Executive honesty in the responses provided. A mixed

Executive Summary

This
study evaluated the case of Red Velvet Event Management with the objectives of
identifying different factors that are affecting and aggravating employee’s
turnover. To do this, the research focuses on getting vital insights from past
employees from the company. The decision to settle on this target population
was based on the need to propagate honesty in the responses provided. A mixed
research method was employed to define the situation. With the implementation
of both probability and non-probability sampling used to choose respondents and
data collection was from both the quantitative and qualitative methods. Thus, an
interview, a questionnaire was used to gather the desired data. The findings of
the study show the terms of employments, remunerations and salaries, lack of
result focused motivation, workplace settings are factors affecting employee’s
turnover in the company. Hence establishing incentive mechanism as
encouragement to employees. Employees participating in decision making and
acceptable of their views in solving problems. Giving recognition for performance
and career advancements opportunities. Good interpersonal relationship with the
manager/supervisors and employee making the workplace conducive. Proper
treatment of employees regardless of job positions will increase responsibility
are among the given recommendations.

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Keywords:
employees, turnover, motivation, human resource frame.

 

 

 

Chapter One: Introduction

1.1 Background of the study

 With the rapid global changes, there are
change effects in organizations and also the employees in it. The employee
turnover is one of the most constant issues to organizations, and one that
needs special attention. It has some significant effects on organizations; as
new employees must be hired, go through some compulsory training(s),
considering the time be effectively productive. Staffs turnover is a warning
sign of low morale due to lack of motivation i.e. incentives, promotions,
salary increment etc. Motivation on the other hand is a topic that has been
extensively researched since the twentieth century with first motivational
theories, Maslow’s hierarchy of needs (1943), Herzberg’s two-factor theory
(1959) and Vroom’s expectancy theory (1964).

 The
subject is analyzed through my time at a previous work experience. Initially
there was no problem not until time to be paid salaries, then there comes
disappointments, complaints, and slight grudges. Even though the company had a black and white contract on the job and
its rewards i.e. salaries but there were contradictions. Hereafter, this case
will be presented in detail and the impacts of high employee turnovers in the
company will be further elaborated. Finally, the issue will be assessed in
terms of the human resource frame.

 

1.2 Statement of the problem

       Porter
and Steers (1973) suggested that the issue of met expectations was central to
the individual’s decisions to leave an organization. Each employee has his or
her own set of expectations upon entering an organization. Should these
expectations not be met, the individual will become dissatisfies and leave.
Moreover Mobley (1977) suggested that a negative evaluation of the present job
leads to dissatisfaction, thoughts of quitting, and an evaluation of job
seeking expectation utility and cost of quitting. My previous job made me to understand
how the company managed. There were high employee turnovers in space of 6-10
months of a year and the possibility to seek a replacement on a vacant job
tends to be a protracted and tedious.

      
Instances of understanding your job scope and duties with salary
benefits serves as a motivation to work. In my case, we agreed on increment of
salary after 3 months of probation. On the fourth month, the agreement was
breached, reason been with claims from the employer of unsatisfactory work and
efficiency. Whereas I deal with the client directly (Nestlé Malaysia) and they are absolutely satisfied and pleased with
my work and performances. A big project of the Maggi Media Launching held at CityOne Kuching on 29th
April propelled me to arrive at the office by 6.30am to work on designs for
layout production. I was displeased and after some complaints to fellow
colleagues, they shared similar ordeal experienced.

In addition, the inability to increment on the salary was
not the issue. Almost every month, I’m paid later than my colleagues. There are
constant reminders to make sure there are not any delays on my payment. These
little actions grew over time that I felt unsatisfied with the job, even though
my work was done wholeheartedly. I opt to seek other job opportunities both
locally and overseas, the sense of non-belonging, racial profiling became
noticeable till I decided to leave the company. With reference to employee
turnovers, I observed a total of 5 employees resigned

 

1.3 Main questions:

·              
What are the major factors contributing
for employee turnover in the event company?

·              
What are the effects of
employees turn over on the company?

·              
Does the event company have
any method that moderates staff’s turnover?

1.4 Specific questions:

·        
How does the human resource
frame play a role in the avoidance of employee turnover?

 

1.5 Objectives of the study

The general objective of this paper is to identify
different factors that are affecting and aggravating employees’ turnover in the
company and to suggest diagnostic recommendations.

