Study About Staff Turnover Management

Turnover of employee is one of management problem in 21 century. Talent mobility accross organization is grow rapidly, creating issues on how to make employee to be more engaged, loyal, and productive towards organization. Wrong turnover management is bad for organization, and costly due to talent movement to other organization.
Checkout those studies and review some strategies for your organization.

1. The Study of Labour Turnover
2. Complete Report - Employee Retention & Labour Turnover
3. EMPLOYEE TURNOVER: BAD ATTITUDE OR POOR MANAGEMENT?
4. "Putting a price on Staff Turnover" a case study

The Latest Thinking on Reducing Staff Turnover

What does turnover cost your organization? How many staff left your organization last year? What did that cost you in terms of recruitment, screening, training, reduced service and lost revenue? Even at entry levels, the cost of staff turnover has been placed at around $7500 per incident. So if you have a staff of 100 people and your turnover rate is 10% your cost of turnover is going to approach $75000...that's cash out the door. Your situation may be different, better or worse, but until you determine what the cost of turnover is for your company or your organization, any initiative that you might want to undertake to reduce turnover will seem too expensive.

You have probably heard that people don't leave jobs, they leave supervisors. In the leadership development work that my company does, we see time and time again that many supervisors simply lack the people skills to become good supervisors. They may have been excellent at the production job or their service delivery job and that is why they were promoted to supervisor. But, what is often not recognized is that they now have a new job and it's very different than the job they formerly had; it involves the management and motivation of people.

To complicate matters, in many organizations the role of a supervisor is seen as being a "taskmaster"; to make sure that people produce the maximum number of widgets possible in 8 hours. There is little room or concern for the welfare of the employee; very little commitment to the success of the employee; it's a sink or swim proposition. In most organizations, the pattern goes like this. The employee is hired, put through an orientation where more information is thrown at him/her than could possibly be absorbed. Thereafter the new employee is assigned to the work environment. If the employee begins to have performance problems, the disciplinary process begins and before you know it, the person is never seen again. Of course all of this happens in a pretty public way. That is, other employees observe the process and quickly get the message that the company lacks commitment to the success of its employees. The relationship between employees and their supervisors is unfortunately not always a good one. A recent study done by the University of Florida suggested that more than half of all employees do not trust their supervisor on a number of key measures.

What does it take to keep employees happy and productive? It can be pretty simple. Sometimes all it takes to keep an employee happy and fully engaged is an occasional "thank you". Motivating people is not rocket science. Communication is another key. If managers need employees who will support their vision for the company, that vision has to be discussed with them frequently. And they'll need coaching in terms of how to go about their jobs in a way that truly supports the desired company objectives. Finally, Herb Kelleher, founder of Southwest Airlines, believes that the company's real challenge is to take care of its employees. Employees who sense the interest and concern of management for their success are the best sales reps the company could want; the customers will be there and will be there repeatedly.

If you would like to cut your turnover in half, follow some of Larry's suggestions for better staff morale and other leadership tips that are discussed in his FREE newsletter. It's free and is distributed twice a month. Each issue is short, to the point and has an article of interest to organizational leaders. Click on the link below to subscribe. Leadership Training Article Source

Michael Porter's Competitive Advantage

It's important to analyze these five forces and their affect on companies we want to invest in. The Porter Five Forces Analysis will give you a good explanation for the profitability of an industry, and the firms within it. If you want to know why a company is able, or unable, to make a decent profit, this is the first analysis you should do.

Michael Porter's Competitive Advantage

View more presentations from Wesley Shu.

Toyota's 14 Principles : Key Success Factor

Many things to be learnt at Toyota. You can download the toyota 14 principles pdf here and read the analysis below from ezine.

Toyota is clearly a dominate leader in automobile manufacturing today. The principles employed at every level of the company have certainly led to a standard of quality that no one in the automotive industry can argue with. What these principles are and how they are implemented within the Toyota Corporation can certainly help the automakers of the United States and indeed the world achieve the same success.

When these 14 principles are listed and compared with some of the strategies that United States automakers have employed, it becomes clear why Toyota has succeeded as it has.

