Strategies And Policies To Reduce Employee Turnover Rate

Create mission, vision and value statement

With the dynamic growth of business industry employees have to receive immense burden of pressure in providing superior quality of services. As a result, the rate of employee turnover is increasing day by day. This particular study has focused to make detailed understating on how employee turnover rate can be reduced by implementing effective strategies and policies. SERVICE INDUSTRY is well recognized non-profit organization which primarily aims to identify the reasons of employee turnover and motivate the employees on how to sustain within work environment.

Mission:

The mission of the company is to give immense moral support to the employees with the help of which they tend to show their best endeavour in achieving organizational goals and objectives.

Vision:

Giving equal respect and dignity to the employees of various cultural backgrounds and religious attitudes is the primary vision of the company. The organization should maintain anti-discrimination act at the workplace with the help of which people from different cast, religion and racial status can be provided equal response and priority at the workplace (Khan, 2014).

Value statement:

“Providing effective employee motivation and encouraging them towards gaining organizational success is highly important in maintaining business sustainability”.

“Organization should fulfil the needs and demands of employees in order to receive best quality services”

Despite having an effective belief, value and ethical statement, the organizations have to face immense ethical issues at the workplace that indulge the employees in leaving the business process (Kang, Gatling & Kim, 2015). However, some of the major issues that SERVICE INDUSTRY should take care while motivating the employees are as follows:

• Equal respect and dignity:

As per ethical belief and value of an organization, the business experts need to give equal respect and dignity to all the employees associated with the workplace. Employees should be appointed as per their skills and competency level rather than focusing on their cultural backgrounds (Memon et al., 2014). Any talented employee having proper communication skill as well as technological skill should be treated properly at the workplace. The religious background and cultural attitude do not get first priority.

• Financial ethics:

Business owners should run a transparency in business operations. Employees’ skills and efforts should be treated properly. The organization should never compromise with the salary structure of employees, which highly motivate them in performing well towards the services (Huffman, Casper & Payne, 2014). On the other hand, it has also been observed that organizations intend to discriminate the salary structure between male and female employees as well. As per gender equality act, both male and female employees should be given equal priority and response. On the other hand, it has also been observed that gender equality and parity runs an organization towards achieving success (Ahmad & Rainyee, 2014). However, apart from salary the organization can provide effective bonus and incentive structure as well with the help of which employees tend to take additional burden within workplace.

• Fulfil needs and demands:  

Ethical statement

Apart from salary and remuneration structure, some of the additional facilities and benefits are there which the organization should take as a major concern. In order to work for eight and half hours within business process employees may have to face health issues (Hom et al., 2017). Therefore, the business experts have to show their concern in resolving the health issues faced by the employees at the workplace. By implementing health and safety act, the organizations have to provide all health facilities and benefits to the employees. In addition, while working within an organization the business managers have to show systematic outlook towards the employees (Shuck et al., 2014). Sympathetic outlook implies that providing confidence and mental support to those employees who are facing issues to meet organizational productivity.      

In order to resolve these kinds of issues SERVICE INDUSTRY should implement some of the major initiatives, which are as follows:

• Implementation of anti-discrimination act as well as employability act at the workplace:

It has been observed that male and female employees are not treated equally at the workplace. People from racial backgrounds do not get respect in after being appointed within an organization (Lamm, Tosti-Kharas & King, 2015). In order to overcome this kind of situation, the business experts would have to implement anti-discrimination act. Employees should be appointed as per their skills and competency level rather than focusing on their cultural backgrounds (Brown, Thomas & Bosselman, 2015). On the other hand, it has also been observed that employability act enables the employees in getting agile and flexible work environment within an organization (Avanzi et al., 2014). Business experts should not impose the employees in extending their shift hour.

• Providing appropriate remuneration to the employees:

Equal employability act also implies that both male and female employees should be given equal respect and dignity by providing remuneration in equal ratio. On the other hand, it has also been observed that employees do not get their justified salary structure as they deserve. This is one of the most significant reasons of employee turnover (Dusek et al., 2014). In order to overcome this kind of situation, the business experts are instructed to provide sufficient amount of money that can motivate the employees in meeting organizational targets.  

• Implementation of emotional intelligence approaches at the workplace:  

Sometimes it has been observed that employees do not get the scope with their seniors proper due to the lack of communication. In this kind of situation, they feel extremely de-motivated in performing towards the services (Grissom, Viano & Selin, 2016). In order to overcome this kind of situation, the business experts have to make effective interpersonal communication with the concerned stakeholders so that employees get enough opportunities in providing effective services to the organization. Both the organization and employees will equally gets benefits (Carnahan, Kryscynski & Olson, 2017).

