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A

PROJECT REPORT

ON

ATTRITION AND RETENTION

AT

Jodhana Heritage Resorts Pvt.


Ltd.
FOR THE PARTIAL FULFILLMENT OF THE DEGREE MASTER OF
BUSINESS ADMINISTRATION

JODHPUR INSTITUTE OF MANAGEMENT, JODHPUR

Submitted To: Submitted By:

Prof. Sonal Chouhan Gunjan


Shukla
MBA II Sem
JIM
Declaration

I, hereby declare that this Project Report titled “To study the Reason for
Attrition and suggesting a Retention Framework” is the result of my own study
from 26th July 2009 to 11th August 2009 at Jodhana Heritage Pvt Ltd,
Jodhpur.

I submit this report to Jodhpur Institute of Management for the partial


completion of my Masters. Of Business Administration.

I assure that this report has never been presented by anyone, for any purpose
to any university or institution.

GUNJAN SHUKLA
MBA
II
Semester
JIM
Preface

A preface seems generally to be considered as a kind of closet prologue.

It is a matter of great pleasure that I am undertaking writing report at Post


Graduate Diploma in Management. It is a challenging career, which requires
an adept and practical knowledge of business affairs and accounts. For this
purpose practical training is most helpful.

Summer training is a step to bridge up the gap between the theoretical studies
and its’ practical problems. As a part of the curriculum of MBA by JIM, I did my
summer project at Jodhana Heritage Pvt Ltd, Jodhpur.

In this project, I am presenting the report on “To study the Reason for Attrition
and suggesting a Retention Framework”. I have tried my best to present this
report.

This training helped me in understanding various practical aspects of Human


Resource Management Department, which I have studied in books during our
classroom training.
Acknowledgement

I take this opportunity to express my gratitude towards all those, who have
helped me in my project work and preparation of this report.

I thank Mr. Mangilal Jain for allowing me to do my summer training in JHPL,


Jodhpur.
I thank Mr. Raj kumar who has guided me and constantly inspired during
training period, without his support it would have not been possible for me to
prepare such an effective project report. I am very much grateful to him for his
kind help, constant encouragement and for the precious time, which he
devoted for me.

I am also thankful to Dr Swati Lodha, Director, and Prof. Sonal Chouhan for
their valuable help to encourage me to do well in my summer training.

Words cannot adequately express my gratitude to the people mentioned


above, I am really thankful to all who directly or indirectly supported me in
completing my summer training, I will remain ever grateful to them.
Table Content

Chapter Topic Page


1 Introduction
2 Company Profile
3 Work Structure
4 Literature Review
5 Data collection
6 Data Analysis
7 Recommendations
8 Conclusion

9 Bibliography
Jodhana Heritage Pvt. Ltd
Jodhana Heritage Resorts is a new joint venture between H.H. Maharaja
Gaj Singh II of Jodhpur, and a leading tourism management company
whose principals have all held senior positions with India’s major hotel
chains. Jodhana’s Royal Jodhpur Retreats and Royal Jodhpur Camps
include an 18th century summer palace set in 300 acres of beautifully
landscaped gardens, a magnificent 1933 hunting lodge palace, a charming
orchard retreat, a traditional English country cottage, a gloriously luxurious
tented resort in a royal pleasure garden, and the nomadic Jodhpur royal
tents that blend the romance of the early 20th century safari camps of the
Jodhpur Maharajas with contemporary comfort.
The Jodhana properties are all personal vacation homes of the Jodhpur
royal family, who insure that the ambience is authentic, the comfort level
grand, and the experience truly royal.
Balsamand lake palace
A stone's throw away from the ancient capital of Marwar, Mandore, and only 8
km from the city-center of Jodhpur, Bal Samand is a world away from the
hustle and bustle of modern life. The lake was engineered in the 12th Century
but the exquisite red sand-stone palace came later; it was built by Maharaja
Jaswant Singh I of Jodhpur in the 17th Century, at the very zenith of Rathore
Rule under the umbrella of the Mughal Empire. Set in a private estate of over
60 Acres, with sprawling orchards of lime and pomegranate and landscaped
gardens criss-crossed by elegant waterways and even a aqueduct, the palace
with its lovely promenade on the lake, was always more than just a residence;
a pleasure palace in the finest Mughal tradition of the picnic. In more recent
times a tradition has developed with the Royal Family celebrating the first rains
in Bal Samand; a custom that has led to the palace being referred to as a
Monsoon Palace. But today, after the successful completion of an ambitious
restoration and modernization program Bal Samand is the palace for all
seasons; a world class Heritage Hotel with modern amenities and an Health
Spa of renown.
The palace houses ten exclusive suits in all, and suites alone. Each is
tastefully and luxuriously appointed in authentic Jodhpur style, with traditional
seating, dining alcoves, chaise lounges by the window and enormous Jacuzzi
baths. The gracious interiors are matched only by the spectacular views of the
pristine lake and the splendid gardens.

Down in the gardens, surrounded by acres of manicured lawn, are twenty


six tastefully designed Garden Rooms with their own Rose Garden, croquet
lawn and restaurant

The Connaught house


The connaught house is a charming "typical English" cottage tucked away in a
quiet and peaceful fold of lovely Mount Abu, once the Summer Capital of
Rajputana. The private property of the Maharaja of Jodhpur, it was used by
Jodhpur's last English Chief Minister, Sir Donald Field, in the 1930s and 40s. It
has an exquisite little garden, connaaught house is a perfect family retreat; an
idel base from which to explore the forests and visit the sensation dilwara jain
temples. The beautiful nakki lake is only shorts drive away.

