Markov Analysis and Planning

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The past is often said to be the best predictor of the future. In planning and forecasting for future labor needs, based on gaps in employment levels due to advancements, demotions, or exiting employees within a company, a review of a Markov Analysis chart can reflect areas of opportunity for the organization based on past employment movements (Dartmouth, n.d.). The Doortodoor Sports Equipment Company is unique in their industry, being in the only company to sell door to door. However, this tactic as well as other HR practices could be examined to determine if changes employed increase retention or improve internal promotions. A review of the Markov Analysis for the Doortoodoor Sports Equipment Company will now be considered.

Internal Labor Market

In reviewing the Markov Analysis for Doortodoor Sports Equipment Company, several conclusions can be derived from the data. The numbers reflect retention rates or job stability, promotion, demotion, transfer, and turnover rates for the organization.

Job Stability

Doortodoor Sports Equipment Company retains a higher percentage of employees in their Sales Part-Time (SP) and Assistant Sales Manager (ASM) positions. The company retains 60% of their SPs and 80% of their ASMs. While the organization retains 70% of their Regional Sales Managers (RSM), they lose 30% in turnover. The retention rate for RSMs is high, but the total number of employees in this position within the company is lower than other job categories resulting in the highest turnover rates in the company. The job category with the total highest exit rate is the Sales Full-Time (SF) category. The employees retained in this category amount to 50%. Within this category however, 10% of the employees trans...

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...he Markov Analysis along with company practices can help achieve improved performance in staffing practices in the future.

Works Cited

Craik, D. (2004). Promoting the art of demotion. Retrieved from http://www.theguardian.com/money/2004/apr/26/careers.theguardian

Dartmouth. (n.d.). Chapter 11: Markov chains. Retrieved from http://www.dartmouth.edu/~chance/teaching_aids/books_articles/probability_book/Chapter11.pdf

Heathfield, S. (2014). Transfer at work is a career opportunity. Retrieved from http://humanresources.about.com/od/glossaryt/g/transfer.htm

Heneman, H. G., Judge, T. A., & Kammeyer-Mueller, J. D. (2012). Staffing organizations (7th ed.). New York, NY: McGraw-Hill.

Robertson, T. (2014). Reasons for the high turnover rate of sales personnel. Retrieved from http://smallbusiness.chron.com/reasons-high-turnover-rate-sales-personnel-15715.html

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