Answer To: Assessment Component...
Soumi answered on Jan 23 2021
Running Head: ASSIGNMENT -3 1
ASSIGNMENT -3 2
APPLIED MANAGEMENT MINI PROJECT B
PROJECT REPORT
ASSESSMENT COMPONENT 1B
Name: ________________________
Date of Submission: __________________
Executive Summary
The current project proposal aims at identifying the degree, in which the high employee turnover issue is affecting organisational performance with a special reference to Service Foods Limited and figure out solutions for the issue at hand. In the first section of the project proposal, the topic is introduced along with the company background, the aim and subsequent objectives. In order to provide depth to the project proposal topic, literature review is provided, which has acted as a source of secondary data. In the literature review section the concept of employee retention, the factors affecting employee retention, Maslow’s Hierarchy of Need theory and impact of employee retention on organisational performance have been discussed critically.
In the following section of the project proposal, the adapted method is mentioned, along with the specific details and the justification for making the choice among available alternatives. The section shows that 45 respondents and 2 managers have been selected for conducting survey and interview, respectively, which again is a part of the mixed method. The respondents are chosen randomly from the existing workforce of the company and the survey was conducted online. In case of the interview, the warehouse manager and the HR manager have agreed to take part in the project proposal. In the following section of the project proposal, the data have been collected using the methods opted in the previous section and are put into charts, tables and graphs in numerical form to help identify the perspective as well as the preference of the human respondents. The data responses showed that the workforce the chosen company has is not sufficient for tackling the immense load of work, generated from the rapid growth of demand of the company products. In form of recommendations the hiring of more staffs and use of automated machineries are offered, which is expected to resolve the issue at hand.
Table of Contents
Introduction and Project Aims 6
Background Information of Host Organisation— Service Foods Limited 6
Business Issue 7
Aim of the Project 7
Objectives of the Project 7
Literature Review 8
Concept of Employee Retention 8
Factors Affecting Employee Retention 8
Maslow’s Hierarchy of Need 9
Impact of Employee Retention on Organisational Performance 10
Information Collection Methods 11
Data Collection Method for the Report 11
Justification for Chosen Methods 11
Ethical Considerations and Limitations 12
Allocated Time Frame 12
Discussion 13
Analysis of Quantitative Data— Findings of Survey Questionnaire 13
Analysis of Qualitative Data— Findings of Interview Questions 21
Conclusion 23
Recommendations 24
List of References 27
Appendices 29
Appendix 1: Survey Questionnaire 29
Appendix 2: Interview Questionnaire with Transcripts 31
List of Figures and Tables
Table 1: Timeframe of the Proposed Project 13
Table 2: Tenure of Employees in the Company 13
Figure 1: Tenure of Employees in the Company 14
Table 3: Reason for Employee Turnover 15
Figure 2: Reason for Employee Turnover 15
Table 4: Workload factor for Employee Turnover 16
Figure 3: Workload factor for Employee Turnover 17
Table 5: Suggestion for Improved Employee Retention 18
Figure 4: Suggestion for Improved Employee Retention 18
Table 6: Frequency of Potential Employee Turnover 19
Figure 5: Frequency of Potential Employee Turnover 20
Table 7: SMART Recommendation 1 25
Table 8: SMART Recommendation 2 26
Introduction and Project Aims
The human resource of any business organisation act as the manual power source that makes the business organisation function, profit and retain its hold on the market. However, emphasis on profiting often encourages management of business organisations to ignore the priorities and needs of their existing human resources, as a result human resource retention becomes difficult and employees of organisations leave the organisation for better alternatives. As employee turnover increases, the shortages of workplace skills are felt, despite the availability of new employee in the market and use of technical machineries. It is found that retention of employees makes organisational performance high, while investing extra on employee demands reduce profitability, therefore, a proper assumption of human resource retention and the legitimacy of the claims of the human resource are necessary, which has been done in the current report with a special reference to Service Foods Limited, New Zealand.
Background Information of Host Organisation— Service Foods Limited
Service Foods Limited is one of the largest family-owned-food-supply business organisations, which conducts in business in more than 20 countries, 2000 imported products and 8000 local grown products. The company has a moderately limited employee base, accounting a little more than 500 employees, who use 125 trucks for the supply of the products in New Zealand. The organisation aims to offer safe products to its clients and customers by focusing on the quality of the product. The company does not aim to profit and become market leader, instead as a part of its corporate social responsibility, the company tends to educate its clients and customers to get the highest benefits from the usage and selling of the products they offer (Service Foods, 2019).
