Retention Policies in Indian IT Industry

Presented by:Rudrani Angira FPM/07/02Anupriya PGP/17/258Kunal Hande PGP/17/272Mohommed Shajeer PGP/17/277Nabeel Ahmed PGP/17/278Anshul Nagdive PGP/17/279

Agenda

Objective and Research Questions

Literature Review

Methodology

Data Analysis

Results and Discussion

Conclusion and Limitations

Objective of the Study

To study the effect of hygiene factors i.e. factors which are organization specific and are majorly effected by norms , policies, regulations and culture on the employee retention

Research Questions

What are the key variables influencing employee retention in Indian IT companies?

What are the experiences of IT employees about the variables influencing employee retention?

To what extent, experience of employees about above variables convergent with their expectations?

Literature Review

According to Kehr (2004), retention factors of employees can be divided into 3 variables: Power, Achievement and Affiliation.

A study conducted on IT employees concluded that Company policy and administration, relationship with superior, personal life, relationship with subordinates, responsibility and motivation are the influential factors.

Attrition in the Indian IT industry can be tackled using a multi-level approach like Maslow’s Hierarchy of Needs.

Methodology

Variables defined from Literature Survey

Focus group discussion

Online Survey- 31 Questions,143

Responses

• Performance Evaluation System• Relationship with superiors• Work environment• Salary• Relationship with peers• Personal Life• Job satisfaction and Performance

Hygiene Factors

• Age• Gender• Annual Income• Number of dependents Personal Factors

Data Analysis

Binary Logistic Regression: Influence of hygiene factors on likelihood of quitting the organisation

Chi square test: Association between environmental factors and personal factors

Test of Reliability: Cronbach's alpha is an index of reliability

Results Croncbach's alpha for the factors have been found to be greater than 0.7 Significant association between Annual Income and Relationship with

Peers Also, significant association between Annual Income and Personal Life Relationship with Peers has a significant relationship with the likelihood of

quitting the organization Binary Logistic Regression:

Y(Likelihood of quitting)

{ 0 , if no switch= - .126 (Relationship with peers)

1, otherwise} Interpreted :“Relationship With Peers” increases by 1 then the likelihood

of quitting reduces by a factor of .126

Conclusions

Companies should focus more on team cohesiveness

Companies focus more on promoting peer relationship

Limitations

The data set is biased as the maximum respondents - Are from age group 20-25- Have dependents 2 , there is just one respondent who has five

dependents and his response is different from the data pattern in data set .

- Have annual income in bracket of 5-10 lacs

Most of the respondents are either in the exploration stage or in the establishment stage which is a period of career instability

References

1) HRM Practice on the Retention of Employees of Information Technology , 2012 , INTERNATIONAL JOURNAL OF SCIENTIFIC RESEARCH

 

2) “Attrition”, HRM Review, the ICFAI university press, March.2008, vol. VIII, Issue III

 

3)Five Attrition Factors and What You Can Do About Them , National Society of Professional Engineers , 2008

 

4) ANALYZING CAUSES OF ATTRITION RATE AND GIVING THE SOLUTION THROUGH MASLOW’s HIERARCHY OF NEED IN BPO INDUSTRY , Dept. of Management, Rajiv Gandhi College , Bhopal (M.P),INDIA

Thank You