The 14 principles are known as the "Toyota Way" and are listed below:

1. Base your management decisions on long term philosophies, even at the expense of short term goals

2. Create continuous process flow to bring problems to the surface

3. Use pull systems to avoid over production

4. Level out the workload

5. Build in a method to stop and fix problems when they are discovered, this ensures quality the first time

6. Standardized tasks provide the foundation for continuous improvement and employee empowerment

7. Use visual control so no problems are hidden

8. Use only reliable, thoroughly tested technology that serves you people and processes

9. Grow leaders who thoroughly understand the work, live the philosophy and can and do teach it to others

10. Develop exceptional people and teams who follow your company's philosophy

11. Respect your extended network of partners and suppliers by challenging them and helping them improve

12. Go and see for yourself so that you completely understand the situation

13. Make decisions slowly by consensus, thoroughly consider all options; implement decisions rapidly

14. Become a learning organization through relentless self examination and continuous improvement

Just by a cursory examination of these fourteen principles, it is easy to understand why Toyota has experienced such a high level of success. The overall process does not allow for overlooking, either deliberately or by accident problems that exist anywhere in the chain of production. Every Toyota employee involved in the manufacturing process has the power to stop production if they see an issue developing. Just this one aspect alone works to ensure that quality vehicles are produced along the assembly line. The twelfth principle: go and see supports and encourages management to stay in touch with design and manufacturing concepts so that they stay in touch with what is actually occurring on the production floor. Number 13 inhibits the business as usual style that can strangle even the most creative of companies. By always encouraging employees to thing outside the box and bring the suggestions to upper level management, fresh new ideas are constantly stimulating innovative and original designs. This ensures that the product never goes stale.

By spending more time up front developing the correct process, the long-term goals of producing exciting affordable qualities vehicles is recognized. Unfortunately, for U.S. automakers, it many times seems that that they approach the production concept from the opposite direction. This might explain why Toyota has pulled away from United States as a leader in the car manufacturing industry. The philosophy appears to have worked well so far and one wonders why someone in America has not had the bright idea to adopt these strategies.

Could it possibly be that many Americans have grown fat and lazy with the early successes achieved by our ancestors? Let us hope that our philosophy as a nation changes quickly, for if it does not, we might find ourselves going the same way as our automotive industry. That is a scary thought indeed.

Human Resource Outsourcing & Benefit

Need the logic information about HR Outsourcing? View the article and research outsourcing research and statistics and read the short explanation below.

Nice Reading...

Outsourcing is becoming important in today's business. Outsourcing will help the organization as the certain part of the work is delegated to an external service provider. He will be responsible for looking after day-to-day activities of the work delegated to him. It would be better if the organization communicates with the service provider on a regular basis. The organization should outsource the work for a longer period so that they can maintain a good business relationship with the service provider which will benefit the customers. Outsourcing can be done for marketing, web design & maintenance, manufacturing, recruitment, logistics, distribution, editing. Outsourcing can be done when the process becomes difficult to manage or when the employees do not have the necessary skills.

Outsourcing is done to help the organization to reduce costs, so that they can concentrate on their main activities. It will help the organization to save time and the resources can be used for other important activities. The service provider has to finish the project on time. Credibility and efficiency of the service provider is known if he meets the project deadline. The service provider provides better service quality. The organization does not have to worry about introducing new technologies. The pros through outsourcing are it has reduced costs, tax advantages, removing of personnel problems, expert resources and staffing. It can control operating costs. It increases customer satisfaction. It reduces the overall management burden while retaining control of strategic decision making. It spreads the risk. Provides value added services.

Outsourcing the recruitment process will reduce the recruitment costs up to 20 %. Outsourcing recruitment has 4 major advantages like cost reduction, results, focused management effort and optimal resource utilization. Outsourcing is beneficial to corporate organizations and consultancies. They are inter-related to each other because the corporate organizations use the outsourcing services and the consultancies provide service to the corporates.

There are basically two types of HR Firms. One is professional employer organization (PEO) and Hybrid HR firm. Professional employer organization is for those companies who are contended with handing over the whole HR functions to a 3rd party organization. But if there is a problem in handing out the HR functions to someone else then you may opt for the Hybrid. To choose an employee for an organization the consultant will do certain things like it will define the requirements, advertise, attract the applicants, selecting the applications, interviewing, assessing, conducting tests, reference check and then short listing the applicants.

The organization has to choose whether it is interested in taking up a human resources outsourcing (HRO) provider or a professional employer organization (PEO). HRO provides the specific HR function and PEO provides services like the workers compensation, payroll etc. For smaller concerns a PEO can be beneficial as it can control HR costs such as workers compensation insurance, group health benefits and payroll processing. For larger concerns the HROs work better because they save more money in outsourcing certain specific areas like administration, application management, HR information systems. If only certain functions are outsourced then HRO is the best solution but for a full service solution, PEO will be better.