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Managing retention and turnover
Managing retention and turnover
Managing retention and turnover
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Turnover is one of the major problem for the HTCA (Hospitality & Tourism, and Culinary Arts) industry. There are increasing number of studies on this issues as seeking for solution, with practices for human resources management, management practices, and particularly organizational commitment and job satisfaction has been taking in account (G.Faldetta, 2013). In the hospitality and tourism industry, the high turnover rate has become the most problematic managerial topic, as the turnover rate is continuously higher compare to other industries (Cho et al., 2006). Iverson and Deery (1997) mentioned “turnover culture” has become a most significant explanation for high turnover in the hospitality industry, which many organizations will rather accept the turnover as part of workplace culture instead of finding solution to overcome it. With an excessive turnover in this …show more content…
There are research been done by stated the highest turnover rate occurs during the first and four weeks on the job, so it was important to retain the newcomers during the beginning of entering new organizations (Kennedy and Berger,1994). Another research showed the most turnover among employees occurs within the first few months (Lundberg and Young, 1997). Hospitality is a labor intensive business, and is one of the industry which highly need of labor. According to Kusluvan (2000), the development of the locality in terms of infrastructure and tourism will direct effect the amount of labor needed. In developing countries such as Malaysia, the rapidly growth in tourism will required large amount of labor to work in
The Department of Human Resources is involved with many important aspects of a business, like staffing, compensation, benefits, and much more. As the new Director of Human Resources for a 150-room, full service hotel in downtown Sheboygan, I am in charge of turning around the hotel. Some urgent tasks include hiring and training new candidates for two open positions, revising the training and incentive programs, and finally, improving the overall morale of the employees.
With the high rate of turnover, we would need to find a way to lower that and make sure the employees are feeling like they are valuable members of the business. I predict that I would find out that the employees don’t feel that they are treated well enough and getting rewarded for their liking. I think that they feel undervalued and disrespected and that causes the high turnover. I would recommend to the executives that they sit down and meet with their employees and figure out ways to better the relationship between management and the
Simon, E. (2003). Successful hotels use hands-on hiring, retention practices. Hotel & Motel Management, 218(11), 54.
Based on what I learned in Chapter 10, interventions that I would make to reduce management turnover would be to include various and multiple strategies for promoting employee job satisfaction and commitment. What this means is that organizations today are concentrating on retaining good employees, so motivational techniques play a big part in an organization’s success. Turnover is time consuming and costly. I have never understood the purpose of the “revolving door” at some of the law firms that I have been employed other than a dysfunctional management. As Barry Schwartz stated, “society needs to be mentored by wise teachers.” (Ted2009).
Kusluvan, S., Kusluvan, Z., Ilhan, I., & Buyruk, L. (2010). The Human Dimension A Review of Human Resources Management Issues in the Tourism and Hospitality Industry. Cornell Hospitality Quarterly, 51(2), 171-214.
Employee turnover costs are very costly to a company. Turnover not only affects the bottom line but also affects the company’s morale. We are analyzing the problems within our company that are causing our employees to become unsatisfied with their job. Then we are going to find solutions. And then do the cost estimates of the turnover costs and the turnover savings after our solutions are implemented.
In the West Indies Yacht Club Resort, the firm was encouraged a lot by the local government to post available jobs for natives to come and work, yet the resort was timid in that situation because of strict employment laws once they were hired on. Due to turmoil among native and expatriate workers, senior officials were stuck with several problems: (1) the turnover ratio in managerial positions, the customer complaints, and the culture feud, which was at the center of their little problem. From the beginning of the resort until now, the resort has gone from the elite to mediocre due to growing competition and declining customer satisfaction. The organization of the resort is somewhat systematic although it doesn't have any extreme training programs. None of the managers have had extensive training except for what they had received at other places of business.
Employee satisfaction, employee turnover, and workplace environment are inseparably linked. Workplace environments heavily influence employee satisfaction, which directly affects employee turnover rates. When employees feel they are not being supported within their first months of hire, they will inevitably leave the company. Employees want to have the security that if they need assistance, someone will be there to guide them. Therefore, it is imperative for organizations to develop a thorough onboarding program and a long-term retention plan.
