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Employee engagement sies college of management studies working paper series
Critical elements of employee engagement
Critical elements of employee engagement
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INTRODUCTION
Employees develop a general perception concerning the extent to which the organization values their contributions and cares about their well-being. Employees would view the treatment received from their organization as an indication that it favors or disfavors them (Stinglhamber, Vandenberghe). The role of Perceived Organizational Support and Supportive Human Resource Practices of hourly (non-exempt) retail HR employees may be related to low employee satisfaction and loyalty. The inferences of this study for HR practice leaders and their organizations are significant because a lack of perceived organizational support, may lead to poor employee satisfaction and loyalty, thereby adding costly affects of negative employee morale and turnover.
Employee turnover represents a practical problem to an organization in terms of loss of talent and additional recruitment and training cost. Only a few studies have explored the effects on intention to leave (i.e. Daily & Kirk 1992) . Therefore, the underlying process through with organizational perception leads to employee turnover remain largely unknown. I am not going to consider gender, age or race in this study. I am not going to consider individual employee titles. I am not going to study samples of over 60 people. I am not going to divide HR non-exempt employees by individual HR departments.
Definition of terms
1. Perceived organizational support (POS)-employee perceptions in relation to organization.
2. Employee loyalty- trust and intent to maintain employment with the employer/organization
3. Valence- the emotional orientations people hold with respect to outcomes (rewards)
4. Expectancy- Employees have different levels of expectations and levels of confidence about what they are capable of doing.
5. Instrumentality-A person’s belief that a particular outcome is contingent on accomplishing a specific level of performance.
LITERATURE REVIEW
With the general knowledge of the importance of employees to an organization, it is understandable how employee perception cannot be overlooked. The role of hourly non-exempt HR employees is vital to the HR department’s success. Therefore sustaining a positive POS is essential for the HR Organization. Victor Vroom’s Expectancy Theory deals with motivation and management. Vroom’s Expectancy Theory is based upon Valence, Expectancy and Instrumentality. (Kreitner) According to Vroom, management must discover employees’ values, training needs, supervision, and ensure promises of rewards are kept. These things will all lead to employee satisfaction and loyalty. In evaluating the Social Exchange Theory, which states that relationships have give and take, although the balance of this exchange is not always equal.
advancement and turnover intentions: The mediating role of job and employer satisfaction. Women in Management Review, 21(8), 643-661.
When compared, both theories achievement – power- affiliation theory and expectancy theory resemble each other. Both theories can be utilized as strategies for gaining employee buy-in for the upcoming change. Achievement-power-affiliation theory, persons have a specific goal in mind to work towards, and takes responsibility for their own actions. I feel this theory will be effective in promoting employee acceptance of the upcoming changes due to the fact that some employees like to stand out from others in departments, and others may be motivated to stand out with new changes. Expectancy Theory persons, also have goals in mind, but their way to achieve their goals are that is based on past experiences and self confidence. I also feel the expectancy theory will be effective in promoting employee acceptance of the upcoming changes because most employees will know in advance that they will be rewarded by pay increase, advancements in the departments. Expectancy Theory people are committed, and motivated so because organizations rely heavily on employees to produce quality of goods and services produced in organizations.
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.
Recruitment becomes a greater challenge in organizations with high turnover due to the increased number of vacancies. Nationwide, only 14% of employees feel satisfied with their jobs (Clawson & Haskins, 2011). This lack of satisfaction can...
There are many motivational theories thought to be the key source of employee engagement. The expectancy theory of motivation ultimately suggests that human beings are driven to accomplish a goal not only because it is perceived as desirable, but also because the goal appears to be achievable. The goal setting theory of motivation suggests that goals need to be clear and measurable. The equity theory of motivation is “based on the idea that individuals are motivated by fairness, and if they identify inequities in the input/output ratios of themselves and their referent group, they will seek to adjust their input to reach their perceived equity” (Hawks, n.d.). Finally, psychological empowerment suggest that all employees have some basic needs that must first be satisfied in order to provide the framework for further motivation and empowerment. The pay for performance strategy used by American Express encompasses many of the motivational theories represented above. Most importantly, the expectancy theory, as this theory recognizes that employee behavior is directed toward a goal that is both desirable and
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.
Human Resources Management (HRM) have been increasing aware by Business Studies and Organisation Management approaches because it closely related to organisational daily and organisational performances (Kalleberg & Moody, 1994). Human resources practices are suggested have influences on improving organisational performances in most organisations. Basically, oorganisational performances refer to the outcomes of employees performances and daily working which reflect the ability of one organisation fulfil its objectives and goals, such as employee’s performances, productivities, employee’s job satisfaction, financial outcomes (Huselid, 1995).
Different facets of organizational behavior were addressed in the three articles reviewed for this project. Pay Satisfaction, Job Satisfaction, and Turnover Intent by Parbudyal Singh and Natasha Loncar examines the relationship between employee position and salary satisfaction and job turnover. The 4 Rs of Motivation by Michael Maccoby suggests a formula from which leaders should pull to motivate subordinates, and Relations Between Leader-Subordinate Personality Similarity and Job Attitudes by Lior Oren, Aharon Tziner, Gil Sharoni, Iafit Amor, and Pini Alon examines the effect the relationship between leaders and subordinates has upon job satisfaction.
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.
Firth et al (2007) tries to examine the underlying causes of turnover, he puts forth a range of factors like Stress at work, dearth of employee commitment, Job dissatisfaction which cause the employees to leave.
However, meeting the four qualities is not a sustained mechanism to promote lifetime trust in the workforce. Another side that is critical in the establishment of a better working environment are the distinctive job characteristics obtained by employees. These characteristics are tenure, amount of training, membership in trade union, and wage payments, and the different level of these characteristics often yields to different level of trust. Based from the
Identify the different types of employee turnover and explain why an HR department would want to measure the different types of turnover? In any organization, the human resource department is responsible for acquiring personnel. However, the members employed do not always remain in a company due to factors such as age, conflict, need for self-actualization, among others. It leads to employee turnover.
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...
The purpose of this report is to brief the management on the importance of employee satisfaction in achieving the competitive goals of the organization through increasing the retention of the employees.
673), retention management must be based on three types of turnover, voluntary, discharged, and downsizing. Not all businesses are freighted by turnovers, for some it is the way of life and cost is built into the budget. However, for others any type of high turnover can be detrimental for company profit, employee wage and benefits offered. First, let’s take a look at voluntary and involuntary turnover that affects retention. Voluntary turnovers are caused by many different reasons. Turnover may result from topics such as job dissatisfaction, job mismatching, knowing that job opportunities are plentiful. Two reasons that I will discuss more are micromanagement and employee loyalty. Like stated before in the introduction, when employees are dissatisfied, possibly due to being placed in an area that doesn’t fit with their skill set, one is more likely to seek new employment. Another part of turnover is discharging and downsizing. Discharge is just that, members being discharged due to discipline and job performance. While downsizing turnover is a result of business being overstaffed (Heneman III, Judge, Kammeyer-Mueller, 2015, pg. 675). There are also other reasons for voluntarily employee turnover, such as generation differences when it relates to employment. The current generations are more likely to see a job as one piece in their life puzzle rather than as the first, indispensable anchor piece without