Executive Attrition

at NTPC

Attrition Trend

3.5

Attrition Rate (%)

3 2.5 2 1.5 1 0.5 0 19992000 0.76 61 0.64 51 0.3 26 0.4 0.14 11 0.12 8 36 0.67 69

300 250

1.55 165

200 150 100 50 0

2000-01 2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08

Resignations (No.s)

323 2.92

350

Key Attrition Related Statistics

Attrition is high amongst Executives hired through ET mode Senior management (E7A-E9), E2A, and is slowly catching up at E6 and E7 levels also

New projects, and functions related to project

construction and design JVs and new business areas like consultancy and

hydro

Exit Interview Findings

Low career growth prospects/ Job dissatisfaction Lack of empathy and mutual respect between bosssubordinate and amongst different departments Lack of empowerment and risk taking Better salary and perks available outside Poor state of office and township infrastructure

Lack of transparency in promotions and transfers

Brainstorming on Employee Retention

3 brainstorming sessions for junior, middle and senior level executives were organized by HRD Executives from all levels and various departments were invited

Some salient retention ideas

Empathy : Top management communications Career Growth System : Enlarge and enrich existing jobs, Introduce system of developing experts Empowerment: Revise DOP to push power towards place of action, Simplify system of awarding contracts

Infrastructure & Facilities: Improve Bachelor hostels, Township

accommodation, IT backbone, and revise Travel and other entitlements

Compensation and Benefits : Monetize benefits, Revise HBA and

car loan, ESOPs to good performers, give flexibility of planning CTC

Hydro Region
Compensation Hardship allowance at Hydro location Incentive policy for the long gestation period of hydro projects Tenure Option if he desires to return to established project after serving 3

years in hydro project.

Bonus to serve beyond their tenure period in hydro region
Infrastructure & Facilities Hydro HQ/ Township at Dehradun/ Rishikesh Increase travel entitlement Helicopter for emergencies Provide satellite phone, internet and TV CUG facility to the family

Action Steps
Cross-functional teams to study Hydro Region related issues Review of DOP towards empowerment

Review of Contracts system

Revamp of infrastructure within given timeframe

Increase top management visits to stations/ projects

Implementation of Career Development System

including Job rotation and Specialists Following to be examined for next wage revision Increasing HBA/ Car loan Monetizing benefits with flexibility of planning CTC to individuals ESOPs

Thank You