1. Chapter 13 Staffing System Administration
McGraw-Hill/Irwin
Copyright © 2009 by The McGraw-Hill Companies, Inc., All Rights Reserved.

2. New Employee Orientation and Socialization
Content
People
Performance proficiency
Organization goals and values
Politics
Language
History
Delivery

3. Discussion questions
What are examples of orientation experiences you have had as a new hire that have been particularly effective (or ineffective)?

4. Retention Management McGraw-Hill/Irwin
Copyright © 2009 by The McGraw-Hill Companies, Inc., All Rights Reserved.

5. Nature of the Problem
Employee retention can contribute to organizational effectiveness
Turnover is not only costly but may be beneficial
Focus of retention strategies
Number of employees retained and
Who is retained
Turnover is inevitable
Approach to retention management
Gather and analyze employees’ reasons for leaving

6. Types of Employee Turnover - Voluntary -- Employee Initiated

7. Types of Employee Turnover - Involuntary -- Organization Initiated

8. Causes of Voluntary Turnover

9. Causes of Turnover: Discharge and Downsizing
Discharge turnover
Mismatch between job requirements and KSAOs
Employee fails to follow rules and procedures
Unacceptable job performance
Downsizing turnover
Mismatch in staffing levels which leads to an overstaffing situation
Factors related to overstaffing
Lack of forecasting and planning
Inaccuracies in forecasting and planning
Unanticipated changes in labor demand and/or supply

10. Measurement of Turnover: Formula
Turnover rate
Number of employees leaving  average number of employees x 100
Data and decisions
Identify time period of interest
Determine type of employees that count
Determine method to calculate average number of employees over the time period

11. Measurement of Turnover: Breakouts and Benchmarks
Analysis of turnover data aided by deciding on categories of data
Type of turnover
Type of employee
Job category
Geographic location
Benchmarks
Internal - Trend analysis
External - Compare internal data with external data

12. Measurement of Turnover: Reasons for Leaving
Important to ascertain, record, and track reasons why employees leave
Tools
Exit interviews
Formal, planned interviews with departing employees
Postexit surveys
Surveys sent to employees soon after their last day
Employee satisfaction surveys
Surveys of current employees to discover sources of dissatisfaction which may become reasons for leaving
Results can provide information to pre-empt turnover
Require substantial resources

13. Guidelines: Conducting Exit Interviews
Need to decide before interviews – who will results be communicated to
Interviewer should be a neutral person who has been trained in how to conduct exit interviews
Structured interview format should contain questions about unavoidable and avoidable reasons for leaving
Interviewer should prepare by reviewing interview format and interviewee’s personnel file
Interview should be conducted in private, before employee’s last day

14. Measurement of Turnover: Costs and Benefits
Costs and benefits can be estimated for each of the three turnover types
Types of costs
Financial
Nonfinancial
Some costs and benefits can be estimated financially
Nonfinancial costs and benefits may outweigh financial ones in importance and impact

15. Major Turnover Costs and Benefits
Costs of turnover
Separation costs
Staff time and loss of productivity
Replacement costs
Recruiting and selecting new employee
Training costs
Teaching new employees the job
Benefits of turnover
Potentially better new employees
Short term labor cost savings
Opportunities to restructure work units

16. Most and Least Effective Retention Initiatives

17. Decision Process for Retention Initiatives
Do We Think Turnover Is a Problem?
How Might We Attack the Problem?
What Do We Need to Decide?
Should We Proceed?
How Should We Evaluate the Initiatives?

18. Guidelines for Increasing Job Satisfaction and Retention
Extrinsic rewards
Rewards must be meaningful and unique
Rewards must match individual preferences
Link rewards to retention behaviors
Link rewards to performance
Intrinsic rewards
Assign employees to jobs that meet their needs
Provide clear communication
Design fair reward allocation systems
Ensure supervisors provide a positive environment
Provide programs to enhance work-life balance

19. Alternatives
Approaches to make internal alternatives more desirable than outside alternatives
Internal staffing
Encourage employees to seek internal job opportunities
Provide attractive internal options outside of traditional internal staffing system
Responding to external job offers entails developing appropriate policies
Decide whether to provide counteroffers or not
Determine types of employees to provide counteroffers
Decide who will develop counteroffer and nature of approval process