There are ten comfortable, Air Conditioned rooms divided between the old
cottage and a new wing built by the present Maharaja of Jodhpur.
Maharani Bagh Orchard, Ranakpur

The Maharani Bagh, Queen's Garden, was gifted to his Maharani by


Maharaja Takhat Singh of Jodhpur in the 19th Century. Beautifully located at
the foot of the thickly forested Aravalli Hills that divided the former kingdoms
of Jodhpur and Udaipur, Maharani Bagh remains essentially a fruit orchard.
Acres and acres of mango, lime, and pomegranate... give way to clusters of
lovely little cottages and intimate gardens in full bloom. There is a machaan
with a spectacular view of the hills and the central dining area is a charming
"village" courtyard complete with thatched roofs and delicious Rajasthani
cuisine.

There are sixteen air-conditioned rooms, and with most of them on a twin
plan in a "cottage", Maharani Bagh is an idyllic family retreat, as indeed it
remains for the Royal Family of Jodhpur. Some of the rooms look on to the
swimming pool and the badminton and tennis courts are a short walk away.
The hills and forests around the royal estate abound with wild-life. Wild-
Boar, Sambhar and the Sloth Bear are commonly sighted and the fortunate
may get a glimpse of the elusive Leopard.

Maharani Bagh is only 3 km away from the fabulous Jain Temples of


Ranakpur. One of the five sacred pilgrimages for the Jains the Ranakpur
Temple is perhaps the most beautiful.

ROYAL TENTS
Only 135 km north of Jodhpur, Nagaur was once situated on the important
trade routes from the Arabian Sea ports to Delhi, and is one of Rajasthan's
most historic cities. A medieval prize Nagaur has borne witness to almost
every northern Indian dynasty of significance, including the mighty Mughals,
and was an integral part of Marwar from the 17th Century.

The Royal Camp at Nagaur is pitched on an old polo ground within the
historic walls of the Ahichattragarh Fort, a spectacular Rajput-Mughal
bastion that dates as far back as the 5th Century. The tents themselves are
stylish and luxurious, with attached baths, and the surroundings; a unique
complex of magnificent palaces, airy pavilions and intricate waterways; truly
magical. The Emperor Akbar visited Ahichattragarh more than once and to
dine at his Akbari Mahal with candlelight and live music is an experience
rare even for Rajasthan.

The Fair The best time to camp in Nagaur is during the famous annual live-
stock fair, second only to the Pushkar Fair; in fact, perhaps in some ways
superior to Pushkar because it is as yet "unspoilt". Thousands of camels
and horses, and the famed Nagori Bull, which of all the Indian strains most
resembles the one on the Mohenjodaro Seal, camp around the city which
becomes a veritable market those few days. It is Rajasthan at its best and
brightest.

The fair takes place sometime in January/February, the exact date


ascertained by the Indian lunar calendar (see table below).

Monuments Nagaur is an extremely interesting little township with


innumerable monuments tucked away in its charming streets and lanes.
There are some lovely old Mughal mosques and the cenotaph of Amar
Singh Rathore, who lived in Ahichattragarh and dared to defy the Emperor
Shah Jahan himself, is a must see.

The Country The Royal Camp in Ahichattragarh makes an ideal base to


explore the surrounding country. It is a land best seen on camel; rolling
scrub, the occasional group of sand dunes and the rarer little lake, brilliant
yellow mustard fields, herds of wild Chinkara (Indian Gazelle) and Black-
Buck (Indian Antelope), glorious sun-sets...

Royal camp pushkar


The Nag Pahar, the Snake Mountain, separates Pushkar from Ajmer, only 11
km to the north-west. It is an enchanting little town on the banks of a sacred
lake which, together with its extremely rare Lord Bramha Temple, makes it one
of the most important pilgrimages in Rajasthan. The Royal Camp at Pushkar
takes place during the famous Pushkar Horse and Camel Fair and Festival of
Brahma in October/November every year, the exact date ascertained
according to the Indian lunar calendar. The traditional 'shikar' style camp
consists of elegant and luxurious twin bedded tents with verandahs with deck-
chairs in front and attached bathrooms with running hot water at the back; a
spacious Mughal design Dining Tent; a charming Recreation Tent which
serves as a lounge; and a huge bonfire every evening. It is located in large
private grounds, flanked by rolling mustard fields in flower and rocky hills, and
overlooking the bustling fair, only a short walk or camel ride away.
Balsamand Lake Palace

Company Profile: - There are ten departments in this hotel industry.

• Front office department


• Food and Beverage service
• Food and Beverage Production
• House Keeping
• HR
• Finance
• Engineering department
• Security departement
• Material Department
• Administration and general department
• Horticulture department

FRONT OFFICE: - it has four sub- departments;


 Reservation department
 Reception department
 Telephone department
 Health and Recreation department
Reservation Department deals with booking and reserving the rooms for the
customers in pretty advance to facilitate the customers.

Reception Department deals with customer convenience and any services that
customer needs.

Telephone Department deals with intercom service so that a customer can


connect with all the departments of hotel.

Health and recreation department takes care that customer is satisfy with
recreational activity.

