HR PLANNING & RETENTION

Economic security and employee retention To create economic security, factors that are sustainable will be important, (International Labor Organization 2004). Employees tend to stay with organizations and don't look for other jobs or even relocate to another company, industry, or countries when they feel secure financially in any country or even any business field. Singh (2012), indicated that if the employees possess the required abilities, employee retention with economic sustainability might be attained. The high rate of staff turnover has a detrimental impact on the national and international economies from an economic standpoint. Psychological security and employee retention Psychological security is the first and most fundamental level of need, according to Maslow's motivation theory, which is based on the hierarchy of human needs. The idea behind this variable is based on people's capacity to sustain a steady state of normal survival requirements. It contai...

Compensation Trevor et al. (1997) demonstrated that wage growth has a negative effect on turnover. Davies, Taylor, & Savery (2001) presented the opinion that every organization pays compensation to the best employees, but very few organizations use it strategically. They said, “Salary and benefits policies are not being used strategically, within the organization to improve morale, reduce turnover, and achieve targets within an establishment”. Gardner et al., (2004) explained that the salary can be a motivation factor to keep the employee within the organization. Reward and recognition The term ‘reward’ was defined by Agarwal (1998) as something that the organization delivers to the employees in response to the job and performance and something that the employees desire. Walker (2001) asserts that praise from superiors, coworkers, and clients increase loyalty. In the year 2002, the international consulting firm "Watson Wyatt" carried out a study in the USA, survey...

Retention – Introduction Maertz & Campion (1998) mentioned “relatively less turnover research has focused specifically on how an employee decides to remain with an organization and what determines this attachment…retention processes should be studied along with quitting processes”. Zineldin, (2000) has described retention as “an obligation to continue to do business or exchange with a particular company on an ongoing basis”. Denton (2000) mentioned that employees who are satisfied with their work are more engaged and always dedicated to their work, their effort is to improve satisfaction of their clients. Stauss et al., (2001) explained retention as “customer liking, identification, commitment, trust, readiness to recommend, and repurchase intentions, with the first four being emotional­-cognitive retention constructs, and the last two being behavioral intentions”. Employee Turnover Chruden (1980), Testa (2008) have found due to the expense of human capital (such as skills, tra...

Objectives of Human Resource Planning Butler et al (1991) describes that, human resource management plays an important role in creating a competitive advantage for an organization over its industry competitors. Manzini (1988) outlined that all organizational initiatives must be integrated with HR practices to successfully integrate the company’s strategy. All strategic initiatives such as growth, better customer service, innovative production methods, improved after-sales services, merges etc. are aligned HR practices and organizational policies, e.g., by organizing, communicating, developing, evaluating and motivating employees, as well as observing the future potential of the organization, the chances of successful implementation of strategic plans and better results are increased. Also HR practices should be aligned organization objectives.   Walker (1990) mentioned that “Like most organizational practices, however, the effectiveness of HR planning depends on the persp...

Planning - A Business Strategy Gould (1984) explained that many factors require the attention of HR specialists and strategists, for example cultural strategies in case of any conflict can negatively affect the successful implementation of planned future actions and strategies. Hax (1985) emphasized that the important role of HR strategy is to support the firm in long-term and create a long-term competitive advantage. It is important that the HR strategy develops and implements well-coordinated objectives and makes clear effective action plans. It is considered as an important component of an organization’s business strategy. Workforce planning Burack (1985) explained human resource planning is the main function of the human resource department. The HR planning process ensures that the right number of employees are available at the right time, in the right place for the business. Gould (1984) in a study explained that assessing HR issues helps a company gain useful insight into...

Impact of human resource planning process on organization’s performance According to Edwards and Pearce (1988) “Human resource planning is particularly important for emerging, rapid-growth and high-tech businesses. Mature business in need of new products, services, markets, acquisitions or divestitures must also plan to identify, attract or reallocate  the talent necessary for revitalization and continued competition”. For satisfactory preparation and employee career development needs, meeting organizational requirements and succession organizational planning and development plays an important role. If in case internal labor supply is greater than the need, and the problem of realigning resources is inevitably treated. According to Craft (1980), Human resource planning plays an important role in decision making and determine the characteristics of the applicant to choose the most suitable for the institution.  Noe et al (2003) explained that it is important to deploy...