For many important and well known companies its people are most important asset. For McDonald’s this applies as well. Employees who demonstrate positive attitudes and ability of commitment strive to be number one in customer satisfaction. For this same reason, McDonalds’s restaurants focus on attracting and hiring the best and at the same time provide the best place to work. Unfortunately McDonald’as well as other companies have to experience staff turnover. Many of these reasons consist of changing careers, going back to school, leaving the area, and even new opportunities they are offered. Although, it can be very expensive to recruit and train staff to reduce turnover, McDonald’ reinforces these steps and makes sure they choose wisely and also treat their staff well. McDonald’ needs and looks for people who want to exceed and deliver great customer satisfaction service. In order for them to make sure they select the best, they must identify quality skills, and or behaviors that applicants must demonstrate in order to be hired and be part of McDonald’s family. Every position or job description has an outline of the regular duties and or responsibilities McDonald’ want their employees to follow. McDonald’ also has a person specification where personal skills and competences can be defined of each applicant.
Voluntary and involuntary turnover have an effect on organizations. Rapid changes in job descriptions, organizational structures, and inter-organizational competitiveness increase the importance of studying turnover and its relationship with organizational change. According to Leana and Van Buren (1999), "the loss of key network members can severely damage an organization 's social fabric and perhaps eradicate its social capital altogether." When businesses lose a high number of employees, problems can occur, costing the company time and money. Some of the costs incurred are associated with training, drug testing, physicals, and orientations to hire replacements that may take several months to learn the job and to achieve competency. There is a saying, “Good help is hard to find---and harder to keep”. This saying refers to good organizations trying to reduce turnover when the competition for retaining good employees is intense.
High turnover rate of expatriate: expatriate managers are frustrated with the performance and practices of local employees. And they do not have enough international experience and cross-cultural communication and sensitivity training.
In the hospitality industry one must be prepared to work all over the globe. There are work abroad opportunities available to trainees and other employees looking to expand their horizons. The possibility to progress in this industry depends on the level of your experience, your flexibility to move around the world and the magnitude of the hotel or its chain.
Employee turnover in organization is one of the main issues that extensively affect the overall performance of a workplace (Tariq, Ramzan and Riaz, 2013). Various studies show that employee turnover negatively affect the overall efficiency at the organization (Tariq, Ramzan and Riaz, 2013). Xiancheng, (2013) mentioned the employee turnover is a method of personal issues who decided to stop associate with the company for better advantage. There are two types of turnover which are voluntary and involuntary turnover. Voluntary turnover can be defined as the termination of the official and the psychological contract between the employee and employer (Krausz, 2002; Macdonald, 1999; Mclean Parks et al, 1999; Rousseau, 1995) while involuntary turnover inescapably lead to direct negative results such as current job is insecurity, work difficulty, and status fluctuation (Gowan and Gatewood, 1997). However, other researchers such as Haven-Tang and Jones, (2012) concluded poor management, lack of salary, bad working environment and paucity of job opportunities could be the highest causes of turnover among organization. This statement was support by Kusluvan et al., (2010) where is they had stated that poor management, low payment of salary, work environment and lack of employees’ job opportunities on the organization will make employee want to quit from their job. Turnover intention situation will appear when labour had feeling that they want to quit from current job, so voluntary and involuntary turnover will become final stage for them as their decision (AlBattat and Mat Som, 2013) but it is different for researchers such as Mosadeghrad, Ferlie and Rosbenberg (2013) when they conclude that employee turno...
Due to mad rat race competition in organizations, they are inventing and enforcing new strategies in the market as well as within the company too. Hospitality industry faces several critical business challenges which in turn require organizations to build new capabilities in order to achieve targets. Some of main challenges are profitability through growth, Technology, skilled workers and employee’s motivation. Interestingly, Human resource department is playing a vital role in order to make these strategies effective and efficient. Before implementing the process, they need the important component which is analyzing the workflow and job desi...
The Hospitality and Tourism industry is one of the largest and fastest growing industries across the world that has an ongoing need for quality, skillful and motivated leaders to lead the industry to success. The purpose of this study is to examine and relate the significance of the research to access the main area and focus of the topic to find the qualities and traits of successful leadership in the tourism. Managers and leaders have slight difference in how to overcome daily operations of workers, however there work load falls in the same category. This chapter speaks about what leaders are capable of accomplishing by leading, pulling and pushing others. It also elaborates on the literature relating to the purpose of the study as well as