How this proposed agency will address or attempt to resolve the issue

Before developing the funding proposal it can be evaluated that the mission of the company is to give immense moral support to the employees with the help of which they tend to show their best endeavour in achieving organizational goals and objectives (Kraemer & Gouthier, 2014). The organization should maintain anti-discrimination act at the workplace with the help of which people from different cast, religion and racial status can be provided equal response and priority at the workplace (Kim, 2014). Despite having an effective belief, value and ethical statement, the organizations have to face immense ethical issues at the workplace that indulge the employees in leaving the business process.

In order to run the entire operation of business systematically, the business experts have decided to make effective funding proposal by highlighting resources along with mentioning the estimated cost.

Resources	Amount $
Physical equipments	$4,000
Utilities	$5,000
Insurances	$7,500
Payroll taxes	$16,500
Technological resources	$25,000
Promotional purposes	$10,000
Internet expenses	$29,000
Physical equipments	$64,000
Office facilities	$10,000
Human resources	$30,000
Infrastructure	$40,000
Total Required Funding Budget	$241000

Table: Estimated funding proposal for the agency

(Source: As Created by the Author)

While making the funding proposal it has been observed that the organization has estimated $30,000 for recruiting the human resources. In order to run the entire business operation successfully only $30,000 for human resource is not sufficient. The human resources may have to face additional duty hour based on which they need a good remuneration for getting effective services from them. On the other hand, investing $64,000 for physical equipment initially is huge in number. Therefore, this particular budget can be précised and invested to human resources for making a balance.  

In order to provide effective services to the people of poor backgrounds SERVICE INDUSRTY has aimed to initiate a new project named “Love and Care”. The objectives of the following program are to reach out the benefits of the program to the targeted people and help them with different types of benefits to make them happier and ensure that they stay fit and fine (Nica, 2016). During the last year, we have been piloting the following program with a small group of backward students especially the migrants from Africa with poor background. The program has helped these people in many ways that includes financial, health services or wellbeing.

The community partners who are involved in this mission include Med Express, Next Care, FastMed Urgent Care and so on.  These business organizations also collaborate their partnership with SERVICE INDUSTRY in order to make the entire program successful. On the other hand, by providing effective partnership with SERVICE INDUSTRY the business experts could get immense support from their human resources with the help of which clients did not have to face immense challenges in receiving services (Farooq & Farooq, 2014). On the other hand, individual employee did not have to take immense burden of work for meeting organizational target.

Develop a funding proposal for the agency

In order to describe the board of directors there are five members primarily controlling the entire business process of SERVICE INDUSTRY.  In the below table format the name of directors along with their designation and justification of role have been provided.

1. Ms. John Kenilworth Executive Director Government of USA, State Affairs in Social Welfare 500 North Michigan Avenue State Secretariat Chicago- IL 60611 888-698-6334	John Kenilworth is the executive director of State affair in social welfare of US. After being involved with SERVICE INDUSTRY in board of director, this individual got involved in achieving organizational objectives. After being experienced in social welfare, the individual would be able to utilize previous experiences on how to satisfy the needs and demands of target customers.
2. John Smith Executive Chief Financial officer, Government of USA, State Affairs in Social Welfare	John Smith is the Executive Chief Financial officer of State Affairs in Social Welfare. This particular person would be able to estimate appropriate budget for the organization based on which they should invest money in expanding their organization in different geographical boundaries
3. Charles Dickens Shareholder, Agency of Health Care and Quality	Charles Dickens is the chief Shareholder of Agency of Health Care and Quality. This individual after investing huge amount of money in SERVICE INDUSTRY would be able to provide major decision in achieving organizational objectives and goals.
4. Kathleen Mansfield, The director of organization	Kathleen Mansfield is the director of organization who can take any urgent and major decision for achieving business success
5. Robert Downey, Chief adviser, Housing and urban development, Government of US	Robert Downey is the chief adviser of Housing and urban development, Government of US. After making any major decision towards the business services this particular individual would make an effective advice that would help the directors in taking a right decision. The chief adviser intends to make effective risk analysis as well.

Table: Describe and justify the individuals who would serve as the Board of Directors

(Source: As Created by the Author)

This very specific part has elaborated the staffs associated with SERVICE INDUSTRY. Their roles and responsibilities have also been penetrated in this very specific study. At the initial journey, this organization is not able to appoint large number of staffs at their workplace. Along with describing the name of existing staffs, the study would like to highlight their cultural responsiveness as well.

