or income. Even layoffs				Most HR professionals surveyed
loom, fail to meet production or sales goals, it is a				(71 percent), in large organizations (those with more
mistake to foreshadow this information with				than 500 employees), thought it would be extremely
employees. It makes them nervous; no matter how				likely or somewhat likely to experience an increase in
phrased the information; no matter how explain a from				voluntary turnover once the job market improves.
the information, even if you're absolutely correct, the				Forty-one percent from small organizations (1-99
best staff members will update their resumes. I'm not				employees) said it was extremely likely or somewhat
advocating\keeping solid information away from				likely that turnover would increase. Fifty-three percent
people, however, think before you say anything that				of respondents from medium organizations (between
makes people feel they need to search for another				100 and 499) thought the same.
job.				KEY RETENTION STRATEGIES
8. Staff members must feel rewarded, recognized and				- Select the right people in the first place through
appreciated. Frequently saying thank you goes a long				behavior-based testing and competency screening.
way. Monetary rewards bonuses and gilts make the				The right person, in the right seat, on the right bus is the
thank you even more appreciated. Understandable				starting point.
raises, tied to accomplishments and achievement, help				- Offer an attractive, competitive, benefits package
retain staff. Commissions and bonuses that are easily				with components such as life insurance, disability
calculated on a daily basis, and easily understood, raise				insurance and flexible hours.
motivation and help retain staff. Work is about the				- Provide opportunities for people to share their
money and almost every individual wants more.				knowledge via training sessions, presentations,
CONCERN FOR THE HUMAN RESOURCES				mentoring others and team assignments.
There must be certain non-conventional methods or				- Demonstrate respect for employees at all times
systems whereby, cordial industrial relation in an				- Offer performance feedback and praise good
organization can be secured and human resources				efforts and results.
can be managed better for attaining the retention				- People want to enjoy their work. Make-work fun.
objective of the organization. A few of the methods,				Engage and employ the special talents of each
which can be of Human Resource" may be as follows				individual.
which will, establish the fact that the management				- Enable employees to balance work and life. Allow
really cares for their employees and are concerned.				flexible starting times, core business hours and flexible
1. Introduction of presenting memento				ending times. (Yes, his son's soccer game is important.)
2. Sharing of information with the unions				- Involve employees in decisions that affect their jobs
3. Appreciation note				and the overall direction of the company whenever
4. Discharging certain 7 social obligation				possible. Recognize excellent performance, and
5. Meeting with the Unions'				especially, link pay to performance.
6. Tea-together				- Base the upside of bonus potential on the success of
7. Award to the best worker				both the employee and the company and make it
8. Birthday and marriage gifts				limitless within company parameters. (As an example,
9. Barakhana				pay ten percent of corporate profits to employees.)
STRATEGIES FOR BETTER HEALTH CARE				- Recognize and celebrate success. Mark their
The workers’ health and				passage as important goals are achieved.
wealth are in the health and wealth of an organization.				- Staff adequately so overtime is minimized for those
Only mutual health care activities would ensure the				who don't want it and people don't wear themselves
much-expected result. The sweet homes of				out.
employees should be a home of nutrition principles.				- Nurture and celebrate organization traditions. Have a
Management’s investing heavily on the umpteen				costume party every Halloween. Run a food collection
Number of HR strengthening activities can bring the				drive every November. Pick a monthly charity to help.
agenda of "prevention is better than cure" in the first				Have an annual company dinner at a fancy hotel.
priority to safeguard health. They are the backbone of				- Provide opportunities within the company for
healthy organizational climate.				cross-training and career progression. People like to
All enterprises can adopt ac				know that they have room for career movement.
multifaceted health care strategies and build it up in				- Provide the opportunity for career and personal
their personnel policies. The vital strategies to be				growth through training and education, challenging
concentrated are discussed as below.				assignments and more.
- Strategy I : Health watch of HR				- Communicate goals, roles and responsibilities so
- Strategy II : Diet Counseling Centers				people know what is expected and feel like part of
- Strategy III : Work spot stress / Fatigue releasing				the in-crowd.
fitness centers / Yoga centers				- According to research by the Gallup organization,
- Strategy IV : Organize workshop / meeting / seminar				encourage employees to have good, even best,
on health care				friends, at work.
- Strategy VI: Display food and nutrition visual aids at				CONCLUSION
vital places				Key employee retention is critical
HUMOR FOR RETENTION				to the long term health and success of any business.
As more and more organizations				Managers readily agree that retaining the best
reengineer, merge, restructure, downsize, right size, and				employee ensures customers satisfaction, product
even capsize, employees confront uncertainty on an				sales, satisfied co-workers and reporting staff,
almost daily basis. The rules keep changing in terms of				effective succession planning and deeply embedded
what they're supposed to do how they're supposed to				organizational knowledge and learning. Employee
do it, which they do it for, and whether they get to do it				retention matters, training time and investment, lost
at all. And since most have little or no control over the				knowledge, insecure co-workers, costly candidate
making of these rules, the result is often a sense of				search aside, failing to retain a key employee is costly,
powerlessness that translates into increased stress,				Losing a middle manager costs as organization up to
decreased wellness, demoralization, absenteeism, and				100% of his salary.
lower productivity, all of which affect rates of

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Strategies to Retain Human Resources

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