F & B Department:- it deals with service such as delivering or serving food


and cocktails and all the restaurant related services.

F & B Production Department looks after the kitchen and cafeteria and the
hygiene.

House Keeping Department deals with the cleanliness of the rooms and the
hotel. It also looks after the laundry services for the guests and the uniforms of
the department.

H R Department deals with the welfare of the employees, performance


appraisal recruitment, selection, confirmation leaves salaries etc.

Finance Department has four sub departments:-

 Income department

 Expenditure department

 F & B Controller

 Store department

Engineering Department deals with the maintenance and repairing of rooms


and electronic equipment.
Security Department checks the security of the belonging of the guests,
ensures safety and is responsible for the same.

Material Department this Department deals with the activities of purchasing,


Receiving and Storing of materials required.

Administration and general Department deals with the management of


policies, rules and regulations of the hotel and maintains the discipline.

Horticulture Department deals with the maintenance of the gardens and


outer areas of hotel.
Management

Chairman: Maharaja GAJSINGHJI

Director: Mr. MK Jhabak

Vice President: Mr. Avijit Chaturvedi

Work Structure

Jodhana Heritage consists of workers, Managers, Consultants, engineers, and


administrative staff, as a part of workers, JHPL employs permanent as well as
contractual laborers.

Recruitment
Recruitment is the process of searching for prospective employees and
stimulating them to apply for jobs in the organization in other words
Recruitment is the process to discover the sources of manpower to meet the
requirement of the staffing schedule $ to employ effective measures for
attracting that manpower in adequate number to facilitate effective selection of
an efficient workforce.
In JHPL the prospective employees are selected from colleges via campus
selection consultancies job websites on internet and through the applications
submitted by other competent people.

The employees are 1st sent a letter of interview mentioning the date time and
venue of the interview and also the essential documents to be carried along.
After that an interview is conducted by the management in which the
employee is judged on various parameters whether the candidate is best
suitable for the job or not.

Recruitment process has a very vital role. In order too retain the employees in
any organization it is very important that the Right man is at right place which
is the basic function of HR.
Recruitment of an inefficient person leads to dissatisfaction on the employee’s
part and it eventually leads to attrition.

After the employee has cleared the interview and found to be efficient for the
post than the candidate is given the letter of intent which mentions the date of
joining and the pay scale etc.

Once the employee joins then he is given the appointment letter. The
employee may be appointed on 3 ways

• Offer of training
• On Probation
• FTC (Fixed term contract)

The period of training is fixed by the management.

After the completion of the training if his/her work is found to be satisfactory


then a letter of probation is issued and after that employee is given the letter of
confirmation. Once the employee is confirmed he/she is entitled for HRA and
Conveyance allowance as per the rules.

Performance Appraisal

Process by which a manager or consultant (1) examines and evaluates an


employee's work behavior by comparing it with preset standards, (2)
documents the results of the comparison, and (3) uses the results to provide
feedback to the employee to show where improvements are needed and why.
Performance appraisals are employed to determine who needs what training,
and who will be promoted, demoted, retained, or fired.

Performance appraisal in an organization may be on various basis or


parameters.

It can be on the basis of outstanding performance, seniority, yearly etc.


Performance appraisal could be in any form for example in monetary terms
like hike in the salary or promotion or even a family tour etc as per the rules of
the organization.

In JHPL the performance appraisal system is yearly. Every year there is a hike
in the salary of the employees. The amount of salary hike is not fixed but it
varies as per the rules.
Leave structure

Leave structure of this organization comprise of 35 leaves yearly which are


categories as follows.
• Earned Leave (EL) 18
• Casual Leave (CL) 12
• Sick Leave(SL) 15

Earned leaves as the name suggests are those leaves for which the
employee has payed.

Sick Leave is given to the employee when he is medically unfit.

Casual leave is granted to the employees in case there is any urgent


requirement of the leave or any casualty occurs.

Each employee whose income is 10000 or below is given ESI (Employee


Service Insurance) as per the Government norms.

Provident Fund, Gratuity, Bonus etc is given to all employees.


LITERATURE REVIEW

The greatest challenge faced today by the organizations the world over is
retaining talented employees in the organization. A debate raging since many
decades has been as to whether to retain them is more important than finding
a successor to the vacant position. Whist the argument continues, let us
examine the causes, consequences and control of employee turnover, we
mean that employees of an organization cease to remain in the services of
that organization and leave for reasons best known to them.
Some of the causes/consequences could be classified as:

• Dissatisfaction parameter

Employees are dissatisfied with the salaries, perks and benefits offered by the
organizations they are currently in. They may also be dissatisfaction with their
bosses or find their jobs meaningless and unimportant as a result of which
their job satisfaction levels are very low. Further they may be dissatisfied with
career opportunities in the organization or even its personnel policies in
general As a consequence of the above employees leave to join other
organization, which satisfy their need. As the wheel of time moves along, they
find a third organization which offers to satisfy them even more. Thus they
change again i.e. they are perennially job-hopping from one organization to
another.