Name of the departments	Designations	Cultural responsiveness
Human resource department	1. SMITH: Head of the department of HR 2. Johnson, William Miller, Moore: Human resource executives	The primary responsibility of these people is to motivate the employees to provide effective services to the clients. Reducing employee turnover rate from various organizations is their primary roles and responsibility.
Finance Department	1. Jackson: Chief Financial Office 2. Lews, Scott, Baker: Financial executives	The primary responsibility of this specific department to maintain organizational database, to estimate financial budget and to forecast profit and loss strategy of the organization in quest of making an effective future plans.
Operations	1. Cooper: Chief Operation manager 2. Kelly, Cox, Brooks, Watson: Operation executives	Business operation maintains an effective balance between supply and demands. The executives are responsible to deliver the services properly to stipulated destination.
Marketing and management	1. Richardson: Marketing head 2. Gray, Cruz, Price, Myers: Marketing executives	The primary responsibility of marketing executive is to promote the brands and services with the help of appropriate media tools. Along with involving with social welfare the business experts have to focus on promoting the brand for creating brand identity.

Table:  Design staffing plan that demonstrates cultural responsiveness

(Source: As Created by the Author)

The primary benchmarks that the organization has set for SERVICE INDUSTRY are as follow:

• Motivating the employees as well as other stakeholders on how to survive within a workplace effectively and how to meet organizational objectives
• Promoting cross cultural based cooperation based upon the foundation of the shared practical interests to strengthen the society through mutual social benefits that encourages growth and promotes innovation
• Promoting  quality education amongst the backward African class
• Promoting women and Child health care and ensure the presence of a disease free healthy community
• Promoting sustainable community programs among the people of the organization

The primary issues that the organization may face immensely in meeting the milestone set the by the organization are as follows:

• Financial Challenges:

SERVICE INDUSRTY will have to face immense financial challenges in order to execute their plans properly. In order to implement different rewards and recognition policies for employee motivation the organization needs to have financial strengths. On the other hand, while executing programs like love and care the business experts need to have sufficient budget to make the program happen successfully (Wang, Wang & Ji, 2014). However, economy is one of the most effective barriers to reach the bench mark set by the organization.

• Ineffective management:

As the organization hierarchy is absolutely new, the business experts would have to face immense challenges in meeting clients’ needs and demands. Concerned stakeholders may have inefficiency of making effective decisions (Nohe & Sonntag, 2014). On the other hand, the business experts may have to face innumerable challenges in meeting customers’ satisfaction level. It has also been observed that the new operation executives have to face challenges delivering the services within stipulated time.

• Ineffective promotional methods:

On the other hand, it is also undeniable that along with involving with social welfare the business experts have to focus on promoting the brand for creating brand identity. However, in real business scenario, it is observed that this organization is unable to make effective promotional plan so that people can get in-depth overview about the services of this organization (Inabinett & Ballaro, 2014). On the other hand, economy is one of the most effective barriers to reach the benchmark set by the organization. As a result, the marketing executives are unable to make effective budget plans for promoting the brands and services in different geographical boundaries. However, without making a proper promotional plans and policies the organization is unable to meet its target.

Identify community partnerships

Legal issue that the business experts of this organization may have to face is Copyright and Patent Issue. As per copy right act the organization is not allowed to leak out the information about any concerned stakeholders associated with the organization (Islam, Khan & Bukhari, 2016). If the business experts tend to leak the information out, the entire organization has to face immense legal issues. On the other hand, while promoting the business the organization is not allowed to use any unethical and unprofessional terms or content that can hurt a certain community. In this kind of situation, the business experts have to face legal issues.

In case of regulatory issue, the business experts have to face challenges for showing any kind of biasness towards employees. Both male and female employee should get equal respect and dignity (Eckardt, Skaggs & Youndt, 2014). On the other hand, people belonging to different religion and racial backgrounds should get equal priority. In case of showing any kind of biasness, the business experts have to face regulatory challenges (Panaccio, Vandenberghe & Ben Ayed, 2014). This kind of regulatory issue ultimately damages organizational image and reputation, which reflects on profitability of business as well.

Conclusion: 

After evaluating the entire study, it can be concluded that Service Industry aimed to provide equal respect and dignity to the employees of various cultural backgrounds and religious attitudes is the primary vision of the company. The value statement that the business experts of Service Industry has made includes providing effective employee motivation and encouraging them towards gaining organizational success is highly important in maintaining business sustainability. In board of directors, there will be involved five members primarily controlling the entire business process of Service Industry.  This individual after investing huge amount of money in Service Industry would be able to provide major decision in achieving organizational objectives and goals. After making any major decision towards the business services this particular individual would make an effective advice that would help the directors in taking a right decision. Business operation maintains an effective balance between supply and demands. Along with involving with social welfare, the business experts will appoint marketing executives who will start promoting the brand for creating brand identity.  However, social welfare and community development is the primary mission of this organization based on which the business authority aims to develop their organizational hierarchy.  

References

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Board of Directors

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