Retention Strategies
Chapter 1: Introduction of the studyThe subject of the dissertation is on ‘the people retention strategies and its impact on employee performance at Moollan & Moollan Ltd’.The recruitment and retention elements of the human resources management functions are the fastest changing and the most visible in business today (Cook 1992).In this chapter we’ll learn how to analyse the different retention strategies available in the organisation what impact it has on employee performance? What are the measures used to evaluate employee retention strategies? What are the research methods used to analyse the different retention strategies existing in the organisation and employee performance?The economy of today is also changing and organisations must therefore deal with new forms of employment and new perspectives in the way they do business (Andreas, Daniel, 2002). In this kind of volatile economy, corporations are continually looking for innovative ways to enhance shareholders value and improve profits. Successful organisations increasingly recognise that survival and growth in the current market place occur without an effective talent retention strategy. The ability to retain high calibre employee is a key differentiator between those organisations that make profit and those that do not. “Good to Great” author Jim Collins (2001) argues that the most critical driver of growth for a great company is the ability to hire and retain the right people. Skinner (1981) contends that, since superior human resources create the most central, basic and powerful strategic advantage possible, human resource management should receive top priority.
Key employee retention is critical to the long-term health and success of the business. Managers readily agree that retaining the best employees ensures customer satisfaction, product sales, satisfied co-workers and reporting staff effective succession planning and deeply embedded organisational knowledge and learning.Managers adopt retention strategies in order to retain the best talent and also increase employee performance. In reality in today’s labour market is that businesses are going to lose employees to competitors or other career opportunities. However, there are some excellent strategies that businesses of any size can implement to ensure that they are doing the best job possible to retain employees. At the very heart of any retention strategy is the simple rule; engaged employees are retained employees. En employees are committed to the organisation, they are far more productive than disengaged employees. They feel much safer in the workplace and are extremely orifitable. General steps to retain and engage employees are to firstly be clear about what is expected from the employees, ensure they have the materials and equipment needed to do great and much more at the workplace.