• Alternatives Parameter:
Here the employee leaves the organization in search of “greener pastures”
such as starting his own business joining the family business joining an
organization in a foreign country or even availing of the Voluntary retirement
Scheme of the organization and relaxing at home living off the interest
generated from fixed deposits and investment. An Interesting trend in recent
years has been that many managers leave industry to become consultants or
even faculty in management institutes or go abroad to complete their Ph.D. or
further studies. It is important to note here that the separation here was not
because of the dissatisfaction with respect to the present organization but
because of the other available alternatives and inclinations in that direction by
the employees. The consequence her is that the organizations some of these
employees are consultants on a retainer ship basis from time to time. This is
possible if and only if the separated employees are not always in a competitive
area of work.

• Personal parameter:

In this case, the employee choose to separate himself from the organization
because of the personal reasons such as ill-health, desire to return to the
native place for family reasons, the spouse is transferred and the current
organization has no branch in the new location and so on. In the Indian
context, women may have to give up their jobs post marriage to resettle
elsewhere in the country or even post- pregnancy. As some of the above
problems are more common with the women employees. many organizations
have an unwritten policy which is widely practiced i.e. to minimize employment
of women. This is a very unfair and biased policy and unfortunately many
competent and well-qualified women have had to suffer. But companies argue
that many women executives, even in today’s Indian context have to quit jobs
after marriage or pregnancy. It is best therefore not to generalize and treat
such cases on their respective merits
• Organization initiated parameter:

Sometimes employees have to separate from an organization as they have


not completed their probation periods successfully or they are being laid off for
want of work or their appointment was only on a temporary basis. In fact it is
this aspect of separation that is most unpleasant since the earlier ones
discussed were cases of separation which were employee initiated. Care
must taken by the organizations to ensure that the above be carried out
smoothly as possible else, this could create a lot of negative impression about
the company which could be detrimental for the organization’s image in the
long run. One major consequence of this type of separation is that it affects
the morale of the employees at large and creates feelings of insecurity in
general.

Let us realize that today recruitment has become both a highly specialized are
and a costly exercise too. Once an individual joins and organization, costs
incurred on him include Acquisition cost i.e. cost of recruitment, selection and
placement & Training costs i.e. induction, specialized training and on the job
training. Besides when he separates from the organization, the company
faces the cost of his position lying vacant besides having to pay his separation
pay and such dues.

Hence organization today is focusing on minimizing employee turnover with


great gusto. Some of the control measures taken are:

• Having a well-designed and dynamic Compensation and


Benefits System which is highly competitive.
• Proving opportunities for further growth in the organization via
career planning/succession planning.
• Develop a highly conduci8ve and pro-active work culture in the
organization where openness, creativity and commitment are valued.

In many organizations today, Exit interviews are conducted to obtain feedback


from separated employees about their stint in the organization.
Exit Interview

This exit interviews is conducted in two phases

Phase I

Is conducted as soon as the employee’s boss receives his resignation letter.


The objective of this meeting is to ascertain reasons as to why the employee
wishes to leave the organization. If the employee is really worth retaining,
attempts are made to eliminate dissatisfies is and retain his services for the
organization. This decision has to be taken very judiciously else the
employee. Despite all the attempts made, if the employee still decides to
separate then we move on

Phase II

Usually the second phase of the exit interviews should be conducted after the
employee who has separated has been paid all his dues and his accounts with
the company have been paid all hid dues and his accounts with the company
have been settled. This ensures that the separated employee provides candid
and unbi8ased feedback about the organizations procedures, poli8ci8es and
problem areas. All such feedback should be recorded on paper and circulated
to the top management. In order to ensure that a good discussion is possible.
The exit interview should be held in privacy and conducted by a senior
employee of the organization who is not there boss or departmental head 0f
the separated employee. If the feedback duly obtained by this method is
looked into seriously, this serves as a good raw data base through which
various irritants and lacunae in the organization could be eliminated.
In fact, the exit interview also has one more spin-off. If the employee parts
with a good feeling, he has a tendency to keep in touch with the separated
organization. Perhaps pavers a period of time, he would even like to come
back to his old organization. Some management is conservative and brands
the separated employee as a traitor but many other organizations welcome
him back.
Whilst critics argue that a continuous inflow and outflow of people into any
organizations keeps it healthy, care should be taken to ensure that the outflow
does not exceed the inflow. Further good employees should be retained a
developed to assume higher levels of responsibility in the organization. One
needs to remember that employee turnover is not a malady which exists in the
organizations. Hence necessary steps should be taken by an organization to
identify the causes and keep this turnover at an acceptable level, Retaining
talent and creativity is conducive work culture to facilitate performance to
ensure the organizations health & success.
Impact of Attrition

• Direct impact:-

A high attrition indicates the failure on the company’s ability to set


effective HR priorities, clients and business get affected and the
company’s internal strengths and weakness get highlighted. New
hires need to be constantly added, further costs in training them,
getting them aligned to the company culture, etc.,-all a challenge

• Indirect impact:-

The major problem of the company is to retain the remaining


employees. This is a
major issue as to what extent efforts should be made in order to
effectively retain
the employees.
Problem for the company in attracting potential employees, Typical,
high attrition also leads to a chronic or systemic cycle attrition brings
decreased productivity, people leave causing others to work harder
and this contributes to more attrition. All this has a significant impact
on the company’s strength in managing their business in a competitive
environment.