1.6 Significance of Study

 This
research is of great significance as it will identify the various reasons why
there are high employee turnover rates within the event company. The company can
identify the areas to work on in reducing high employee turnover rate, saving
resources spent in the replacement and employees training. Employees will
benefit as organizations will focus on developing a retention strategy to
encourage employees to stay by various incentives like motivation, empowerment,
bonus programs, training and development etc. The findings will be added to the
existing literature in the area of employee’s turnover and the application of
the reframing perspective – human resource frame to allay the issue.

 

 

 

1.7 Limitation of the Study

The study is only limited to my experience working at Red
Velvet Event Management and that it did not present similar case for other
event firms. Existing employees were selected as respondents and key informant
interviews inclusive of employees who has left the organization as this would
give more exposition on their motive to leave the company. Also, to fill the
gap of secondary data which they have filled on permission were referred.

1.8 Organization of the Research Paper

Due to the limitation in the word counts for this report,
this paper is organized into four brief chapters. The first chapter -introduction presents the background
issue, statement of the problem, objectives, significance and limitations of
the study. The second chapter -literature
review covers both empirical and theoretical facts. The third chapter
discussed research methods employed
and embraces research design, data collection methods and tools, data
interpretation and presentation. Chapter four gives the findings and
discussions. Finally, chapter five shows conclusion and recommendations.

 

Chapter Two: Literature Review

2.1 Human Resource Management

According to (Storey, 2001), human
resource management is an idiosyncratic method to employment administration
which seeks to achieve viable gain through the tactical disposition of an exceedingly
dedicated and capable work force, using an integrated array of cultural,
structural and personal techniques. This paper explores the use of reframing,
the perspective that organization can be viewed using the Human Resource Frame.

 

 

2.2 The Human Resource Frame

(Bolman & Deal 2013, p.101) states that the human resource
frame focuses on people. This approach emphasizes support, empowerment (perhaps
through distributed leadership mechanism), staff development, and
responsiveness to employee needs. A focus on people works well when employee
morale is a consideration and when is relatively little conflict.

2.2 Employee Turnover: Definition

Employee turnover refers to the movement of employees in
and out of a business. However, the term is commonly used to refer to wastage
or the number of employees leaving. It refers to the number of persons leaving
and the ones retained within the organization. 
Employee turnover is considered to be one of the persisting problems in
organizations (Armstrong, 2004). In most formal organizations, employee
turnover is inevitable. Based on this issue, employee turnover can be
classified into five categories: Functional
and Dysfunctional, avoidable and unavoidable, voluntary and involuntary,
internal and external, skilled and unskilled turnover.

2.3 Causes and inducing factors for
turnover

Turnover arises from the discontent of job place for any
employee. Being discontented in a job is not the only reason why people leave
one company for another. If the skills that they possess are in demand, they
may be lured away by higher pay, better benefits or better job growth
potential. That’s why it is important to know and recognize the difference
between employees who leave the job because they are unhappy and those who
leave for other reasons. There are number of factors that contribute to
employee turnover. I shall explore only three factors in brief details:

               
i.       
Unequal
or deficient wage structures – inequality in wages
plan is a main cause of dissatisfaction and can drive the notion to quit. Since
money is an asset, a need, sensitive and mode of motivation it can be a means
to an end of a job. This was a case I experienced as the proposed wage
increment after three months of probation wasn’t attained. Rather was prolonged
to couple more months before my resignation.

             
ii.       
Feeling
unappreciated ? since employees are willing to do a good
job, it follows that they also want to be appreciated and validated for their
works. There were cases where I wasn’t appreciated for my designs and inputs
for the project layouts and production rather it was overlook regardless of the
extra unpaid hours.

            
iii.       
Mismatch
between the employee’s skills and the job scope?
Employees who are placed in jobs that are too difficult for them or whose
skills are under-utilized may become discouraged and quit the job. Since the event
industry is a tactical one and things are done in briskness and dash; there was
an instance whereby I did designs jobs that wasn’t inclusive to my job scope as
initially stated.

 

Chapter Three: Methodology

The
mixed research approach will be employed for this paper completion to generate
rich data from multiple sources, which are both quantitative (primary data from
survey questions) and qualitative (secondary data from key informant’s
interview) type. I am interested to present the employees view towards the
motive for turnovers in the event company. In addition to this, the paper will
offer resourceful insight into what actions companies in the event industry
should take to improve their employee retention rate.

