This assignment is a portfolio, based on three current topics in Human Resource Management. The common theme of all the media articles I reviewed is the recognition of people as an asset by the organisations to achieve their strategic goals and objectives. It is observed that organisations are directing their efforts to recruit, retain and develop this asset.
On reviewing the media articles, I have summarised the current HR issues in the following topics.
Employee retention: A Link with the Bottom Line
Aging workforce: A determinant in HRP
Training & Development: A powerful HRD strategy
* The media articles are not attached however the ""REFERECES" section contains complete references for each article.
Employee Retention: A Link with the Bottom Line
Employee retention is the most critical issue in today's corporate world. Sharples (2007) in reporting Dr Cavanagh study refers that, it costs an organisation 150% of an employee's salary to turn over their position. Additionally, an employee's departure results in loss of valuable expertise and the corporate memory.
Organisations are working harder to get the right people in the right jobs and keep them there. A recent survey of more than 300 private company CEOs by PricewaterhouseCoopers found that the majority (52%) believe that improved retention of key employees will have a beneficial impact on their company's business performance over the next 12-18 months (Tate 2007, p.16).
In short, the companies are acknowledging the importance of their workforce in asset creation and are devising a consistent and systematic approach for ensuring retention of key employees .
Factors Influencing Employee Turnover
It is becoming increasingly difficult to attract and retain talented employees (Sigler, 1999). A number of reasons are responsible for this.
On reviewing the media articles, it was found that the most common reason behind employees leaving companies appears to be "career opportunities elsewhere," a factor cited by 78% of the survey respondents (Workers Leave For Better Jobs' 2000). According to Sharples (2007) today's professionals consider themselves responsible for their own career projections, and if they don't find what they are looking for in one work place then they move on.
The global economic expansion has morphed the competition for new workers into a worldwide market-place. Development in specific industries has created high paying jobs which are attracting employees from other industries, resulting in an increased attrition rate. The present boom in the resource sector in Australia and the IT boom in India are classic examples related to this factor.
The working environment is becoming complex day-by-day. Along with the workload and pressure to perform, employees feel dissatisfaction when there is lack of emotional intelligence from their management (EQ's link to employee turnover' 2004).
M.R. Baird (emdiawire.com 2007) points out that pay and benefits are not generally the root cause of most employee turnovers. Managerial styles, hiring practices, job dissatisfaction, monotony, lack of recognition, insufficient training and poor internal communication also lead to higher employee turnover. good
Winning Attrition Rate Efforts are Everywhere
Organisations spend a great deal of money and time in recruiting, selecting, and hiring new staff. Therefore, retaining employees has become an important task for organisations, to maximise their profits.
The gateway to a successful retention plan for most of the companies is to hire the right people. Gregory Smith (charthouse.com n.d.) reveals that, Singapore International Airlines improved its retention ratios by placing more time and effort in the selection and training of employees.
On the ABC's website, Ronn (2005) reports Dr Glennis Hanley's comments that, the mature aged employees are under-represented in Australia's workforce....