Productivity and profitability are both impacted, either negatively and


positively, according to the type of attrition. Even god attrition s
indicative of loss as recruitment is a time consuming and costly affair,
“It is tantamount to investment that has gone astray. Having said that,
good attrition minimizes the adverse impact on b business while bad
attrition accentuates the loss,” stated Nair, The cost of hiring is
sometimes not less than two to three times the salary of the employee,
the impact on work progress is tremendous, particularly if a project is
underway and one of the key people leaves. It leads to dip in entire
organizational efficiency, and a lot depends on how it is able to cover
the setback.

Organizations should execute top of the line retention policies in the


right earnest and consistency. They should e more employee-c
entered and look for further ways to “bond” employees to their
companies. Company performance is optimally aligned to the skills its
employees possess. High attrition implies that certain necessary skills
are vulnerable or are not preset due to employees being lost. If the
skills are constantly not available, the situation gets compounded into
a crisis with key projects, revenues, etc., getting affected. Business is
then reduced to just managing crisis. For example, a 2 percent attrition
difference can make a significant difference in the ultimate business
impact.
Managing the problems of Attrition

There is no sure-fire solution to control attrition. The only way out is to


manage it well. This can be done by having cautious hiring with proper
systems and processes in place to ensure that only the right talent are indicted
into the company. Those found lacking in particular skills or competence
should be informed of the expectations from them and put through a training
process. Continuous skills up gradation opportunities should also be provided
to good employees for their growth and development. Career management,
ESOPs, increments, rewards and ambience are significant retention
measures, reminding that both kinds of attrition are unhealthy for business.
When productive people leave it is understandable bad, but even desirable
attrition happens (after crossing six to seven months), it definitely impacts the
business. It is loss of opportunity and investment gone badly.

Consequently organizations have tried their best to ensure that attrition is kept
below the industry average. “Today an employee is clear on his needs and
what he wants out of the job. This makes the function of employee life cycle
management more critical and one that requires more attention and focus. By
carefully tuning and aligning employee aspirations with the company’s overall
objectives, to a large extent, attrition can be substantially reduced,” Stated
Nair

Curbing the problem from the root stage; the top management should
continuously focus on the issue and implement effective recruitment and
retention measures
Research Methodology

Descriptive

Population: All the employees of JHPL

Sample size: 30 employees

SAMPLING

1. Sampling Technique : Random sampling

2. Sample Unit : Jodhana


3. Sample size : 30 respondents

4. Method : Exit interview through questionnaire


(secondary data)

5. Area of survey : Balsamand lake Palace (Jodhpur)


DATA COLLECTION

We studied the exit forms and captured the data from them to analyze the
major reasons of attrition in the organization. Thought we were not allowed to
conduct any climate survey in the organization, we interviewed the HR
professionals of various divisions. A specimen of the exit forms is attached in
the Annexure.
We studied 34 exit interview forms.

DATA ANALYSIS

• Present Attrition Rate of the Organization


The present attrition rate for the financial year 2008-09 is calculated from the
date provided the organization. The data is attached in the Annexure. We
have taken in account only the employees in Transmission Line, Distribution
and Bio Mass division.

The rate of attrition comes out to be:


Quarter1- 2.5%
Quarter2- 4.0%
Quarter3- 3.5%
Quarter4- 3.0%

This is quite below the industry average. However, the management at JHPL
is still worried as it is much higher when compared to the rate of attrition of
past few years. The increase in sudden movement of valuable employees out
of the organization has led the management to look into this issue
.
• Major Factors Responsible for Attrition

Amongst the reasons mentioned in the exit forms, following are the reasons
that occurred with maximum frequency:
1. Family/personal Reasons
2. Better Job Opportunities
3. Position
4. Career Change
5. Relocation
6. Salary/Bonus/Benefits
7. Work Culture
8. Health
9. Organizational Issues
10. Types of work/job skills

Family and Personal Reasons:

Most of the organizations workforces deployed at the organisation locations


which are usually locations. Thus family reasons such as health of parent,
marriage, children’s education etc. are factors that cause attrition. Though, the
locations cannot b changed, the organization can invest in making the
employees family; of amid day to day activities easier at the hotel. Also,
before assigning someone to any task, his/her fitment to the job and location
should be checked.
Career Change:

The propensity to change the line of job is found in the line of job is found in
the employees leaving he organization. This may be because the job is very
demanding and hazardous. It is also considered to be difficult due to the
remote locations.

Better Job Opportunities

A major issue that came up after studying the exit form was the non-clarity of
the job description and profile. A Finance manager, for example, was
assigned a job in Human Resource department with a promise of transfer to
the suitable profile later. The promise however wasn’t fulfilled. This is one of
the major causes of dissatisfaction among the employees. Also the profile
keeps on changing and there is no proper communication to the employee, all
this leads the employee to change the job for a similar but better opportunity.
Moreover JHPL is a small unit and is not a chain of hotels or a very big group
so the employees in order to get a good career growth also leave JHPL in
case they get a better opportunity. For Eg Oberoi groups, Tata group etc.
Organizational Issues
For any organization to flourish and to run smoothly it is important that good
relation is maintained between the superiors and the subordinates. In every
organizations some or the other organizational issues occur which results into
discontentment as a result of which the employee feel difficult to work with the
same boss and therefore leave the job.

Job Satisfaction

While recruitment process is the duty of the management to keenly observe


the employee that he /she is capable of executing that particular responsibility
or is qualified as per the requirement of the job.
They should make sure that they have appointed the right man at right place.
People often are not satisfied with their job and therefore are not able to work
efficiently and leave the job.