3.1 Data Collection Method

Required data were collected from both primary and
secondary sources, which complement each other. Gather primary data; survey
questionnaire was used. Thus, interview of key informant like the execs, who
are working directly with the management of the company was conducted. To access a wider audience, an online
questionnaire was deemed appropriate as a data collection method.  This was available to participants who had
previously worked in the event company for a year. The major benefit of using
questionnaires to collect information is the fact that feedbacks are given on
the exact questions asked. The information is precise and to the point, thereby
improving its efficiency in the research process. In addition, it is a reasonable
way of gathering information compared to other methods like interviews, where a
lot of expenses may have to be incurred (Johnson and Turner, 2003).

3.2 Sampling Frame

Sampling is a statistical population consisting of research
respondents and participants (Kotrlik and Higgins, 2001). The sampling for this
study will be the past and reachable employees from the event management
company.

3.3 Sampling Technique

In the process of this study, both probability and
non-probability sampling is used to select study respondent. It is purely
voluntary. The study respondents with different positions of the company were
selected on purpose.

 

Chapter Four: Findings and discussion

This
chapter focuses on critically analyzing the results obtained in this research.
It will present the results in a systematic manner, making it easier to gather
conclusive and informed conclusions pertaining to the issue of high employee
turnover rates within Red Velvet Event company. Vital primary data were
collected from the 8 participants who volunteered to participate in the
research. The questionnaires did an excellent job in sourcing this data from
the participants and thus enabling the use in determining the underlying
factors behind the high employee turnover rates. Below is a brief presentation
of the results obtained from each question after the participants offered their
insights through the questionnaires. There was a total of 6 respondents in the
research all of whom were previous employees within the company of whom I was
able to get.

Most
of the respondents are male with a 2:1 ratio as compared to the female respondents
and the dominant age group is from 23-30 years. Most of the employees are young
adults and even the CEO is just 28years. The monthly income categorizes from
RM800-RM3000 exclusive of the interns who gets RM400. One
of the key informant shared he works closely (mediator) with the CEO and the
client. There was an agreement on getting new clients and sharing the profits
but this was breached after couple months even after constants and reminders
but no avail. He has attracted a lot of big clients to the company and the CEO
didn’t keep to the part of the deal, resulting to his resignation and joining a
better event company and now they are rivals.

Moreover,
of the participants, some stated that an increase in pay would have definitely
made them stay longer the company. This indicated that there were major issues
with level of pay these respondents received and in some cases, there were
deductions where necessary. Others stated career advancement would have made
them stay as this shows barriers to their career goals. They just did the job
for the money in mind and therefore waiting for perfect time to resign. Lastly,
few mentioned more flexible hours as they have to work everyday including
weekends without any incentives as motivation.

 

Chapter Five: Conclusion and
Recommendations

5.1 Conclusion

This paper has pointed out to the
existence of several factors that contribute to the high employee turnover rate
in the event company. The business of the event company is solely based on the
human resources, but still the turnover is high. This study shows that the
factors affecting employee’s stabilities are internal. Firstly, there was the
lack of motivation from the respondents. Motivation is needed to improve their
performances as well as instill some vital skills that comes in handy in their
task executions. There is lack of equality amongst staffs; as some get special
treatments, improper arrangement of logistics for staff, paucity of recognition
and encouragement for good job performances and or poor communication internal
factors whereby information isn’t properly shared. Remunerations and benefits
such as wages, incentives etc in some cases weren’t met. There are concerns
over salary they received and manner in which they received it. This applies in
my case of late disbursement of salary. It negatively impacted on my dedication
to my job. The company should revisit the employee remuneration packages
offered. An adequate pay should be awarded according to their work input.

5.2 Recommendations

It is important to implement practicable strategies at
least to reduce observed problems. Although the information retrieved was quite
useful, it was based on accounts given by past employees. Efforts started by
the company isn’t enough to curb turnovers. Hence, special attention should be
given to human resource development and staff benefits through revising
benefits packages. Here are some recommendations for the company to better
prevent employee turnovers:

·        
Establishment of incentive
mechanism to encourage employees according to the job.

·        
Participation of employees in
decision making and accepting their constructive views in solving problems.

·        
Good and proper relationship between
the manger/supervisor and employees, to make the workplace conducive, pleasant
and workable.

·        
 Giving recognition for
significant accomplishments and performances, chance of advancement and career
advancement growth has to be considered.

·        
Proper treatment of employees regardless
of job positions will increase responsibility.