Business Issue
Despite retaining the status of one of the market leaders in New Zealand’s food and beverage industry, Service Foods Limited is facing major issues regarding its employee retention policies. The company has currently been facing major increase in demands for their products, however, in terms of employee strength; there is a passive reluctance from the management of the organisation. The limited employee strength is creating immense pressure on the existing employees and therefore, they are leaving the organisation for better job opportunities, which is making the retention of skills a matter of concern. The management of the chosen organisation is offering its clients and customers, timely delivery of their products, however, due to the inadequate number of staffs, the offering of the service is becoming very hectic and the employees are overloaded with work. Making an employee work excessively for a long period increases the chance of employee turnover (Gjerlov-Juel & Guenther, 2019).
Based on the report topic and the issues identified the following aims and objectives are formulated.
Aim of the Project
The aim of the current report is to evaluate the degree of impact employee retention casts on the organisational performance of Service Foods Limited.
Objectives of the Project
The objectives are—
· To discover literary works and researches conducted for the comprehension of the aspect of employee retention
· To identify and assess the factors that influence the degree of employee retention
· To figure out the root cause of the employee retention issue from the employee and forward the findings to the management for solution formulation
· To take the help of the warehouse manager for identifying the solution for employee retention issues at Service Foods Limited
Literature Review
Concept of Employee Retention
As an employee invests ample amount of time in an organisational workplace, the repetitive nature of the work, the regular learning scope at the workplace, the guidelines of the managers and the real life experience gathering, makes the employee more efficient, skilful and experienced. Considering the importance of experienced employees, organisations try to keep them in the organisation for longer periods, often offering contracts, lucrative wages, salaries and incentives, which are collectively considered as employee retention purposes (Sharma & Gupta, 2019).
Employee retention, it can be opined that is the process, through which experienced employees are retained in the organisation for they offer experience as well as skills that help in refined performance and efficacy attainment (Annapoorani & Menon, 2019). However, it can also be argued that employee retention is the process, through which human resource is retained in the organisation so that shortage of employees are not felt as employee turnover and subsequent employment process hampers productivity and it has nothing to do with talent retention (Mahmood, Akhtar, Talat, Shuai, & Hyatt, 2019).
Factors Affecting Employee Retention
Firstly, the workplace environment seemed to be a major factor of employee retention. A workplace, where the management is unbiased, multiculturalism is evident, safety is prioritised and employees are encouraged through benefits, attracts and retains employees better than those who do not offer such standards (Sheth & Singh, 2019).
Secondly, the availability of benefits to the employees is also major factors that determine the degree of organisational employee retention. Apart from the offering of standard wages to the employees, the offering of monetary and non-monetary benefits influences the employee retention potential of the organisation (Naidoo, Abarantyne, & Rugimbana, 2019). In terms of monetary benefits incentives and bonuses are paid in respect of additional labour and annual performance basis, while the non-monetary benefits include healthcare facilities, insurance for family, workplace flexibility and many more.
It is evident that as the demands of the employees never remain dependent on the money they earn and as time moves on employees go through stages of new demands. Another major factor that influences employee retention is the ratio between employee strength and workload. If it is found that the workload is excessive, then the employees are bound to leave the organisation at some point of time, irrespective of being paid incentives or not.
Maslow’s Hierarchy of Need
According to the changing nature of the demands of an employee during his or her career development, Maslow has identified five stages of employee needs arranged in hierarchical order. In the first stage, physiological needs are given priority, which includes the aspects of basic needs such as accommodation, food, drink, sex and comfort, achieved through money. In the second stage, safety in terms of stability of work, its security and legal coverage is expected. In the third stage of Maslow’s needs, love and belonging needs, which hint at social inclusion, friendship at workplace and community based love, is expected, which cannot be ensured by monetary offering alone (Shih, et al., 2019). The fourth stage of esteem need of the employee, which includes the perspective development of self-esteem and the esteem expected to be perceived by others. In the last stage, the need of self-actualisation is given priority. In the self-actualisation, stage employees try to achieve what was desired to the fullest attainable degree.
Impact of Employee Retention on Organisational Performance
It is seen that organisations take note of their employee retention issues that lead to employee turnover only when there is a crisis of human resource in the market. However, it is seen that in case there is human resource available in the market, the employee retention is ignored or given less priority. Despite the ignorance offered by majority of organisational management, employee retention is a direct influence of organisational performance (Ansari, Siddiqui, & Farrukh, 2019). As employees spend time within an organisation they gather experience and develop skills, resulting in efficient as well as consistency of performance, the ability of adapt to change in organisational frame and...