Location of the Work Place

Location of the place of work is another important factor responsible for the
employees for leaving their job. People prefer that their place of work should
be located near to their residence. Moreover people prefer to work in an
organization which provides the accommodation facility.

Transfer
People leave the job if they are transferred to a place which is not suitable to
them. Transfer also leads to a complete change in the working atmosphere.
Change in any thing at once is resisted by all. This resistance to change
sometimes leads to attrition.
Salary
Money is the most essential thing for everybody in today’s scenario. People
leave for greener pastures. If the people are offered higher packages than
they leave the current job. However, it is not a major reason and the
organization’s pay philosophy is very much clear to the management and the
employees. JHPL does revise its pay structures regularly though.

These are the major reasons for the employees leaving their job at JHPL

Employees are an asset to an organization so we need to retain these


employees.
Various measures and policies should be adopted in order to retain the
employees.
Retention of the employees

It is important to maintain the efficient employees in the organization because


they bring success to the organization and it is because of their efforts the
organizations can reach the heights of success
Retention means to maintain the employees in the organization. It is very

Why Do an Employee retain in any organization.

• Career Growth.
• Liberal company policies
• Good relation with the superiors.
• Healthy working environment
• Direct communication
• Desirable location of the working place.
• Motivation by the bosses.
• Special care of employee welfare
• Regular and fair appraisal.
RECOMMENDATION

Keeping good people is never easy, Employment is about relationships-


specifically the relationship between an individual with changing needs,
increasing experience, growing knowledge, and intellectual capital and an
organization that exists in a changing marketplace with ever evolving needs, to
maintain the employment relationship, and employers have a huge
responsibility. First of all, they need to clearly know who their best employees
are. They also need to keep their employees informed, help them maintain
and develop skills, and encourage them to build networks and internal
relationships, None of these things casts much when compared to the cost of
recruiting and developing new employees, and none of these are really very
hard to do, But to put them into place does require a change of mindset and a
willingness to break (or at least stretch) the usual policies and rules that exist
in JHPL, Good HR and good recruiting is, after all, about treating people fairly
- but not necessarily the same Raising the bar through talent acquirement

Here are those few requirements for building lasting loyalty and a strong
employee-employer relationship:

• Have a performance management system that works.


Let employees know where they stand and how they are performing, Offer the
opportunity to move within the company to jobs that may fit their skills and
interests better, Keep the bureaucracy to a minimum and remove time
constrictions. A major reason for employee .unease and anger is insecurity
over how their performance will be assessed; Very few employees have
strategic performance objectives or spend time periodically reviewing their
achievements with their boss.
• Keep employees informed.
Silence is the greatest enemy of retention, when management does not
update the employees on the financial and business state of the company and
when rumors can be counted by the minute, turnover goes up and productivity
goes down. While some people (usually the "B' and "C" players) hunker down
1

and hide, the best ones start looking. We can't tell you how many excellent
employees who are highly valued have left their employers because of
business uncertainty. No one expects assurances or guarantees; what they
hope for is an understanding of trends. Are things better, the same, or worse?
Are customers leaving? How is sales volume?

Relationships thrive on the exchange of information, the organization also


needs conduits for employees to let them know about changes in their
development, classes taken, and new skills acquired, Employees want the
employers to use this information to help them find promotions or new
positions within the organization that will offer them a greater challenge or
more financial incentive. The two-way communication between employer and
employees is as critical as performance management.

• Educate employees all the time.


In bad times, employees have time to soak up new information; Education and
development are the cheapest retention tools in your arsenal. We are in a
talent war (even if that's hard to see right now) and everything has to be tried,
Locking people into degree or certificate programs is almost a guarantee that
they will remain with your firm until they complete the program, Most will be
loyal and thankful. And all of them will be better educated and hopefully more
productive employees. This is a big plus for large organizations, and you
should be capitalizing on this right now. But development can also occur
through on-the-job development and through many informal networks and
conversations. Every employer should encourage employees to transfer to
different positions frequently and institute rewards for managers who let their
people go to other departments and who focus on developing their staff. Many
employees who leave organizations are simply looking for a bigger challenge
or the opportunity to use a new skills or degree, Smart organizations will
encourage this and motivate managers to source and hire internally whenever
possible - even if it will require a bit of training.

• Help every employee build a social network.


Employees are frequently devoted to fellow employees and feel strong
attachments to them. This is what keeps many people from job hopping, We
all know how powerful networks are, and companies that actively promote
employee interaction and teamwork have less discontent and less turnover
than those that keep employees apart or at odds,

We recommend starting clubs and social groups within the company that work
and play together, some companies form college clubs for new college grads
that help them become oriented to the firm and meet other new hires. This
tends to raise the level of commitment they have to the organization and
reduces turnover,

Internal networks are powerful binding devices, Encouraging internal bogging,


the use of virtual communications tools like SMS or IM, and the use of video
conferencing. These can strengthen networks and extend them globally,
Knowledge is a powerful retention tool, and naivety and ignorance can best be
combated by sharing of ideas and experiences between people from many
different firms,

There us nothing that we have written here that is new, Employee retention is
about applying the Golden Rule: do for employees what you want done for
yourself, it is 90% common sense.

• Accommodation for the employees


Many employees leave the job due to the location of the job or due to
the family being at far place so in order to retain such employees the
organization should provide the employees with the accommodation
facility so that the employees can live with their family. Medical facility
should also be provided to the employees to ensure their better health.

Factors Influencing Employee Engagement


JHPL needs to take these factors into consideration while developing
employee engagement and preparing and engagement survey.

• Employee clarity of job expectations: If expectations are not


clear and basic materials and equipment are not provided, negative.
Emotions such as boredom or resentment may result, which might
lead to higher attrition.

• Career advancement/improvement opportunities: Managers


indicate that many organizational improvements are being made
outside the suggestion system, where employees initiate changes in
order to reap the bonuses generated by the subsequent cost savings.

• Regular feedback and dialogue with superiors: Feedback is


the key to giving employees a sense of where they're going, and gives
employee a sense of ownership.

• Quality of working relationships with peers, superiors, and


subordinates: If employees' relationship with their managers is not
smooth, then no amount of perks will keep the employees loyal to the
organization and to perform at top levels.

• Working Culture: A culture of respect where outstanding work


is valued. All the colleagues should work in a friendly manner with
team spirit and cooperation. They should all be ready to help each
other in their work. They should be given some time to spent together
so that they can interact more with each other. A common tea break
could be organized every day so that employees can exchange their
views and come up with constructive ideas.

• Suitable Compensation system: Fair and appropriate reward,


recognition and incentive systems. The incentive granted to the
employees should be performance based. There should not be any
partiality or manipulation while suggesting the name for the
compensation or incentive.

• Promotions: Regular and justified promotion should be given.


The promotion should be given to the candidates on certain standard
parameters so that the deserving candidate is promoted. This will also
act as a source of as a source of inspiration for the other workers who
will also work in the desired way.

• Perceptions of the ethos and values of the organization:


Inspiration and values are the one of the most important drivers in the
Engaged Performance model.

• Effective Internal Employee Communications: Transparency


in any organization is required for the smooth running of the
organization. The employees should feel comfortable and free to talk
to their superiors. They should easily discuss their problems with their
bosses so that they can get the right solution for it. The ideas from the
employees should be welcomed with an open heart so that employees
also feel that they are an asset to the organization and participate in
decision making process.
• Adequate tools to complete work responsibilities: the
employees should be provided with the adequate tools so that they
could perform their tasks easily, efficiently and with less consumption
of time. This increases job satisfaction among the people.

• High levels of motivation:


The definition of motivation is to give reason, incentive, enthusiasm, or interest
that causes a specific action or certain behavior. Motivation is present in every
life function. Simple acts such as eating are motivated by hunger.
Education is motivated by desire for knowledge. Motivators can be anything
from reward to coercion.

• Regular Performance Appraisals: Performance appraisal is


the evaluation of the employees on certain fixed parameters.

Performance Appraisal = Standard performance – Actual


performance
Thus for building up high engagement levels in the organization, HR
department should first try to determine the current level of employee
engagement. The best tool to determine this is a comprehensive employee
engagement survey. A well administered engagement survey lets an
organization know at what level of engagement its employees are operating, a
customizable employee survey provides it with a starting point towards the
efforts to optimize employee engagement, the key to successful employee
engagement surveys is to pay close attention to the feedback from the staff.

However, it is equally important to take actions to improve Employee


Engagement, Taking action starts with listening to employee feedback. Then
the data needs to be analyzed. Next, a definitive action plan will need to be put
in place and finally, change will be implemented, It is important that employee
engagement is not viewed as a one time action. Employee engagement
should be a continuous process of measuring, analyzing, defining and
implementing. Even the smallest actions taken to address concerns will let the
employees know that their input is valued, Feeling valued will boost morale,
motivate and encourage future input. These efforts in turn would work towards
higher satisfaction and loyalty of employees which in turn would reduce
turnover, in such manner; employee engagement can act as an important
retention measure in JHPL.

Conclusion
As the study conducted I found that my topic attrition which I measure is not
high but ratio of leaving the people is increasing. People are leaving due to
better job opportunities, better allowances and culture. More formal retention
strategy or methods are needed to be developed to stop the exit of valuable
employees from JHPL Company should focus more on retaining the
employees.

Most business owners and managers think retention is based on


compensation issues-wage and salary levels, incentives, and golden
handcuffs—when in reality the drivers go much deeper into the human psyche
to the actions and attitudes that make employees successful, secure and
appreciate. As a result, a sound retention strategies should focus on and
tactically address four key elements-performance, communication, loyalty and
competitive advantage.

1. Performance: - The benefit of having measurable objectives for


employees fairly obvious to most business owners and managers, but
this perception usually stops short of relating performance metrics to
employee retention. Study after study confirms that people have a
deep desire to feel they are succeeding and that their talents and
capabilities are being used in a way that makes a difference to the
business. When people sense their actions are fulfilling this desire,
they begin to develop a sense of belonging and a feeling that our
company is their company.

2. Communication: - The second essential element in a retention


strategy is communication, especially a communications process that’s
structured to inform, emphasize and reaffirm to employee’s that their
workplace contributions are having an impact. Since we are dealing
very directly with how employees feel about their performance, the
company and their work environment, the question becomes, “how do
you know how they feel about these matters?”
Properly done, communication with your staff will provide you with the
insights you need in order to know how your employees feel about
working for your business. An effective and sensitive communications
plan can provide you with insight on exactly what’s riving employee
morale and how your staff members feel about your company.

3. Loyalty: - The third element in a successful employee retention


strategy is employee loyalty. True loyalty is not an enforced
requirement but an earned response to the trust, respect and
commitment shown to the individuals in your company. When you
demonstrate loyalty to your employees, they’ll begin their employment
with you as loyal employees, but will develop loyalty over time as
they’re trusted, respected and appreciated by you.

4. Competitive advantage: -The fourth and final element in your


strategy to retain employees to do with your competitive advantage.
While that may seem odd at first, think about it: People want to work
for a winner. What sets your company apart from your competition?
How are you- and as a result, your employees- making a difference in
your industry, in your community, and for your customers? Take the
time to identify and inform your clients and your employees about your
unique competitive advantage. If product is similar to others in the
marketplace, your service can be what distinguishes you (probably
should in any case). People want to be with a winner…. And that
includes employees.

Together, these four elements can provide you with a retention strategy
capable of producing amazing results. You may even have some of them
already in place, such as performance metrics and a communications process.
The key is to make sure you’ve integrated all four elements into a strategy for
retaining employees that’s grounded in a genuine commitment to serving your
customers and employees well over the long haul
What are the primary reasons for leaving

Salary 17% Family and Personal Reasons 15%


Job Satisfaction 12% Career Change 7%
Transfer 10% Better Job Opportunities 27%
Organizational Issues 12%

12% 17%

15%
27%

10% 12%
7%
Is your job and duty clearly specified?

Yes 57% No 43%

43%

57%
opportunities that appear to be most attractive
and satisfying working at JHPL

. Working Atmosphere14% Career Growth 22%


Location 10% Salary Package 28%
Employee welfare 17% Any Other 9%

9% 14%
17%

22%

28% 10%
The factors that appear to be least attractive
about your job

Location 15% Salary package 27% Working Standards 12%


Company Policy 30% Any other 16%

16% 15%

27%
30%

12%
Did you receive adequate training whil your stay
at JHPL

Yes 64% No 36%

36%

64%
Were there any company policies or procedures
that made your work more difficult?

Yes 59% No 41%

41%

59%
How do you see your opportunities to advance
within the company?

Excellent 26% Very good 36% Good 32% Poor 6%

6%
26%

32%

36%
How did you feel about your workload? Was your
workload fair?

Yes 65% No 35%

35%

65%
Did you feel discipline was fair in your
department?

Yes 86% No 14%

14%

86%
Would you consider returning to this company in
the future?

Yes 47% No 53%

47%

53%
What should be company's endeavour to retain
employees

P A 12% Promotion 10%


compensation 34% worker's participation 16%
Grievance handling 15% any other 13%

13% 12%
10%
15%

16%
34%
Jodhana Heritage Pvt Limited

Exit Interview

HR Department

Employee Number: _____________ Employee Name: _________________


Designation : ______________ Grade : _________________
Department : ______________ Reporting Authority: _____________
Date of Joining : ______________ Date of Leaving: ________________
Contact Number:
______________ e- mail
Address:
_________________

As you leave us we would like to ask you to share your respective on your
world work experiences at JPHL. We hope this information will not only help
JPHL to build on strengths, but also become more conscious of its needs for
improvements in specific areas. We commit to holding all of your responses in
strict confidence and will only use details gathered in summary report to study
trends.
Q1. What are your primary reasons for leaving?

a. Family and Personal Reasons: b. Job Satisfaction


c. Career Change d. Salary
e. Transfer f. Better Job Opportunities
g.. Organizational Issues

Q2. . Is your job and duty clearly specified?

a. Yes b. No

Q3. If “No” then specify any change or improvement required in your job
description, if any?

Ans __________________________________________________________

Q4. . Mention opportunities that appear to be most attractive and satisfying


working at JHPL

a. Working Atmosphere b. Career Growth


c. Location d. Salary Package
e. Employee welfare
f Any Other (Please Specify)________________________________

Q5. Mention the factors that appear to be least attractive about your job?

a. Location b. Salary Package


c. Working standards d. Company policy
e. Any Other (Please Specify)________________________________

Q6. Did you receive adequate training while your stay with the company?

a . Yes b. No
Q7. Were there any company policies or procedures that made your work
more difficult?
a. Yes b. No

Q8. How do you see your opportunities to advance within the company?

a. Excellent ( )
b. Very Good ( )
c. Good ( )
d. Bad ( )

Q9. How did you feel about your workload? Was your workload fair?

a. Yes b. No

Q10. . Did you feel discipline was fair in your department?

a. Yes b No

Comments & Recommendations for improvement: _______________

Q 11. Were there any company policies or procedures that made your work
more difficult?
________________________________________________________

Q12. Would you consider returning to this company in the future?

a. Yes b. No
Q13. What should be the company’s endeavour to retain the employees?

a. Performance appraisal b. Promotions


c. Compensation d. Worker’s participation
e. Grievance Handling f. Any other

Q14 Would you recommend this company to a friend as a good place to work?

a. Yes b. No
BIBLIOGRAPHY

Books:

1. Retaining Your Employee - Barb Winfield


- Janice Barry

2. Attrition Analytics (white paper) - Survo Raychhaudhuri

3. Reducing Panel Attrition - Daniel H. Wills

Website:

www.jodhpurheritage.com/balsamand@dataone.in
www.CiteHR.com
www.towersperrin.com

Findng
Def atrr
Object
Topic

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